Start up: Brexit fuels uncertainty, Google faces new antitrust case, AI for the blind, and more


Expect to see lots more of these. Photo by stratageme.com on Flickr.

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A selection of 13 links for you. None invokes Article 50. I’m charlesarthur on Twitter. Observations and links welcome.

Brexit: Uncertainty around funding and skills likely to affect UK tech startups • Computer Weekly

Lis Evenstad:

»

The tech startup industry as a whole was backing the remain campaign. However, the industry is now faced with a different and uncertain future that is likely to affect investment, funding and skills.

One of the main challenges the industry now faces is access to funding. Gartner predicts that as a result of the UK leaving the EU, IT spend will drop significantly not just at home, but in the rest of Europe.

John-David Lovelock, research vice-president at Gartner, said the current forecast growth for UK IT spending is 1.7%.

“The Brexit will drop this figure between 2% and 5%. In other words, UK IT spending growth will certainly be negative in 2016,” he said.

Frost & Sullivan’s research director for digital transformation Adrian Drodz and practice director EIA Ajay Sule added that access to funding and credit will be affected by Brexit.

“Although the Bank of England has been quick to state it has plans in place to support the UK economy and the financial services sector, concerns will be raised with regards to the ability to obtain credit and funding – especially among startups,” they said.

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Anarchy in the UK: Britain is sailing into a storm with no one at the wheel • The Economist

“Bagehot”:

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IT WAS a troubling exchange. On live television Faisal Islam, the political editor of SkyNews, was recounting a conversation with a pro-Brexit Conservative MP. “I said to him: ‘Where’s the plan? Can we see the Brexit plan now?’ [The MP replied:] ‘There is no plan. The Leave campaign don’t have a post-Brexit plan…Number 10 should have had a plan.’” The camera cut to Anna Botting, the anchor, horror chasing across her face. For a couple of seconds they were both silent, as the point sunk in. “Don’t know what to say to that, actually,” she replied, looking down at the desk. Then she cut to a commercial break.

Sixty hours have gone by since a puffy-eyed David Cameron appeared outside 10 Downing Street and announced his resignation. The pound has tumbled. Investment decisions have been suspended; already firms talk of moving operations overseas. Britain’s EU commissioner has resigned. Sensitive political acts—the Chilcot report’s publication, decisions on a new London airport runway and the renewal of Britain’s nuclear deterrent—are looming. European leaders are shuttling about the continent meeting and discussing what to do next. Those more sympathetic to Britain are looking for signs from London of how they can usefully influence discussions. At home mounting evidence suggests a spike in racist and xenophobic attacks on immigrants. Scotland is heading for another independence referendum. Northern Ireland’s peace settlement may hang by a thread.

But at the top of British politics, a vacuum yawns wide. The phones are ringing, but no one is picking up.

«

Still, mustn’t grumble, eh?
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Rohan Silva has no idea what he’s talking about • FT Alphaville

Kadhim Shubber takes issue with former No. 10 tech policy adviser Silva, who suggests cutting corporation tax to 10% to (re?-) attract businesses:

»

He goes on to say that we should “transform the efficiency of our immigration system” by using “data analytics and machine learning”, which has become something of a verbal tic in the tech community.

This sort of thinking crops up whenever society faces complicated, difficult problems. If only taxes or regulation didn’t exist, neither would recessions or financial crises. It has the impression of being proactive — we don’t have time, just cut the red tape and save the economy already! — but is more likely to exacerbate the fractures in our society than heal them.

It will take months and years before we fully understand what happened in the UK last week, but it is highly plausible that this was the backlash of a class of people left behind by globalisation. They have much to be angry about: de-industrialisation; massive tax avoidance; the pain and misery caused by the financial crisis; the concentration of wealth in the hands of a small international elite. If we want to assuage this fury, we might start by better redistributing the fruits of globalisation.

In that context, turning the UK into a global tax haven would be akin to rubbing salt in the wound. Silva seems to imagine the economically disenfranchised people who just plunged the UK into crisis will be content to give him and other business owners more money. It’s not only a stupid idea, it’s a dangerous one that risks inflaming tensions.

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Godless mobile malware can root 90% of Android devices

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The mobile malware masquerades as harmless-looking mobile apps, including this Summer Flashlight app:

Several clean apps on Google Play also share the same developer certificate with malicious versions containing the Godless code. This means there is the potential for a user to be upgraded to a malicious version of an app without their knowledge.

If and when that infection occurs, Godless won’t lock their screen and demand hundreds of dollars in ransom. Neither will it place calls to mysterious Chinese phone numbers. Instead it will have the ability to download any app it chooses, including those that spam users with ads and/or install backdoors onto an infected device.

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More details on the Trend Micro blog post. It starts installing when the screen switches off – sneaky.
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Artificial intelligence is helping the blind to recognize objects • Co.Exist

Ben Schiller:

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To train the iPad app, you place things in front of the device’s camera at several angles, telling it about the items. Then you repeat the process, taking the objects away, so the app recognizes the difference. On subsequent occasions, it will be able to distinguish, say, your set of keys from another set of keys. “It’s like a new born baby—it’s learning all the time as you show it objects,” Marczak says. Probably the training would be done by a family member or friend.

The second app, called Aipoly, does something similar. It’s sophisticated enough to recognize clothing and colors, even in abstract works of art.

Marczak says ID Labs is working with visually impaired support groups to improve the EyeSense app, which is free to download (versions for Android and other phones are due soon). It also works offline if necessary.

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link to this extract


Google Maps gets a new, 700-trillion-pixel cloudless satellite map • The Atlantic

Robinson Meyer:

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More than 1 billion people use Google Maps every month, making it possibly the most popular atlas ever created. On Monday, it gets a makeover, and its many users will see something different when they examine the planet’s forests, fields, seas, and cities.

Google has added 700 trillion pixels of new data to its service. The new map, which activates this week for all users of Google Maps and Google Earth, consists of orbital imagery that is newer, more detailed, and of higher contrast than the previous version.

Most importantly, this new map contains fewer clouds than before—only the second time Google has unveiled a “cloudless” map. Google had not updated its low- and medium-resolution satellite map in three years.

The improvements can be seen in the new map’s depiction of Christmas Island. Almost a thousand miles from Australia, the island was largely untouched by human settlement until the past two centuries. Its remoteness gives it a unique ecology, but—given its location in the middle of the tropical Indian Ocean—it is frequently obscured by clouds. The new map clears these away.

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Xbox Fitness sunset announcement • Microsoft Studios

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Since November 2013, Xbox Fitness has allowed you to experience the world’s best workouts with famous trainers, right in the comfort of your own home. As a service, Xbox Fitness has continually evolved since it launched on Xbox One, with new content and ongoing updates. Given the service relies on providing you with new and exciting content regularly, Microsoft has given much consideration to the reality updating the service regularly in order to sustain it. Therefore, the decision has been made to scale back our support for Xbox Fitness over the next year, and we want to provide our users with a timeline of the changes you will see.

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What chances for the Microsoft Band’s future?
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EU set to issue fresh formal antitrust charges against Google • WSJ

Natalia Drozdiak:

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In an interview with The Wall Street Journal shortly before the Android announcement, Ms. Vestager said the agency was “advancing” its investigations into whether Google is abusing its dominance with its advertising service, an area of concern first outlined under her predecessor, Joaquín Almunia.

The investigation in advertising hits at a lucrative area of business for Google, which accounted for 90% of the tech firm’s $75 billion in revenue last year.

At issue is whether the company prevents or obstructs website operators from placing ads on their websites that compete with Google’s advertising business.

The EU is also looking into whether Google restricts advertisers that use Google’s auction-based advertising service, where they bid for the placement of ads on search result pages, from moving to other search advertising platforms.

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In Europe it doesn’t rain, but it pours for Google. The UK is still part of the EU, so any decision would still be implemented over the next two years at least.
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Google’s cars need a clear road map to revenue • The Information

Amir Efrati considers partnership (vehicle makers won’t do it), licensing (vehicle makers won’t do it), and suggests what’s left:

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One natural path for Google is to reach consumers directly with an internet-based service. That’s its DNA. We know that Google’s car designers have thought long and hard about operating a “robo taxi” service to allow people to order cars on demand. It’s likely to go down that kind of path; its leaders have talked up the benefits of reducing car ownership so that one car could be used by many people throughout the day and night. Perhaps there will be subscription-type offerings that guarantee customers a pickup within a certain period of time, rather than the Uber-type system in which pickup times and prices can vary based on customer demand or driver availability.

By not needing to pay drivers, which represent the single biggest expense in ride-hailing, Google could price such a service below those run by Uber and other firms and build up its own customer base. But first, Google would need to produce these cars and get them deployed. Making thousands of new cars per year, particularly advanced models that have never been mass-produced before, would be a tough and expensive undertaking. Just ask Tesla how hard it is to make thousands of cutting-edge electric vehicles in a year.

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“Go-to-market” is the big important step between “have a great idea” and “make pots of money from great idea”.
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Secretive Alphabet division aims to fix public transit in US by shifting control to Google • The Guardian

Mark Harris:

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Sidewalk Labs, a secretive subsidiary of Alphabet, wants to radically overhaul public parking and transportation in American cities, emails and documents obtained by the Guardian reveal.

Its high-tech services, which it calls “new superpowers to extend access and mobility”, could make it easier to drive and park in cities and create hybrid public/private transit options that rely heavily on ride-share services such as Uber. But they might also gut traditional bus services and require cities to invest heavily in Google’s own technologies, experts fear.

Sidewalk is initially offering its cloud software, called Flow, to Columbus, Ohio, the winner of a recent $50m Smart City Challenge organized by the US Department of Transportation.

Using public records laws, the Guardian obtained dozens of emails and documents submitted to Challenge cities by Sidewalk Labs, detailing many technologies and proposals that have not previously been made public.

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Harris is one of the best journalists out there; he keeps finding out stuff in these areas long before anyone else.
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We don’t know jack about the next iPhone • iMore

Michael Gartenberg:

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Since I worked at Apple, I’m often asked what employees think behind closed doors when they see these rumors and read the debates. The answer is, not much. Maybe a smile, maybe a sigh if the conversations are particularly off base, or if they miss the point entirely about what might finally be announced.

I have no doubt there are all sorts of prototype iPhones floating around the labs, some with headphone jacks and some without. Some with LCD displays and some with AMOLED. Some with… well, I could go on and on.

And that’s the real point. We could go around and around on any rumor, but for now, all of them, and all the debate around them, are like that tale told by that idiot:

Full of sound and fury, but signifying nothing.

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Microsoft still believes hand tracking is the future of PC input • The Verge

Tom Warren:

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Microsoft wants to move beyond the keyboard and mouse to power the interfaces of the future. While the software maker has been investing in voice recognition and augmented reality scenarios, Microsoft’s research division has made some significant progress with hand tracking. Researchers are working on software that will allow virtual environments to track and recognize detailed hand motion. The breakthroughs could apply to virtual reality headsets, or just the ability to more accurately control virtual objects on a screen.

Microsoft is presenting some of it work at two academic research conferences this summer, offering a closer look at what might be our virtual future. Microsoft is focused on improving the accuracy of hand tracking, while reducing the amount of power required to process complex movements. “We’re getting to the point that the accuracy is such that the user can start to feel like the avatar hand is their real hand,” says Jamie Shotton, a principal researcher in computer vision at Microsoft’s UK research lab. “This has been a research topic for many, many years, but I think now is the time where we’re going to see real, usable, deployable solutions for this,” Shotton said.

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Unconvinced. How does it determine the difference between an intentional gesture and an unintentional one?
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Amazon to add dozens of brands to Dash buttons, but do shoppers want them? • WSJ

Sharon Terlep and Greg Bensinger:

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Several consumer-product executives said they have signed up for the gadget largely to ensure their brands maintain close ties to Amazon. The venture is more vital as a marketing tool than a product-delivery system, they said.

“It may not be the most intuitive feature,” said Ken McFarland, director of e-commerce for Seventh Generation Inc., which has Dash buttons for its cleaning products and diapers. “But Amazon is trying so many things and you don’t want to miss out on the ones that work. You want to be out there if it does happen to be a hit.”

Companies pay Amazon $15 for each button sold and 15% of each Dash product sale, atop the normal commission, which typically ranges from 8% to 15%, the people familiar with the matter said.

For their part, consumers pay $5 per button, though Amazon sweetens the deal by offering a $5 rebate for every button. The rebate is good toward the first purchase using that button. Only members of Amazon’s $99-per-year Prime membership are eligible to use the Dash buttons.

Helping expand Dash’s ranks: Amazon dropped a hefty buy-in fee of around $200,000 required of the first companies that signed up, according to people familiar with the terms.

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This resembles supermarkets charging companies to get their goods visible on shelves shoppers frequent – except here, the shelves are inside the shopper’s home. “Fewer than half” who have one have used it, according to Slice Intelligence, at a rate of about once every two months. The other bugbear? You don’t know what the price of what you’re summoning with a push is.
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Errata, corrigenda and ai no corrida: none notified.

Start up: the world in 2045, Apple’s App Store revamp, Magic Leap’s hat show, app downloads pause, and more

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What would you put in a time capsule to remind the future of what it got from us? Photo by marcmoss on Flickr.

You can now sign up to receive each day’s Start Up post by email.

A selection of 11 links for you. Subscription-free (unless you’ve subscribed). I’m charlesarthur on Twitter. Observations and links welcome.

The world in 2045, according to DARPA • Tech Insider

Paul Szoldra:

»So what’s going to happen in 2045?

It’s pretty likely that robots and artificial technology are going to transform a bunch of industries, drone aircraft will continue their leap from the military to the civilian market, and self-driving cars will make your commute a lot more bearable.

But DARPA scientists have even bigger ideas. In a video series from October called “Forward to the Future,” three researchers predict what they imagine will be a reality 30 years from now.

Dr. Justin Sanchez, a neuroscientist and program manager in DARPA’s Biological Technologies Office, believes we’ll be at a point where we can control things simply by using our mind.

“Imagine a world where you could just use your thoughts to control your environment,” Sanchez said. “Think about controlling different aspects of your home just using your brain signals, or maybe communicating with your friends and your family just using neural activity from your brain.”

