Category Archives: Finance

September 13, 2014 · 20:00

Memory lane is a freeway

What do you do when you need to look better then you should? Well, the obvious reason some might grasp as is ‘to lie’. So how do you lie whilst remaining truthful? Well, here we get to grasp at the one of the smallest books with the power of a titan. It is called ‘How to lie with statistics‘ and it was the masterwork by Darrell Huff in 1954.

This book has never lost its charm, not even after 60 years of evolving news and economy, it still packs a wallop!

Let’s take a look!

The Dutch bank Rabo told us the following “Despite a downturn in the first quarter of this year, Dutch GDP volume is expected to grow in 2014 by ½%, largely due to a recovery in exports and investments. In 2015 economic growth is expected to accelerate slightly to 1½%, fuelled by a real rise in private consumption” (at https://www.rabobank.com/en/press/search/2014/20140612-Rabobank-Dutch-economy-continues-cautious-recovery.html). You know, this reads somewhat familiar. Ah yes! I remember now, it was May 15th 2013, and my blog called ‘A noun of non-profit‘ had something about the Dutch economy.

Where I wrote the following in addition to the information of the Dutch NOS: “The Dutch NOS reported the prediction that even though the Dutch economy will shrink another 0.5%, they do predict a growth of 1.1% next year. I personally join the group “Oh ye of little faith!” on that one and if they are able to get the economy up to 0.2% positive in 2014 than they would have achieved quite the small miracle”

Guess what! A year later it turns out I was less confident by a mere 0.2%, whilst they were overconfident by 0.7%. Now consider that I am NO economist, but I saw the rain and the worry. So were these economists informing the Dutch NOS, brilliantly on the dumb side, or was this an event of managing bad news? I actually do not know and I personally think that this is one of many events where the placer of ‘news’ was not based upon ‘realism’ but on keeping moral high no matter what the numbers are.

Is this fair?

I actually will hold out the ‘do not know!‘ sign. Looking at murky numbers is at times more an art then a science and today’s prophet is tomorrow’s ‘pussy with balls of dough’. Is that even a valid expression? You see, I do believe that we WERE heading in the right direction, but now we get two new players on the market. Actually we get 4 new players in two teams. The first team is Team Anglican with in the South Corner the one, the only the true champion of the British Empire ‘England!’ (Please say it loudly in style of Michael Buffer) and in the North corner, the new contender for the global market ‘Scotland!’ (Repeat Michael Buffer voice). This duo is now at odds and at this point, independence of Scotland is still not a fact. In this era, under these conditions, I remain a ‘stronger together‘ person, not because I am against Scottish independence, but because team 2 and a few other factors could drag down both Scotland and England, especially once they are divided, which is a really bad thing. We as Australians would come to the rescue of both, if at all possible, but our economic gravitas, especially as the previous labour government had spent 627 billion it did not have, we too are bleeding and not in the best condition for any economic price fight.

Team two is the main event and the big potato (no, it’s not Ireland). It is team USA and team Japan. Together they have overspent their coffers by a whopping 28 trillion, yes readers, these two are down 28,000 billion, which exceeds the budgets of both the Commonwealth and the EEC with an uncomfortable margin to boot. So, even if we consider the dead drop of that amount, consider that they need 280 billion per percent per year just to pay the interest on this. This means that every person in the US and Japan need to come up with $636 per person per year, per percent that means if the Us and Japan need to borrow at over 1%, every person in these two nations need to deposit $1272 each year from their net income, in America over 12% lives in poverty, which means that up to 25% of the nation has absolutely no way of making that payment. This is not a new song, it is a song, me, myself, I and many others have been trying to bring forward to the people at large. As we are all trying to survive, no one seems to be listening and the wealthy apparently do not (need to) care. This makes for a dangerous precedent because as we look at the truth of the matter, we see that team two is in such dire economic danger that the entire economic map will be redrawn soon enough. Weirdly enough, the team one issues will give additional pains to both team two and the rest of the world, whilst other events are not helping either.

You see, what can we do? This is at the heart of the matter. I try not to be the one just complaining and then leave it to others, even though I am not sure that my methods would work, it seems that my predictions have been a whole lot more accurate than those from economists making 7 figures (I personally believe I am due a $750,000 bonus, where to send the bill to though?).

Although I see USA as a strong (disregarding their deficit) option, we need to take hard actions, especially as their pharmaceutical (and several other industries) have been, in what I personally regard, a state of mindless infancy. If the TPP (Trans Pacific Partnership) does not come through, which I personally hope it does not, then the USA would need to change strategies in massive ways, and that is beside several other companies on the list of 30 that Americans keep their faith on high (aka the Dow Jones Index).

But we are not even close to the issues, mainly because this is not some anti-America rhetoric. Truly I am not against America, but against the change some executives want that nation to be, a nation that is no longer one for all Americans, but one where your return on investment and consumer spending decides whether you are allowed to live or not.

Europe as stated is still in a dire mess for several reasons. You see, there are elections in Sweden tomorrow, and for some reason, this is making many non-Swedes nervous. I did not get this at first, because I have lived there, I witnessed them and as elections go, they are as timid as you might think them to be. Watching submarines race underwater from the shoreline is a lot more exciting than the Swedish elections, so what gives?

Well, the first jolt of nervousness can be gotten from the Guardian (at http://www.theguardian.com/world/2014/sep/11/swedish-elections-cracks-showing-nordic-model).

When we see Sweden, we focus on quotes like “it was Sweden that offered answers, having resolved its own debt mess a generation earlier. It is the only EU country that has lower public debt now than in 2006“, which shows Swedish Pragmatism is not confined to the furniture you buy at IKEA. When we think of the family bonds within Sweden (family is always seemed to be a Swedish trademark), we see “The care sector also suffered a privatisation scandal in 2011, when the Dagens Nyheter newspaper reported that an elderly care centre in Koppargården, run by the private company Carema, was catastrophically neglecting its customers, allegedly weighing their diapers to see if they could be used for longer, thus ensuring maximum usage and lower costs” so it seems that the care of the elderly does not have the safety of a Volvo, not to mention “Complaints about poor service and frequent delays on the high-speed train between Malmö and Stockholm also swung the mood against rail privatisation of the railways“. It seems like there is plenty under the covers that is not just upsetting the Swedes.

So how does this all link up?

This is indeed the question, on one side we see the worry of privatisation (which is really a common sense issue), because if someone wants to do it ‘better’ by taking it away from the government, then evidence of decades has shown us that this person is in it for the cash, which means the goal is to get it done cheaper, which gets us to ‘it will never ever be done better‘. At times I do not even comprehend how a population accepts such a fabricated story. But there is more (there always is, isn’t there). All this seems to impact on a European scale. Why? Sweden is not that big, as stated it is lowering debt. It is not a G-20 nation (only as an EEC member, yet not a Euro Zone), so why is there such a massive push here? They are in 7th position representing a mere 3% of the EEC in regards to the GDP, so this should not be such an issue, should it?

This is where it gets a little dicey, especially by the standards I try to keep. If we consider a player like Coface (Coface began to diversify internationally in 1992. Currently, the Group has global capabilities to support its clients’ growth in their home markets and with their exports by offering them credit insurance services tailored to their needs. Source: Coface Website). They stated the following in regards to Sweden.

“The country is returning to dynamic growth in 2014, as household consumption will strengthen in response to higher disposable income, thanks to the fiscal stimulus in the context of an election year. Unemployment affected 8% of the economically active population in 2013 and is expected to fall slightly in 2014, in particular because of new jobs created in the public sector“, here we see the two united: ‘particular because of new jobs created in the public sector‘ and the rejection of privatisation. So is Sweden a risk or is this about setting the continuing trend of ‘investment’ which is now holds the taste of ‘exploitation for profit‘. This is at the core of the issues. The world at large is perpetuating a scandalous system that has no limit, will not discipline itself and the larger players will not stop overextending their reach. It is like an elastic band that can double in size and has been stretched long beyond its safety limits for half a decade, stretching more and more each year, increasing risk and danger each week. Sweden is a lovely place and it looks magical around Christmas, yet it should not have the economic impact that some give it. Is Coface the right instance? Well, that is less for me to say as these ‘risk assessors’ at times all seem the same. I did however notice that their CFO looked aged as a teenager, which made me a little nervous. Especially when you see the massive exposure Coface enjoys on an international level.

So why are they in this article? You see, Coface is part of Natixis and Natixis manages the public guaranties granted by the French Government. Yet, Natixis is not just a player, it is a financial Behemoth. Bernard Oppetit who is also chairman of Centauris Capital is on the board there. Who was visible in the past as Swedish Telecom Giant Tele2 was fending of Dutch Versatel. These facts are mere unrelated facts (or so it seems), yet there seems to be an almost incestuous relationship between some of these Hedge funds and Sweden (amongst others). How direct is Nataxis or its subsidiaries connected to some of these privatisations? The water is too murky for me to see, but it seems that Hedge funds have a three degree separation between them and pretty much any government is more than a worry. Nataxis has direct links all over America and has an office in almost every Commonwealth nation (apart from New Zealand and the West Indies). So here we see the first steps into memory lane.

There was a link with SNS Reaal as we see the following “The 5-year Note has a total size of € 1.6 billion and carries a coupon of 3.5%. The Note was issued to a widely spread range of national and international investors. Lead managers were Citi, JP Morgan Securities Ltd., Natixis, Rabobank en UniCredit (HVB)“, the bank that could not fail was before it was nationalised has links to Natixis. When I looked into SNS, I never noticed how deep some connections went, until last night I was not even aware of how far the reach of Natixis goes. Now consider the powers of their board “Any acquisition of a stake in another company or increases in equity investments, other investments, divestments (or the creation of a joint venture) by Natixis or one of its significant subsidiaries representing more than €150 million” as well as “Any transfers, mergers or demergers in which Natixis is involved” (source: Natixis website). So is this the first we see of the larger funds, now squeezing out the remaining coin of the smaller places, because if that is so, we only have to wait and see when Natixis opens offices in the West-Indies and/or New Zealand, because that might be an indicator that the other exploitation wells have truly run dry (a personal, and possibly wrong assumption).

It is of course likely that the true economists (me is not one of them), are laughing in regards to my naiveté, yet who else knew and how is a direct subsidiary of Natixis, setting the credit score and advice for customers, supporting them and securing their transactions by protecting them against the risk of their clients defaulting. As they themselves state it, whilst their ‘big momma’ Natixis, with an impact beyond belief has a vested interest. I would state that ‘incestuous’ does not even close cover the issue.

This is not a jump from whatever to Natixis, this memory highway, as some might recall the issues on the Royal Bank of Scotland, which I also took a look at. When we consider the news from the BBC (at http://www.bbc.co.uk/news/mobile/business-15212476), we see another view where Natixis has links. The quote “Natixis assumes the following percentage writedowns (or “marks”) on Greek, Irish, Portuguese, Italian and Spanish debt, respectively: 70%, 40%, 40%, 20% and 20%. And then it assumes the banks would need to preserve a core tier one ratio of either 7% or 8% on these stressed scenarios by the end of 2012“, Is the writing on the wall or have we all (including me) ignored a tier of economy, or better stated a commissioned golden lining of profit as certain ‘providers’ remained behind the screens. “You take in greed from the customer and charge them all twice” (sing this line in the tune of Harry Nilsson ‘You put the lime in the coconut‘) and you charge the others in the morning.

