A Blog by Jonathan Low

 

Oct 3, 2015

Virginia State Police Cars Hacked

Childs' play. Just wait till the state falls behind on its car payments and the automakers remotely deactivate the entire fleet. JL

Lisa Vaas reports in Naked Security:

Virginia State Police (VSP) have been waging cyberwar against Chevrolet Impalas and Ford Tauruses and found that even non-networked cars are susceptible. Researchers found they could make it impossible to shift gears from park to drive, cause a spike in engine RPMs, cause the engine to accelerate without applying a foot to the pedal, and cut off the engine completely.

Walmart Is Plagued By Negative Customer Feedback

Well, that might tend to depress repeat business. JL

Hayley Peterson reports in Business Insider:

The retailer is plagued by negative customer feedback due to lack of convenience in shopping Supercenter formats, below-average customer service, and below-average quality, freshness, and breadth of produce.

New App 'Peeple' Will Enable You To Review and Rate Everyone You Know - and Vice Versa

Yeah, this should really improve global interpersonal relations. If it's not just a prank to get attention... JL

Kim LaCapria reports in Snopes.com :

It’s inherently invasive, even when complimentary. And it’s objectifying and reductive in the manner of all online reviews. Being watched and judged, at all times, by a gaze to which you did not consent.“That’s feedback for you!” Cordray (the founder) enthuses. “You can really use it to your advantage.”

Why Millennials Are Not Who You Think They Are

The popular concept of what we have come to think of as characteristic of an entire generation really has more to do with a segment based on education and urban geography than with a broader set of demographic features. JL

Emily Badger reports in the Washington Post:

Most urban neighborhoods are not Brooklyn, and most 25- to 34-year-olds don’t have bachelor’s degrees.

Why We Keep Buying Each New iPhone

Because the hassle of switching is so huge - and besides, they are designed to make you want to stay in the Apple ecosystem. Happily. JL

Geoffrey Fowler comments in the Wall Street Journal:

The dirty little secret of smartphones is that the hardware differences don’t matter much anymore (but) the benefits to switching—cheaper hardware, more open software and services—usually don’t outweigh the cost of switching. Buying an iPhone is really about getting a golden ticket to Apple Land, where all the tools to run a modern life come included.

Oct 2, 2015

The US Doesn't Produce Enough of the Vegetables Its Gov't Says Citizens Are Supposed To Be Eating

French fries and ketchup are, too, vegetable-derivatives. It's just that they probably shouldn't comprise 50% of Americans' veggie intake. 

Tracie McMillan reports in NPR:

Nearly 50 percent of vegetables and legumes available in the U.S. in 2013 were either tomatoes or potatoes. Lettuce came in third. And while the USDA's own dietary guidelines recommend that adults consume 2.5 to 3 cups of vegetables a day, only 1.7 cups per person are available.

AirBnb Spending $8 Million to Fight Bay Area Rules Restricting Rentals - And Demanding Data About Them

This is a fight as old as the West. In the Broadway musical "Oklahoma!" the lyrics to one refrain allowed that 'the farmer and the cowboy should be friends." But it was never to be - and it never will. Because the issue is about a fundamental disagreement over property rights: as in who can do what with they think is their own - and more to the point, how that is even defined. 

In this case the question covers not just how one can use one's property - but who owns the data about what is being done. That focus has attracted a lot of attention, because in the post-industrial economy, real value may continue to lie in the tangible, but future value hinges on intangible information about the tangible. JL

Biz Carson reports in Business Insider:

Airbnb has vehemently opposed any plan to fork over its data and curb housing nights.

Why Is Art Expensive?

Art is an expression of culture, but it is also an asset class. That may eliminate some of the romance, but it sure reduces the uncertainty about its value. JL

Alex Mayyasi comments in Price Economics:

Brands are king in fine art. Names like Rothko and Pollock distinguish them from unknown artists the same way the Coke and Pepsi brands distinguish them from sugar water. The market for fine art is “curated” to keeping prices predictable and pegged to signals of quality. The result is to turn artists into brands, which introduces enough certainty for the market to function.

Will Twitter Ruin It's One Differentiating Feature If It Eliminates the 140 Character Limit?

Yes, Twitter has many problems. Most of which have to do with the fact that it is not generating as much profit as Facebook as much attention as LinkedIn and as much usage as Instagram.