«

I’d really prefer not to do that. Would that be OK?
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Apple to launch major overhaul of App Store with paid search ads and subscription changes • The Telegraph

Hey, it’s by me:

»The iPhone maker Apple is revamping its App Store, with a surprise move to introduce paid search ads for apps, as well as a new subscription model and faster reviews before approval.

The move to introduce a single paid ad at the top of search results in the App Store, initially in the US, could prove controversial both with developers and users, who told The Telegraph that they would prefer to see better “organic” search results rather than paid ads.

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Every one of the developers (and users) I contacted ahead of the announcement – without saying Apple had anything planned – told me they wanted “better search”. None said they wanted paid search ads. Is this Apple getting the disquiet out of the way early? (I think that the principal effect will be to pull revenue from other media – though probably not Facebook, because its targeting is better.)
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Google will offer app developers the same revenue sharing terms Apple just announced — with one big advantage • Recode

Mark Bergen:

»On Wednesday, Apple detailed major shake-ups coming to its powerful app store. Those include a new revenue sharing model that would give developers more money when users subscribe to a service via their apps — instead of keeping 70% of all revenue generated from subscriptions, publishers will be able to keep 85% of revenue, once a subscriber has been paying for a year.

Now Google plans to up the ante at its app store: It will also move from a 70/30 split to 85/15 for subscriptions — but instead of requiring developers to hook a subscriber for 12 months before offering the better split, it will make it available right away.

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Except it’s not saying when it will bring this in. (Probably soon.) Will this make a big difference to app revenue for developers from Google in real terms? I’d love to know how many subscriptions there are through Google Play. The obvious one would be music services; I doubt there are that many business services.
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We’ve seen Magic Leap’s device of the future, and it looks like Merlin’s skull cap • The Guardian

Danny Yadron:

»The much-hyped startup Magic Leap – backed by Google, Warner Brothers, JPMorgan Chase and others – recently won a patent for the design of an augmented reality headset. The device, according to a report in Wired, would let users superimpose calendars, kids pictures or jellyfish over day-to-day life. So-called mixed reality or augmented reality is seen by many as consumer technology’s next big wave.

Magic Leap’s design patent, which was granted on Tuesday, could offer the first look at what some say may be the most revolutionary tech gadget in years. It could also illustrate a stubborn problem that’s been holding augmented reality back.

It’s hard to imagine looking cool while wearing the devices.
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Point of order, Madam Speaker, the author has seen a sketch of the device, not the device itself. But those drawings are usually pretty close – it was for the Segway, for instance. And this does look super-dorky. (The Guardian prevents image embeds.)
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Hacking the Mitsubishi Outlander PHEV hybrid • Pen Test Partners

»What’s really unusual is the method of connecting the mobile app to the car. Most remote control apps for locating the car, flashing the headlights, locking it remotely etc. work using a web service. The web service is hosted by the car manufacturer or their service provider. This then connects to the vehicle using GSM to a module on the car. As a result, one can communicate with the vehicle over mobile data from virtually anywhere.

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Much fun has ensued, with Mitsubishi po-facedly saying it “takes it very seriously”. Given that people can randomly disable your car alarm, that is good.

This recalls the hacking of the Nissan LEAF back in February, of course. That was more internet-based, but still poor security at its heart.
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Are you bored with apps? Some of the biggest apps around are seeing downloads plummet • PhoneArena

Stephen S:

»for some reason, there seems to be a widespread trend where growth is seriously slowing down – and in many cases, declining – for all but the very most popular apps.

For big players like Facebook, Whatsapp, Instagram, Spotify, and Twitter, app downloads are way down from last year’s figures. Some of those dips are are pushing upwards of 20% declines, representing millions of fewer downloads downloads each month.

Internationally the situation’s not particularly dire, and a good number of these apps are close to holding level, or even showing small growth. But there are definitely signs of a slowdown, especially among the big three of Facebook, Whatsapp, and Messenger – all three are seeing download figures tank.

In the US, however, things are quickly going from bad to worse, with nearly all the biggest apps seeing major growth fallout.

“Nearly,” we say, because there are two big exceptions to this trend: Snapchat and Uber.

Both relatively new and with their stars still on the rise, they’re the only two big apps capturing major growth, both in the US and aboard.

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There’s a slideshow too, which shows big slowdowns in many apps. But there’s a simple explanation: the number of people new to smartphones is diminishing very rapidly, and those who are joining are the ones who aren’t that interested in downloading apps. (Thanks @elvengrail for the link.)
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On reading issues of Wired from 1993 to 1995 • The New Yorker

Anna Wiener:

»Today’s future-booster events, like the annual Consumer Electronics Show, tend to prize stories of novelty and innovation—and yet, reading early Wired, it becomes clear that many of the inventions that claim to be new today are simply extensions of what came before. A sidebar on Wacom’s ArtPad, from 1995—“If you’ve ever sketched with a pencil, you’ll be able to use ArtPad”—made me wonder why it took Apple so long to roll out its Pencil stylus for the iPad. A 1994 article on continuous voice recognition—a core component of responsive products, like Amazon Echo and Apple’s Siri—effused, “IBM has some mondo hot technology on its hands here.” (Google, Microsoft, and Nuance Communications seem to have caught on since.) Early versions of 3-D printers, endless varieties of virtual-reality headsets, and remote-controlled, camera-laden helicopters abound. Perhaps the heart wants what it wants, and the heart has always wanted V.R., A.I., drones, and entertainment straight to the face.

In “Scenarios,” a special edition from 1995, the guest editor Douglas Coupland took it upon himself to compile a “reverse time capsule,” which he deemed “not a capsule directed to the future, but rather to the citizens of 1975.” What artifacts, he asked, “might surprise them most about the direction taken by the next 20 years?” Included in the capsule—alongside non-tech items such as a chunk of the Berlin Wall, Prozac, and a Japanese luxury sedan—were a laptop (“more power in your lap than MIT’s biggest mainframe”), an Apple MessagePad (“hand-held devices are replacing secretaries”), and a cellular phone. Scanning my apartment, I can spot progeny of all three.

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The web’s creator looks to reinvent it • The New York Times

Quentin Hardy:

»“It’s been great, but spying, blocking sites, repurposing people’s content, taking you to the wrong websites — that completely undermines the spirit of helping people create.”

So on Tuesday, Mr. Berners-Lee gathered in San Francisco with other top computer scientists — including Brewster Kahle, head of the nonprofit Internet Archive and an internet activist — to discuss a new phase for the web.

Today, the World Wide Web has become a system that is often subject to control by governments and corporations. Countries like China can block certain web pages from their citizens, and cloud services like Amazon Web Services hold powerful sway. So what might happen, the computer scientists posited, if they could harness newer technologies — like the software used for digital currencies, or the technology of peer-to-peer music sharing — to create a more decentralized web with more privacy, less government and corporate control, and a level of permanence and reliability?

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I feel like I’ve heard this song before; file under “nice idea”. Berners-Lee is a big name, but getting a new technology to proliferate is much easier when there are barely any users of the rivals than when it has been established for decades.
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Yahoo lines up bids for about 3,000 patents • WSJ

Douglas Macmillan and Dana Mattioli:

»Yahoo Inc. has kicked off an auction for a portfolio of about 3,000 patents expected to fetch more than $1 billion, according to people familiar with the matter.

In recent weeks, the internet company sent letters to a range of potential buyers for the patents, which date back to Yahoo’s initial public offering in 1996 and include its original search technology, one of the people said.

Yahoo has set a mid-June deadline for preliminary bids, this person said, and hired Black Stone IP, a boutique investment bank that specializes in patent sales, to run the auction.

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Meanwhile the auction for the core of Yahoo looks like it will go to Verizon for $3bn. Will the last person to leave Yahoo sell the light bulb?
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Fire Phone, two years later: Yes, a few people are still using Amazon’s ill-fated smartphone • GeekWire

Monica Nickelsburg:

»In the summer of 2015, Don Driscoll, an associate professor of physics at Kent State University, was ready to renew his Amazon Prime membership. He noticed Amazon’s Fire Phone was on sale for $130 and included a year of Prime. He decided to purchase the phone — which only cost $30 more than an annual Prime subscription — as a backup.

Later, when his LG Leon screen cracked, he switched to the Fire Phone and has been using it ever since.

“Why am I still using the Fire Phone? I guess I am just a cheapskate,” he said. “My family has stayed with T-Mobile for so long despite numerous coverage issues because it is cheap…The only thing stopping me from getting a new phone is cost.”

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Neat idea to search out these users. Doesn’t stop it being a brick that gradually heated up, though.
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The Fiksu acquisition in four words: ‘it’s tough out there’ • AdExchanger

Allison Schiff and Sarah Sluis:

»In early 2015, Fiksu claimed a $100 million run rate for 2014, was reportedly planning to go public and said it was gearing up to nearly double its headcount to 500. But by March 2015 those plans had fizzled. The company scrapped its IPO dreams and announced that it would be laying off 10% of its existing 260-person workforce. (Headcount today stands at 119.)

The borrowed cash seems to have created a problem. As business slowed, the money went toward keeping the company afloat rather than sustaining growth.

In the end, Bridge Bank essentially owned Fiksu’s assets at the time of the sale to Noosphere, which bought Fiksu directly from Bridge Bank. Essentially, the bank had called in its loan and the result was what one source called an “ugly bank takeover.”

Fiksu declined to comment on specifics other than to say that it disputes this version of events.

Fiksu’s acquisition is “a symptom of companies in the space that have raised a lot of money and there is an investor community pressuring them for an exit or next steps,” said Kochava’s Manning.

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Essentially it seems to be an “incentivised installs” company which ran aground; the app install market is facing a crunch.
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Errata, corrigenda and ai no corrida: none notified.

Start up: the stuck smart home, McAfee’s hack trick, ICO probes Deepmind deal, Flash the zombie, and more


Yes, Runkeeper tracks your runs. But Norway’s consumer council thinks it tracks more than that. Photo by Gordon on Flickr.

You can now sign up to receive each day’s Start Up post by email. You’ll need to click a confirmation link, so no spam.

A selection of 11 links for you. Ain’t that something? I’m charlesarthur on Twitter. Observations and links welcome.

The smart home is stuck • Tech.pinions

Jan Dawson:

»The challenge, then, is the addressable market for most smart home technology is pretty small, composed of innovators and early adopters in the classic technology diffusion curve. As a result, many products are attempting to squeeze every opportunity out of these small markets until they’re maxed out. Nest has been criticized for not innovating more around its original product but I suspect this is the result of a deliberate strategy to saturate many individual product markets rather than focus on ongoing significant improvements in a single market. This helps to explain Nest’s acquisition of Dropcam, its smoke and carbon monoxide detector, and the other products it’s been rumored to be working on. There’s more mileage in opening up new markets than there is in squeezing incremental value out of existing markets already nearing saturation.

I see some people referring to Amazon’s Alexa as a more mainstream smart home or home automation product, and I think that’s actually a red herring. Yes, it can be used to control smart home devices but I suspect (a) only a subset of Alexa devices are used for this purpose and (b) such a focus would limit its appeal to a niche within that smart home early adopter category. I think Alexa’s potential is much broader than that and it’s precisely because it isn’t just a smart home controller. Alexa isn’t extending the smart home market – it’s more mainstream precisely because it’s not limited to that small and limited opportunity.

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Mobile traffic dominates among the web’s most popular sites • The Atlantic

Adriene Lafrance:

»More than half of Facebook’s roughly 1.7 billion monthly users visit the site exclusively from their smartphones—that’s 894 million mobile-only users each month, up from 581 million such users last year and 341 million mobile-only users in 2014, according to the company’s latest earnings report.

Google confirmed last year that more searches come from mobile devices than computers in 10 countries, including the United States. Over the holiday season, Amazon said more than 60% of shoppers used mobile. And Wikipedia, which recently revamped the way it tracks site traffic, says it’s getting more mobile than desktop visits to its English language site.

In April, Wikipedia had about 361 million unique visits from smartphones and tablets compared with some 229 million from desktops—meaning roughly 61% of traffic to the English-language version of Wikipedia came from mobile devices, according to data provided by a spokeswoman.

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Didn’t know the Wikipedia stat, but that’s really persuasive.
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John McAfee apparently tried to trick reporters into thinking he hacked WhatsApp • Gizmodo

William Turton:

»McAfee has a history of being shifty with the press about his alleged cybersecurity exploits. In March, for instance, during a media tour that included appearances on CNN and RT, McAfee claimed he would be able to hack into the phone of San Bernadino terrorist Syed Farook. McAfee never proved his claims, and later admitted that he was lying in order to garner a “shitload of public attention.” And earlier this year, McAfee hedged on his terrorism-prevention ideals for America during an interview with CNN about his Libertarian candidacy for president, saying that his strategy for preventing homegrown terrorism was “difficult to explain.”

Now, it seems McAfee has tried to trick reporters again, by sending them phones pre-cooked with malware containing a keylogger, and convincing them he somehow cracked the encryption on WhatsApp. According to cybersecurity expert Dan Guido, who was contacted by a reporter trying to verify McAfee’s claims, McAfee planned to send this reporter two Samsung phones in sealed boxes. Then, experts working for McAfee would take the phones out of the boxes in front of the reporters and McAfee would read the messages being sent on WhatsApp over a Skype call.

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Pointless.
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ICO probes Google DeepMind patient data-sharing deal with NHS Hospital Trust • Computer Weekly

Caroline Donnelly:

»The Information Commissioner’s Office, the data protection watchdog, confirmed an investigation into the arrangement is underway, on the back of at least one complaint from the general public.

The deal gives DeepMind access to the healthcare records of 1.6 million patients that pass through three hospitals in North London, which fall under the care of the Royal Free Hospital Trust.

The complaint, seen by Computer Weekly, questions whether DeepMind will be expected to encrypt the patient data it receives when at rest.

“Whilst the information-sharing agreement insists that personally identifiable information – such as name, address, post code, NHS number, date of birth, telephone number, and email addresses, etc – must be encrypted whilst in transit to Google, it does not explicitly prohibit that data being unencrypted at the non-NHS location,” the complaint read.

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First there’s a deal; then it turns out it’s not directly approved. The complaint is essentially that individuals at Google/Deepmind might access personal data. This is the essential battleground of the coming years: how compatible is tight data regulation with data mining?
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Let’s talk about Amazon reviews: how we spot the fakes • The Wirecutter

Lauren Dragan:

»Amazon has a history of trying hard to deal with offenders and shut them down. In fact, in April, Amazon sued another round of companies that are accused of selling fraudulent reviews. But by the time those companies are caught, their clients have already made a bunch of sales, and the fraudulent reviewers will likely pop up again under new names to repeat the process.

