The Airbnb headquarters takes up three floors of a former battery factory in San Francisco’s SoMA neighborhood and houses roughly 1,100 employees, but its secondary function hits you as soon as you walk in: The place is a museum. Chesky, an art school graduate, designed the conference rooms as exact replicas of more than a dozen of the most significant Airbnb listings, including the nearby apartment where he and his cofounder Joe Gebbia were living when they rented out three air mattresses during a design conference to help pay the rent. (Chesky still lives there, periodically offering the couch to travelers for $40 a night.) Dollhouse-like dioramas of well-known listings greet guests near the lobby, and framed artwork lines the walls throughout, accompanied by museum-style didactic panels that offer an interpretation. An entire wall is dedicated to exploring the creative origins of Airbnb’s new logo, and another exhibit attempts to imagine what Airbnb’s flag might look like if the company were a country. One possibility: AIRBNB IS THE NEXT STAGE OF HUMAN EVOLUTION, overlaid on a scientific illustration that shows our progression from apes to cavemen to humans. None of this is done with much of a sense of humor, and as I mull the March of Progress, I wonder if there has ever been a company with such an expansive sense of its own importance. ... This is no exaggeration: During Airbnb’s first year in business, every venture capitalist Chesky pitched turned him down, and few guests were willing to risk staying with people they’d never met. Chesky and his cofounders relied on storytelling to make the idea seem friendly and, crucially, safe. It was a tall order, but Chesky is a gifted storyteller.
Over the past century, technological advancements have massively reduced the cost and time needed to create and circulate content. Though this has liberated artists, consumers are now drowning in a virtually infinite supply of things to watch, listen to and read. The answer to a world where attention is the key constraint, not capital or distribution, isn’t Big Media – it’s the Influencer Curator. ... the next evolution in the media value chain will be the rise of decentralized curation – with individual tastemakers building up mass followings and driving enormous consumption by recommending various articles, videos, shows, films, albums, exhibits and so on. While there’s no way to effectively do this at scale today, the transition is long in development.
Welcome to the world of zombie tech stocks—once-highflying IPOs wandering aimlessly in the wasteland of the public equity markets and understandably unloved by investors. ... To be fair, some major tech IPOs have soared in recent years ... The detritus far outnumber the success stories, raising the question, Is the method by which companies go public as broken and inequitable as it ever was? That would certainly seem to be the case. And the problem is especially acute when it comes to tech companies for which relentless forward momentum is key not only to pleasing investors but also to attracting talent and keeping their competitive edge. ... a tremendous backlog of potential technology IPOs is building up just as the stock market is beginning to look very wobbly after its nearly seven-year bull run. ... It appears that a reckoning is coming in the tech world. The combined value ascribed to the 173 unicorns by their investors is a stunning $585 billion—an especially astonishing figure given that so many of them aren’t even close to profitable. Sky-high valuations—driven in part by unicorn mania and an influx of money from nontraditional (and less disciplined) venture investors—have limited the number of potential acquirers for a lot of the buzziest companies.
- Also: Gartner - 2015 Hype Cycle for Emerging Technologies < 5min
- Also: The New York Times - Protections for Late Investors Can Inflate Start-Up Valuations < 5min
- Also: Business Insider - Evernote, the first dead unicorn < 5min
- Also: Bloomberg - The Man Who Taught Mutual Funds How to Invest in Startups < 5min
Until recently the military junta had imposed artificial caps on access to smartphones and SIM cards. Many of the farmers we spoke with had never owned a smartphone before. The villages were often without running water or electricity, but they buzzed with newly minted cell towers and strong 3G signals. For them, everything networked was new. ... Almost all of the farmers we spoke with were Facebook users. None had heard of Twitter. How they used Facebook was not dissimilar to how many of us in the West see and think of Twitter: as a source of news, a place where you can follow your interests. The majority, however, didn’t see the social platform as a place to be particularly social or to connect with and stay up to date on comings and goings within their villages. ... What follows are a series of diary entries and notes culled from our interviews. The interview teams were composed of three or four people: a translator, a photographer, a notetaker, and sometimes a facilitator. ... Everyone is data sensitive he says and reiterates: Facebook. Nobody needs a special app for their interests. Just search for your interest on Facebook. Facebook is the Internet. ... Everyone installs apps using Zapya, an app-sharing app. Makes a local network. Everyone nearby connects to it. Allows groups to send data—apps, videos, music—back and forth without using bandwidth. ... there is no incumbent electric giant monopolizing rural areas to fight against solar, there is no incumbent bank which will lobby against bitcoin, there are no expectations about how a computer should work, how a digital book should feel. There is only hunger and curiosity. ... They don’t have email addresses and so often don’t know their logins. If they get logged out they have someone—often the village Facebook guru—make them a new account. “Friends” on Facebook are friends only because the application calls them friends in the interface.