Memory lane turns out to be more than just a freeway, as we are limited to walking down this road, the financial advisors and stakeholders are driving back and forth whilst limiting the views we have and the governments involved seem to be driven to not be too revealing on where the money is coming from. It is important to know that all this, whilst true is devoid of any crime, devoid of illegal transactions and possibly even devoid of misrepresentation, yet as I see it a massive misleading amount of presentation towards an audience of taxpayers. So what will happen in Sweden? I do not know, they seem to have an election in less than 24 hours and I find it interesting that it could have an impact. Another vote is soon thereafter on Scotland, which will have an economic impact too. My worry is why the impact is so far beyond the borders of the involved parties, which gives wonder to global statements in the trend of ‘Economic policies in isolation won’t lead to growth in Europe‘. I definitely feel uncertain to oppose such a view, but when we consider players like Natixis, is it perhaps possible that economic isolation leads to a few less dangers? Especially in Europe that issue should be deeper investigated by people who do not have a stake in the game. The writer of the piece I gave was Dr Bryony Hoskins. From what I read, I would categorise her as ‘a really smart cookie’. Yet one of her points is “Encourage collaboration and partnerships between different types of organisations, such as schools, local authorities, youth groups, charities and businesses“, I do not disagree with the generic view, but when we see the involvement on a ‘guiding’ behemoth like Natixis, is there not the danger of government enabling business to push for other long term changes that only serves the business and no one else? With assets well over 300 billion, this player has loads of pushing space, the question is: are they actually pushing?

There is of course the other side, is it fair to blame Natixis for anything (I have not been blaming them)? For example, if we watch all these computers around us with viruses and they are all Windows PC’s, can we state that Microsoft is making viruses? This is at the heart of it all, having your fingers in every pie, could give the thought that any bad pie was because of the fingers, we forget to look at who is making the pies. Yet as we see changes happening in Sweden and as hedge funds and retirement funds are going together, perhaps enabling one another, how dangerous is the stable view of Sweden at present? These searches led me to the attached document named “http___doc.morningstar.com_document_183a66452941e059812946b714604784.pdf”. I do not pretend to understand it. But the risk of ‘5’, when we consider retirement funds and ‘NSIO-OFM1403A’, would give me a reason to worry. LET ME BE CLEAR! I am not an economist!

I added the documents (at the end), so that perhaps those who do know, will know better.

So why am I here then? It seems to be silly, stupid and all other sorts of not bright in a place that I do not understand. The fact that a relative small nation like Sweden could have such stretching consequences on the market was beyond me, yet if I look at the Natixis annual report (at http://ngam.natixis.com/docs/812/834/AF58-1213.pdf), I am confronted with another question. “If one cog in the machine changes direction, what happens to the financial numbers of a behemoth like Natixis?” I am not stating that they are ‘hurt’ in any way. It might be less than a pinprick, but the fact that this company has stakes in all commodities and every large bank that had been slapped around in the last few years; it does make me wonder in light of the issues we faced in 2008. “What happens when a hedge fund bets on a nation failing?” is that such a leap? Only last month several made millions, betting against Banco Espírito Santo. Is my thought really that far from reality? Apparently not! George Soros is already doing this, betting on the collapse of the US stock and he put 2 billion where his mouth was, so was I right all along (at http://www.washingtontimes.com/news/2014/aug/18/george-soros-bets-2b-plus-stock-market-collapse-in/)?

http___doc.morningstar.com_document_183a66452941e059812946b714604784, 14_355_NSI_Bond_b9aeb, 14_355_NSI_Bond_b3c0c

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September 10, 2014 · 12:17

Changing topics?

It is Tuesday evening, I had been preparing some of my assignments when the two hour bell rang, it was time for a break. I am still ahead of what is needed, which means I can relax (only a little). For 4 weeks I have been doing my daily Uni work, so there is a moment to breath. This is good for now, so what to look at?

Well, I could take you down the road of a copyright driven Australia, yet, when we look at the facts, especially as presented by Brendan Molloy, councillor of Pirate Bay Australia, then a moment of depression hits me. We all speak in truths (or so I hope) and as such, so does he. I do not completely agree with his approach, but he makes a decent case. There are a few tweets he made as @piecritic that have reverberated in my own writings in the past.

  1. “Brandis is known to have not met with any consumer representatives and stakeholders as part of writing this draft. #copyrightau“, which seem to give slightly more weight to the issues I posted on my blog on June 17th 2014 called ‘The real issue here!‘, when I wrote “This is at the centre of it all. From my point of view Mr Burke knows it, Mr Brandis knows it and Google, who has every profit with large broadband usage, knows it too. I think it is time for this sanctimonious posturing to stop” it was to state the issue that in the end this is NOT about copyright, this is about bandwidth and as such the Australian economy cannot survive another multi-BILLION dollar blow to it at present. I think that Attorney General Brandis DEFENITELY got spoken to (not speaking with) by certain stakeholders (off the record of course), yet these people do not want ANY visibility in the limelight at present.
  2. “@piratepartyau made an FOI request for that data. They refused to release it. https://www.righttoknow.org.au/request/copyright_legislation_working_gr#incoming-2467 #copyrightau”, which seemed to link to “A question about data costs being absurdly high. Love it. #copyrightau“, this is an interesting side. In my previous blog and other events I focussed on the bandwidth, which is what an ISP should be able to monitor and as such they do not, or better, only monitor for billing purposes. This all takes another turn when we consider the tweet by Ed Husic, Federal MP for Chifley, Shadow ParlSec to @bowenchris. His Tweet is “Abbott Govt should tackle copyright, pricing, access simultaneously and not just @copyrightau 1st“.

Well first, to get it all straight, I am a Liberal, so basically in the Abbott, Hockey corner!

Yet, these people make a decent case. You see, I am not in favour of copyright infringement, so if we can stop illegal downloads then this is just fine with me (additional reasons to follow soon). The issue here is not just about copyright; it is in part the ludicrous idea of continuing the TPP. This is at the centre of strangling honest commerce in the near future. I am all for a better legal system that protects the owners of copyrighted articles that Burke represents, yet ‘the rants’ as Brendan mentioned gives way that he is angry because the ACTUAL profiteers are too strong and too powerful (read the ISP and large telecom companies). This is why we see these ‘packaged’ solutions by Optus lately, amongst others. They are trying to convert people to a package as they know that securing revenue now is becoming increasingly important to THEIR survival, this is not seen anywhere in clarity.

So prices are being partially dealt with and access is being transferred to the US via the TPP. If you consider that to be not true, then wonder why Microsoft is setting up 300,000 servers. Just for gaming? Please get a grip and be fast about it!

Consider the following, this was stated by developer Jonathan Blow, but he is not the only stating issues in this direction. “I can spin up 10,000 virtual servers per host. They would just all suck. Saying 300k when they are virtual is a lie“, this is a developer, my issue, since even BEFORE day one has been on the ridiculousness of certain claims. This has all to do with streaming media and entertainment. Microsoft introduced it, when the backlash came they changed tune and dance, so why is this continued? Because the change to a broadband Foxtel approach will FORCE people in the bandwidth and there is no more downloads (which I do not oppose), but there is also no more privacy, with which I have an issue. When you force consoles online for all the wrong reasons, then we can safely state that this is about monitoring”. As America was the land of the free, it is now quickly becoming the nation of the monitors, which is what a debt of trillions will get you. As stated before, i cannot understand the TPP for the life of me, it strangles digital freedom (actual freedom, not freedom to download illegally), it will strangle generic medication (not part of this discussion) and it will strangle local commerce (very much the issue at present).

Patrick Bach, producer behind Battlefield 4 has an additional view “I’m not sure how the cloud will work for real-time stuff, but I can see how it could work for non-real-time stuff where you need a lot of calculations”, monitoring is not real-time, but requires massive power, here we see a side of that what is monitored and how it requires many servers. By the way, consider that this, when (or if) this is up and running, that the monitoring power of Microsoft will exceed that of the NSA by a massive margin. It seems a little extreme for streaming TV shows and online players, doesn’t it?

Additional evidence comes from the Australian (at http://www.theaustralian.com.au/business/opinion/copyright-law-is-failing-to-keep-up-with-internet/story-e6frg9if-1227050705973, this link requires you to subscribe) “As a former chief financial officer, I follow the money: these schemes haven’t worked, because the content owners aren’t prepared to invest in their administration. If they were genuinely effective, surely the movie and television studios would be happy to throw resources at such schemes“.

Again, as a technologist this could definitely be done, yet this is not in the ISP interest at all, his fortune is all about bandwidth, reducing it costs him money.

This is why I thought that the entire action was a waste of time from before the very beginning. Until greed (read revenue) from the Telco’s is set straight, whatever deal comes, will come at the price of ALL valid users and for the larger extent at the cost of their freedom (read privacy).

Yet, in all the tweets, Brendan Molloy does repeat on many occasions the issue that is at the centre of it all “fix your business models“. This is at the centre, yet in all scenario’s several players lose out on revenue (and loads of it), in addition Australia is not even at the heart of the issue that is playing behind the screens. For people like Google and Netflix (where a few groups have a valued investment of over 10 billion), it is not Australia, but the UK where the big price is. Australia with its 10 million households is just a small individual away from the Commonwealth pack. Yet this does not just hit the bandwidth and download models.

In all this, I have one other link. This one http://www.gizmodo.com.au/2014/09/malcolm-turnbulls-anti-piracy-forum-live-blog-follow-the-news-as-it-happens/ shows us the entire copyright AU evening and when you read it, please try to consider the following:

  1. The words ‘Revenue’ and ‘Bandwidth’ did not get mentioned ONCE. You might think that with illegal downloads and copyright infringements that issue would come up at least once, but both iiNet and Telstra were extremely cautious to sail away from getting near it. In my view that forum did exactly what it needed to do, keep interest away from the TPP, bandwidth and where the actual money would be draining from.

All this is as I expected it to be and if you read my previous blogs then you would have read that pointlessness is next to greediness. Not grammatically correct, but highly accurate. Whether we see changes remains to be seen, but the moment the TPP comes into effect the changes will be massive and it is likely that this changes get announced whilst the ink of the autographs on the TPP agreement is still drying.

So, why is this about changing topics?

Well, the discussion seems to be about piracy, copyright and copyright infringement, but the topic that hinders all events (like revenue and more important ‘blood money’) is kept out of the discussion for now.

I have already discussed revenue in more than one place, so feel free to read the other blog article (The real issue here!, mentioned at the beginning) to catch up on it. What I have not talked about is the issue of ‘Blood-money’. It is not my phrase, but I have adopted it as it applies (to some extent). You see, this is not the price of the game, not the cost of doing business. It is the price of being there and staying alive. It seems pure and simple, but it is not. You see, the topic of micro transactions is a little more complex and as such it is important to distinguish between them.

  1. The good guys and girls!

Highest on my list is Blacklight: Retribution. It is released for the PS4, yet there is also a PC edition. The game is large and is FREE! So how do they make money? Well they rely on micro transactions. When buying stuff you have two options, you start low, but as you get through games and as your score is there, you get money, this money allows for low to medium styled weapons. They are not cheap so it will take a little time to acquire the cash. Yet, it is free and you have time, so this is all good. However, if you want that one piece, that ultimate weapon, the slamalamadingdong of all shotguns that will rip through flesh, bone and Kevlar as you squeeze of the right trigger of your controller, then you must purchase Z-coins. There is an off-set here. Partially I think that without Z-coins you will be in a long trial to get decent gear to oppose, yet consider that this is all multiplayer and for those who are not really into this, it means no $99 and this is good, you can invest $10 to get decent gear. I think the approach is pretty good in this economy. This approach is better than try before you buy and is a decent business model. There are others that do this too and some have too steep a curve of costs, but Blacklight seemed reasonable.