(Want to know more? Wirecutter headphones editor Lauren Dragan talks to Marketplace Tech about compensated Amazon reviews and how to tell real crowdsourced opinions from astroturfing.)

You have a few ways to suss out what may be a fake review. The easiest way is to use Fakespot. This site allows you to paste the link to any Amazon product and receive a score regarding the likelihood of fake reviews.

For example, we ran an analysis on some headphones we found during a recent research sweep for our guide about cheap in-ear headphones. You can see from the results below that the headphones’ reviews didn’t score so well.

«

Hadn’t come across Fakespot before; it seems pretty useful.

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The real cost of big tech’s accounting games • FT.com

Jonathan Ford:

»How much did LinkedIn make over the past three years? Sounds a simple enough question doesn’t it? But it is also one that is capable of being answered in multiple and very diverse ways.

First, let’s look at the figure the US online networking site wants you to focus on. That’s a mouthful called adjusted earnings before interest, tax, depreciation and amortisation (ebitda), and the total there between 2013 and 2015 came in at a positive $1.7bn.

Sounds pretty hunky dory? Well, now check out the operating profit line for the business — the one calculated according to the generally accepted accounting principles (GAAP) that companies must present but often don’t emphasise. Over the same period, LinkedIn racked up a $67m loss.

What explains the yawning $1.8bn difference between those two figures? It isn’t simply the depreciation and amortisation charges the company took against the value of its assets. Those, while pretty hefty, came to just $791m. No, the biggest single reason for the negative swing was the $1bn cost of the stock LinkedIn stuffed into its employees’ pay packets over those three years.

«

Why does it matter if the company gives stock to employees? As Ford explains, it’s because by doing that

»the firm denies itself the chance to sell those shares or options for value in the market. Failing to recognise that forgone cash effectively understates the cost the company has incurred in employing those individuals.

«

So stock grants are a cost. So they come off the bottom (operating) line. I’m constantly surprised by how many companies’ non-GAAP results are reported as if they were the ones to compare.
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Google faces record-breaking fine for web search monopoly abuse • Sunday Telegraph

Christopher Williams:

»Google faces a record-breaking fine for monopoly abuse within weeks, as officials in Brussels put the finishing touches to a seven-year investigation of company’s dominant search engine.

It is understood that the European Commission is aiming to hit Google with a fine in the region of €3bn, a figure that would easily surpass its toughest anti-trust punishment to date, a €1.1bn fine levied on the microchip giant Intel.

Sources close to the situation said officials aimed to make an announcement before the summer break and could make their move as early as next month, although cautioned that Google’s bill for crushing competition online had not been finalised.

The maximum possible is around €6.6bn, or a tenth of Google’s total annual sales.

It will mark a watershed moment in Silicon Valley’s competition battle with Brussels. Google has already been formally charged with unlawfully promoting its own price comparison service in general search results while simultaneously relegating those of smaller rivals, denying them traffic.

«

I’m hearing the same about the timing and intention from my sources; the fine, meanwhile, is indeterminate.
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This fitness app tracks you too much, consumer advocates claim • Fortune

David Meyer:

»According to the Norwegian Consumer Council, which has lodged a complaint with the country’s data protection authority, Runkeeper transmits data about its users all the time, not just when the app is in use.

The Norwegian data protection commissioner, Bjørn Erik Thon, confirmed to Fortune that his office has received the complaint and will now look into it.

“Everyone understands that Runkeeper tracks users while they exercise, but to continue to do so after the training session has ended is not okay,” said Finn Myrstad, the consumer council’s technical director.

The data in question includes timestamped location information, as well as Google advertising IDs that can be used to identify the individual.

“Our users’ privacy is of the utmost importance to us, and we take our obligation to comply with data protection laws very seriously,” Runkeeper CEO Jason Jacobs told Fortune. “We are in the process of reviewing the issues raised in the complaint, and we will cooperate with the Norwegian [data protection authority] if it has any questions arising out of the complaint.”

According to the council, Runkeeper’s terms and conditions do not explain how regularly data is transmitted, and users do not give consent to being monitored in this way. The council claims this breaches Norwegian and EU data protection laws.

«

Here’s Runkeeper’s privacy policy. It’s astonishingly vague (though in that respect, probably not so different from other privacy policies). What intrigues me is why the Runkeeper CEO didn’t just say “nah, we don’t collect data after your run.”
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Five things you can get in India with a missed call • WSJ

Shefali Anand:

»Want to transfer funds from your account? Give your bank a missed call. Want to hear Bollywood music? Dial a number and hang up.

Making a missed call by calling a number and letting it ring is a popular way of communicating in India because the caller doesn’t have to spend money. Marketing companies, politicians, banks and others now use this practice to reach millions who have cellphones but limited means.

«

Brilliant. Recalls how, in the days when long-distance calls were expensive, kids on their travels would call the operator and ask to set up a reverse-charge call to their parents. Parent’s phone rings: “Alley Okey is calling from Wichita, Kansas. Will you accept the charge?” Parent: “No.” Conversation ends, with parent knowing that the kid is OK and presently in Wichita.
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Chinese smartphone market has slowed, but Huawei, Oppo & Vivo have not • Counterpoint Technology

»According to the latest research from Counterpoint’s Market Monitor service, the demand for smartphones in China softened during Q1 2016 (Jan-Mar) as the smartphone shipments were down 2% annually and 13% sequentially.

Commenting on the results, Research Director, Neil Shah, said: “In spite of the Chinese holiday season quarter, the Chinese smartphone market demand reached a standstill. This has led to intense competition between the players as they struggle to take share away from each other. In a market with hundred of brands, growth is now limited to a handful of players with the greatest marketing budgets and headturning designs, and available at competitive price points.

“Only five brands registered healthy growth during the quarter. Oppo, Huawei and Vivo drove the majority of the volume, capturing a combined 40% of the total Chinese smartphone market. Demand for rest of the brands declined, especially Apple after the strong demand for iPhone 6 & 6 Plus in the quarter a year ago, and lacklustre performance from Lenovo, ZTE and Coolpad.”

The Chinese smartphone market saw a lull in the first two months of 2016, however sales for smartphones started to pick up in March, with the largest sales contribution from Huawei, Oppo and Vivo, the new leaders in Chinese domestic market.

«

Other notable points: 98% of phones sold were smartphones (hence Microsoft’s 90% year-on-year drop); the “premium” segment of RMB3000+ ($450+) makes up a fifth of the market, with Apple, Samsung and Vivo dominating.
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HTML5 by default: Google’s plan to make Chrome’s Flash click-to-play • Ars Technica UK

Peter Bright:

»In a plan outlined last week, Flash will be disabled by default [in Google Chrome] in the fourth quarter of this year. Embedded Flash content will not run, and JavaScript attempts to detect the plugin will not find it. Whenever Chrome detects that a site is trying to use the plugin, it will ask the user if they want to enable it or not. It will also trap attempts to redirect users to Adobe’s Flash download page and similarly offer to enable the plugin.

«

Great!

»

There will be a few exceptions to this policy, with Google planning to leave Flash enabled by default on the top 10 domains that depend on the plugin. This list includes YouTube, Facebook, Twitch, and Amazon.

«

Crap.

»

Even this reprieve is temporary. The plan is to remove sites from the list whenever possible—Twitch, for example, is switching to HTML5 streaming, so should start to phase out its use of Flash—and after one year the whitelist will be removed entirely. This means that after the fourth quarter 2017, Flash will need to be explicitly enabled on every site that tries to use it.

«

“After the fourth quarter of 2017”, aka 2018. Flash, the desktop web’s malware zombie. (Notice that all those sites somehow muddle through on mobile, which is far bigger, without Flash.)
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Errata, corrigenda and ai no corrida: none notified.

Start up: trouble with bots, big data’s fable, Google and the White House, beware iCloud phishers, and more

Google search for various speech-related commands
“Call mom” has overtaken “call home” in Google search – probably voice commands. Dad still lingers a way behind.

You can sign up to receive each day’s Start Up post by email. Isn’t that something.

A selection of 11 links for you. Well, it is Monday. I’m charlesarthur on Twitter. Observations and links welcome.

How big data creates false confidence » Nautilus

Jesse Dunietz:

»If I claimed that Americans have gotten more self-centered lately, you might just chalk me up as a curmudgeon, prone to good-ol’-days whining. But what if I said I could back that claim up by analyzing 150 billion words of text? A few decades ago, evidence on such a scale was a pipe dream. Today, though, 150 billion data points is practically passé. A feverish push for “big data” analysis has swept through biology, linguistics, finance, and every field in between.

Although no one can quite agree how to define it, the general idea is to find datasets so enormous that they can reveal patterns invisible to conventional inquiry. The data are often generated by millions of real-world user actions, such as tweets or credit-card purchases, and they can take thousands of computers to collect, store, and analyze. To many companies and researchers, though, the investment is worth it because the patterns can unlock information about anything from genetic disorders to tomorrow’s stock prices.

But there’s a problem: It’s tempting to think that with such an incredible volume of data behind them, studies relying on big data couldn’t be wrong. But the bigness of the data can imbue the results with a false sense of certainty. Many of them are probably bogus — and the reasons why should give us pause about any research that blindly trusts big data.

«

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Google’s remarkably close relationship with the Obama White House, in two charts » The Intercept

David Dayen:

»[Mikey] Dickerson led the U.S. Digital Service, a new agency whose mission was to fix other technology problems in the federal government. Ex-Google staffers were prevalent there as well. Dickerson attended nine White House meetings with Google personnel while working for the government between 2013 and 2014.

Meetings between Google and the White House, viewed in this context, sometimes function like calls to the IT Help Desk. Only instead of working for the same company, the government is supposed to be regulating Google as a private business, not continually asking it for favors.

Much of this collaboration could be considered public-minded — it’s hard to argue with the idea that the government should seek outside technical help when it requires it. And there’s no evidence of a quid pro quo. But this arrangement doesn’t have to result in outright corruption to be troubling.

The obvious question that arises is: Can government do its job with respect to regulating Google in the public interest if it owes the company such a debt of gratitude?

Google doesn’t think its activities present an antitrust problem. It doesn’t feel constrained from holding incredible amounts of data. But should Google be in a position to make that determination itself? How much influence is too much influence?

«

It’s a very, very comprehensive look at how close Google is to the White House. Would it be any different under Clinton?
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SMS phishing attackers continue to pursue Apple users » WeLiveSecurity

Graham Cluley:

»A week ago I reported on my personal blog how criminals were spamming out SMS messages that claimed to come from Apple, but were actually designed to steal personal information for the purposes of identity theft.

The messages all used a cunning piece of social engineering – posing as a notice from Apple that their Apple ID was due to expire that very day – to get unsuspecting users to click on a link to a phishing website.

The SMS messages were even more convincing because they referred to recipients by name, most likely fooling some into believing that there was a genuine reason to act upon the alert and visit the site pointed to by the criminals.

Although the site the criminals were initially using – appleexpired.co.uk – was quickly blocked by the major web browsers and taken down, that didn’t take the wind out of the criminals’s sails.

In the days since it has become clear that the identity thieves have registered a series of other domains – all claiming to be related to Apple or Apple ID. Examples have included icloudauth.co.uk, mobileicloud.uk, and icloudmobile.co.uk.

«

There was a big run of these over the weekend; my wife received two, which used her name. They do come via SMS; it seems that once someone’s address book is hacked, messages are then sent out to people in the address book. Standard phishing attack, jumping from one victim to the potential next.

Apple needs to be proactive and set up a way for people to forward these to its security team. And make two-factor authentication easier to implement. (Too late for those who have been hit.)
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Microsoft Android patent-licensing revenue falling » Business Insider

Matt Rosoff:

»Microsoft missed earnings expectations by a couple of cents per share on Thursday afternoon because of an unexpected tax adjustment that skimmed $0.04 off its earnings per share.

In the release, Microsoft noted that its patent-licensing revenue was down 26% from a year ago. And it’s because of Android.

Android phones are still selling just fine, but the market is dominated by cheap handsets being sold in developing countries like China and India.

“The mix of devices in that market has shifted to the low end,” said Chris Suh, Microsoft’s head of investor relations.

Microsoft’s cut is also sinking. Suh also noted that not every Android manufacturer has a licensing deal with Microsoft. He didn’t name names, but Chinese phone makers typically take a very loose approach toward licensing American intellectual property, and as those inexpensive phones take over the world, Microsoft doesn’t benefit as much.

«

Well, OK, but there may be another part to the drop. Read on..
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April 2015: Microsoft reportedly cutting patent fees in exchange for pre-installed apps » AndroidAuthority

Rob Triggs, in April 2015:

»Last month, Microsoft announced a global partnership with Samsung and other hardware manufacturers to bring its mobile productivity services, such as its Office suite, to consumers and business users. But there may be more to it than simply offering customers compelling services, DigiTimes Research suggests that Microsoft is tempting Android manufacturers to pre-install its software in exchange for discounts on its licensing fees.

Android hardware manufacturers have all signed a patent licensing agreement with Microsoft for various essential technologies developed by the company. However, according to findings from Taiwan’s and China’s smartphone/tablet upstream supply chain, Microsoft is offering discounts to those who pre-install Office programs such as Word, Excel, PowerPoint and OneNote, as well as OneDrive and Skype onto their Android devices. So far, 11 hardware partners are signed up to the deal.

«

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As search changes, Google changes » Search Engine Land

Adam Dorfman:

»Recently, a company known as MindMeld, which provides voice search technologies, surveyed US smartphone users and found that 60% had started using voice search within the past year. You can also see a rise in search queries that are clearly voice commands when you look at Google Trends for phrases such as “call mom,” which are highly unlikely to be typed into a search box.

Voice search is no longer coming. It’s here.

These changes do not bode well for Google’s traditional revenue model, which relies on serving up ads while you search on Google.com. The user interface of talking to your mobile phone or wearable device to order a pizza does not leave any room for a paid search ad. So it’s not surprising that display advertising spend is overtaking search ad spend, and the gap between the two will widen over the next few years.