Driving itself is changing. Between electric and self-driving vehicles, ubiquitous sensors, network connectivity, and new kinds of transportation companies, everything is in flux: cars, how we feel about them, even roads and cities. This isn’t just hypothetical; you can use these things today. A radical phase shift is redrawing the map, literally and metaphorically. ... the new tools and technologies for moving around are interesting; put them together and you get something profound. Connect these new systems and individual networks to each other and they self-assemble into a transportation super-network. It’s decentralized, offers multiple routes from node to node, carries any kind of person or thing to any kind of place, and adjusts itself in real time. ... Sound familiar? Of course it does. That’s how the Internet works. ... To the new transportation supernetwork, you and I are just data. It doesn’t matter where we want to go; it just knows how to get us there—faster, cheaper, and utterly in control.
All of her reactions, and her answers to the questions Motte asked as Megan used the site, went into a growing database. Expedia, the parent company of more than a dozen travel-oriented brands in addition to Expedia.com, is obsessed with figuring out how to make booking travel online more intuitive, more efficient, and more enjoyable. That means, among other things, understanding the psychodrama of trip planning: the shifting desires and paralyzing wealth of choices, the unsettling gyrations in room rates and ticket prices, the competing demands of family members and budgets and schedules, the need to balance the thirst for adventure against the fear of Zika virus in Latin America or Islamic State in Europe. ... The goal of Expedia’s usability researchers is not only to make Expedia’s various sites and mobile apps more efficient but also to make them an extension of the vacation fantasies that are always running in the back of our heads. ... What distinguishes Expedia is its dedication to understanding the psyche of the modern travel planner. That may be most apparent in the Usability Lab, but much of it happens on the sites themselves, as the company relentlessly tests new ideas about look and feel and function. ... each of Expedia’s brands has its own technology and marketing teams, and they’re encouraged to set their own course. They all benefit from the massive inventory of hotel rooms and plane tickets and the financial resources and technological firepower of the parent company. ... Two-thirds of the A/B tests Expedia runs show no effect or a negative effect, and most of the successful ones are only marginally so.
If you want to understand Snapchat, the insanely fast-growing and—to people born before 1990—straight-up insane messaging app and media platform, DJ Khaled is your Virgil. If you were one of the 100 million people who logged in to Snapchat each day during Super Bowl weekend, his thick beard and full frame were impossible to miss. You would have seen clips of him at an impromptu concert where he was mobbed by several hundred screaming fans waving giant cardboard keys, or at a raucous party sponsored by PepsiCo, or in a pedicab he hailed after the game. “Ride wit me through the journey [to] more success,” he captioned that last video, as his chauffeur pedaled furiously. ... Its annual revenue is small—perhaps $200 million, according to several press reports—but it has already drawn many big-name advertisers. ... it’s not just an American phenomenon: Snapchat is a top 10 most-downloaded app in about 100 countries ... History suggests that cookie-based media, and Snapchat in general, may be a fad.