For the iPad there is ‘Elemental Kingdoms’. A game, which is free to play and as you play and win, you get coin, which allows you to buy packs with random cards. It is easy to play, the game looks extremely well and the artwork is amazing, the cards unlike with actual cards evolve as you invest in the card, making it more powerful. If you purchase gems with your own cash you can buy packs with more rare cards and better rare cards, which makes for better odds. New players will get double the amount of gems with their first purchase. a good approach.

So, this is the good model, some like it, some do not, but nothing is for free and this way you get the pleasure to try and the option to grow without spending a cent. Those eager to step forward quicker can place $10-$25 and get a head start.

  1. The demons

Here we have the bad side. Whether we go after the Forza games, Gran Turismo or the classic which should now be regarded as an utter joke on the iPad! Prices range from roughly $7.5 for 500,000 in game credits to $75 for 7 million credits. Now consider that one car could cost you 20 million credits, which would be one of the extreme top cars, but that means one additional car at around twice the price for the whole game. How is this even considered sane? This pales by comparison when we see a great classic like Dungeon Keeper seems to push people to invest vast amounts of money into gems so that the player can get anywhere. This is free-to-play?

These are two extremes, yet how does this relate to the initial issue?

This is where the future takes us. The market on many levels is pushing for micro transactions on all fields. Whether it is an app or just a service, it is not just a worry, the future as we see it comes again from the Apple Market. This is not just the versions of the iPhone6 (plus or not), but the other options like the Apple Watch, where we see an interaction between watch and phone. This sounds like a decent gimmick, yet did you consider the exploitation of the consumer through services via micro transactions as well as the events we get as Apple collects all this data? It is not just Apple, where one goes Google will follow and the entire debate we saw on copyright now gets a whole new meaning as people on a global level sign up for ‘services’. This is where packaging of services will truly get a consequence. What if you have Foxtel?

Now we revisit the following statements:

Ed Husic: “Abbott Govt should tackle copyright, pricing, access simultaneously and not just @copyrightau 1st“

Brendan Molloy: “fix your business models“

Jonathan Blow “Saying 300,000 servers when they are virtual, is a lie“

I think that the business models have been adjusted, yet I think the adjustment is moving in a very dangerous direction. The Ed Husic nail is getting hit by a massive hammer; there is, at the core of these changes a need to immediately revisit pricing and taxation sides. You see, the ‘micro-transactions’ might seem small, but it reflects on the dangers we face how the frog will not jump out of the pot when the water is slowly brought to a boil, when we react to micro transactions, we will react too late. In this economy we need to make sure the consumer is protected as well as the national coffers, because when Apple and Google start their $0.99 a month service per service we will be hoisting millions a month outside of Australian tax shores, whilst at the same time collecting all that data to be resold and analysed at the other end giving them additional billions in revenue. The Privacy act will not guard us in any way for this new consumer wave. This all brings me to the question, how much do Telstra, Optus and iiNet know at present? Does the intelligence community realise this change of data and how can they keep track of some of the more shady events. Last but not least, when ‘3rd party’ people start pushing out data apps, how can this tsunami of data even be sifted through?

The final part will get us to the conclusion (at (at http://thenextweb.com/apple/2014/09/01/this-could-be-the-apple-icloud-flaw-that-led-to-celebrity-photos-being-leaked/) we see that last week someone took a look at certain events. and it gives us this quote “The vulnerability allegedly discovered in the Find My iPhone service appears to have let attackers use this method to guess passwords repeatedly without any sort of lockout or alert to the target. Once the password has been eventually matched, the attacker can then use it to access other iCloud functions freely“. As stated, this is not a fact at present, but it does give serious voice to the hacked phones.

Things you might think that have no bearing, but as we consider the case of the 101 naked celebrities (like Disney’s Dalmatians for adults), what else can outsiders get access to when people start using these new gadgets? If we consider that the financially well off start using these innovations first, how long until this clear target becomes a target of interest to the cyber-criminal?

So many issues linked to the changing topic. My question, what topic SHOULD have been debated? This is not about copyright perse, but that links to all of this, it is about a missing league of securities that endangers the lives of many Australians and none Australians alike. It is a change to facilitate for profit and data to be handed to big business at the expense of our personal, social and economic safety. Sides many seem to ignore.

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September 8, 2014 · 20:41

The Toothless tiger

It is roughly 1,544,400 minutes since we saw this message “The newspaper and magazine industry today takes the first steps towards setting up the Independent Press Standards Organisation, the new regulator for the press called for by Lord Justice Leveson” (at http://www.newspapersoc.org.uk/08/jul/13/independent-press-standards-organisation, in July 2013).

So when I saw the words ‘press’, ‘regulator’ and ‘sham’ together in one sentence (at http://www.theguardian.com/media/2014/sep/07/victims-press-regulator-ipso-leveson ) I was not that overly surprised. Let’s not forget that the implied innuendo in regards to the press cleaning up its act was never a reality.

You see, after all that visibility, on March 25th we see the report from the Daily Telegraph with the headline “Flight MHG370 ‘suicide mission’“, was anyone even surprised that the press regards themselves ‘beyond the law’?

Yet, if we are to properly assess the situation, we must therefore also allow matters of defence. So what is the issue that bites us so much? The letters from the 30 victims of press intrusion stated to Sir Alan Moses the following (as stated in the article of the Guardian):

“By rejecting the majority of Lord Justice Leveson’s recommendations, the paymasters and controllers of Ipso are rejecting due process”

“In its current form, Ipso retains no credibility with us or with the wider British public.”

It furthermore states: “it was not truly independent, breaches of the industry code of practice would go unreported and unpunished, and there would be no effective and transparent investigation of serious or systematic wrongdoing“.

Now, after what happened in the hacking scandal, I am all for bashing the press, but let us all be honest, if we are to convict a group, let us do it for valid and preferably legal reasons.

About these pictures!

This all links to several issues that I wrote about in the past few days, Jennifer Lawrence and Kate Upton might be the most famous ones, but they are by no means to most important ones (I feel for these victims, but reality shows us bigger problems). Yes, there is an issue that links to Zoe Quinn and Anita Sarkeesian. If we go by the words of Reddit, we should use the quote “The site, which had an online forum named ‘The Fappening’, was one of the main places the hacked nudes were being posted and the website has now banned the page, six days after the photographs of the Hunger Games star first surfaced. It is thought the main reason bosses have finally pulled down the forum is NOT because of the J-Law snaps, but because photographs of Olympian McKayla Maroney which were also posted on the site are believed to show her underage.” which came from the Mirror. These places have been hiding behind the ‘innocent disseminator‘ flag for far too long. Their income is real and based upon bandwidth. If we want change, then perhaps forcing a tax bracket on bandwidth, especially with a bankrupt America, might be a novel way for debtors to get their coin back. Yet this is not about that. The fact that Jennifer Lawrence is now partially safe is only because another victim was a minor when the pictures were taken. This makes for a massively inhumane disaster and one that also affects the press. It is interesting that when we look at the name McKayla Maroney we see two events, both the hacked ‘under-dressed’ images as well as the Gamergate reference to Zoe Quinn and Anita Sarkeesian.

Vox Media stood alone

It is Vox (at http://www.vox.com) who seems to be on top of it, so we see one place, which might be regarded as ‘trivial’ by some covers the real issues that many ‘major’ papers have been ignoring all over the US and in places far beyond the US. You can read their words in depth at http://www.vox.com/2014/9/6/6111065/gamergate-explained-everybody-fighting. It is well worth reading; however, there are a few parts I do not agree with. Let’s go over those, for they are all linked.

Here is the first part: “If it was just to bring attention to Quinn’s personal life, that’s, as stated, already happened. And if it was to create better ethical disclosures in online journalism, that’s happening, too. The Escapist is drafting new guidelines, while Kotaku is now forbidding its writers from financially supporting independent designers on Patreon, a popular method for backing independent artists, unless the site’s writers need to donate to Patreon for coverage purposes (since many developers release material first to their Patreon backers). And Vox sister site Polygon requires disclosures of this sort of support“.

I do not agree for the following reasons:

  1. If we look at the press at large, Quinn’s plight is less than a hot drop on a plate. “Jennifer Lawrence”, “Nude” and “shoot” gives us 41 MILLION hits when we use all the keywords. “Zoe Quinn” gives us 70,000 hits with less than a dozen reputable sources (including Vox Media). So, I think we can safely say that visibility is not even close to being a factor there.
  2. Better ethical disclosures in online journalism? Sorry, but are they for real? Most of these writers have never seen a class in ethics, it is also likely that some of them cannot ever write ‘ethics’ correctly. That being said, many of them write for mere passion on games, their transgression of alleged ‘corruption’ usually goes no further then receiving the free game. How corrupt is that? In all this, my issue with Gamespot has almost forever been with the open sponsor Ubi-Soft. They are not hiding it, so that is good, but I seem to colour my faith to any Ubi-soft review. Overall the writers and makers like Carolyn Petit, Jess McDonell, Danny O’Dwyer, Justin Haywald, Chris Watters, Cam Robinson and Kevin VanOrd do an interesting job. Depending on their ‘preference’ of gaming we tend to favour a certain person, whilst not ‘liking’ another one. The sad news that some of these writers are leaving as Gamespot is changing should be sad news to all gamers.

Scoops

This all goes towards “forbidding its writers from financially supporting independent designers on Patreon“, why? Is the likely fact that reviewers would have the inside track on a game and by personally backing a developer they will have a scoop? Is that not what pretty much every newspaper does? If not, how about cancelling ALL advertisements from Microsoft, Sony, Nintendo and Adobe? How long until they are missing out on scoops? I think support should not hidden, but if I was still in the business I would be funding No Man’s Sky or Ultima Forever: Quest for the Avatar (I have been a lifelong Ultima fan), if it gives me a scoop days in advance of others, than so much the better. The question becomes is this truly about implied corruption or about mainstreaming a 100 billion dollar plus business? You see, the gaming groups was for a long time ignored (especially in the time I was involved)

True Scenario: “I went to the ‘Efficiency Beurs’ (a Dutch IT/Technology trade show) in the RAI in Amsterdam in the early 90’s (1991/1994), I forgot the exact time. Anyway, I was already deep into the gaming world and sound would be the next big issue. PS speakers were no good, Adlib was an option, SoundBlaster was the new kid and those with real money (read wealthy parents) there was the Roland card, which costed a fortune. This is the age when the PC was a wild market, CBM-64 and Atari were on a high and the PC was relying on blips and bleeps. So, I walk to the IBM representative and asked him on the new PS/2 PC’s and whether the soundcards in the growing gaming market was a field that IBM was looking at, as well as, whether IBM had considered adding a sound card to the PC-Private projects (which was a tax deductable PC scheme in the Netherlands). I was ‘walked off’ the stand with the response that IBM was for ‘professional’ use only. This same IBM is now advertising ‘Smarter Serious Games’ (at http://www-935.ibm.com/services/us/gbs/gaming/)“.