«

But, as Dorfman points out, Google is adapting. That graph of “call mom” is definitely one which would merit playing around with using a few other search terms. Here’s “Call home” against “call Mom” against “call Dad” and “call John” and “call Mary” (also at top of page).
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Amazon unintentionally paying scammers to hand you 1000 pages of crap you don’t read » Consumerist

Kate Cox on a scam related to Kindle Unlimited:

»if you read 75 pages on your Kindle today, then turn the WiFi on and sync it, Amazon will mark you at page 75. If you never pick up the book again, that’s your furthest synced point. If it’s a 300 page book and you finish it, page 300 is your furthest synced point.

But e-books don’t have to be linear. You might, for example, open up a new Kindle book and find it has a link on the first page, to take you to a later chapter or a table of contents or another language. Tapping that link could put you hundreds of pages into the book — which means that the author of that file is now making money off you, even if you haven’t read a word… or even if there’s not a single real word there to be read.

And that is exactly what’s happening. Scammers are basically uploading “books” that are nothing but files full of nonsense with some link on page 1 that puts readers on page 300 or 3000 (the maximum page length for which Amazon will pay out) almost instantly. In between there’s nothing but nonsense, but the scammer can use click farms to drive up the ranking of their book and so people download it anyway.

The user hasn’t paid for this book directly, because they have an unlimited subscription, so they just close the file, forget about it, and move on to the next. But if dozens, hundreds, or even thousands of readers get tricked into the same maneuver, that “author” has just made a decent amount of money for something like 15 minutes’ worth of total work.

«

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Bangladesh Bank exposed to hackers by cheap switches, no firewall: police » Reuters

Serajul Quadir:

»Bangladesh’s central bank was vulnerable to hackers because it did not have a firewall and used second-hand, $10 switches to network computers connected to the SWIFT global payment network, an investigator into one of the world’s biggest cyber heists said.

The shortcomings made it easier for hackers to break into the Bangladesh Bank system earlier this year and attempt to siphon off nearly $1 billion using the bank’s SWIFT credentials, said Mohammad Shah Alam, head of the Forensic Training Institute of the Bangladesh police’s criminal investigation department.

“It could be difficult to hack if there was a firewall,” Alam said in an interview.

«

The Internet of Astonishingly Insecure Things.
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Bots won’t replace apps. Better apps will replace apps » Dan Grover

Grover points out the nonsense of people thinking AI-driven chatbots will take over from touch-and-choose visual interfaces:

»It shouldn’t require any detailed analysis, then, to point out the patent inanity of these other recent examples of bots and conversational UI proffered by companies on the vanguard of the trend:

This notion of a bot handling the above sorts of tasks is a curious kind of skeumorphism. In the same way that a contact book app (before the flat UI fashion began) may have presented contacts as little cards with drop shadows and ring holes to suggest a Rolodex, conversational UI, too, has applied an analog metaphor to a digital task and brought along details that, in this form, no longer serve any purpose. Things like the small pleasantries in the above exchange like “please” and “thank you”, to asking for various pizza-related choices sequentially and separately (rather than all at once). These vestiges of human conversation no longer provide utility (if anything, they impede the task). I am no more really holding a conversation than my contact book app really is a l’il Rolodex. At the end, a single call to some ordering interface will be made.

«

Earlier Grover points out that the “quick and easy way to order pizza with your chatbot” takes 73 precise clicks (of virtual keys), whereas doing it through the visual menu interface on the Pizza Hut app takes 16 fat-fingered ones.

Case closed.
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Four fresh presentations, four key charts » Creative Strategies, Inc

Ben Bajarin looks at why people who have a PC aren’t upgrading, what people like about wearables, who wants virtual reality, and also whether people in India are interested in PCs:

»My gut told me there was an interesting opportunity brewing in India. I decided to commission a study, in collaboration with local researchers, to see if India was ready to move beyond the smartphone. We focused on the regions in India where PCs, smartphones, and tablets have the highest penetration — Delhi, Bangalore, Mumbai, Hyderabad, and Chennai. We did a mix of online studies, focus groups, and 1:1 interviews of 525 Indian consumers in this market.

The theory was simple. As consumers in India mature and have owned more than a few smartphones, they will look to more traditional PC form factors to use for work, school, and more. But with Windows PC penetration in India at less than 10% of the total population and Windows largely being an enterprise/workplace requirement in India, our theory was Android would be more popular as an operating system. As it turns out, it was for the overwhelming majority of consumers looking to buy their first PC in India. Which is encouragingly high for a market that began their journey on the internet on a smartphone.

«

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Microsoft, Google end regulatory disputes » WSJ

Stephen Fidler and Sam Schechner:

»According to a person familiar with the matter, the two companies have agreed to talk to each other first in the future before taking any problems to regulators.

The change reflects the shift in approach that followed Microsoft’s 2014 appointment of Satya Nadella as its new chief executive. Mr. Nadella has taken a less combative stance than his predecessor Steve Ballmer, according to a person familiar with the matter.

“The relationship between the two companies has changed,” the person said, adding that “Nadella has made most of the difference.”

Microsoft’s business priorities also have changed, among other things, with the growth of cloud computing.

The relationship between the two companies began publicly to thaw last year as they worked together to settle their long-running patent war involving roughly 20 pending lawsuits, said a person close to Google.

Microsoft also resigned from FairSearch, a group of digital companies—including Nokia Corp. and Oracle Corp.—that are prominent Google complainants. In addition, the software maker has discouraged ICOMP, another lobby group of which it was a member, from pursuing Google.

«

Wow. Going to be interesting to see whether Icomp and Fairsearch can continue without funding from Microsoft.
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Errata, corrigenda and ai no corrida: none notified.

Start up: the chat bots are here!, what Windows Phone?, Spotify’s IPO debt sprint, fixing iOS 9.3, and more

Compaq’s engineers (in Houston, Texas) discovered they needed a new strategy when low-cost rivals arrived in force. Photo by lungstruck on Flickr.

You can now sign up to receive each day’s Start Up post by email. You’ll need to click a confirmation link, so no spam.

A selection of 13 links for you. Use them wisely. I’m charlesarthur on Twitter. Observations and links welcome.

Land Registry: sell it off or open it up? » Shared Assets

»At Shared Assets we believe that privatisation is the wrong approach and is inconsistent with the Government’s stated commitment to ‘open data’. The Land Registry is currently fit for purpose, generates a surplus, and is trusted to fulfil its role underpinning over £4tn worth of property ownership across England and Wales. The Government is selling off a critical, well functioning, national statutory service that we are all obliged to use, primarily to raise funds.

We believe the potential impacts of creating a private sector monopoly on transparency and access to this critical data set are unacceptable, and that a more imaginative, and beneficial, approach would be to open up public land registry data for the common good.

«

I wrote on this topic too.
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Microsoft: Windows Phone isn’t our focus this year » The Verge

Tom Warren:

»A single demo of Skype running on a Windows Phone was the only time a phone running Windows 10 Mobile appeared for longer than a few seconds, and it felt like Microsoft was more focused on Windows 10 for Xbox and HoloLens. I got the chance to speak to Windows chief Terry Myerson briefly after today’s keynote, and it’s clear Microsoft focus isn’t on phones this year.

“We’re fully committed to that 4-inch screen, there will be a time for it to be our focus, but right now it’s part of the family but it’s not the core of where I hope to generate developer interest over the next year,” explains Myerson. “There’s no lack of recognition to realize how important that form factor is, but for Microsoft with Windows and for our platform it’s the wrong place for us to lead.”

«

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The day everything changed at Compaq » LinkedIn

Sean Burke was there as a product manager in September 1991, and saw that Compaq – which was expecting hardware gross margins of 40% – was getting walloped by IBM at the high price end and by Dell and others at the low-cost end. So he told Ben Rosen, the chairman, of his plan for a low-cost PC:

»I told Ben that it was absolutely possible for Compaq to create products that were low cost.  I mentioned that I already started working on a next generation low cost product concept, but it was not yet approved – either as an actual project or as a project that I would be assigned to.  He was interested and asked me to confidentially work on it and update him on the status.  He also told me, surprisingly, not to tell anyone about the project, including my management, but to just report back to him.

Obviously, a Product Marketing person can’t develop a product alone so I did what came natural and got the best engineering manager I could trust and rely on technically.   I had been working for the last year and a half with Jon Thompson, the Engineering Program Manager for the DESKPRO/M, and in the process we became good friends.  We began to work on this new project after normal business hours and weekends by contacting suppliers and other technology companies.  We created a story to tell these suppliers that we were going to leave Compaq and start our own PC Company.  It was amazing how many suppliers approached us and offered help.  The extent of the ideas and the pricing they offered us was even more amazing.

«

The internal politics turns out to be even more amazing, and Burke the naif used as a pawn. Recommended.
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Spotify raises $1bn in debt financing » WSJ

Scoop by Douglas Macmilland, Matt Jarzemsky and Maureen Farrell:

»By raising debt instead of equity, Spotify adds to its war chest without the possibility of setting a lower price for its stock, which can sap momentum and hamper recruiting.

In June 2015, Spotify was valued at $8.5bn.

In return for the financing, Spotify promised its new investors strict guarantees tied to an IPO. If Spotify holds a public offering in the next year, TPG and Dragoneer will be able to convert the debt into equity at a 20% discount to the share price of the public offering, according to two people briefed on the deal. After a year, that discount increases by 2.5 percentage points every six months, the people said.

Spotify also agreed to pay annual interest on the debt that starts at 5% and increases by 1 percentage point every six months until the company goes public, or until it hits 10%, the people said. This interest—also called a “coupon” and in this case paid in the form of additional debt, rather than cash—is commonly used in private-equity deals but rarely seen in venture funding.

In addition, TPG and Dragoneer are permitted to cash out their shares as soon as 90 days after an IPO, instead of the 180-day period “lockup” employees and other shareholders are forced to wait before selling shares, the people said.

«

Debt like this is dangerous. First, it can be recalled – which kills a company. Second, as here, it comes with many strings, principally financial. In the first year, Spotify will have to pay out $25m (first six months, 5% of $1bn) + $30m (6%) = $55m.

In the second year, $35m (7%) + $40m (8%) = $75m. In the third year, $95m, and after that, $100m per year. It had $600m cash before this debt, so that’s $1.6bn in cash reserves; it can pay out for a while, but the real damage is to its profitability. It isn’t making money now (as far as anyone knows) and this will put that further out of reach. I think it’s safe to say that with this debt deal, Spotify can never make an operating profit if the debt payment is included.

This therefore is a financing deal aimed at getting Spotify over the IPO finish line as soon as possible so it can get a giant cash injection. Then its future losses become the public shareholders’ problem, rather than those of the venture capitalists or music labels that have funded it so far.
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Amazon, Alibaba and an Indian Illusion » Bloomberg Gadfly

Andy Mukherjee:

»How can opening the door mean the exact opposite? The devil is in details of the policy, which says e-commerce platforms will only provide a marketplace and not influence the sale price of merchandise. In other words, while foreigners can facilitate retail, they will not really be retailers, burning their deep-pocketed investors’ money to drive myriad mom-and-pop stores out of business.Goldman Sachs believes the rules “could spell an end” to discount-led competition among e-tailers. While that might be a welcome path to eventual profitability for an industry surviving on bragging rights about how much merchandise it handles, what’s good for the collective may be bad news for individual companies. Late last year, the lobby group of traditional Indian retailers kicked up a fuss when Amazon gave out measly 200 rupee ($3) gift cards to consumers, because this purportedly showed Amazon acting as a retailer when it was only allowed to be a technology platform.If the new rules do nothing but extend the “essential continuity” of the old rules, that might please Sir Humphrey — but Jeff Bezos is certainly going to mind.

«

Seems that the new regulations will bring online retailing to heel in India. Not good – but smartphones will probably provide a way around it.
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Clippy’s back: the future of Microsoft is chatbots » Bloomberg BusinessWeek

Dina Bass:

»Whether you think bots are exciting or alarming, a lot of people are already using them. Microsoft’s Chinese version of Tay, called Xiaoice, has been available for 18 months and has 40 million users. Conversations with Xiaoice (pronounced shao-ice) average about 23 exchanges per session. Few users chat that long with Siri. Facebook is working on an assistant named M and already has bots operating on its Messenger app that let users book a haircut or send flowers. The Wall Street Journal reported in December that Google is working on a bot-based app that will answer users’ questions. Amazon has its best-reviewed product in years in the Echo, a voice-controlled black cylinder that sits in customers’ kitchens and performs a fast-growing list of tasks—it can look up recipes, order groceries, turn on the news, play songs, and read e-books aloud. Slack, the corporate messaging service, has bots that can manage your expenses and order the office beer.

On March 30, at Microsoft’s annual Build conference for software developers in San Francisco, Nadella will try to undo the damage from Tay and unveil his vision, which he calls “conversation as a platform.” Microsoft will show off several different bots and programs that manage tasks via discussion. Some you’ll be able to text with, like Tay; others are just concepts cooked up for the show to spark developers’ imaginations.

«

The question is whether, as with Tay, the corpus (that it learns from) is already poisoned. Humans learn not to do certain things in social situations; Tay and its brethren are being thrown into situations where learning is almost impossible because the barriers between good and bad behaviour are surprisingly narrow. “Hitler could have done a better job” can be said ironically, or flatly; its meaning to the listener depends on a lot of pre-knowledge.
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MOTOBOT ver.1|Tokyo Motor Show 2015 – Event YAMAHA MOTOR CO., LTD.

»What makes the MOTOBOT project unique is its approach to completely automated operation. Unlike the current methods used for automobile self-driving systems, which have progressed in recent years, the aim is for a humanoid robot to operate a vehicle unmodified for autonomous use. Based on data for vehicle speed, engine rpm, machine attitude, etc., MOTOBOT will control its six actuators* to autonomously operate the vehicle. Going forward, technology for machine position recognition (high-precision GPS, various sensors, etc.) and machine learning will be utilized to enable MOTOBOT to make its own decisions regarding the best lines to take around a racetrack and the limits of the motorcycle’s performance, so that it can improve its lap times with successive laps of the track.

«

First they came to conquer the chess players, but I didn’t play chess. Then they came to conquer the Go players, but I’d never heard of Go. Then they said they were going to beat the motorbike riders… by 2020.. which is only four years away.
link to this extract

 


Google also has been ordered to help unlock phones, records show » WSJ

Devlin Barrett:

»Google has been repeatedly ordered to help federal agents open cellphones, according to court records in seven states that show Apple Inc. isn’t the only company facing government demands at the center of a fierce debate over privacy and security.