Amazon’s CEO has driven his company to all-consuming growth (and even, believe it or not, profits). Today, though, as he deepens his involvement in his media and space ventures, Bezos is becoming a power beyond Amazon. It has forced him to become an even better leader. ... More has gone right for Bezos lately than perhaps at any other time during his two-decade run in the public eye. His company is expanding internationally and spreading its hydra-headed product and service offerings in unexpected new directions. Bezos, too, is evolving. Always a fierce competitor and stern taskmaster, he has begun to show another side. With the Post, he’s taken a seat at the civic-leadership table. And with his various projects Bezos is also becoming known as a visionary on topics beyond dreaming up new ways to gut the profit margins of Amazon’s many foes. ... Bezos is preternaturally consistent. He still preaches customer focus and long-term thinking. Yet of necessity, as Amazon has become massive—and as he has indulged his eclectic and time-consuming pursuits—he has become the sort of leader who empowers others.
The company that got its start delivering loaner DVDs in the mail is now positioning itself to be first truly global content network, and its original shows—especially marquee titles like Daredevil—are key to that ambition. ... perhaps the even bigger deal is that sending a new show worldwide felt like no big deal at all; the Netflix war room was less Dr. Strangelove than late-night potluck. Champagne was poured, a countdown ended, the show began, and that was that. Absent the dim lighting and the bubbly and a gaggle of international journalists, it felt like just another day at the office. ... That seeming ease of execution belies the time, money, and effort Netflix has sweated in the years leading up to now. From building up its global IT infrastructure to harnessing a world’s worth of data to creating content with global appeal, Netflix has been focusing its corporate energy on this exact moment. ... For Netflix, becoming a truly global network presents a path for steady growth over the next decade and beyond. It has 75 million subscribers today; there are seven billion more out there. For the world, Netflix’s aspiration could mean much more: the first glimpse at what happens when every part of an online entertainment empire, from interface to content to delivery, is engineered to be everything to everyone, all of the time.
Since its release seven years ago, Minecraft has become a global sensation, captivating a generation of children. There are over 100 million registered players, and it’s now the third-best-selling video game in history, after Tetris and Wii Sports. In 2014, Microsoft bought Minecraft — and Mojang, the Swedish game studio behind it — for $2.5 billion. ... There have been blockbuster games before, of course. But as Jordan’s experience suggests — and as parents peering over their children’s shoulders sense — Minecraft is a different sort of phenomenon. ... For one thing, it doesn’t really feel like a game. It’s more like a destination, a technical tool, a cultural scene, or all three put together: a place where kids engineer complex machines, shoot videos of their escapades that they post on YouTube, make art and set up servers, online versions of the game where they can hang out with friends. It’s a world of trial and error and constant discovery, stuffed with byzantine secrets, obscure text commands and hidden recipes. And it runs completely counter to most modern computing trends. ... Minecraft culture is a throwback to the heady early days of the digital age. In the late ’70s and ’80s, the arrival of personal computers like the Commodore 64 gave rise to the first generation of kids fluent in computation. They learned to program in Basic, to write software that they swapped excitedly with their peers. It was a playful renaissance that eerily parallels the embrace of Minecraft by today’s youth. ... Today it costs $27 and sells 10,000 copies a day. (It’s still popular across all age groups; according to Microsoft, the average player is between 28 and 29, and women make up nearly 40 percent of all players.)
Virtual reality overlaid on the real world in this manner is called mixed reality, or MR. (The goggles are semitransparent, allowing you to see your actual surroundings.) It is more difficult to achieve than the classic fully immersive virtual reality, or VR, where all you see are synthetic images, and in many ways MR is the more powerful of the two technologies. ... Magic Leap is not the only company creating mixed-reality technology, but right now the quality of its virtual visions exceeds all others. Because of this lead, money is pouring into this Florida office park. ... At the beginning of this year, the company completed what may be the largest C-round of financing in history: $793.5 million. To date, investors have funneled $1.4 billion into it. ... to really understand what’s happening at Magic Leap, you need to also understand the tidal wave surging through the entire tech industry. All the major players—Facebook, Google, Apple, Amazon, Microsoft, Sony, Samsung—have whole groups dedicated to artificial reality, and they’re hiring more engineers daily. Facebook alone has over 400 people working on VR. Then there are some 230 other companies, such as Meta, the Void, Atheer, Lytro, and 8i, working furiously on hardware and content for this new platform. To fully appreciate Magic Leap’s gravitational pull, you really must see this emerging industry—every virtual-reality and mixed-reality headset, every VR camera technique, all the novel VR applications, beta-version VR games, every prototype VR social world. ... The recurring discovery I made in each virtual world I entered was that although every one of these environments was fake, the experiences I had in them were genuine. ... The technology forces you to be present—in a way flatscreens do not—so that you gain authentic experiences, as authentic as in real life.