But it has carved out a unique place in the digisphere through its strict imposition of a 140 character limit. It is a defining feature, one that causes users of other platforms and channels to consider it when contemplating how to make themselves heard, seen or otherwise noticed. Without that, it's not clear that Twitter has anything to recommend its usage. JL

Morgan Jenkins comments in Quartz:

There are arguments to be made against the change from a tech angle, but ultimately it comes down to this: If we wanted Twitter to be like Facebook or Instagram—social-media platforms that have been overtaken by epic rants and 500-word-long updates—we would simply use those sites. Sometimes, a little restraint is exactly what the world needs

Stop Googling (or Texting or Posting...), Let's Talk

Our relationship with technology is increasingly complex: psychologically, sociologically and philosophically. As the following article explains, attempting to find the line between the virtual and 'real' worlds is fruitless because for many, if not most, it no longer exists. We live on both planes of existence - or think we do.

The reality appears to be that the digitally denominated virtual world is crowding out that other one. We dont use our phones for conversation, but for communication in ways of an aggressively defensive rather that inclusive nature. This is a choice, but one imposed both by the technology and the prevailing ethos.

If we are to optimize the benefits of the wondrous devices and software at our disposal for ourselves, our friends and family, our organizations and the socio-economic system in which we live, we may have to rethink the ways in which technology affects those relationships. And then do something about it. JL

Sherry Turkle comments in the New York Times:

Every technology asks us to confront human values. This is a good thing, because it causes us to reaffirm what they are. (For instance) people are less likely to post opinions on social media when they fear their followers will disagree with them. It is wise to approach our relationship with technology in the context that goes beyond it.

Oct 1, 2015

Just Another Statistic: More Americans Have Been Killed By Guns in the Past 25 Years Than Americans Killed in Battle Since 1776

As of today's outrage, add the ten (oops, now 13) students just shot and killed at Oregon's Umpqua Community College to the tally. JL

Hannah Levintova reports in Mother Jones:

The number of gun deaths in the United States since 1989 exceeds the number of American combat fatalities in 239 years of US history—from the Revolutionary War to the conflicts in Iraq and Afghanistan.

Dutch Authorities Call Uber 'A Criminal Organization;' Or, It's a Great Time To Be an Uber Lawyer

For those keeping score at home, Uber's Dutch offices have now been raided four times. The mayor of Rio de Janeiro has signed legislation outlawing the company's services, Australia is examining the company's violation of regulations and in Greater London, new regs would effectively end its ability to provide services there.

On the bright side, a Parisian judge has postponed the trial of Uber executives accused of criminal violations of French law.

Gotta take the good with the bad, but whatever you do, keep on billing! JL

Slashdot reports:

Uber's lawyers must be incredibly busy.

Intuition vs Analytics: Data Is Pushing Merchants Aside

The golden gut is being replaced by the golden mean. The issue is whether this is a distinct improvement or just another cyclical evolution in decision-making. JL

Suzanne Kapner and Joann Lublin report in the Wall Street Journal:

Consolidation has resulted in chains that have grown so big that buying by instinct isn’t an option. But that scale comes at a price. Stores all start to look the same. Price optimization software has become common. Rather than having a merchant decide when to mark down, the computer solves that problem. (But) you now need so much data that opportunities can pass.

Thousands of Medical Devices Vulnerable To Hacking

Reusing default passwords for multiple devices - and warning customers not to change them so that manufacturers reduce the cost of servicing - is reminiscent of Sony 'hiding' its corporate passwords in a digital file labelled 'passwords.' JL

James Niccolai reports in IT World:

The same default passwords were used for different models of a device, and in some cases a manufacturer warned customers that if they changed default passwords they might not be eligible for support. That's apparently because support teams needed passwords to service the systems.Next time you're getting hooked up to a machine and you see an Ethernet cable going to the wall, it makes you think twice.

The Algorithmic Shift Boss: Workers in a World of Continuous Partial Employment

The purpose of partial employment is not - despite the rhetoric about freedom and flexibility - to benefit the worker, but to improve the profitability of the enterprise. The question is whether, and how, those affected might negotiate a better deal. JL

Tim O'Reilly reports in Medium:

If “the algorithm is the new shift boss”, the business rules driving the algorithm, and whether it increases or decreases the opportunities offered to workers, make a huge difference. Is technology empowering workers, or making them more helpless cogs in a profit machine?