The American Civil Liberties Union found 63 instances where the government sought a court order under a 1789 law called the All Writs Act to compel Apple and Google to help them access data on locked phones.

The outcome of those cases aren’t clear. However, federal prosecutors have said until late last year, when Apple began resisting such efforts, it was routine for judges to approve such requests from federal prosecutors. And those requests aren’t a new phenomenon—the cases stretch back to 2008.

A Google spokesman said: “…we’ve never received an All Writs Act order like the one Apple recently fought that demands we build new tools that actively compromise our products’ security…. We would strongly object to such an order.”

«

This isn’t surprising – neither Google’s cooperation (Apple cooperated too where it could) nor the fact that the AWA hasn’t been needed; the number of Android phones out there with full disk encryption enabled must be tiny compared to the number of iPhones.
link to this extract

 


How to fix iOS 9.3’s broken Safari, Mail and Messages links » Ben Collier

»If you’ve been hit by the iOS 9.3 broken links you can follow these steps to fix the issue whilst we wait for a full update from Apple. Unfortunately you’ll need to hook your iPhone or iPad up to your computer and sync with iTunes.

«

It’s a 13-step process, which is only one more than you need to make your way back from alcoholism. So far it’s only Booking.com, but I feel sure that malware will try to exploit this in future.
link to this extract

 


In snub to Google, AT&T looks to sell alternative Android phone » The Information

Amir Efrati on AT&T’s plan to sell a Cyanogen-based phone:

»Cyanogen wants to let any phone maker, wireless carrier or app developer integrate their services more deeply with its alternative form of Android, in ways that they can’t do with the official Google version. Microsoft, for instance, is integrating Skype, its Internet calling service, and Cortana, its virtual assistant, into Cyanogen. The end result is that people will be able access and interact with their Skype contacts directly from the phone’s built-in dialer app, and they will be able to summon apps like Spotify by speaking to Cortana. Such scenarios are not available on Google’s version of Android.

While Cyanogen can control many aspects of devices it powers, they all come preloaded with Google services like search, the Google Play app store and Google Maps (because Cyanogen knows that consumers need them). In exchange for having those Google services, the devices must comport with certain Google rules, such as displaying those apps prominently on the home screen. For its part, Cyanogen is able send messages to phone users to help them customize the devices so that integrations with non-Google apps will be more prominently displayed on, say, the home screen, instead of Google’s apps.

«

So, basically, it’s Just Another Skinned Google Android Phone. Ron Amadeo has a succinct two-paragraph rant on the oversell of Cyanogen.
link to this extract

 


Facebook’s Messenger lands first airline as chat app pushes into commerce » USA Today

Jessica Guynn:

» KLM Royal Dutch Airlines passengers will soon be able to check in, get flight updates, make travel changes and talk to customer service reps straight from Facebook’s Messenger chat app.

KLM is the first airline and the first major European partner for Messenger, which is used by 800 million people around the globe.

Facebook sees customer service as a natural extension of chat apps which were built for, well, chatting. The giant social network launched Messenger for Business one year ago to pursue “conversational commerce,” the notion that we will all soon be talking to — and eventually transacting with — businesses over messaging apps.

Since then, businesses in a growing number of industries have tried out the service to chat with customers, among them hotel chain Hyatt and retailers Walmart and Everlane. In a hint of the kind of commercial transactions to come, users of Uber and Lyft can hail a ride by tapping a new transportation option inside Messenger and share the details with friends.

«

The app becomes the platform..
link to this extract

 


With Galaxy S7, Samsung seen rediscovering its mobile mojo | Reuters

Se Yong Lee:

»several brokerages on Wednesday upgraded first-quarter forecasts for what is still the world’s top smartphone maker, citing a strong start for the Galaxy S7 and S7 edge premium phones that were launched earlier this month.

Samsung likely shipped 9.5m S7 phones in the first quarter, significantly more than the initial estimate for 7m, Jay Yoo, industry analyst at Korea Investment & Securities, wrote in a report.

“It looks like the sell-in numbers have been pretty good and analysts are raising their sales forecasts for the S7 this year,” noted HDC Asset Management fund manager Park Jung-hoon.

“The firm is pushing up volume in the mid-to-low tier to protect market share. Starting S7 sales about a month earlier than the S6 to take advantage of Apple not having new products out yet was also a good move.”

«

link to this extract

 


Among iPhone launches, the SE is indeed Small Edition – but it’s bringing new consumers to iPhone » Slice Intelligence

»Early data from Slice Intelligence indicates that the SE may help Apple grow its maturing iPhone consumer base. Only 35% of iPhone SE buyers purchased an iPhone online in the past two years, and 16% of them were previously Android users. By comparison, 49% of iPhone 6S buyers upgraded from a previous iPhone, and 10% replaced an Android device they bought online within the past two years.

Buyers of the SE look much different than the Apple fanboy audience typically queuing up to buy the latest from Cupertino. They’re older, less educated, and surprisingly, more male. More than one fifth of SE buyers are in the 45-54 age demographic, versus 18% for all iPhone buyers; and 77% of SE buyers are men, versus 69%.

«

Conversation inside Apple HQ: Analyst 1: “Huh? Male, aged 45-54? Less educated?”

Analyst 2: “OH DEAR GOD. We’ve invented the TRUMP PHONE.”
link to this extract

 


Errata, corrigenda and ai no corrida: none notified.

Start up: Bitcoin’s nightmare, the cheating economy, how Snapchat took off, Oculus spurns Macs, and more

SIM swaps are leading to bank fraud. Photo by mroach on Flickr.

You can now sign up to receive each day’s Start Up post by email. You’ll need to click a confirmation link, so no spam.

A selection of 10 links for you. Use them wisely. I’m charlesarthur on Twitter. Observations and links welcome.

How Snapchat built a business by confusing olds » Bloomberg BusinessWeek

Max Chafkin and Sarah Frier:

»Compared with Twitter or Facebook, Snapchat can seem almost aggressively user-unfriendly. If you’re new to the app and looking for posts by your kid, your boyfriend, or DJ Khaled, good luck. It’s hard to find somebody without knowing his or her screen name. This is by design. “We’ve made it very hard for parents to embarrass their children,” [Snapchat founder Evan] Spiegel said at a conference in January. “It’s much more for sharing personal moments than it is about this public display.”

Spiegel, who declined to be interviewed, has been cagey about Snapchat’s business prospects. Its annual revenue is small—perhaps $200m, according to several press reports—but it has already drawn many big-name advertisers. Earlier this year, PepsiCo, Amazon.com, Marriott International, and Budweiser paid more than $1m to have their ads appear within the company’s Super Bowl coverage, according to a person familiar with the deals. And because Snapchat has yet to really try to sell ads to the small and midsize businesses that make up most of Google’s and Facebook’s customer base, there’s a lot of potential.

As Facebook has transformed from a slightly wild place to a communications tool for parents, teachers, and heads of state, Snapchat’s more playful ethos, and the fact that anything posted on it disappears in 24 hours, has made it the looser, goofier social network. “You’re sending this ephemera back and forth to your friends,” says Charlie McKittrick, the head of strategy at Mother New York, an ad agency. “It’s the detritus of life. But it’s really funny.” Last September, while Mark Zuckerberg hosted Indian Prime Minister Narendra Modi on Facebook’s campus, the big news at Snapchat’s offices in Venice was a feature called Lenses, which makes your selfies look like you’re vomiting a rainbow.

«

link to this extract

 


We’re moving away from torrents, so whats next? » Strike

“Andrew”:

»As you can see if just a teeny bit taxing on my server, so as of today I wanted to officially annouce that Strike will no longer focus on torrents, in fact I’ve decided to phase Strike into creating open source utilities that help every day life. Our first project is already under development and called Ulterius, an open source C# based framework that allows you to remotely manage windows based systems, all from any HTML5 enabled browser…

…Q: Will you ever do torrent related things again?

A: Most likely not. It’s easier to create completely original content than to attempt to ride the tails of existing content. While I found P2P technology fun, and I’ll continue to follow it and maybe develop stuff around it. I don’t foresee myself ever hosting Anything as a service in the future.

«

Combination of lawsuits against others, and the gigantic bandwidth demand on his site. Mostly the bandwidth, it seems.
link to this extract

 


Will we compile? » ROUGH TYPE

Nick Carr:

»Getting machines to understand, and speak, the language used by people — natural language processing — has long been a central goal of artificial intelligence research. In a provocative new interview at Edge, Stephen Wolfram turns that goal on its head. The real challenge, he suggests, is getting people to understand, and speak, the language used by machines. In a future world in which we rely on computers to fulfill our desires, we’re going to need to be able to express those desires in a way that computers can understand…

…Computers can’t choose our goals for us, Wolfram correctly observes. “Goals are a human construct.” Determining our purposes will remain a human activity, beyond the reach of automation. But will it really matter? If we are required to formulate our goals in a language a machine can understand, is not the machine determining, or at least circumscribing, our purposes? Can you assume another’s language without also assuming its system of meaning and its system of being?

«

Very deep questions underlying this. And speaking of controlling machines through spoken language..
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Amazon adds the $130 Amazon Tap and the $90 Echo Dot to the Echo family » Techcrunch

Sarah Buhr:

»The Echo has received more than 33,000 Amazon reviews at a nearly five-star rating since launching in late 2014 and was one of the best-selling items going for more than $100 over the holidays. Amazon has not released sales figures for Echo, but its rise in popularity and the ability to build upon and integrate with the companion Alexa API have moved the Echo front and center as a must-have device for the smart home.

Amazon is now introducing two new members to the Echo family with slightly different uses in hopes of achieving a similar reaction: Amazon Tap is a portable version of the original Echo, and Echo Dot is a tiny, hockey-puck-sized version that includes a built-in line-out connector to hook into your choice of speaker.

«

link to this extract

 


Online break-in forces bank to tighten security » BBC News

Shari Vahl:

»Two major high street banks will change security procedures after journalists from BBC Radio 4’s You and Yours programme broke into an account online and removed money.
Recently bank customers accounts have been successfully attacked by criminals who divert mobile phone accounts.

Criminals persuade phone providers to divert mobile phone numbers in what is sometimes called “SIM swap fraud”.

Some banks text security details when customers forget their details.

The activation codes sent by text to mobile phones also allow payments to be made from an account.

The scam works by blocking the genuine phone. The owner is unaware of why the phone has been blocked and allows the criminal – who now has control of their phone – to syphon money from their bank account.

You and Yours has been contacted by dozens of people affected by the scam. All say they have never revealed their security details to anyone, and the that first they knew something was wrong was their mobile phone going dead.

«

Wow.
link to this extract

 


Chinese ISPs caught injecting ads and malware into web pages » The Hacker News

Rakesh Krishnan:

»Chinese Internet Service Providers (ISPs) have been caught red-handed injecting advertisements as well as malware through their network traffic.

Three Israeli researchers uncovered that the major Chinese-based ISPs named China Telecom and China Unicom, two of Asia’s largest network operators, have been engaged in an illegal practice of content injection in network traffic.

Chinese ISPs had set up many proxy servers to pollute the client’s network traffic not only with insignificant advertisements but also malware links, in some cases, inside the websites they visit.
If an Internet user tries to access a domain that resides under these Chinese ISPs, the forged packet redirects the user’s browser to parse the rogue network routes. As a result, the client’s legitimate traffic will be redirected to malicious sites/ads, benefiting the ISPs.

«

link to this extract

 


TensorFlow for Poets » Pete Warden’s blog

»I want to show how anyone with a Mac laptop and the ability to use the Terminal can create their own image classifier using TensorFlow, without having to do any coding.

I feel very lucky to be a part of building TensorFlow, because it’s a great opportunity to bring the power of deep learning to a mass audience. I look around and see so many applications that could benefit from the technology by understanding the images, speech, or text their users enter. The frustrating part is that deep learning is still seen as a very hard topic for product engineers to grasp. That’s true at the cutting edge of research, but otherwise it’s mostly a holdover from the early days. There’s already a lot of great documentation on the TensorFlow site, but to demonstrate how easy it can be for general software engineers to pick up I’m going to present a walk-through that takes you from a clean OS X laptop all the way to classifying your own categories of images. You’ll find written instructions in this post, along with a screencast showing exactly what I’m doing.

«

Warden was at Jetpac, which was bought by Google because of its expertise at machine learning and image classification. This is the one to follow to dive into deep learning (aka machine learning, aka AI).
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Oculus’ Palmer Luckey will consider Mac support if Apple ‘ever releases a good computer’ » Shacknews

Daniel Perez:

»We spoke to Oculus VR founder Palmer Luckey recently during an Xbox press event where we took the opportunity to ask him some questions regarding the future of his company, and his product, the Oculus Rift.

One question we were dying to ask is he sees a future for the Oculus Rift with Apple computers. When asked if there would ever be Mac support for the Rift, Palmer responds by saying “That is up to Apple. If they ever release a good computer, we will do it.”

Palmer continues to clarify what he meant by that blunt statement by saying “It just boils down to the fact that Apple doesn’t prioritize high-end GPUs. You can buy a $6,000 Mac Pro with the top of the line AMD FirePro D700, and it still doesn’t match our recommended specs. So if they prioritize higher-end GPUs like they used to for a while back in the day, we’d love to support Mac. But right now, there’s just not a single machine out there that supports it.”

«

There aren’t that many Windows PCs that support it, either. Wonder if this is a high priority for Apple just now.
link to this extract

 


The cheating economy » Medium

Doug Bierend on Studypool, which lets students “hire” tutors for “help understanding their homework” – which the students of course translate into “doing their homework”, and give bad grades to those tutors who don’t comply:

»Rarely is the sharing model of enterprise, epitomized by the likes of Uber and Airbnb, sensitive to the costs incurred by its host system — those two companies are hardly compelled to preserve the integrity of the “legacy” cab companies and hoteliers they are undercutting. Likewise, success for this platform isn’t determined by whether it actually helps people learn. After all, optimizing and reducing the latency in busing information from one place to another makes sense — a lot of sense — for servers and data, but where brains and ideas are concerned, learning isn’t always efficient. And any approach that offers a backdoor — knowingly or not—where intellectual honesty is concerned is bound to reap the patronage of the many people willing to buy an answer or grade rather than earn it.