The Blackwater of surveillance, the Hacking Team is among the world’s few dozen private contractors feeding a clandestine, multibillion-dollar industry that arms the world’s law enforcement and intelligence agencies with spyware. Comprised of around 40 engineers and salespeople who peddle its goods to more than 40 nations, the Hacking Team epitomizes what Reporters Without Borders, the international anti-censorship group, dubs the “era of digital mercenaries.” ... The Italian company’s tools — “the hacking suite for governmental interception,” its website claims — are marketed for fighting criminals and terrorists. ... “Privacy is very important,” Vincenzetti says on a recent February morning in Milan, pausing to sip his espresso. “But national security is much more important.” ... Between 2003 and 2004, Vincenzetti and two college friends worked in their dank, underground apartment and coded what would become the Hacking Team’s flagship software. Called the Remote Control System (RCS), it commandeers a target’s devices without detection, allowing a government to deploy malware against known enemies. (The product was later dubbed Da Vinci, then Galileo.) Think of it as a criminal dossier: A tab marked “Targets” calls up a profile photo, which a spy must snap surreptitiously using the camera inside the subject’s hacked device. Beside the picture, a menu of technologies (laptop, phone, tablet, etc.) offers an agent the ability to scroll through the person’s data, including email, Facebook, Skype, online aliases, contacts, favorite websites, and geographical location. Over time, the software enables government spooks to build a deep, sprawling portfolio of intelligence. ... A hacktivist known as Phineas Fisher had hijacked the Hacking Team’s official Twitter account and posted an ominous message: “Since we have nothing to hide, we’re publishing all our emails, files, and source code.” Following the message was a link to more than 400 gigabytes of the company’s most sensitive data.
Most start-up offices look the same — faux midcentury furniture, brick walls, snack bar, bar cart. Interior designers in Silicon Valley are either brand-conscious or very literal. When tech products are projected into the physical world they become aesthetics unto themselves, as if to insist on their own reality: the office belonging to a home-sharing website is decorated like rooms in its customers’ pool houses and pieds-à-terre; the foyer of a hotel-booking start-up has a concierge desk replete with bell (no concierge); the headquarters of a ride-sharing app gleams in the same colors as the app itself, down to the sleek elevator bank. A book-related start-up holds a small and sad library, the shelves half-empty, paperbacks and object-oriented-programming manuals sloping against one another. ... My guide leads me through the communal kitchen, which has the trappings of every other start-up pantry: plastic bins of trail mix and Goldfish, bowls of Popchips and miniature candy bars. There’s the requisite wholesale box of assorted Clif Bars, and in the fridge are flavored water, string cheese, and single-serving cartons of chocolate milk. It can be hard to tell whether a company is training for a marathon or eating an after-school snack. Once I walked into our kitchen and found two Account Managers pounding Shot Bloks, chewy cubes of glucose marketed to endurance athletes. ... “Just add logic!” I advise cheerfully. This means nothing to me but generally resonates with engineers. It shocks me every time someone nods along. ... Around here, we nonengineers are pressed to prove our value. The hierarchy is pervasive, ingrained in the industry’s dismissal of marketing and its insistence that a good product sells itself; evident in the few “office hours” established for engineers (our scheduled opportunity to approach with questions and bugs); reflected in our salaries and equity allotment, even though it’s harder to find a good copywriter than a liberal-arts graduate with a degree in history and twelve weeks’ training from an uncredentialed coding dojo. ... Half of the conversations I overhear these days are about money, but nobody likes to get specific. It behooves everyone to stay theoretical.