So, these ‘losers’ (just to coin a phrase), who would not consider this industry for a long time are now trying to leech of a 100 billion dollar industry by ‘Simming’ (Sims joke) it on, so nice of IBM to join the party almost two decades late (they did however join the party decently before 2013). So now we get this escalation on several fields and interestingly enough all at the same time. Several approaches of wild growth is seen, personally I reckon this all truly took off in high gear in September 2013 when one game made one billion in only three days and passed the 2 billion mark this June making a videogame more successful then the most successful Hollywood production in history. Now nearly everyone wants to jump on board and it also seems to allow for a ‘wild growth’ of certain ‘elements’. IBM is not a party to this (they move in different circles), yet, those growing wildly on our shores hoping for their billion are learning hard and fast that gamers can easily spot the quality from the chaff and as such we see escalations. Whether we take Forbes article (at http://www.forbes.com/sites/erikkain/2012/03/21/gaming-the-system-how-a-gaming-journalist-lost-his-job-over-a-negative-review/) for granted or not, it seems that the name Sony and the possibility of pulling away advertisements apply in several corners (like the PS4 release and Terms of Service issues). So, to avoid ‘ethical’ issues, it seems to me that newspapers at large just ignored the plight of over 60 million customers and any link to ‘changes to the terms of service’. So how does this all link to ‘corruption’?

That is the part that seems to elude many, it is not ‘just’ about corruption, it is about alleged corruption with the writers (emphasis on alleged), implied corruption with their bosses in what they publish but more importantly what they DO NOT publish. The last part is on streamlining it all. If anything, GTA-V shows us that a billion plus revenue takes more than just a good game, it is about marketing and advertising, which shows now exactly the issue on visibility.

I am not alone with these views; some of them were discussed by Ashton Liu in her blog at http://rpgfanashton.tumblr.com/. She has an interesting view I had not considered. She writers “It has been no secret to the gaming community that many video game news sites have been employing increasingly extremist and reprehensible tactics to gain site hits and forward their ideology“. In that regard she seems on top of it all, I saw the harassment of Quinn and Sarkeesian as idiots who should go the way of the Dodo yesterday, if at all possible. Yet in her view, we are dealing with more than just blatant ‘ranters’, it is entirely possible that there is a corporate push behind it all. If we consider the actions by Sony and the market they need to ‘rule’ is that such a far-fetched statement? If people are willing to sell their souls for a niche market, what is Sony willing to do to remain the number one on the market, especially if you can motivate non-journalists (read non-accountable people) to speak out loudly?

What makes a Journalist?

It is a side, that until the article of Ashton Liu I had ignored. Ashton is like me, an ideologist, we seem to share a passion for RPG games and we are willing to put some time into sending the message of the Role Playing Game, hoping to introduce it to others. Yet, part of the view she offers seems incorrect, is this all about true gaming journalists? Many of them are not journalists at all, they do not have a degree in journalism, so let’s all agree that unless the person has a degree in Journalism that this person is just a games reviewer (I myself am a games reviewer), I have degrees in Law and IT, but not in Journalism, which makes me a non-journalist!

This is where the issues become (slightly) clear. Many are not journalists at all, so journalists are compared to ranters and outspoken ideologists, whilst not getting painted on grounds of evidence, which is almost slander (I said almost). We are all in need of more clarity, clarity I am asking for, whilst trying to remain clear, clarity Ashton is trying to give the readers and there are the additional thousands online, ranting all over the place. So what is a reader to believe?

Corporations

Perhaps that is the part we all forgot about? We seem to ignore the corporate site. Is that the background of those who remained with Gamespot? Is CBS changing the gaming area by starting to cut away the ‘non-professional’ staff? I do not know, I am asking this. I have no issue with any writer at Gamespot (even if they cater to games I never play), their passion has for a long time been without question, yet, if this streamlining requires the presence of education, not just knowledge, then those without Journalistic skills to be ‘relocated’ and not all end up within the CBS structure.

So as Ashton made the statement I disagreed with “These journalists behave terribly and browbeat anyone whose opinions don’t fall lock step with their own“, the question “which are the real journalists” come to mind. This is where we return to Leveson, the issues that IPSO is accused of and how this relates to Journalism.

IPSO is regarded as a toothless tiger (perhaps correctly so), yet as papers are more and more online and as we see more and more ‘contributions’ from critics and reviewers, we will see that their painting of a group ‘as ignored’ as stated by the phone hacking scandal victims, we see a corporate move by many newspapers that employ reviewers and critics who are likely non-members of the official Journalistic core, but in the online mash no one can really tell anymore. This is at the heart of several issues, next to the editors relying on people whose family name tends to be “well-placed sources within”; I wish I had a relative like that.

This all gets me to the only part of the Vox article that I have an issue with. It is not really an issue, it is more a disagreement. They stated “Because what #GamerGate is all about isn’t who is or isn’t a gamer, or what role the press should play. It’s about what games should be and who they should be for. And that’s worth a real discussion, not just a hash tag“. I think that anyone enjoying a game is in the smallest extent a gamer, and as his or her passion grows, so will the Gamer part of that person. I think it is MASSIVELY important the part the press plays and to some extent they need to be judged on what they publish and to some extent even more on what they ignore, not unlikely for favours from the advertisers. You see, what happens when it is no longer them, but also the stakeholders? Consider the stakeholders for projects of Ubi-Soft and Electronic Arts. The moment they start ruffling feathers on ‘their’ dividend and the press ‘obliges’ that is the true moment when we will no longer see whatever ails a gaming community. When it goes through a journalist we do end up with the smallest protection, but ‘small’ beats ‘none’ every time.

It is ‘what games are and who they are for‘ is as I agree an important discussion, yet the implied evidence at present gives little support that that true vision will come from #Gamergate, because anyone willing to develop a game, no matter what gender, what topic and what ethnicity of graphics we are presented with should be a reason for bias and/or discrimination. These are parts #Gamersgate seems to be ignoring.

Streamlining is also all about who owns the IP, that is the one part they all seem to ignore, if the future is about IP (Intellectual Property), then it is the novel idea that has the future of gaming fortune, which is all about streamlining in the eyes of EA, Ubi-soft and Sony (to name a few big companies in this field), you see, who owns the IP will continue and not unlike the flaccid economists of Wall Street, larger companies have been all about continuing a brand and less about the new idea, which makes indie developers the future (consider the massive success of Mojang with Minecraft), that is the streamline part all ignored. This is why I think it is important to protect them! This is seen in the slightly dangerous statement by Vox Media in the article as they state “Some argue that the focus on harassment distracts from the real issue, which is that indie game developers and the online gaming press have gotten too cozy“, is that true, or are the larger players realising that they passed the buck for too long and driving a wedge between the press and the Indie developer is essential to their survival as they try to ‘rekindle’ the press and push indie developers towards the ‘cheap’ deals where they can take over the IP. That part is at large ignored by most. If we look at 2014 we see a massive host of new versions of the same brand, whilst none of the truly new games are coming out in 2014. Splatoon, ignored by many is the new kid and so far it seems that it might largely drive sales for Nintendo. You see these larger houses have forgotten to cater to THEIR audience (not just bring a cool presentation about something not due for 15 months) and as such are under scrutiny facing an endangered future. When we see a headline like this ‘Battlefield 4 – It’s so bad, its actually funny!‘, they know that they are in trouble, no matter how much you pay marketing to focus on the small stuff and micro transactions, which some call ‘Blood Money‘. In my view this is partially the result of letting ‘Excel users’ anywhere near the gaming market and when these investments do not pan out panic will be the natural consequence.

Back to IPSO

Yet, this also reflects on IPSO, because is the story ignored not as irresponsible as calling a tragedy a suicide mission? I wonder if the two elements would have been anywhere near as extreme if IPSO had not been toothless. I cannot state this for America, but I am certain that many gaming issues would have been a lot more visible, which might have reduced the risk and abuse of both Quinn and Sarkeesian. If you do not believe the press to have any influence, then consider the Art ‘expose’ called “Fear Google“, which is exactly the method of News the Sun used to rely on for at least one page (a page 3 joke only the British understand), or as we could call it, how Rupert Murdoch got through his early years. So here we see the beginning of the future, as Jennifer will end up getting shown to the world in states of non-dressing, her stolen pictures are less likely to be stopped as they are not getting sold, even if sold, the chance of enough people getting convicted becomes a serious question.

We can safely say that there is a group of toothless tigers, law partially became toothless as it catered to business enterprise and as we see more and more ‘free’ services we see an abundance of innocent dissemination that no one seems to be able to stop, ‘oh yes’, for some reason many were ‘suddenly’, within hours, able to stop the film where a Journalist ‘suddenly’ lost his head. It seems that ‘sudden’ acts are at times possible, so why this entire system is not better regulated is to be perfectly honest beyond me, but you better realise that someone is making loads of money, not just the hacker (read: thief) that got a hold of the pictures.

 

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September 5, 2014 · 11:35

Sandbox games

The first time I saw the title I thought it was a new brand for the younger player. It is an easy to make mistake, we see sandbox, we remember the hole in the ground, or the large box wooden square filled with sand in the yard where we used to play as kids. Yet, this is not it. Sandbox games are true open world games, even more important, the true sandbox game lets you change the world you are in.

Well, a first sandbox game would be the Sim city, made by Maxis. It is likely the first one that allowed you the player to change the world you were in. I remember the game in its old days, it was 1989 and I was already reviewing games. I saw it as more than just a game, yes, the core was a game. You could not change landscapes in the first edition but the start of open choices was there. I saw and reviewed it as more than a game. It had the foundations to be a learning tool and a Planological simulator. What happened when you build houses by the lake? When industry gets to close and so on, how to keep the balance of commerce, industry and residents as you grew your town larger and larger? The game was addictive, it was fun and it had an educational side. The game was a great success and it was the sequel SimCity2000 that truly brought the wave of open editing.

Some define the true sandbox game to be without a goal. I feel the same way, which is why most of my favourites are not sandbox games, but open world games, with Bethesda games being pretty much the pinnacle of open world games. Yes, they do have goals, yet in Oblivion we see how the goals can be ignored and you as an adventurer can just go on your merry way. This is almost true open world. It comes with the usual downsides and glitches, but for the most, Bethesda, makers of Oblivion, Skyrim, Fallout 3 and Fallout New Vegas kept an openness to the games that make them as close as ‘sandbox’ as possible. Yet the ‘changing the world’ in almost its most founding form makes those games fall short and we are left with one overwhelming winner, namely Minecraft.

I reckon that this is the reason it is such a success. The game offers true openness; you can go on your merry way and as you mine, build and explore the world will shape according to your actions. It is one of the most compelling versions of gaming, because it is the one game where you are for the most, only limited by your own imagination. This makes it in my mind such a compelling game, it all comes to maturity as the game was released on PS4 yesterday and as per today it will be available for the Xbox One, making it one of the widest released console games ever with over 100 million registered users on the PC alone. This shows that a good game will outperform a graphic game EVERY time. Yes, according to Gamespot, only 14.3% has bought the game, yet the Xbox 360 has already sold over 10 million and the PS3 edition surpassed the one million mark. Now we will see how the NextGen gamers react and they get a treat, because who already have it on their other consoles will be able to buy it for $5, which is an awesome deal.

I hope you are all catching on at this point, because the question that follows should be ‘Why are there not more sandbox games?‘

This is indeed one of the questions that linger in the wake. The answer is actually less simple. The line between the Bethesda RPG games (open world) and Sandbox games is actually a lot finer than most consider. Some will consider GTA (Grand Theft Auto) and Fallout to be sandbox games, I do not! The option to change the world is not there, which makes it open world in my book, but that line is really not that big so it is an easy mistake to make. I also think that NextGen systems now allow for large true sandbox games to be made and time will tell how this will continue, because allowing for the limit to be ones imagination is a lot harder than you think and Minecraft had it just right!