«

A passing thought: Bierend is a professional journalist (it shines through in this piece – read it all), and this appeared in “Bright” – which is funded by the Gates Foundation, and subsumed into Medium. The brave new world where a non-profit created from the money out of a brief technology monopoly pays for journalism published on a site created from the money paid to the creator of free publishing platforms (Blogger and Twitter) that were funded by advertising. Who says there aren’t new business models for journalism?
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Bitcoin’s nightmare scenario has come to pass » The Verge

Ben Popper:

»Over the last year and a half a number of prominent voices in the Bitcoin community have been warning that the system needed to make fundamental changes to its core software code to avoid being overwhelmed by the continued growth of Bitcoin transactions. There was strong disagreement within the community, however, about how to solve this problem, or if the problem would ever materialize.

This week the dire predictions came to pass, as the network reached its capacity, causing transactions around the world to be massively delayed, and in some cases to fail completely. The average time to confirm a transaction has ballooned from 10 minutes to 43 minutes. Users are left confused and shops that once accepted Bitcoin are dropping out.

«

Remember how Mike Hearn, who saw this problem coming and proposed an increase in block size which would have headed it off, was criticised to hell and back for being “misleading”? I bet he’s feeling vindicated now. Wonder how his then-critics feel. (Update: not great, apparently, since the Pond Politics page I referenced has been deleted in the meantime.)
link to this extract

 


Errata, corrigenda and ai no corrida: none notified.

Start up: US parties v internet, see UK power flow!, Twitter’s broken park, decrypting Samsung, and more

What if Google makes Android proprietary and closes it off? Photo by romainguy on Flickr.

You can now sign up to receive each day’s Start Up post by email. You’ll need to click a confirmation link, so no spam.

A selection of 9 links for you. Count them if you dare repeat a machine’s work. I’m charlesarthur on Twitter. Observations and links welcome.

Amazon is recalling power adapters bundled with the UK version of the Fire 7 and Fire 7 Kids edition due to risk of electric shock » Android Police

Jeff Beck (not that Jeff Beck):

» If you live in the UK or Ireland and own one of Amazon’s affordable 7in tablets, then you need to request a new charger. Amazon has noted that a small quantity of the chargers bundled with these devices have had their housing detach when being removed from the wall, creating a risk of electric shock (no, they are not a fire hazard).

The recall applies to all Fire 7 and Fire 7 Kid’s Edition tablets sold in the UK and Ireland since September 2015. The faulty chargers have the model number FABK7B, which is found on the charger’s face as indicated in the image below.

Amazon is offering a free exchange to affected customers through a voluntary recall. If you own one of these devices you can visit this page to find instructions on the exchange process.

«

link to this extract

 


The voters decide » Stratechery

Ben Thompson analyses the US election not from the standpoint of politics or policies, but asking how the internet has changed – and is changing – how it works:

»step back to the world as it was: the one where newspapers (and TV stations, etc.) were gatekeepers thanks to their ownership of production and distribution. In this world any viable political campaign had to play nicely with those who ran the press in the hopes of gaining positive earned media, endorsements, etc. Just as important, though, was the need to buy advertising, as that was the only way to reach voters at scale. And advertising required lots of money, which meant donors. And then, once the actual election rolled around, a campaign needed an effective GOTV effort, which took not only money but also the sort of manpower that could only be rustled up by organizations like labor unions, churches, etc.

It is all these disparate pieces: partisan media members, advertisers, donors, large associations, plus consultants and specialists to manage them that, along with traditional politicians, made up the “party” in the The Party Decides.…

…What is critical to understand when it comes to this more broad-based definition of a “party” is that its goals are not necessarily aligned with a majority of voters.

«

It’s the same misalignment that one sees repeatedly in the technology industry. And now the Republican machinery – and to a lesser extent the Democrats – are paying the price. Definitely one to read, and consider, in full.
link to this extract

 


Adblocking is a ‘modern-day protection racket’, says culture secretary » The Guardian

Jane Martinson:

»Adblocking companies acting as a “modern-day protection racket” have been slammed by culture secretary John Whittingdale, who offered government support to those such as newspaper websites hit by the technology.

In a speech at the Oxford Media Convention, the culture secretary said the fast-growing use of software that blocked advertising presented an existential threat to the newspaper and music industries.

He vowed to set up a round table involving major publishers, social media groups and adblocking companies in the coming weeks to do something about the problem.

“Quite simply – if people don’t pay in some way for content, then that content will eventually no longer exist,” he said. “And that’s as true for the latest piece of journalism as it is for the new album from Muse.”

“Ten years ago, the music and film industries faced a threat to their very existence from online copyright infringement by illegal file-sharing or pirate sites,” he added.

He said that in the current climate, adblocking potentially posed a “similar threat”.

«

Important difference: unlike file-sharing or using pirate sites, adblocking is not illicit. And that round table has already happened: Eyeo, which controls AdBlock Plus, had one in February. Notice also that the proposed round table is missing representation from one key group: the users who are blocking ads.
link to this extract

 


What if the San Bernardino shooters had been using a Samsung Galaxy phone? » The Washington Post

Hayley Tsukayama and Andrea Peterson:

»According to a Samsung spokeswoman, the encryption option is turned on by default for the Galaxy S6 — and the forthcoming Marshmallow-powered Galaxy S7 — so it’s certainly not out of the realm of possibility.

The government would be unlikely to go to Google for help getting into a phone, said Chris Soghoian, principal technologist at the American Civil Liberties Union. Not only is the Android landscape complicated, but manufacturers, not Google, are in charge of signing the security certificates that prove their software is authentic, he said.

And Google wouldn’t be able to get past security measures on other company’s devices. According to Google, it generally can’t update the firmware — code that controls a phone’s chips, processors and other hardware — on phones it doesn’t make, meaning it can’t modify a phone to accept new software…

… because Android is set up the way it is, law enforcement may have a few more avenues of entry, said Tyler Shields, vice president for strategy at web application security firm Signal Sciences. He said that “the update chain ends up going from Android, to the hardware provider and to the service provider — everyone has their hand in the process.” And that means, in theory, the government may be able to turn to more than one actor in that chain if they wanted to deliver software changes to a device – which the government wants Apple to do in the case of the iPhone used by one of the San Bernardino shooters.

But with Apple, the options are limited.

«

Samsung says in a statement that it’s against backdoors.
link to this extract

 


The demise of user research? » Medium

Nalini Kotamraju:

»“In a few short years, user research will no longer exist!”

I declared boldly — if, in retrospect, a bit riskily — during my job interview for Salesforce last year. Despite my prediction (or maybe because of it?), Salesforce hired me to lead user research for Salesforce’s CoreUX team. My blunt statement was not, of course, a repudiation of user research; I believe that user research is essential for any company to create great experiences for its customers and users. User research, is however, at a transitional moment, as fellow user researchers at other companies have also noted.

«

I wonder how this prediction – which leans heavily on growing use of automated tools to measure user experience “directly”, and quantitative analysis – looks when you weigh it against the direct experience of the user in the link below.
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Twitter has become a park filled with bats and perverts » NY Mag

Julieanne Smolinski, a journalist and TV writer, is taking a break from Twitter after being harassed by multiple multiple-account-creating jerks, who Twitter says are “not breaching terms of service”:

»Let me try to explain how I see it. Twitter is like a beloved public park that used to be nice, but now has a rusty jungle gym, dozens of really persistent masturbators, and a nighttime bat problem. Eventually the Parks Department might rip up the jungle gym, and make some noise about fixing the other problems, because that’s what invisible administrators like Twitter staff and municipal recreation departments tend to do. But if the perverts and the bats got to be bad enough with no recourse, you’d probably just eventually stop going.

(Additionally frustrating is that everybody is complaining about the safety issues at the park, and instead of addressing them, the city installs a crazy new slide. What? Nobody was calling for that. What about the perverts? What about the bats?)

I support public parks, and I support free speech. But getting bombarded with epithets and graphic images does not a love for humanity foster. I don’t know where these beardos got the idea that the First Amendment says, “Do whatever the fuck you want, it’s spring break, bitches.” Why do the laws of order and decency not apply to spaces where other people can’t tell you through basic social cues, or, barring that, Tasing, that you’re being a real asshole?

Technology has essentially ziplined past all the difficult social contract and legal infrastructure and face-to-face accountability that led us to negotiate limits on day-to-day expression. And instead of building any of that stuff, instead of addressing basic concerns of safety and gestalt and culture, our most popular platforms seem more concerned with “Haha”-face buttons and silly new engagement models.

I’d like to shift priorities. I want to elevate the need to address that people (particularly women) are being freely terrorized above whether or not a heart or a star is a more fun shape. And until that happens I can take walks and have picnics somewhere else.

«

link to this extract

 


Google – closed source » Radio Free Mobile

Richard Windsor:

»Android L (5.0) is currently on just 34.1% of Google’s Android devices despite having been available for around 18 months which corresponds to the penetration one would expect with virtually no updates being made.

This is a massive problem because it means that any innovations that Google makes to Android to compete against iOS, Windows or China will take 4 years to fully penetrate into its user base.
In my opinion this renders the innovation worse than useless as it will be fully visible to the competition who can copy it and get it into the market long before Google can.

This is why I think that Google has to take complete control of Android culminating in the migration of the Android Run Time (ART) from the Android Open Source Package (AOSP) into Google’s own proprietary Google Mobile Services (GMS). Its recent [court] loss in its war with Oracle has given Google the perfect excuse to close down its version of Android and blame Oracle when developers complain.

I don’t think that this is likely to happen this year, but in 2017, I see the possibility for Android to follow its little brothers Android Auto and Android Wear in becoming fully closed and proprietary. This would allow Google to roll everything up into a single release and distribute it through Google Play, thereby fixing the endemic fragmentation and distribution problems in one go.

«

Windsor’s point that the penetration of each version of Android is no more than you’d expect from simple sales is well made. And if it does become a sort of Windows, bypassing OEMs for updates, that would allow it to monetise (through the newer features of later releases) more effectively.

Might be a tough one for the “Android is open, open wins” crowd to explain, though. (Some of them are inside Google.)
link to this extract

 


G. B. National Grid status » Templar

Ooh! It’s the UK’s national grid activity from moment to moment. With dials so you can pretend you’re actually running it. (Shout into a microphone if it will make you feel more important.) Damn renewables need to pull their weight, though. Coal, nuclear and CCGT (combined cycle gas turbines) generating pretty much everything; wind just 12%. (Via Kate Craig-Wood)
link to this extract

 


Facebook executive jailed in Brazil set to be released Wednesday » Reuters

Brad Haynes:

»A senior Facebook Inc executive arrested in Brazil is likely to be released after spending nearly 24 hours in jail due to a dispute over a court order demanding data from the company’s WhatsApp messaging service in a drug-trafficking investigation.

A press representative for the court in Sergipe state that is handling the case said Diego Dzodan, who is Facebook vice president for Latin America, would likely be released in Sao Paulo on Wednesday morning after a judge overturned a lower court decision.

Law enforcement officials withheld further information about the nature of their request to the messaging service that Facebook Inc acquired in 2014, saying that doing so could compromise an ongoing criminal investigation.

«

Just a warning, then.
link to this extract

 


Errata, corrigenda and ai no corrida:

Start up: Apple’s phone expectations, Amazon’s giant backdoor, mobile adblocking grows, and more


Virtual reality attracts interest, but where’s the storytelling? Photo by Nick Habgood on Flickr.

Shh! It’s a secret, but you can sign up to receive each day’s Start Up post by email. You’ll need to click a confirmation link, so no spam.

A selection of 11 links for you. Not attributable to tributaries. I’m charlesarthur on Twitter. Observations and links welcome.

Apple 1Q16 Earnings Preview » Above Avalon

Neil Cybart:

Investor anxiety heading into Apple’s upcoming earnings report is at a multi-year high. Fears surrounding slowing iPhone 6s and 6s Plus sales have morphed into broad questions about the iPhone’s long-term viability. While investors are looking for answers that won’t likely be provided this week, management has a very clear goal with its 1Q16 earnings report and conference call: set expectations for 2016.

Cybart reckons in the just-gone quarter to December (Apple’s first fiscal quarter of its financial year) Apple has sold around 77m iPhones, 18m iPads and 5.7m Macs. He also gives gauges for what is low and high. Apple announces its earnings on Tuesday evening (and LG will have published its own by the time you read this).
link to this extract


IAB chief blasts Adblock Plus as an ‘immoral, mendacious coven of techie wannabes’ » Adweek

Christopher Heine:

When Adblock Plus said it had been “disinvited” from this week’s Interactive Advertising Bureau’s Leadership Summit, it raised virtual eyebrows across the Web. Wasting little time and mincing no words, the IAB’s leader kicked off the event by firing back.

“Now, you may be aware of a kerfuffle that began about ten days ago, when an unethical, immoral, mendacious coven of techie wannabes at a for-profit German company called AdBlock-Plus took to the digisphere to complain over and over that IAB had ‘disinvited’ them to this convention,” CEO Rothenberg told the audience in his opening keynote Monday. “That, of course, is as much a lie as the others they routinely try to tell the world…”

…Eyeo GmbH-owned Adblock Plus’ ticket was pulled, Rothenberg said, “for the simple reason that they are stealing from publishers, subverting freedom of the press, operating a business model predicated on censorship of content, and ultimately forcing consumers to pay more money for less — and less diverse — information. AdBlock Plus claims it wants to engage in dialogue. But its form of dialogue is an incessant monologue.”

Well, they had an invitation (which they had to pay for, like everyone else), and then it was withdrawn. Clearly, no Christmas cards between these two. (I’m going to go to Adblock Plus’s meeting in London in a week or so.)
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37% of mobile users are blocking ads » Global Web Index

Jason Mander:

According to GWI’s latest wave of research, it’s a significant 37% of mobile users who say they’ve blocked ads on their mobile within the last month. That’s a pretty sizable number if you consider that these tools have only relatively recently come to the attention of consumers. It also shows just how keen users are to improve their mobile experience and to prevent their data allowances and battery lives from being drained.

No less striking is that another 42% of users say they haven’t blocked ads so far but are interested in doing so in the future. That means almost 80% of the mobile audience could be engaging with blockers before too long – a stat which underlines why this is a trend which is unlikely to burn out any time soon.