- Also: Wall Street Journal - This Tech Bubble Is Bursting < 5min
- Also: Fortune - How Reddit Plans To Become a 'Real' Business 5-15min
- Also: BuzzFeed - Inside Palantir, Silicon Valley’s Most Secretive Company 5-15min
- Also: Quartz - Bill Gurley says Silicon Valley's unicorn fantasy is collapsing in on itself < 5min
- Also: McKinsey - The ‘tech bubble’ puzzle < 5min
- Also: Gawker - I Have No Idea What This Startup Does and Nobody Will Tell Me < 5min
- Also: Financial Times - China tech: Renminbi to burn < 5min
- Also: Bloomberg - For Sale! Vintage Internet Company 5-15min
Ah, there you are. That didn't take too long, surely? Just a click or a tap and, if you’ve some 21st century connectivity, you landed on this page in a trice. ... But how does it work? Have you ever thought about how that cat picture actually gets from a server in Oregon to your PC in London? We’re not simply talking about the wonders of TCP/IP or pervasive Wi-Fi hotspots, though those are vitally important as well. No, we’re talking about the big infrastructure: the huge submarine cables, the vast landing sites and data centres with their massively redundant power systems, and the elephantine, labyrinthine last-mile networks that actually hook billions of us to the Internet. ... And perhaps even more importantly, as our reliance on omnipresent connectivity continues to blossom, our connected device numbers swell, and our thirst for bandwidth knows no bounds, how do we keep the Internet running? How do Verizon or Virgin reliably get 100 million bytes of data to your house every second, all day every day?
Since banks charge transaction fees and bake in markups to exchange rates, the duo’s frequent currency transfers were costing them a small fortune. One year Käärmann thought HSBC had lost some of his Christmas bonus because 500 euros less than expected arrived in his account. ... The Estonian software engineers devised a simple solution: Hinrikus would transfer euros from his Estonian bank account into Käärmann’s Estonian account, while Käärmann would transfer pounds from his British HSBC account to Hinrikus’ at Lloyds. This would save them on international transfer fees, as well as on currency drag since they used the real exchange rate, known as the midmarket rate. Soon they had a Skype chat going with other Estonians who wanted to exchange money this way. Eventually this Skype-linked money exchange forum morphed into TransferWise. ... TransferWise uses a system not unlike the ones big financial institutions use to “cross-trade” securities, without incurring costs or commissions, by internally matching buyers and sellers. In this case the official midmarket price offers clarity–neither side is speculating–so it’s simply a balancing process, as TransferWise’s computers simultaneously verify that both sides have the money ready to swap. Indeed, its matching system means funds rarely cross international borders. ... The company is now producing roughly $5 million in revenue a month versus about $1 million per month a year ago. ... Of the $150 trillion in currency-transfer volume annually, the consumer portion amounts to an estimated $3 trillion. ... Still, that’s a decent-size market, with the revenue generated from it exceeding $45 billion.
Easy access to capital has allowed the company to bid aggressively on content for its service. This year Netflix will spend $5 billion, nearly three times what HBO spends, on content, which includes what it licenses ... dozens of original shows (more than 600 hours of original programming are planned for this year) often receive as much critical acclaim and popular buzz as anything available on cable. ... But the assembled executives also had reason to worry. Just because Netflix had essentially created this new world of internet TV was no guarantee that it could continue to dominate it. Hulu, a streaming service jointly owned by 21st Century Fox, Disney and NBC Universal, had become more assertive in licensing and developing shows, vying with Netflix for deals. And there was other competition as well: small companies like Vimeo and giants like Amazon, an aggressive buyer of original series. Even the networks, which long considered Netflix an ally, had begun to fight back by developing their own streaming apps. Last fall, Time Warner hinted that it was considering withholding its shows from Netflix and other streaming services for a longer period. ... At the moment, Netflix has a negative cash flow of almost $1 billion; it regularly needs to go to the debt market to replenish its coffers. Its $6.8 billion in revenue last year pales in comparison to the $28 billion or so at media giants like Time Warner and 21st Century Fox. And for all the original shows Netflix has underwritten, it remains dependent on the very networks that fear its potential to destroy their longtime business model in the way that internet competitors undermined the newspaper and music industries. Now that so many entertainment companies see it as an existential threat, the question is whether Netflix can continue to thrive in the new TV universe that it has brought into being.