There will be a truckload of open world games to come and many will allow that to be enough, but when will they come to NextGen? That is at times the question. We will see the next massive sandbox game to arrive in 2015 when No Man’s sky is released yet is that the only one? There could be a host of re-engineered games going all the way back to Midwinter on the Amiga/Atari ST, which could be seen as the initial Far Cry 3, but then without a storyline or missions. Far Cry 4 is coming soon, yet again; this is open world and not sandbox (from my definition). In my view that small margin is important, yet both versions will allow for immense gaming pleasure, so do not let the label ‘sandbox’ or ‘open world’ to stop you from having fun, because I personally feel that the old title ‘RPG’ (Role Playing Game’ was too often ignored by players, who thought that these games were dull. I think that Minecraft is one reason why people feel more and more drawn to the Open world and RPG gaming.

There is also another side to the sandbox; we are seeing it at present the most clearly in the Elder Scrolls online. I had mixed feelings; first of all it is a daring undertaking to get there, so Bethesda should get a large applause for even attempting it. Yet, there is an overwhelming shortfall. You see, Oblivion and Skyrim both had their quirks (read plenty of bugs), but for the most, they could be addressed and many of them are not fatal (but extremely vexing at times), yet unlike the Assassins Creed series, there has been a massive amount of improvements and as such Bethesda has shown an A-Game programming approach throughout their releases. Here is the first kicker: a monthly subscribed MMO is not a bad idea, yet with World of Warcraft, Elder Scrolls Online and Destiny (to be released soon) we are confronted with a version of gameplay that is more expensive than a Foxtel subscription, which is not what a gamer wants, especially after paying $100 for a game or $115 for the limited edition, add to that the fact that most gamers are left with less and less time playing and additional fees for internet and such, the pickings tend to get mighty slim.

I had an idea for a new Elder Scrolls named Elder Scrolls 6: resurrection, which I committed to a document and is already well over 20,000 words for the setup. It allowed me to reconsider the RPG and their approach to location. Instead of a system with new locations, some gaming franchises have grown to the maximum extend, not just because there are several version, but by the way they approached it all, that we see a world that had evolved beyond the simple markers of the box. The first game in this is the Ultima series, as the gamers passion grew, so did the need for the reality of the location. I personally thought that Oblivion was part of that fulfilment. What if ‘Sosaria’ could be completely mapped according to these lines? I personally feel that The Elder scrolls gave us that notion and Skyrim made that notion grow more and more. What if they had changed the premise, not into an MMO, but by evolving their maps and mapping approach? What if, the engine on the disk is not just a map, but an evolved mapping system, like an automotive mapping system that allows us to grow where we are and where we go? That was at the foundation of ES6 Resurrection, not by just ‘adding’ Elsweijr and Valenwood, but to transfer the maps from both Oblivion and Cyrodiil (added to ES6), so that the game grows upon the complete map. So, the map gets transferred to the hard drive of the console. Consider the game where we could literally run from Solitude to Haven (Valenwood). It would become more than just a simple RPG; Tamriel would become a growing iterative entity where you can live, run, swim, quest, and off course grow. Let’s not forget that if we properly scale the maps, we would get an RPG world where we can literally spend days by just travelling (if we do not use cart, coach or fast travel). Not unlike the Ultima fan, is that not close to the reality of a Role Playing Game that gamers dream of?

In my view I had adjusted the map of Cyrodiil from a 3×3 to a 9×9 grid, so everything would be 300% larger in actual space. The imperial city would actually become 900% larger and the other towns would become larger, yet not that much, it would be the map where we see the massive difference and it would take a lot longer to get from one place to another, so we would at times be actually exploring Cyrodiil. One of the largest missions would be to truly rebuild (Kvatch), yet you the player would not (it seems a bit silly to manually rebuild it). Yet to quest and find people, workers and to see Kvatch rebuild over many months (actual many months of gameplay), is what would have set this RPG apart from all other games. Quests to influence the look of Kvatch as well as what would be in the city, so the player influences whether Kvatch was to be a mere larger city or to make it the jewel that rivals the imperial city. Yet the main mission would remain in Valenwood and Elsweijr.

This growth would transform the Elder Scrolls from open world to something so close to a Sandbox game in what I would call a true unparalleled level of gaming.

You see, soon game developers will see that the dollar only gets you to a certain place, gamers will pay the $149 for such a sizeable game, but the long term of $19 a month will stop them sooner rather than later because the bills need paying and the student population will be left with less and less sooner still. Then what will they play?

You see, this is the response from Elder Scrolls Management: “And it’s important to state that our decision to go with subscriptions is not a referendum on online game revenue models. F2P, B2P, etc. are valid, proven business models – but subscription is the one that fits ESO the best“.

Is that thought through? It seems that you also need Xbox Live Gold in addition on the console, which is not free. They state that it is ‘only’ an additional annual $60, which might be true in the US, but in Australia it is $90, which is again 50% more, so did they think through the numbers and when they consider the established competition, did they see the danger, threats and weakness of this model? The additional outrage which we quote from the gaming site Kotaku shows an additional weakness to their model “Tomorrow night at 10PM AEST, players who have purchased The Elder Scrolls Online but have yet to set up a recurring subscription or entered a game time code will no longer have access to the game. The issue with most players making their objections heard in the Elder Scrolls Online forums over the past couple of days isn’t the subscription itself — the minimum $US14.99 monthly fee comes as no surprise. What is surprising is that Zenimax Online is pre-authorizing users’ credit and debit cards the full $US14.99 (or more) fee” (at http://www.kotaku.com.au/2014/04/players-upset-over-the-elder-scrolls-onlines-subscription-system/), which shows more than just a small issue. The game lacks the comfort of the solo play, which is comfort the RPG gamer loves. Yes, they are all for teams at time, but like me, many love just to be by themselves and just explore the great digital unknown. The MMO seems to lack that ability, apart from the reported rampant troll issues (actual trolls, not the well-known harassing player trolls).

Al this leaves us with the larger bad taste that there is more and more noise of people leaving the Elder Scrolls Online style and replay either Oblivion or Skyrim. My model allowed for that and in addition would have almost guaranteed loyalty for at least two more instalments, as well as a league of income from additional DLC options. It is a missed opportunity for Bethesda/Zenimax.

Yet the hungry new developers can also learn from the missed options as can current established brands. Consider the current/new Mass Effect universe where we see a new reach of places that become additions, the same could be stated for Neverwinter (from Neverwinter Nights), the earlier mentioned Sosaria as well as the Fable series. This is the final side of the sandbox game. You see, creative freedom seems to breed a mix of addiction and loyalty that cannot be broken. I found it driving me back to Minecraft as well as Oblivion again and again. It also seems to prove the strength of the Diablo 3 approach and the weakness of the Elder Scrolls Online choice.

When we look deeper at the quote “but subscription is the one that fits ESO the best” might be true for their board of directors, but it clearly leaves a sour taste in the mouth of the players, when they move towards the next solution, their board will feel what a deserted franchise feels like, a feeling that Mojang (makers of Minecraft) is unlikely to experience with their simple but genius approach.

 

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August 30, 2014 · 20:20

Is it offensive?

It is Saturday evening and I am about to chase up a different side. It all started with the Guardian article (at http://www.theguardian.com/world/2014/aug/30/angela-lafranchi-who-links-abortion-and-cancer-stars-at-families-congress) and as a non-medical scientist I took great offense to it. Not just that, I found much of the article offensive to some degree. Why you might ask?

Well, that is as ever a fair question. I remain a Christian. I have a Jewish background and the one element (my maternal grandmother) is the one unknown. If she is Jewish, then so am I. My father was a Catholic and I grew up with Catholic links. Yet at some point I turned slightly Anglican. This is all relevant! You see, the Jewish background of my grandfather was kept a secret. I never knew (until 2003), after that I went digging a little and it seemed that my grandfather had a proud heritage, his family, the Lazarus family has links that go back to the pre-Victorian setting of Exeter (UK) going back at least to the mid-18th  century. That is a pretty good achievement, so why keep it a secret?

I grew up being a Catholic boy, but I was never that religious, I had my dark moments and like many youthful man, I so loved my neighbours wife (especially when she was sunbathing) as I was only 17. So, I was pretty much a kid like many others. I turned Anglican, like some others when I learned of the child abuse issues and moreover the way the Catholic Church (in several nations) dealt with it. It made me sick to see such injustice. How does it all link together? Well, there are two sides, the first one is how I react to some information the other is how I want to regard this information.

Part of this article reflects like it is a gathering of loons, which is in part offensive because the average Christian is not a loon, yet they are painted in that corner. It becomes even more offensive when their ‘star’ speaker is Angela Lanfranchi, who links abortions to breast cancer. This is not only wrong; this discredited view should be regarded as psychic assault against Christian women. The American Cancer Society (at http://www.cancer.org/cancer/breastcancer/moreinformation/is-abortion-linked-to-breast-cancer) and several other highly reputable sources all over the world state the following “Breast cancer is the most common cancer in women (aside from skin cancer), and it’s the second leading cancer killer in women. Because it can be a deadly disease, it’s one that many women fear” the information then gives us “A 2013 Danish study of over 25,000 women who had at least one full-term pregnancy found no link between induced abortion and breast cancer risk over 12 years of follow-up” this is just one of many studies, yet enough evidence has been given to give proper claim that this link does not exist, so I wonder why Angela Lanfranchi is currently not being investigated and prosecuted for possible psychic assault, I regard the act of scaring women into a pro-life stance is just plain criminal.

This is the most visible, but not the only part that I found offensive. There was more and this part falls to Fred Nile, leader of the NSW Christian Democrats stating “All this softening up of legislation is because we don’t have committed Christians there“. I disagree, we have plenty of committed Christians, but we also have a separation of state and church. I have nothing against any leader who at times as a Christian has moral stances, which he should be allowed to state. Yet, the vast majority of our population has made certain choices in life and these values have been democratically adopted.

He then speaks of a view “A drug-free society. A pro-life society. No pornography or prostitution. A society with wholesome public entertainment. A God-honouring, Christ-centred Christian nation“, I do not agree with it, I oppose it, but I also refuse to personally attack him for it. He has a right to his view as we all allow for a freedom of speech, but I will address this in a moment.

We agree that there are courts, there is rule of law and there is freedom of religion, so why do we see the quote “Catch the Fire pastor Daniel Nalliah founded the anti-Islamic political party Rise Up Australia and famously blamed the Black Saturday bushfires on Victoria’s abortion laws” laws do not set fires, people do, Islam has a peaceful foundation whilst the Catholic church has eradicated at least 17 civilisations, yet they would state that these 17 civilisations were all led by the devil (an assumption on my side).

The article ends with one of the vilest of proclamations “He said 90% of all the world’s poverty was caused by the breakdown of the family unit“, so who is not in poverty? Would that not be those in their Ivory towers (like New York), how many of them are Christians? How many are Atheists and more important, how many of them have a family? Family breakdown did not cause poverty, yet exploitation and greed caused poverty which led to family breakdowns all over the world.

This is all so offensive because the bulk of the Christians are people like me and many of you readers. We have a firm foundation of rational, so why are the loons always so linked to Christianity?

It seems like a self-answering question but it is not.