Big numbers. People have responded by saying that they’re not seeing those figures, but equally adblockers often block Google Analytics too – so adblocking users are ghosts; you’d have to check against server logs to see what’s really happening. GWI has a large sample base, weighted towards the US and UK, though it doesn’t say how many were sampled for this particular survey.
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‘iPhone 5se’ likely to have faster A9/M9 chips & always-on Siri, come in 16/64GB capacities » 9to5Mac

Mark Gurman:

Last week we reported that Apple is preparing to announce a new 4-inch iPhone dubbed the “iPhone 5se” as soon as mid-March. Our report noted that the new iPhone is essentially an upgraded iPhone 5s with a faster processor, Apple Pay, new camera features, and curved glass edges instead of sharp chamfers. Now, we have a few additional details about this new iPhone model. First, we are told that there are different prototypes of the device floating around Apple’s campus: some with the A8 and M8 chips that we discussed in our previous report, and some with the iPhone 6s’s A9 and M9 processors. We’ve now learned that the iPhone 5se is more likely to include variants of the A9 and M9 chips instead of the A8 and M8 lines…

Because the iPhone 7 will include a faster chip potentially known as the A10 processor, Apple likely does not want its new 4-inch iPhone to fall two processor generations behind in just six months.

Gurman has an excellent track record on this stuff. So you can pretty much take this as being what’s on the shipping box. Next question: why has Apple decided to renew the 4-inch phone?
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Why VR “storytelling” does not currently work. And can it ever work? » Medium

Mike Cartel (who has experience in creating VR experiences):

Storytelling is a RETROSPECTIVE thing. It always has been. People didn’t sit around the campfire telling stories in the timeframes that they actually occurred. And i’m not aware of realtime books. Linear narrative mechanisms have evolved to break down the constraints of time and emotive viewpoint.
But herein lies the VR Storytelling anachronism.

The hardware has raced forward at an incredible speed. It’s barely three years between Oculus Rift DK1, and Oculus Rift CV1, but the change is extraordinary. But with this charge forward brings a storytelling problem. The new Rift, HTC Vive and PSVR headsets behave and look close to real life. Screen door and latency has been nearly obliterated. The hardware is challenging our brains to differentiate with real life.

Hardware mimics real life, and real life timing. Whilst current non-gaming VR content relies upon existing forms of linear narrative. These things do not co-exist. Yet. But will they ever? Can they ever?

Like him, I recall a time when we were assured that CD-ROMs would usher in an age of “choose your own storyline” storytelling. Instead, we got video games – while storytelling has remained much the same.
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The muscular dystrophy patient and the Olympic medallist with the same genetic disorder » ProPublica

David Epstein, who wrote a book about genes and sport, and was then contacted out of the blue:

It seemed absolutely crazy. The idea that an Iowa housewife, equipped with the cutting-edge medical tool known as Google Images, would make a medical discovery about a pro athlete who sees doctors and athletic trainers as part of her job?

I consulted Harvard geneticist Robert C. Green to get his thoughts, in part because he has done important work on how people react to receiving information about their genes. Green was open to discussing it, but he recalls a justifiable concern that had nothing to do with science: “Empowering a relationship between these two women could end badly,” he says. “People go off the deep end when they are relating to celebrities they think they have a connection to.” I was skeptical too. Maybe she was a nutjob.

I had no idea yet that Jill, just by investigating her own family, had learned more about the manifestations of her disease than nearly anyone in the world, and that she could see things that no one else could.

Open this in another tab, and make the time to read it today – you’ll need about 15 minutes. It’s stunning. And (for any criticism of Google’s tax affairs below) it’s also testament to the power of Google Images and search engines and the power of having the world’s scientific information available to everyone. Jill extended two peoples’ lives, including her father’s (and probably her own), because she could access information easily.
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Two Y-axes » Kieran Healy

Healy takes to task those who would plot using a single x-axis and two sets of data using two y-axes:

When you’re just looking at data, though, it’s enough to bear in mind that it’s already much too easy to present spurious—or at least overconfident—correlations. Scatterplots do the job just fine, as you can see. (Just don’t pay much attention to the sudden clumpy vertical bits in the plot.) Even here, we can make our associations look steeper or flatter by fiddling with the aspect ratio. Two y-axes give you an extra degree of freedom to mess about that, in almost all cases, you really shouldn’t take. Guidelines like this won’t stop people who want to fool you with charts from trying, of course. But they might help you not fool yourself.

Read and take to heart, graph-plotters. (Including Dr Drang.)
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Google obeys tax laws, and gives us awesome services for free. Why complain? » Spectator Blogs

Fraser Nelson:

If Google hoped for some good PR in offering £130 million to settle UK tax claims dating back to the Labour years, it was a miscalculation: Labour regards the offer as “derisory” and the BBC is leading its news bulletins the better to sock it to its rival. Why did Google bother? It has run up against the standard anti-business narrative: that the social worth of businesses can be measured only by how much cash they give to the government. In fact, Google provides its services to millions of Britons (worth at least £11bn, by some estimates) at no cost at all: this is its contribution to society. As for its contribution to the government’s coffers, Google has – from the offset – been following the rules. And for this, it has been lambasted.

I don’t quite buy Google as a “rival” to the BBC. The £11bn (one-off?) calculation comes from an analysis released by – surprise! – Google, compiled by Deloitte. But it’s reasonable – jobs created, work done, and so on.

But at the same time, that rests on the argument that Google’s services aren’t fungible; that if it didn’t exist, that there wouldn’t be other companies offering platforms for digital advertising (leading to the need for SEO), for creating content, for writing smartphone apps and so on. I suspect Yahoo, Microsoft and others wouldn’t necessarily agree.
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That Google tax deal » Waiting for Godot

Jolyon Maugham:

Well, here’s what Google UK Limited does.

Now, that doesn’t sound much like selling advertising. And it isn’t. Its business is selling services to other Google companies. And it will charge a modest uplift on its costs – and that modest uplift will comprise its profits.

A consequence of this is that Google UK Limited’s accounting profits will never bear any relationship to the profits Google Inc chooses to report to its shareholders as having been generated in the UK. Those profits generated in the UK will never show up in Google UK Limited’s accounts and be subject to UK tax. Google UK Limited is never going to be hugely profitable.

Indeed if Google Ireland Limited and Google Inc were to choose to buy those services from some other jurisdiction, Google wouldn’t generate any accounting profits here at all.

The accounting profits they generate here they generate because they choose to buy services from here. They choose to make profits here.

We’re all being inculcated into the winding roads of multinational tax planning.
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Asustek, Gigabyte to ship 4.2-4.5m own-brand motherboards each in 1Q16 » Digitimes

Monica Chen and Joseph Tsai:

With demand from the PC DIY market continuing to decline, global motherboard shipments dropped from 69m units in 2014 to 54m units in 2015, while shipments in China also slumped from 28m units to 26m.

As for second-tier players, excepting ASRock which was still profitable in 2015, Micro-Star International (MSI), Biostar, Elitegroup Computer Systems (ECS) and China-based Colorful all saw their profits from the motherboard business in 2015 drop sharply from 2014.

As for 2016, global motherboard shipments are expected to drop below 50m units, while Asustek and Gigabyte will both be able to maintain their shipments at around 17m units.

Note that point about the DIY market shrinking. (Will VR change that?) Remarkable that two companies have over 60% of the whole market.
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Amazon’s customer service backdoor » Medium

Eric Springer:

As a security conscious user who follows the best practices like: using unique passwords, 2FA, only using a secure computer and being able to spot phishing attacks from a mile away, I would have thought my accounts and details would be be pretty safe? Wrong.

Because when someone has gone after me, it all goes for nothing. That’s because most systems come with a backdoor, customer support. In this post I’m going to focus on the most grievous offender: Amazon.com

Amazon.com was one of the few companies I trusted with my personal information. After all, I shop there, I used to work as a Software Developer and I am a heavy AWS user (raking up well over $600/month)

Truly horrendous story. Moral: don’t use a publicly-visible email for your Amazon account. (Now go and change it.)
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Errata, corrigenda and ai no corrida:

Start up: inside Apple’s A9X, Amazon unlimited?, VTech hacked, YouTube v Palestine, and more

This could be the prelude to hypothermia. But what does that feel like? Photo by Nicolas Valentin on Flickr.

You can now sign up to receive each day’s Start Up post by email. You’ll need to click a confirmation link, so no spam.

A selection of 10 links for you. Use them wisely. I’m charlesarthur on Twitter. Observations and links welcome.

All-in-one PC shipments to drop over 10% in 2015 » Digitimes

Aaron Lee and Joseph Tsai:

All-in-one PC shipments may drop a double-digit percentage on-year in 2015 due to weaker-than-expected demand. Shipments in 2016 are unlikely to see any major growth and may stay flat from 2015, according to sources from the upstream supply chain.

The largest all-in-one PC vendor, Lenovo, is expected to see flat shipment performance and a worldwide market share of around 30% in 2016. Despite the fact that the China government has recently lifted restrictions on opening internet cafes in the country which has boosted demand for all-in-one PCs, Lenovo will not benefit much from related demand since most Internet cafe players require customization, an area that Lenovo is having difficulties to coordinate, causing the opportunities to be mainly seen by second-tier and China white-box makers, the sources noted.

As for the second-largest, Apple, its iMac shipments are expected to grow 5% on year in 2016. iMac’s main manufacturer, Quanta Computer, reportedly has increased its personnel for the product line for 2016, but the ODM declined to comment on market speculation.

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Inside the Apple A9X chip » The Motley Fool

Ashraf Eassa on the chip powering the iPad Pro:

Following is a die shot of the A9X, courtesy of Chipworks:

Chipworks’ Dick James tells me that he sees a 12-cluster GPU, two CPU cores, and an absence of the level-three cache memory found inside the A9 chip (I’ll explain why I think Apple didn’t include it later in this article). I agree with his assessment. The two CPU cores can be seen in the green box, and I believe that inside of each blue box are two GPU clusters, for a total of 12 clusters…

According to Chipworks, the chip measures in at approximately 147 square millimeters, a whopping 40% larger than the size of the TSMC-built variant of the A9 chip inside of the iPhone 6s/6s Plus. This is an absolutely huge increase in area (and by extension transistor count) from the A9, which no doubt means that this monster of a chip is far more difficult to manufacture, especially on a relatively new manufacturing technology.

Two CPU cores? Bah. Surely it should be at least eight to be worth talking about?
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Is Amazon’s online storage really ‘unlimited’? Read the fine print » ZDNet

Ed Bott:

It’s a trial offer, with the price for the second and subsequent years rising to $60, and renewing automatically unless you say no.

I can tell that some of you are ready to begin migrating the 10 terabytes of data you stored in Microsoft’s OneDrive before they killed that golden goose. May I suggest you first read the Amazon Cloud Drive Terms of Use?

When you do, you will discover that that word, unlimited, does not mean what you think it means.

And you might find that if you really have a lot of data to store that you won’t be able to after all, because they research reserve the right to suspend or terminate “if we determine that your use violates the Agreement, is improper, substantially exceeds or differs from normal use by other users, or otherwise involves fraud or misuse of the Service…” (Emphasis added.)
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Israel to coordinate with Google and YouTube to censor Palestinian videos of conflict » Informed Comment

Saed Bannoura:

The Israeli Deputy Foreign Minister, Member of Knesset Tzipi Hotovely, held meetings this week with representatives of YouTube and Google, to find ways of cooperating to censor Palestinian videos from occupied Palestine, videos she dubbed as “inciting violence and terrorism.”

Israeli daily Maariv said Hotovely will be working with Google and YouTube officials in a joint mechanism that will be in charge of “monitoring and preventing” any publication of materials deemed by Tel Aviv to be “inflammatory.”

Hotovely announced in a Hebrew-only press release that she met with YouTube CEO Susan Wojcicki, and Google’s Director of Public Policy, Jennifer Oztzistzki, at Google’s Silicon Valley Offices.

Hotovely said that she received a comprehensive review mechanism for companies to monitor the films that allegedly incite violence, claiming that the supposed ‘incitement videos’ drive young children to go out and stab: “The attacks daily in Israel are the result of youths and children incited by the education system and the social networks, this is a daily war of incitement.”

You can’t be a video hosting service without getting caught in the politics of an area. And of course “incitement to violence” is over the boundary of free speech pretty much everywhere.
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As freezing persons recollect the snow: first chill, then stupor, then the letting go » Outside Online

Peter Clark with a scary description of what happens as hypothermia sets in:

When your Jeep spins lazily off the mountain road and slams backward into a snowbank, you don’t worry immediately about the cold. Your first thought is that you’ve just dented your bumper. Your second is that you’ve failed to bring a shovel. Your third is that you’ll be late for dinner. Friends are expecting you at their cabin around eight for a moonlight ski, a late dinner, a sauna. Nothing can keep you from that.

Driving out of town, defroster roaring, you barely noted the bank thermometer on the town square: minus 27 degrees at 6:36. The radio weather report warned of a deep mass of arctic air settling over the region. The man who took your money at the Conoco station shook his head at the register and said he wouldn’t be going anywhere tonight if he were you. You smiled. A little chill never hurt anybody with enough fleece and a good four-wheel-drive.

But now you’re stuck.

(Via Eugene Wei.)
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A 59-year-old woman reviews the Apple Watch in real life » Privilege

“Lisa”:

I do think it’s important that we women and we midlifers engage in the tech cycle, if only to ensure that the Brave New World isn’t designed just for 28-year old men.

I first realized I liked the watch as I pushed a cart through Whole Foods. I’d invited my family over for dinner, and was doing the grocery shopping. I’d texted both my sister-in-law and sister to find out if their kids would be OK with the menu. The replies came as I passed the tortilla section. And I did not have to stop, block the aisle, and find my phone in my bag –  just pressed the Message smile emoji. A lightweight interaction.

Besides, the Watch is very good-looking, as Mom might say.

But let us review and deconstruct. Not literally. Taking apart solid state devices is not my idea of fun.