Comcast has installed tens of millions of cable boxes, Wi-Fi routers, and other hardware in American homes over the years. These devices have been forgettable at best. Stirling hopes that’s about to change. Later this year, the company will begin rolling out a family of slimmed-down internet, TV, and home-security gadgets. The devices are designed according to a radical concept that’s largely gone untested in more than a half-century of cable-TV history—that hardware doesn’t have to be hideous. ... The new devices are designed to work in concert with X1—the software at the heart of Comcast’s strategy to keep its 22.4 million cable subscribers from cutting the cord and defecting to Netflix, Hulu, and Amazon. Think of X1 as the company’s own Android or iOS—a technological platform upon which an empire of software, hardware, and services can be built. ... Instead of just throwing every channel into a linear grid accessed by clicking up and down with a remote, X1 aggregates programming from hundreds of TV networks and online sources and arranges everything by genre. ... Unlike most cable companies, Comcast has actually been gaining TV subscribers.
For a while we thought we could choose our own music. Remember that? In the wake of the last century we seized the right to take our pick from all of the songs in the world (All of the songs in the world!) and told anyone who didn’t like it exactly where they could go. And when it turned out that was too many songs after all (how many lifetimes are needed for a complete survey of Memphis soul? Or Brazilian funk?), a new category of music services appeared to ease our burden. But these services were flawed, said someone about to make a lot of money, and could only recommend music based on what we were already listening to. Did they even really know what we wanted? Do we not contain multitudes? And so now we have people like Chery. ... Since he left XXL magazine to join the music-streaming service Beats Music (now Apple Music) as head of hip-hop and R&B programming in 2012, Chery and around a dozen of his colleagues, working largely behind the scenes, have embarked on a never-ending quest to organize every song in history into concise playlists that you can’t live without. ... In 2014, when Tim Cook explained Apple’s stunning $3 billion purchase of Beats by repeatedly invoking its “very rare and hard to find” team of music experts, he was talking about these guys. And their efforts since, which have pointed toward curated playlists (specifically, an industrial-scale trove of 14,000 and counting) as the format of the future, have helped turn what was once a humble labor of love for music fans into an increasingly high-stakes contest between some of the richest companies in the world. ... Try any of the major music streaming services today and you’ll find variations on a common theme: thousands of ready-made playlists (“Rich Girl Pop,” “Inspired by Jeff Buckley,” “Songs to Sing in the Shower”) for every conceivable genre, activity, or mood.
He's not the genius cranking out code, the analyst looking for the next big IPO, the hand-shaking CEO, or the wartime general turning a pile of intel into a plan. He's the guy who can talk to all of those people, understand them, and combine their strengths into a matrix none individually would have imagined. ... He didn't even have a particularly military bearing. While other guys pumped iron, the lithe little yoga dude they called Dr. Spaghetti Man was stretching and breathing on the wrestling mats, an Ivy Leaguer downward-dogging in a world of booyah. ... As a DARPA program manager, White could name his project. And the “thing” he wanted to make was a new breed of search engines, capable of mining the entirety of the Internet. ... White’s Memex project would be a portfolio approach. Some tools would dive into the dark Web and present all the hidden onion sites to be found there as a list, something previously considered too difficult to bother with. Others would index and sort the enormous flows of deep and dark Web online forums (which are otherwise unsearchable). Others would monitor social-media trends, connect photos, read handwritten information, or strip out data from Web pages and cross-index the results into data maps.