Sep 30, 2015

Using Visual Platforms To Attract Consumers' Attention Requires Strategic Creativity

'It ain't like rolling off a log' conveys the message that the seemingly easy if often anything but. The increasing use of visual and social media like Instagram and Twitter to sell products and services requires greater attention to detail than many advertisers are accustomed to - and may entail rethinking the connection between technology and those who use it. JL

Lior Eldan comments in Venture Beat:

The fact that users now pay close attention to detail may have marketers rethinking the content they’ve been putting out there. Ads no longer feature perfectly positioned actors and products. Brands are now all about promoting products through authentic ideals and messages.

Exxon Research Confirmed Fossil Fuels' Role in Climate Change - As Far Back As 1977

Maybe those researchers weren't really scientists either... JL

Neela Banerjee and colleagues report in Inside Climate News:

"There is general scientific agreement that the most likely manner in which mankind is influencing the global climate is through carbon dioxide release from the burning of fossil fuels," Black told Exxon's Management Committee.

The Importance of Creating an Emotional Connection With Remote Employees

In the digital age there is a growing risk that everyone in an organization feels remote: emotionally, culturally, strategically and physically.  JL

Ilan Mochari reports in Inc.:

Employees at headquarters often feel as if remote employees don't do their fair share. Remote workers often feel as if they are ignored.

Internet of Threats: The Economic Future and How To Survive It

The cost savings that technology and better management were able to generate from protected, lazy or under-resourced industries and companies have now largely been realized. Future growth from the easy pickings of clueless competitors will be rare. There is no significant global business or businessman who does not now have access to the best technology and thinking.

The pressures are growing: data drives business today and the cost of 'inventory' replacement is virtually nil. And, as the following article explains, more and more tech startups, especially those deemed unicorns with valuations of over $1 billion are frequently held by private investors or venture capitalists who are willing to endure losses in order to gain market share dominance, making life for those who need profits even harder.

The good news is that those who are aware of these trends, willing to assume sensible risk and invest to grow (rather than sitting on cash while waiting for 'guaranteed' returns) will succeed. You dont want to be one of the others. JL

Richard Dobbs and colleagues report in Harvard Business Review:

Consumers could be the big winners, as could some workers. As we’ve seen, many companies’ profit margins are being squeezed, all experienced price declines in recent years because of the emergence of new platforms and tech-driven competitors. Nobody is immune, but at risk include those that rely on large physical investments to provide services or that act as intermediaries in a services value chain

Sep 29, 2015

Whole Paycheck? Whole Foods To Lay Off 1,500 Workers As Pricey Reputation Hurts Sales

Is this another sign of economic downturn or simply that better quality food is more widely available, thus causing competition to intensify? The latter seems more likely: grocery chains are expanding higher margin organic and more exotic foods, cutting into Whole Foods' share.

The company has also suffered from lingering negative publicity about its prices, a reputation exacerbated by charges from New York officials that it overcharged for certain items. Most consumers probably never noticed but a key to the company's higher margins was trust - and that may have been damaged in the ensuing controversy. As Apple and others have long understood, your ability to command premium prices is only as good as the popular perception that you are worth it. JL

Neal Ungerleider reports in Fast Company:

Whole Foods showed disappointing sales numbers last quarter, in part because of lingering bad press.

Does Social Media Buzz Drive Sales?

Unilever says yes, Coke says no. Both are consumer products icons. The fact that they can disagree about social media outcomes speaks volumes about the state of the data - and the analysis. Which is to say, check back in a couple of years?  JL

Jack Neff reports in Advertising Age:

Only one in a thousand TV ad impressions prompts a sale compared to data from a study which tracks digital media performance using photo recognition technology, that an unnamed major brand generated sales from 40 in 1,000 digital impressions by targeting owners specifically.

Selling Devices Isn't The Same As Selling Trust: The Wealth Management Robo-Advisor Shakeout

This technology stuff is just so darn disruptive. Especially to itself. JL

Craig Iskowitz comments in Wealth Management Today:

Companies settle on the “dominant design”; economies of scale are achieved, forcing smaller players to be acquired or exit. Barriers to entry become very high, as consolidation occurs. I’m going to refer to this phase of the robo-advisor lifecycle as “bayoneting the wounded”.

New iPhones, New Behaviors

Users of new technology, like the latest iPhone, are being manipulated, often willingly - frequently with a sense of wonder and gratitude. But the fact remains that technology has often dictated societal choices without asking permission - or forgiveness: electricity, automobiles, telephones, televisions, computers.