In regards to my view of abortions I remain on the fence. Pro-life wants to set it to zero, which is just wrong, but the fact that it is so openly available is also not right. There are cases of rape and incest where a woman does not want it, it should be her right to remove that what was forced upon her. The other side is also not acceptable, the Christian woman who kept the baby, is her right, yet the criminal father cannot rely on any chance to be given citizenship. That is exactly what seems to have happened in the UK, the man as the bleeding heart refugee lawyer won the argument that “his right to family life would be violated if he were removed to Nigeria“; the Strasbourg court seems to have little regards for the victims of violent crimes. Can anyone blame the position of Theresa May and her goal to remove the Human Rights Act?

Yes, this is still all about the Christians!

I personally am all for a drug free society, I am not against a pro-life society, but I feel that 100% pro-life is not acceptable either. So what is wholesome public entertainment? This is shown in the next quote “Without God they get filled with they get filled with pornography or terror or computer games“, well the bulk of all people are not violent, even if they have video games. Many are not in league with terror, yet Christians have annihilated the bulk of all non-Christian civilisations, so how are Christians allowed to exist? As for pornography, or better stated ‘erotic art’, the Catholic Church has founded a whole cadre of them. One of the more renowned masters of the erotic arts is Agostino Carracci, who is also responsible for “The Last Communion of St. Jerome” (not the Botticelli edition). So what would you do? Burn those paintings too?

Perhaps these Christians want to take a look at their own past. In early 1497, a priest named Girolamo Savonarola started a few bonfires, this event would later be known as the bonfires of the vanity. Hundreds upon hundreds of paintings and writings were destroyed as they were regarded sinful and immoral. The only person to go to these lengths lately was Adolf Hitler (Kristallnacht), so yes, that is a group of people we all should relate to (you do understand that this is a sarcastic remark?)

In my view such people of visibility have always used religion and the church to proclaim a new era whilst basically bullying behind scriptures. When we look at Savonarola we see “while Savonarola intervened with the king, the Florentines expelled the ruling Medici and, at the friar’s urging, established a popular republic. Declaring that Florence would be the New Jerusalem, the world centre of Christianity and ‘richer, more powerful, more glorious than ever’“, so a seat for the promise of power, something we have never seen before. That last quote came from ‘Savonarola The Rise and Fall of a Renaissance Prophet‘, which gives us another message of a want-to-be-a-prophet-through-violence.

Yet, this is not the church, this is not Christianity. I have seen it in several ways. The mother and her two daughters working every Friday a morning as a volunteer, doing not just good deeds, but simple acts of goodness that are pivotal in making this a better world. Those who speak in kindness even as junks lash out in verbal abuse. There is much wrong in this world and true Christians try hard to make it a better world. They are not visible as speakers or in a forum. They volunteer for the SES, help with houses in need, they are with organisations like Marine Rescue; they work weekends for the heart foundation and the cancer council. They are not in the limelight, yet they are all true Christians. Some are Anglican, some are Catholics and for the most none have any anti-Islamic sentiments.

So here is my opposition to the entire article, whatever they call a ‘family congress’ seems to be a collection of religious loons. God did not speak there, because this message as we read it is about a military tactic. It read that their approach is about segregation, isolation and extermination. None of these tactics are god’s words, they are the words of man and the power hungry drive behind it. After all this one perfectly valid question remains. Why do they call this a ‘World Congress of Families conference’? Isn’t every family made of the children of other families and are they not made from individuals? If the smallest element in an equation is ignored, how can the formula make sense, or even more, be valid to begin with?

 

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August 30, 2014 · 11:03

The Sanctimonious pretender

I saw a smaller headline this morning. It was not a text, but a video from the Guardian. The headline read ‘Why is the United Arab Emirates secretly bombing Libya?’ (at http://www.theguardian.com/world/video/2014/aug/29/why-is-the-united-arab-emirates-secretly-bombing-libya-video). The text below the video is “The United Arab Emirates, a small wealthy Gulf state, has been secretly bombing targets in Libya, from bases in Egypt without the knowledge of the US. We explain how the raids reflect new rivalries in the region and are likely to trigger new strains between the west and its increasingly assertive Arab allies“.

There are several sides to this, but let’s start with the obvious ones “without the knowledge of the US“. Since when do we need to tell the US everything? If allies share all information, then can Washington please be so kind to send a 100% backup of their collected NSA data? You see, when we look at the word ally, the Oxford dictionary gives us “A state formally cooperating with another for a military or other purpose“, but the one that is perhaps more apt is “A person or organization that cooperates with or helps another in a particular activity“. So helps or cooperates in a particular activity, not all activities.

There are two questions linked to all this. The first is “how much of an ally is America?” I do not mean this in a negative light. The reality is that as it stands, USA is no longer a super power. They are limited in their actions and as the Democratic administration has given away nearly all power to banks and debt holders, in addition, there is an increasing visibility on just how dependent USA is on their need for oil. The article shapes another side that might have been unintended. It states “they were once united in their fear of Iran“, the fact that USA has been trying to get a dialogue with Iran is unsettling to many. In addition their slow response to the threat ISIS is also seen in a more negative light. The Iranian change has left the impression that USA will talk with all, this left an uneasy taste in the mouths of the conservative gulf monarchies. For if America is willing to take the ‘easy’ path to their oil, as well as the implied move of America to move away more and more out of the middle east is showing them the question, who should be THEIR ally? This could be the economic prosperous situation that the Commonwealth needs, yet would it be prosperous and moreover, how much of an ally will the Commonwealth nations need to become?

This is part of the view that I have had in other areas as well. Big Business seems to regard any nation with a monarchy as a non-positive area. Big Business is all about their powerbase which allows for a more secure hold on any location where politicians are the powerbase for their profit needs, it allows for changes and settings that are beneficial to large corporations. It seems to me that they cannot get the power foundation they so desire. Although phrased in opposition, KPMG made notion (at http://www.dutchnews.nl/news/archives/2012/10/big_firms_consider_leaving_the.php) of this. They stated in the headline ‘Big firms consider leaving the Netherlands, says KPMG report‘, the quote “Some of the Netherlands’ biggest companies are considering leaving the country because of the worsening climate for entrepreneurs, according to a new report by consultants group KPMG“. It is my view that this is not the actual ‘truth’. As I see it, it should read “Some of the Netherlands’ biggest companies are considering leaving the country because of the required freedom of exploitation that is denied to them“. This is of course my personal view, but considering the tax responsibilities firms have and for now, the pressures on both companies and people for tax accountability in the Netherlands. A board of directors have no national allegiance, just an allegiance for profit. I feel that honest values of accountability have for the most been the best preserved in monarchical states. Which includes the UK, the Netherlands, Sweden, and of course the UAE, Saudi Arabia, Oman and Qatar. So is there another factor why there is growing uneasy between these states? It seems to me that both Saudi Arabia and Qatar have absolutely nothing to gain in the long term to support ISIS, so where are these accusations as well as the implied evidence coming from that they seem to support these Islamic fighters?

The fact that Turkey and Qatar are stated to support Islamic movements is a call for more scrutinies investigations, as that implies that Turkey is now in opposition to its allies US and UK, so what quality evidence is there?

This is in the back of my mind when we look at the evidence. Is it truly the nations, or the larger players in these nations? If large corporations are indeed fuelling political needs of change by giving access to Islamic change, then we have an entirely new game in play. If we consider parts of ‘The Mobilization of Political Islam in Turkey‘ by Banu Eligür, we see another supporting side. It is the endorsing view by Jack Goldstone from George Mason University that gives us “Eligur shows how Islamists took advantage of the military’s obsession with the left and thus the military’s willingness to ally with them against leftist parties, the growth of a Saudi-supported Islamic business elite, and rapid urbanization, to create expanded networks and opportunities for electoral gains“. This is the side that is only one part. We tend to consider the side of on how Saudi Arabia and Qatar are involved, but we forgot the ‘western part’ in all this. Who exactly are the Saudi-supported Islamic business elite? These people, are they members of the house of Saud or are they exactly the opposite, Islamic members preparing to overthrow the house of Saud and turn a monarchy into whatever comes next. If that ever happens, then we get an entirely new situation. You see, whomever is in charge next can decide on who is allowed into Mecca, I have absolutely no idea what the consequence will be to that city, however I guarantee you that it might be the one spark to set a massive new strain of wars into motion, a destabilisation ISIS has been aiming for, for some time now.

Even though Jordan states to be ready to counter the radical threat, we see a view of widening support for ISIS among Jordanian Islamist fundamentalists inspired by its recent advances in countries neighbouring Jordan, which is a view that many are for now ignoring (likely until it is too late). This would force a massive military change for Israel and Israeli support as it will then be in a worse situation then it was in 1973, almost exactly 41 years ago.

The question becomes, how are they connected? They are not directly connected as events, yet the destabilisation will give a massive boost to the needs of ISIS as the younger population acts and reacts out, not in favour of ISIS, but against Israel due to a multi generation lecture of hatred (read non-acceptance), of the state of Israel. This might become the act tipping the scales in both Saudi Arabia and Oman. For ISIS it would be a win-win premise, if these two nations act out against Israel to appease its population, ISIS would claim to be the Islamic leader against Israel, if these nations hold off, they would create additional discord within the populations of both Saudi Arabia and Oman, which would only push the ISIS agenda forward more strongly.

So who is the Sanctimonious pretender?

As far as I can tell, they are the members of the boards of directors, in several cases just the man at the top who is pushing through support for certain extreme agenda’s so that a long term profit game can be played. The question would become would ISIS keep their word, or will they divide and exterminate this ‘infidel’ based support later on, for if we regard the meaning of infidel as ‘those who doubt or reject the central tenets of one’s own religion‘, are these people not digging their own graves?

Here is an Islamic view on greed: “Watch out for greed because the people before you perished from it. Greed led them to be miserly so they became misers. Greed led them to break the ties (of kinship) so they broke it. Greed led them to sins so they committed sins. (Abu Dawud)“, a view that was created almost a century before Christians went on the Crusades. Even then, Islamic view opposed the utter destruction that greed embraces.

If we do not start acting (read more than planning) for any solution that stops extremism, we might be left without options and the only oil America gets is whatever they can buy from Venezuela, Canada or Russia, which might make for a very uncomfortable oil price and a future we should all enthusiastically avoid.

 

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August 27, 2014 · 11:10

Which coin?

This morning I was confronted with my own thoughts of the last few days. I am not stating anything new (at least I hope so). The American issues, the overly visible multi-billion dollar deals and a few other notions. It started earlier this week when I heard that a friend was made redundant. These things happen. It happened to me, it will happen to others too. The issue I had is that for a decent long time we have known that companies for the most are not too bothered with loyalty, for them it is about the bottom dollar, what is interesting is that they tend to DEMAND loyalty to a fault until they cut away the people who loyally served them, in some cases for decades, only to replace them with ignorant junior staff members often costing them less than 50% of whatever they are paying now. This is not new, this had been going on for some time and they do it nice and legal, at times segregating a staff member in a niche position, waiting a year, if that person had been around a long time even two year and then closing down that department, which saves them years of due income in settlements.

Weirdly enough, yesterday’s story about the bankruptcy of America is linked to all that. You see, this entire issue can be reduced to two coins. One coin is the government, on one side we see the view they have of companies and the other side is how companies really are. The second coin is how we see companies and the other side is how companies turn out to be. They are not the same coin, they are an entirely different currency all together!

That is the view the older generation does not seem to comprehend and what the younger generation takes for granted. However, the long term consequence is that companies will end up having the short stick in all this (but about that side more a little later).