For a decade and a half, I’d been a web obsessive, publishing blog posts multiple times a day, seven days a week, and ultimately corralling a team that curated the web every 20 minutes during peak hours. Each morning began with a full immersion in the stream of internet consciousness and news, jumping from site to site, tweet to tweet, breaking news story to hottest take, scanning countless images and videos, catching up with multiple memes. Throughout the day, I’d cough up an insight or an argument or a joke about what had just occurred or what was happening right now. And at times, as events took over, I’d spend weeks manically grabbing every tiny scrap of a developing story in order to fuse them into a narrative in real time. I was in an unending dialogue with readers who were caviling, praising, booing, correcting. My brain had never been so occupied so insistently by so many different subjects and in so public a way for so long. ... I was, in other words, a very early adopter of what we might now call living-in-the-web. And as the years went by, I realized I was no longer alone. Facebook soon gave everyone the equivalent of their own blog and their own audience. More and more people got a smartphone — connecting them instantly to a deluge of febrile content, forcing them to cull and absorb and assimilate the online torrent as relentlessly as I had once. ... Then the apps descended, like the rain, to inundate what was left of our free time. It was ubiquitous now, this virtual living, this never-stopping, this always-updating. ... the insanity was now banality ... e almost forget that ten years ago, there were no smartphones, and as recently as 2011, only a third of Americans owned one. Now nearly two-thirds do. That figure reaches 85 percent when you’re only counting young adults. And 46 percent of Americans told Pew surveyors last year a simple but remarkable thing: They could not live without one. ... By rapidly substituting virtual reality for reality, we are diminishing the scope of this interaction even as we multiply the number of people with whom we interact.
Harris is the closest thing Silicon Valley has to a conscience. As the co‑founder of Time Well Spent, an advocacy group, he is trying to bring moral integrity to software design: essentially, to persuade the tech world to help us disengage more easily from its devices. ... While some blame our collective tech addiction on personal failings, like weak willpower, Harris points a finger at the software itself. That itch to glance at our phone is a natural reaction to apps and websites engineered to get us scrolling as frequently as possible. The attention economy, which showers profits on companies that seize our focus, has kicked off what Harris calls a “race to the bottom of the brain stem.” ... we’ve lost control of our relationship with technology because technology has become better at controlling us. ... He studied computer science at Stanford while interning at Apple, then embarked on a master’s degree at Stanford, where he joined the Persuasive Technology Lab. Run by the experimental psychologist B. J. Fogg, the lab has earned a cultlike following among entrepreneurs hoping to master Fogg’s principles of “behavior design”—a euphemism for what sometimes amounts to building software that nudges us toward the habits a company seeks to instill. ... Sites foster a sort of distracted lingering partly by lumping multiple services together.
The most remarkable thing about neural nets is that no human being has programmed a computer to perform any of the stunts described above. In fact, no human could. Programmers have, rather, fed the computer a learning algorithm, exposed it to terabytes of data—hundreds of thousands of images or years’ worth of speech samples—to train it, and have then allowed the computer to figure out for itself how to recognize the desired objects, words, or sentences. ... Neural nets aren’t new. The concept dates back to the 1950s, and many of the key algorithmic breakthroughs occurred in the 1980s and 1990s. What’s changed is that today computer scientists have finally harnessed both the vast computational power and the enormous storehouses of data—images, video, audio, and text files strewn across the Internet—that, it turns out, are essential to making neural nets work well. ... That dramatic progress has sparked a burst of activity. Equity funding of AI-focused startups reached an all-time high last quarter of more than $1 billion, according to the CB Insights research firm. There were 121 funding rounds for such startups in the second quarter of 2016, compared with 21 in the equivalent quarter of 2011, that group says. More than $7.5 billion in total investments have been made during that stretch—with more than $6 billion of that coming since 2014. ... The hardware world is feeling the tremors. The increased computational power that is making all this possible derives not only from Moore’s law but also from the realization in the late 2000s that graphics processing units (GPUs) made by Nvidia—the powerful chips that were first designed to give gamers rich, 3D visual experiences—were 20 to 50 times more efficient than traditional central processing units (CPUs) for deep-learning computations. ... Think of deep learning as a subset of a subset. “Artificial intelligence” encompasses a vast range of technologies—like traditional logic and rules-based systems—that enable computers and robots to solve problems in ways that at least superficially resemble thinking. Within that realm is a smaller category called machine learning, which is the name for a whole toolbox of arcane but important mathematical techniques that enable computers to improve at performing tasks with experience. Finally, within machine learning is the smaller subcategory called deep learning.