The question is whether the results will continue to justify the cost to those affected by them. JL

Ben Bajarin comments in re/code:

These latest-generation iPhones are laying new ground for Apple to build upon for all future versions. There is simply no going back.

Sep 28, 2015

How Trade Secret Trolls Could Be the New Patent Trolls

Same game, slightly different bat. JL

Russell Brandom reports in The Verge:

Frivolous lawsuits are nothing new, but recent shifts have made trade secrets a particularly attractive claim for anyone looking to go after a tech company. As courts weaken patent protection to counteract trolls, companies have been keeping more of their intellectual property as unregistered trade secrets. That gives trolls more cover if they want to puff up a shaky claim into a quick settlement.

'Failure' Parachutes for Fired CEOs Are Falling Out of Favor - Sort Of

VW's $32 million payout to its ousted CEO is neither an exception - nor does it necessarily prove the rule.

Since many boards are made up of other companies' CEOs, the interest to help someone who may one day help them remains strong.

But as the following article explains, investors are growing increasingly impatient with compensation policies that reward individuals for poor performance - at investors' expense. JL

Joann Lublin reports in the Wall Street Journal:

Despite investors’ growing pique over CEO rewards for poor performance, paying dismissed chiefs remains common. Nearly 60% of publicly held companies have policies or agreements to pay cash severance to top bosses ousted. Boards don’t want to have severance pay practices that are problematic in the eyes of investors.

Everyone Takes a Piece: Ad Tech Was Supposed To Save Money, But Does It Really?

Tech has entered a new phase about which those promoting technological solutions are understandably ambivalent: everyone who thought they could grab a piece of the action is discovering that they, themselves, may be disintermediated by clients more concerned with managing costs than celebrating innovation. JL

Alexandra Bruell reports in Advertising Age:

Ad tech does offer marketers nearly magical new powers. But getting useful ads more cheaply than in traditional buying is not one of them. Marketers expect programmatic buying to be 10 times cheaper than traditional means because they think only about the ad inventory itself and don't anticipate the surrounding expenses,

A Toxic World of Work

The conditions through which advancement and career success are possible may no longer be amenable to the realities of most members of the work force.

This is due, as the following article explains, to the demands placed on those expected to perform the necessary tasks by those who control the capital through which compensation and promotion are determined.

The cause is common - every greater insistence on escalating returns from capital - but the outcome may be reinforcing the downward pressure on financial capabilities that may ultimately render the system economically - and thus politically and socially - unsustainable. JL,

Anne-Marie Slaughter comments in the New York Times:

The key human resources problem (is) not gender, as management believe(s) but rather a culture of overwork.The people who can compete and succeed in this culture are an ever-narrower slice of American society: largely young people who are healthy, and wealthy enough not to have to care for family members.

Sep 27, 2015

Judge Rules" Happy Birthday To You" Copyright Invalid

Oh yeah, the lyrics...JL

Sarah Pruitt reports in History:

In his 43-page decision, Judge King ruled the copyright invalid, finding that though Summy Co. may have owned the copyright to “Good Morning to All,” it never had proper rights to the “Happy Birthday” lyrics. It was not  clear that the Hill sisters had written the original song, but they never asserted a claim for the lyrics, though they did sue for rights for the original melody.

In Ten Years Banking Will Look Like a Sci-Fi Film

It kinda does already, but this time it won't be primarily because of bankers' behavior. JL

Tim Wallace reports in The Telegraph:

Future technologies could lead to personalised shopping assistance, highly specific help building your business, and the type of financial advice currently only available to billionaires

How Come Spammers Are Flooding Google With Fake IP Complaints?

Using the rules to skirt the rules. JL

Fletcher Babb reports in Venture Beat:

Spammers are using takedown notices to (very ironically) promote their own stolen and/or bootlegged wares — like sunglasses, handbags, software, and designer clothes. Not to mention spammers’ bread and butter: male enhancement pills.

The Smartphone State: Is Digital Government Really Going To Be Better?

Democracy is inherently messy. Which means that when efficiency is imposed  the results are not necessarily what anyone intends - or wants. JL

Michael Rundle reports in Wired:

The ongoing transition to 'digital government' is a phrase that, like 'cutting red tape', has been used in the past to justify more or less anything -- from introducing new services to shrinking existing ones. But it has also resulted in real benefits.