Let us take a look at coin number one. The government coin!

Companies, for the most have considered themselves nationalistic, it gives them an identity and also the protection of the government branch should that ever be needed. There is Woolworths, the Australian place to get your Groceries; there is General Motors, an American Company, British Telecom a British company and so on. These are actually the old times, we and with us our governments have had this image. To some extent, an Ambassador still to some degree acts as an intermediary between cooperative businesses to promote trade. So companies get the support of a government enabling them to have easier access to business opportunities. Their importance goes back to the Italian renaissance, more notably when Vittore Carpaccio painted the ‘Legend of Saint Ursula‘ series; they are called Arrival of the Ambassadors, The Departure of the Ambassadors and The Return of the Ambassadors. Ambassadors were the dream of business as they opened doors for trade to commence and increase.

Today this is no longer the case, business has no affiliation to any government when times are good (when times are bad they whine for money and tax breaks), actually they always whine for tax breaks. You see, a company as many can see have only allegiance to their board of directors and the bottom line that they worship in a spread sheet. Today’s corporations are not linked to a nation or a location. Google seems to be the only honest one in that regard. They do not call themselves an American company, but a Global company. Their concept of location is fluid, it shapes to the need of tax relief and where the fastest servers are to acquire the data handed to them by well over a billion people on a daily basis. Yet, this is not about Google! This is about the way business is allowed to be done. In my view it has something to do with spineless politicians (not just in America by the way). As companies were allowed too many degrees of freedom, they opted personal need and gain instead of the greater good. This is not wrong or illegal, yet they use the facilities offered for them with all the freedom, which by the way is as it should be for the most and at the same time these companies syphoned billion through a multitude of tax shelter constructions, all perfectly legal. Did you know that hundreds of millions of people buy their downloads in Ireland?

An option to promote trade has for the better part of almost two decades been used to avoid taxation, not to improve trade and/or long term economic benefits (well they are, but only for the board of directors). The greed economy had been turned against the governments, most not willing to change in fear that they will walk away. This is one of the main reasons why America is basically bankrupt and not just America. Many of the commonwealth nations, amongst them Australia, United Kingdom and Canada who are feeling the effects of people buying online and these governments end up getting $0.00 in any form of taxation whilst the stores are shutting down one by one. HMV and the Virgin Megastores were likely two of the most visible victims of online retail changes, yet the online purchases ended up not having taxation of any kind, which does mean that a nation’s government is losing out.

My initial solution was to make a change that made any online purchase taxable in the land of the buyer, an idea that was never adopted, some thinking they ended up with more perhaps? But all lost out, as the e-Giants remained in tax sheltered nations. Particularly the US and UK missed out on hundreds of millions of tax dollars/pounds.

“Tax administrators face greater difficulties in enforcing tax laws and maintaining their community’s legitimate revenue base when dealing with international rather than domestic transactions, particularly when dealing with a jurisdiction that combines tax haven status with bank secrecy. Increasingly, tax haven regimes with bank secrecy laws in place are accessible to almost anyone with a modem and a computer“, which comes from Mr Carmody, Commissioner of Taxation. It was an Australian Taxation Office Media Release on November 11th 1997. So, this issue has been known for over FIFTEEN YEARS! Who else is late to the party? Well, that would be the United States of America, the United Kingdom, as far as I can tell Canada (not confirmed, due to a lack of knowledge of Canadian tax laws), Australia and this prestigious list goes on for a little while longer. Yes, we were getting played in a most auspicious way by whining, crying small minded board of director members on a global scale.

There is one more side to the first coin (source: http://www.internationaltaxreview.com/Article/3252311/VAT-considerations-for-e-commerce.html). The article subtitles drew me in ‘Nehal Radia considers the VAT implications of e-commerce and how taxpayers can take advantage‘. The article has a few good sides and they are worth reading about, but for me it helps illustrate another side, partially the fact that a view given here is not as I see it to be ‘the correct one’, which by the way, thuy were never debating.

Consider your own financial situation, you the reader. If you have a job, it is more than likely that you have not been getting too many job raises since 2012, yet overall, your rent, your food, your electricity and food bills did go up, in some cases by a sizeable amount. Now consider the quote “According to Forrester Research Inc., US e-commerce spending will increase by 13.4 % to US $262 billion this year, with an expected continuation in growth to $370 billion in 2017. In Western Europe, it is estimated that 2013 e-commerce spending will reach €128 billion ($165.5 billion), up by 14.3% from last year and with expectations of €191 billion ($247 billion) by 2017)“. Really? Do YOU have that much more to spend?

I do not think that this is the case at all, yet, I know Forrester and it is likely that these are indeed the numbers (if they did not make a weighting error). What seems to be happening is that e-Commerce is growing stronger and stronger as this group is avoiding VAT payments more and more, which means that shops are getting shut down as e-Commerce is passing onto you part of the VAT savings. Consider that VAT in the Netherlands is 21% and in Sweden 25%, how can a shop compete when these savings are to some extent passed onto the customer by the e-shop, whilst they can avoid VAT and they do not need a location with rent and electricity. Business views have skewed the market and governments are now losing out massively, whilst their own economy is also suffering under unfair competition practices.

If this is the first coin, I would call this currency ‘slow and asleep at the wheel’.

We are the second coin. Our view has for the most been to work hard, to get the job done and to bring home the bacon. It is a simple view, as we aim to be the ‘return on investment’; we create a comfortable pillow where we rest. Not because we are lazy, or because we do not do our part, but because we know that as long as we get it all done, our boss needs us. He had paid us a decent amount and as we are the cause for more income then we cost, we should all be in a great position. Guess what! We were stupid! Today’s management or better stated, whoever makes the coin decision tends not to be stupid, but to some extent short sighted. You see, he can get the same person in India, or that one person just leaving University, to do almost the same at half the price. Whatever ‘loyalty’ you think your boss has had towards you is no longer there, as we are no longer people we are just part of a spread sheet, as we cost more we get replaced to cost less as to not affect THEIR bottom line, which is usually their profit (read commission). There is of course an issue we should not forget, the economy is still bad, and yes, we have to accept that trimming the fat (the most costly employees) will also happen as some companies are drowning. They are now relying on image, without the revenue to support it. Yet, this is not about that side. The coin is on how we perceive on the company and how the company really is does matter, not how they do business. Is that so?

Is their corporate soul not depending on exactly how they do business?

It is hard to stay on this without getting into the debate on how companies sometimes make hard choices to stay afloat. It is more about the changed spirit of the business soul and how they hope that youthful ignorance might get them these 1-2 deals that keep them going. Yet there is a side which we seem to ignore. It is ‘interpretation’ of business.

Consider the Corporate Image Awards 2014 (something that was brought by the Frontier Consulting Group), a company that is actually an Indonesian company. In their ‘Corporate Image Survey Methodology 2014‘ they actually had a nice twist to this story. They stated for their fourth dimension called ‘attractiveness‘ two parameters, one was called ‘Dream workplace company‘ and the second one was labelled ‘Company with high quality employees‘. Here we see the crux. What is a high quality employee? One that looks dynamic (read 22-25), fast (read slim lined) and get the job done, which reads like within six hours and however many hours of unpaid time they need to finish the job before the deadline, or the veteran can actually get it all done in 6 hours. It is ‘the’ unspoken question that is here and is loudly ignored by those not willing to answer honestly and those who are very unwilling to admit the question, is actually a massive issue. ‘What is a high quality employee?’

I am left with two coins and a question. Are we, both the people and the government too slow to change, or are companies driving us to change in too inhumane ways to protect ‘their’ profit? I feel uncertain to answer it, there are unspoken sides that have not been dealt with and there is the need for greed by board members on a global scale which is yet to be properly scaled back, even in these uncertain financial times.

 

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August 26, 2014 · 12:03

About America, chapter 11

This is a short story; it is not part of a novel where you have seen the first 10 chapters. This is in all seriousness an issue when we consider Code of Laws of the United States, United States Code, number 11 deals with bankruptcy.

So why take my word for this? Why am I right, when every journalist, every economist claims that this is not the case? How diluted am I to think this?

These are all valid question. Now consider the facts. The US treasury (from various sources) had collected in 2013 around 2,700 billion dollars. This seems like a lot, yet the budget as President Obama stipulated in 2012, the budget had spending set to around 3,800 billion dollar, so the US is already 1 trillion short. If we consider the total US debt at 18 trillion, meaning 18,000 billion, then the total debt would need 100% of all taxation for 6 years, an act that is totally unrealistic.

Now take this to your own homestead. I remember that I could never get a loan for a mortgage for more than 4 annual incomes. Now, this is like comparing apples to oranges, but is my train of thought so far out of bounds? It is my view that these seemingly ‘clever’ economists have been rolling their gambling dice in several ways for too long.

Consider the Dow Jones Index. We get fed the line that the economy is good, because 30 companies are doing ‘well’. Ever since the ‘dip’ it took in 2009 to 6547 (at http://stockcharts.com/freecharts/historical/djia1900.html), the Dow has ‘restored’ itself to 16743 (as per now). So, in the time when all was well, before the first economic collapse in 2004, when the Dow was 11722, and until the second collapse in 2008 when the Dow went from 14164 to 6547 in 2009, we now are in a time when many in the US are down on their luck and finances, when many all over the world are feeling the brunt of recession and other financial calamities, the almighty Dow is at 16743.

Is anyone considering the notion on how dislodged the entire Dow Jones concept is in regards to the reality of life?

Consider the following information:

– Amazon is buying Twitch for a billion Dollars in cash (at http://www.theverge.com/2014/8/25/6066509/why-it-makes-sense-for-amazon-to-buy-twitch)

– Roche to buy U.S. biotech firm InterMune for $8.3 billion in cash (at http://www.reuters.com/article/2014/08/24/us-intermune-roche-idUSKBN0GO0PI20140824)

These are two of several (read dozens) of large shopping sprees, throwing cash around like it is nothing and as these billions come into the other parties’ hands, what taxation ends up getting paid? This is at the heart of the founding issue that should keep our minds busy ‘Is America Bankrupt?’

There are two sides. First there is the Sovereign Default. No matter how you twist or turn it, if a nation cannot pay its debt, it will default and should be seen bankrupt. A good example is Greece. After Europe bailed out a nation with 11 million people, by ‘giving’ it well over 300 billion, it is still complaining. The reality is that it should have been allowed to go under in bankruptcy. Not because I like it, or because I have anything against Greece (in all honesty, Crete is one of the loveliest places I ever saw). The natural cycle of economy has been ‘arranged’ (I would call it mismanaged) into cycles of only good news. You talk to any farmer, they will all tell you that no field can survive on spring and summer alone, nature is all about balance and as we threw away balance, we started to undo our own prosperity.

It is said that a business is stated as ‘insolvent’ when its debts exceed its assets.

Is that not the case here? I have stated in the past that I have reservations about the true value of LIBOR.

If we continue the question: “How much money they need to borrow from their peers to plug any holes in their balance sheets and if they have an excess of available cash, how much they can afford to lend“, which is at the heart of LIBOR (at http://citywire.co.uk/money/qanda-what-is-libor-and-what-did-barclays-do-to-it/a600479), considering that the margins had been played with in the last two years, is the idea that the total valued amount has also been tweaked?

This is all based upon an availability of actual existing Cash. But the entire system is based upon a certain value of assets and goods, as I personally see it, I do not trust that list as it is dependent on the ego of honest bankers, which seems an impossible concept and no one can produce at any given moment an exact list of it. So what value exists in all reality (not in the eager mind of a commission driven banker)?