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100 million LTE phones shipped in China in Q3 2015 » Counterpoint Technology Market Research

Neil Shah:

This has been primarily driven by a meteoric rise in consumers adopting LTE technology as the always-on high speed mobile internet becomes the crux of Chinese consumers’ lives aided by competitive pricing by China Mobile. More than 200m 4G LTE subscribers have been added at the end of Q3 2015 compared to exactly a year ago. China’s LTE subscriber base also crossed 300m users during the quarter. It took just 20 months to cross 300m 4G subs, whereas for 3G subs it took more than 50 months.

Mature Chinese smartphone user base are upgrading their digital lives faster than any other mobile user on this planet. The growing traction of mobile-centric commerce, rise of O2O services, content consumption (video, audio and so forth) coupled with deeply integrated social and messaging communication is making  high quality ubiquitous mobile internet a basic need for the Chinese consumers.

Huawei was the no 1 LTE phone supplier with slightly less than one-fifth of the market, followed by Xiaomi, Apple, Oppo and Vivo.

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One of the largest hacks yet exposes data on hundreds of thousands of kids » Motherboard

Lorenzo Franceschi-Bicchierai:

The personal information of almost 5 million parents and more than 200,000 kids was exposed earlier this month after a hacker broke into the servers of a Chinese company that sells kids toys and gadgets, Motherboard has learned.

The hacked data includes names, email addresses, passwords, and home addresses of 4,833,678 parents who have bought products sold by VTech, which has almost $2 billion in revenue. The dump also includes the first names, genders and birthdays of more than 200,000 kids.

What’s worse, it’s possible to link the children to their parents, exposing the kids’ full identities and where they live, according to an expert who reviewed the breach for Motherboard.

That expert being Troy Hunt, who has a long writeup on how crap VTech has been. All this harvesting of personal data ahead of inevitable hacks? No way to delete your account (hardly any companies give you that option).
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Report: Apple plans to nix 3.5mm port on iPhone 7, require Lightning for wired headphones » 9to5Mac

Citing a reliable source, a report from Japanese blog Macotakara claims that Apple plans to remove the 3.5mm headphone port from the upcoming iPhone 7, helping to achieve a “more than 1mm” reduction in thickness compared to the iPhone 6s. While the screen shape and radius will remain similar, the device will once again become Apple’s thinnest iPhone ever, albeit with a new restriction: headphones will only be able to connect over Lightning or Bluetooth…

Macotakara says that the 3.5mm port “can hardly be thinner because it is the world standard,” which is accurate, though the current-generation iPod touch is 1mm thinner than the iPhone 6s despite having a 3.5mm port inside. It should be noted that Apple actively contemplated switching to the smaller but less popular 2.5mm headphone port standard many years ago, abandoning the plan after users complained about the original iPhone’s recessed 3.5mm port.

Will be good business for Bluetooth headphone companies. Such as Beats?
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More China firms developing own ARM-based chips » Digitimes

Monica Chen and Jessie Shen:

China-based ZTE has received a cash injection from the government enabling the company to accelerate the development of its own application processors, while Lenovo also intends to develop ARM-based chips in-house, according to industry sources.

ZTE has received CNY2.4bn (US$73.8m) from China’s National IC Industry Investment Fund, which will help it accelerate the mobile chip development, said the sources.

Huawei has its subsidiary HiSilicon provide ARM-architecture SoCs, which are found in many of the smartphone vendor’s models including high-end ones, the sources indicated. Huawei’s increasing use of HiSilicon chips is already unfavorable to the existing suppliers including MediaTek and Qualcomm.

All essentially trying to differentiate themselves from rivals. Didn’t know about Huawei’s subsidiary, but it makes sense for a network infrastructure company to have a chip designer.
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Errata, corrigenda and ai no corrida: none notified.

Start up: payday search predators, the natural nuclear reactor, Facebook’s code problem and more


Shh! Don’t tell Facebook! Photo by The Keenes on Flickr.

You can now sign up to receive each day’s Start Up post by email. You’ll need to click a confirmation link, so no spam.

A selection of 11 links for you. Please note: the “link to this extract” link doesn’t work if you’re using it from the email. Who shall we blame? Meanwhile, I’m charlesarthur on Twitter. Observations and links welcome.

People’s deepest, darkest Google searches are being used against them » The Atlantic

Adrienne Lafrance:

Consider, for example, a person who googles “need rent money fast” or “can’t pay rent.” Among the search results that Google returns, there may be ads that promise to help provide payday loans — ads designed to circumvent Google’s policies against predatory financial advertising. They’re placed by companies called lead generators, and they work by collecting and distributing personal information about consumers online. So while Google says it bans ads that guarantee foreclosure prevention or promise short-term loans without conveying accurate loan terms, lead generators may direct consumers to a landing page where they’re asked to input sensitive identifiable information. Then, payday lenders buy that information from the lead generators and, in some cases, target those consumers—online, via phone, and by mail—for the very sorts of short-term loans that Google prohibits.

But look, if Google bans those ads, then it’s taking a position. Shouldn’t it only accept ads from organisations that it has vetted? Or just not accept ads on those searches?
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In the 1970s, scientists discovered a two billion-year-old nuclear reactor in west Africa » Medium

The Physics ArXiv blog explains:

When the ore in Gabon was laid down some 2 billion years ago, the concentration of uranium-235 would have been about 4%, more than enough for a self-sustaining nuclear reaction.

The idea is that when a neutrons hits an atom of uranium-235, the atom splits producing two smaller nuclei and several neutrons. These neutrons go on to split other atoms in an ongoing chain reaction.

However, the liberated neutrons are high-energy particles that tend to fly away rapidly. So nuclear reactors usually contain a moderating material that slows down the neutrons so that they can interact with other uranium atoms.

It turns out that water is a reasonable neutron moderator. So an important component of this natural reactor was the presence of water seeping through the uranium ore. And this had an interesting impact on the way the reactors operated.

Nuclear scientists believe that the Oklo reactors operated in pulses. As water flowed into the rock, it moderated the neutrons, allowing a chain reaction to occur. But this increased the temperature of the rock, boiling the water into steam which escaped.

Kept running for 300,000 years. More useful than that is what it taught scientists about how fission waste products migrate from burial sites. Turns out the answer is: not that much.
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Facebook’s code quality problem » Graham King

Facebook has a software quality problem. I’m going to try to convince you with three examples. This is important because it demonstrates the time-honored principle that quality matters. In demonstrates it, as Facebook engineers like to say, at scale. I don’t work at Facebook or any competitor, I’m just an observer.

The three examples – 18,000 Objective-C classes in the iOS app with 429 people working on it (note: delete the app), database restarts and the fact that the site works better when its engineers aren’t there, all speak to a classic problem.
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Hackers claim million-dollar bounty for iOS zero-day attack » WIRED

Andy Greenberg:

On Monday, the security startup Zerodium announced that it’s agreed to pay out that seven-figure sum to a team of hackers who have successfully developed a technique that can hack any iPhone or iPad that can be tricked into visiting a carefully crafted web site. Zerodium describes that technique as a “jailbreak”—a term used by iPhone owners to hack their own phones to install unauthorized apps. But make no mistake: Zerodium and its founder Chaouki Bekrar have made clear that its customers include governments who no doubt use such “zero-day” hacking techniques on unwitting surveillance targets.

In fact, Bekrar tells WIRED that two teams of hackers had attempted to claim the bounty, which was announced in September with an October 31st deadline. Only one proved to have developed a complete, working iOS attack. “Two teams have been actively working on the challenge but only one has made a full and remote jailbreak,” Bekrar writes. “The other team made a partial jailbreak and they may qualify for a partial bounty (unconfirmed at this time).”

I’d like to see documentary proof of the hack before I take this at face value. Zerodium is clearly seeking publicity; and the incentive to, um, bend the truth around seven-figure annoucements is high.
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Ranking Digital Rights – Ranking ICT sector companies on respect for free expression and privacy

For the inaugural Index, Ranking Digital Rights analyzed a representative group of 16 companies that collectively hold the power to shape the digital lives of billions of people across the globe. Leading global ESG research and ratings provider, Sustainalytics, co-developed the methodology.

Eight publicly listed Internet companies and eight publicly listed telecommunications companies were selected based on factors including geographic reach and diversity, user base, company size, and market share. These companies were assessed on 31 indicators across three categories – commitment, freedom of expression, and privacy – drawn heavily from international human rights frameworks, as well as emerging and established global principles for privacy and freedom of expression.

The research revealed a deep need for improvement:

Only six companies scored at least 50% of the total possible points;
The overall highest score was only 65%;
Nearly half the companies in the Index scored less than 25%, showing a serious deficit of respect for users’ freedom of expression and privacy.

Google came top in internet companies. List at https://rankingdigitalrights.org/index2015/. Apple isn’t there – doesn’t it have any impact?

Anyhow, speaking of digital rights and freedom of expression…
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A surprisingly difficult question for Facebook: do I have boobs now? » The Guardian

Hannah Jane Parkinson talks to Courtney Demone, a trans woman (ie born male) who asks the question that Facebook apparently finds exceptionally hard to answer:

Demone says that Facebook likes to present itself as a liberal and progressive organisation, but that most of its actions in this regard are decidedly low-risk. She mentions Facebook’s introduction of a widget allowing users to overlay their profile pictures with a rainbow flag and notes that it was to celebrate a gay marriage law which had been passed by the US supreme court – not before, in support of it.

Demone says that [Facebook’s] allowing users to define their gender in a free-form field, and offering a choice of pronouns, is progressive, but it is decidedly lower risk rather than, say, challenging the paradigm that female nipples should be covered up. This, of course, would run the risk of offending advertisers and in the case of Instagram, result in a 17+ user rating in app stores.

This gets to such a deep question: why should American organisations get to decide the mores of the countries that they export their business to? Mark Zuckerberg once said he hoped Facebook could solve the Arab-Israeli conflict by making people friends. But topics such as this shows why it can be seen as more like an enemy of social change.
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India LTE smartphone shipments grew 2400% annually climbing to 10m units in Q3 2015 » Counterpoint Technology Market Research

Tarun Pathak has the details. Here’s one of the more interesting pullouts (from lots) about a local OEM:

Micromax maintained the second position in both overall mobile phone market and the smartphone segment with a market share of 13.7% and 17.7% respectively.

The brand’s share from online channel increased during the quarter. However, it is now facing pressure competition in $50-$100 price segment from Intex, Lava and others.

Micromax’s Cyanogen based online only brand ‘Yu’ launched its cheapest LTE model ‘Yunique’ during the quarter and the brand has been growing steadily ever since its launch.

Micromax Yu brand alone is now selling more smartphones than Xiaomi online, depicting it’s going to be challenging even for popular brands such as Xiaomi to scale in Indian market

If Xiaomi can’t succeed in India, it’s going to have a real problem.
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Google abandons plan for a retail store in New York City » Crain’s New York Business

Daniel Geiger:

Google has abandoned plans to open its first-ever retail store in New York City.

The company is trying to sublease a 5,442-square-foot SoHo space it leased last year, and wants $2.25m annually in rent for it, according to sources.

The decision to abandon its retail store came after the Internet giant spent $6m renovating the 131 Greene St. location. The outpost was supposed to be one of Google’s first stand-alone stores in the U.S., putting it in direct competition with Apple, which has a host of brick-and-mortar shops that showcase and sell its products in the city, as well as other tech firms with a retail presence. Just last week, Microsoft opened its flagship store on Fifth Avenue.

A spokeswoman for Google didn’t immediately respond to a request for comment.

According to reports, Google planned to begin opening stores to sell products such as the Chromebook, a line of laptops and desktop computers made by several manufacturers that operate on Google software, and smartphones that run its Android operating system. Because Google is subleasing the Greene Street location, it would appear that the company has changed its mind and is pulling back on its plan to open physical stores. However, Google reportedly recently opened a kiosk within a larger electronics store in London earlier this year.

Even so. Why would you have a Google store? It doesn’t make sense.
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Over 40% of China’s online sales counterfeit, shoddy: Xinhua » Reuters

Adam Jourdan:

More than 40% of goods sold online in China last year were either counterfeits or of bad quality, the official Xinhua news agency said, illustrating the extent of a problem that has bogged down the fast-growing online sector.

According to the report, which was delivered to China’s top lawmakers on Monday, just under 59 percent of items sold online last year were “genuine or of good quality”, Xinhua said.

China has been trying to shake off a notoriety for pirated and counterfeit goods, long a major headache for global brands targeting the Chinese market from iPhone maker Apple to luxury retailer LVMH.

Chinese e-commerce giant Alibaba Group Holding Ltd has been lobbying to stay off a US blacklist for fakes after coming under renewed pressure this year over suspected counterfeits sold on its shopping platforms.

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It’s official: Amazon is opening its first-ever bookstore in Seattle » GeekWire

Taylor Soper:

Internet giant Amazon.com, which got its start selling books online, confirmed this afternoon that it will open its first-ever brick-and-mortar bookstore at Seattle’s University Village on Tuesday morning.

The company sent a letter to customers on Monday with details about the store, which is called “Amazon Books.” In the letter, Amazon Books VP Jennifer Cast calls the store a “physical extension of Amazon.com.”

Someone should disrupt that thing…
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Microsoft reneges on ‘unlimited’ OneDrive storage promise for Office 365 subscribers » ZDNet

Ed Bott:

Here’s the key part of tonight’s announcement:

We’re no longer planning to offer unlimited storage to Office 365 Home, Personal, or University subscribers. Starting now, those subscriptions will include 1 TB of OneDrive storage.
100 GB and 200 GB paid plans are going away as an option for new users and will be replaced with a 50 GB plan for $1.99 per month in early 2016.

Free OneDrive storage will decrease from 15 GB to 5 GB for all users, current and new. The 15 GB camera roll storage bonus will also be discontinued. These changes will start rolling out in early 2016.

Microsoft blames a few greedy storage users for the change in heart. “A small number of users,” they wrote, “backed up numerous PCs and stored entire movie collections and DVR recordings. In some instances, this exceeded 75 TB per user or 14,000 times the average.”

That shouldn’t be surprising. If you advertise “unlimited” cloud storage, perhaps you should expect that some people will take you at your word and move large collections to the storage space you so generously offered?

Bott also portrays a division in some upheaval, which doesn’t quite fit the calm exterior Microsoft has been trying to put forward over its cloud work.

That “14,000 times the average” suggests that the average person was storing 5GB of data. Though that probably amounts to 10 Microsoft Word documents, given how the format has bloated. (Thanks @pedrostephano.)
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