- Also: FiveThirtyEight - Some Like It Bot < 5min
- Also: Vox - Venture capitalist Marc Andreessen explains how AI will change the world 5-15min
- Also: Nautilus - Moore’s Law Is About to Get Weird < 5min
- Also: Edge - AI & The Future Of Civilization < 5min
- Also: Medium - Machine Learning is Fun! Part 4: Modern Face Recognition with Deep Learning 5-15min
- Also: Rolling Stone - Inside the Artificial Intelligence Revolution: Pt. 1 5-15min
- Also: Rolling Stone - Inside the Artificial Intelligence Revolution: Pt. 2 5-15min
The Office of Personnel Management repels 10 million attempted digital intrusions per month—mostly the kinds of port scans and phishing attacks that plague every large-scale Internet presence—so it wasn’t too abnormal to discover that something had gotten lucky and slipped through the agency’s defenses. In March 2014, for example, OPM had detected a breach in which blueprints for its network’s architecture were siphoned away. But in this case, the engineers noticed two unusually frightening details. First, opmsecurity.org had been registered on April 25, 2014, which meant the malware had probably been on OPM’s network for almost a year. Even worse, the domain’s owner was listed as “Steve Rogers”—the scrawny patriot who, according to Marvel Comics lore, used a vial of Super-Soldier Serum to transform himself into Captain America, a member of the Avengers. ... Registering sites in Avengers-themed names is a trademark of a shadowy hacker group believed to have orchestrated some of the most devastating attacks in recent memory. Among them was the infiltration of health insurer Anthem, which resulted in the theft of personal data belonging to nearly 80 million Americans. And though diplomatic sensitivities make US officials reluctant to point fingers, a wealth of evidence ranging from IP addresses to telltale email accounts indicates that these hackers are tied to China, whose military allegedly has a 100,000-strong cyberespionage division. ... To figure out why the hackers had trained their sights on OPM, investigators would have to determine what, if anything, had been stolen from the agency’s network over the preceding year. But first they had to hunt down and eliminate the malware on its network, an archaic monstrosity that consisted of as many as 15,000 individual machines.
In the next 15 years India will see more people come online than any other country. Last year e-commerce sales were about $16 billion; by 2020, according to Morgan Stanley, a bank, the online retail market could be more than seven times larger. Such sales are expected to grow faster in India than in any other market. This has attracted a flood of investment in e-commerce firms, the impact of which may go far beyond just displacing offline retail. ... India’s small businesses have limited access to loans; most of its consumers do not have credit cards, or for that matter credit. The e-commerce companies are investing in logistics, helping merchants borrow and giving consumers new tools to pay for goods. ... Amazon wants to make India its second-biggest market, after America. For the time being, though, with just 12% of the market, it lags behind the home-grown successes, Flipkart (45%) and Snapdeal (26%). All three, as well as some smaller competitors, are spending at a blistering rate. ... The prospect of a second market growing to a near-Chinese size attracts those who made a packet the first time round. ... Indian regulations bar foreign-backed e-commerce firms from owning inventory, and so acting as a straightforward retailer is not an option. As a result India’s top e-commerce companies look much more like Alibaba.
Instead the question is whether something basic has changed in the direction of China’s evolution, and whether the United States needs to reconsider its China policy. For the more than 40 years since the historic Nixon-Mao meetings of the early 1970s, that policy has been surprisingly stable. From one administration to the next, it has been built on these same elements: ever greater engagement with China; steady encouragement of its modernization and growth; forthright disagreement where the two countries’ economic interests or political values clash; and a calculation that Cold War–style hostility would be far more damaging than the difficult, imperfect partnership the two countries have maintained. ... The China of 2016 is much more controlled and repressive than the China of five years ago, or even 10. ... Dealing with China is inescapable. It is becoming more difficult, and might get harder still. ... the assumption was that year by year, the distance between practices in China and those in other developed countries would shrink, and China would become easier rather than harder to deal with.