We now get back to the Dow Jones Index. If we consider the past (when life appeared good) and the now where most of have lost a lot (if not all), then is that index not artificially driven upwards? This is not just my view; several parties, including USA Today (at http://www.usatoday.com/story/opinion/2013/03/04/federal-reserve–quantitative-easing/1963539/) are showing us a view that shows an economic system that is driven upwards in artificial ways. So we now get a different view. Are all these mergers and multi-billion dollar deals we see regularly now on TV about growth, or about the top of the US industry that seems to leave the sinking ships before the system collapses.

This is at the centre of a few issues, where the US is rallying for ‘support’ whilst not showing one iota of accountability to get its budget under control. The last part is at the heart of the need to call the USA bankrupt (not because I desire it). It will cost many a lot, but is growth not depending on the downfall of others? If we consider that all together we are 100%, does our growth not depend on the need that someone else does less? That intertwining, where we ignore basic foundations that growth is not eternal, we see that there is a consequence to overinflating (yes, this also applies to my ego).

Yet, economists have time and time again stated that there is more here and there (whilst they point to virtual spaces). Now we see the heart of the problem, who has the actual 18 trillion that the US is down for? If we look at the oil links, should USA perhaps mean ‘Unionized Saudi Arabia‘? If we consider the real wealth, are they not the ones holding the oil reserves (one of the big four) and as such, the outstanding debt? I know it is not that simple, it never is, but when we ask a summary of where the debt lies; we will get some clever list from a highly educated economist and some excuse ‘that it is all a lot more complex then it looks‘.

He is not incorrect, but he is also not telling you who hold the 18 trillion the US had been spending in one way or another and as such, the realisation should now be upon you. If America is bankrupt, then what will happen next? Japan will pretty much be permanently out of commission and I reckon the UK will be in very deep waters, but we the Commonwealth must find a way to go it together if we are to survive.

It seems to me that America never realised that lesson, like several others, they all used to max out a credit card in virtual space whilst the actual, supporting currency is not there, so why has America not been declared bankrupt?

I reckon soon enough we will get more and more long winded talks, but in the end no one is sayng anything because those who will be making the speeches are at the heart of what went wrong and no one wants to hold on to that guilt when those left without their house ask them the question ‘where are my savings?‘.

 

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August 21, 2014 · 11:17

A time to breath

I am just now taking a few minutes (roughly 32.4) break from my UNI assignment. I have way to go and I should be OK to get it all done in time. These are also the moments when a person, no matter how driven to get the assignment done, will start worrying about the proper tense of it all. I procrastinate, he procrastinates, she procrastinates, we all look at Facebook, the Guardian, YouTube and whatever other non-University virtual place we can think of.

I do it every two hours to keep my mind slightly more alert than usual. Assignments can be dull dreary and often nerve wrecking and if we do not take a little look out of the window, we go bonkers (for Americans: that means ‘loony tunes’).

The topic of news are the beheading of a US reporter by ISIS, air strikes batter Hamas and something about Sainsbury and credit card fraud. If you do not know that ISIS is a massive threat, then feel free to hide back under your rock, if you think that there can be peace between Hamas and Israel, then please say hi to Professor Minerva McGonagall from me when you get back to Hogwarts and enjoy the ‘reality’ of magic, muggles and feast over the death of he-who-should-not-be-named.

The Sainsbury issue is however a massively different slice of pie, and I will take a bite out of that one. It is yesterday’s pie, but it seems to have the good taste of ‘are you for real?‘ whilst having a glass of ‘someone better start waking up soon there‘ (at http://www.theguardian.com/money/2014/aug/20/sainsburys-bank-security-fraud-transfer-credit-limit).

The first quote that I have an issue with is almost at the end of that article, where it states “Sainsbury’s, which has run its own banking operation since 2013, might now want to look at its security measures“. How about “Dear Sainsbury bank, in light of the information we currently have, we will feel a sense of utter joy to permanently shut you down in 48 hours if you do not wake the flip up and get your hat on straight! Kind regards the office of common sense and persecutors of dumb, dumber and the flatulently moronic”

This is not 2001 or 2003, it is 2013 and the dangers of cybercrime, identity fraud and other mismanaged works by those who acquire that what others own, has been in operation since the late 90’s and the article, if correct has all the makings of a new season of ‘the Office‘.

The quote “At no time was I asked the further security questions that only I could answer“, which implies that the security of ones birthdate is as dangerous as it is futile. Many people seem to hand over that information to Facebook (that open message and personal detail place which was created in 2004). The fact that the automation and security process of commonwealth welfare is stellar-sized more advanced above the implied security of the Sainsbury bank should give credit to levels of Howling laughter from Edinburgh (random place to the north), which the people in London would hear.

So, that’s enough rant for a few minutes!

The issue remains how ‘a bank’ had not been vetted beyond the points of common cyber sense, as well as allow certain changes (like increasing credit limit) other than in person to the place where the credit was offered in the first place. I must stress out here, that I am going by the Guardian article, so if their information is incomplete, then so will be the info you read here. Yet, if we see some place called ‘the northern echo’ (at http://www.thenorthernecho.co.uk/news/8423732.Sainsbury___s_hit_by_credit_card_scam/), then we see more issues with Sainsbury and well before 2013, which means that there is at least one watchdog that seems to be asleep at the helm. A quote from the echo is “The court heard that the scam was costing Sainsbury’s £12,000 a week in the North- East alone“, which implies that it is costing them a bundle, so we should take a step back and wonder how asleep some of these people are.

There is however WestpacSlota larger issue that is not being addressed. We have seen that ATM’s have been the target of several options. In Australia, Westpac came with a novel idea that prevents someone adding a skimming slot in front of the card reader of an ATM that is quite ingenious (see pic),

but overall the ATM has not been too overly developed. There was a time when I saw that the AMEX cards had a hologram, but the newer systems which are all about waving in front of a scanner open up many other criminal endeavours of exploitation of your bank account. The fact that seems to be implied is that Sainsbury, even today, remains a decade behind is cause for massive concern. This all will give rise to the question on how long it will take, before insurance companies take enough offense and no longer pay banks for their shortcomings, then what?

Here is see instant fortune for the one innovator that can truly show us a new way on digital transactions that allow for a new (or upgraded) system that is about safety and security, not about speed of transaction. Consider that golden idea that will keep trillions of transactions safe. Even if you only get $0.01 per transaction, you would end up wealthier then Bill Gates in less than two years (greed tends to be a great motivator).

Is there anything we can do? Well, the Sainsbury issue is a little extreme, but overall banks are getting better at upgrading security, yet there are a few things you can do. First of all, limit the location of your card, so that you can only use it national. Yes, it looks so cool that you can use it all over Europe, but if you are stuck in Stratford-upon-Avon and you have yet to write your first book, then it is highly likely that you cannot afford distant travels, which means that your card only needs to work in the UK (or whatever country you live in). Second, cyber criminals tend to spy on your computer if they can. So, when you are not using your computer, shut it down. It seems so cool to have it ready at a moment’s notice, yet that thing actually uses a fair bit of electricity and when you are not using your computer at night, it could be used to see if you have passwords and account details somewhere. Not the thing you want to leave unattended. Today, people leaving their smartphone unattended (I mean no pin or password), which is even more reckless nowadays. Even having more ‘renowned’ apps are getting to be more and more questionable (reference to my ‘No Press, No Facebook!‘ blog of August 10th), how long until someone slips in an app, to piggy onto some banks wave and pay app (a way to pay using the mobile phone by waving it in front of a scanner)? These are technologies that are possible today (whilst Sainsbury is an implied decade behind).

So, we should all take a moment to breath (except Sainsbury who apparently need to update their security) and consider the financial links we now have and when we last checked them for correctness of transactions, more important, what other card options do you have where people can too easily take your cash for a ride? I am referring to possible fuel cards, book club cards and other cards where you do not get the invoice immediately, so you might get a nasty sting when you open ‘that’ letter next week wondering when you had that complementary 50 pound dinner as a new member. It is the unspoken danger of having too much info on open social media, some banks seem not to have been updated and likely other providers could well be lacking in security procedures too.

Did you take time to breath?

 

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August 10, 2014 · 18:42

The second exploitation

It is always nice to see business to take a look at others and see how they can profit. As The US had to increase its Intelligence spending from 2004 onwards, many of us saw the outrageous amounts that the taxpayer had to dish out for intelligence resources. The biggest drain was not the need for more men, but the simple fact that much of the Intelligence community went private and those intelligence officers who were making on average $72333 year, suddenly in the private sector were asking for $172333. It was a simple ask and demand issue. This has gone on for some time and now we see how others are picking up the idea.

It is Sky News who informed us (at http://news.sky.com/story/1310468/nhs-hospital-paid-1800-a-day-for-nurse) on something so outrageous, that for a moment I thought they had just copied and pasted news from the Telegraph (the truth is far more shocking).

The first quote should be a massive wakeup call “On May Day Bank Holiday this year a locum agency was paid more than £1,800 to supply a nurse for a 12-hour shift, new figures show“, so a group that does not get anywhere near such an income supplies more funds for one day then most nurses will ever make in a week. Can anyone please explain that to me?

I know that I had given the answer in the beginning of this blog, yet in my blog of June 19th ‘Concerning the Commonwealth‘ I wrote “if we look at the NHS, then staffing and expertise are also a worry, which is by the way a worry in many Commonwealth Nations. Most of these nations have well over 5% unemployed; can some not be re-schooled in the healthcare sector?” Of course, that was after the event and long before Sky News wrote their article, yet overall, just as we saw on the mismanaged 111 helpline; it seems that hospital resources are not budgeted correctly either. You see, when we look at budgets, we think of coin and cost. It seems that most people think in that same way. Yet, hours and staffing is also a budget we must keep. The fact that we for some reason suddenly need to pay 1800 pound for a 12 hour shift comes down to the cost of a full day plumber (or the equivalent of two QC’s).

Yet the article is also lacking, WHY was this action taken? Perhaps there were valid (or better stated a host of) actions that resulted towards this choice. So, not unlike the Telegraph, we should ask the questions in regards to these events as they are told to us. This is why I decided to hold on to this, as it was clear that there was more to this than meets the eye. My initial response: ‘Bad Sky News, bad!‘ (Especially as the health strikes were already going on).

It is now, today August 10th that I see an article of the Guardian that does more than just put the Sky News article to shame. I am not debating whether the article was true, but it seems that there are sides that certain people are never happy to inform the others about.

This part is now seen (at http://www.theguardian.com/society/2014/aug/09/former-nhs-carers-intensify-strike-over-pay). If I read this correctly then these people are making just above minimum wage, yet these people are doing intense work, needing to keep a mind of everything (especially physicians at times), whilst making no more than the brain dead fast food counter staff tends to make. How is this even close to acceptable?

Perhaps Sky News did stumble upon something, but they ignored the other side. So at 7 pounds, a nurse makes 280 pounds pre taxation. If that person was staying at a homeless hostel, she would lose out on 105, which gives her 175 to live on for a week, which is 25 pounds a day, take in consideration underground, busses and such, which makes for another fiver down the sewage (as they would rightfully see it). So how can ANYONE live on less than 20 pounds a day? Remember, this still needs to account for food, clothing and a few other items.

There is no denying that leaving the NHS in private hands is worse than just a bad idea. It could be the first onset of death for healthcare in the UK. As politicians have wasted in excess of 15 billion pounds on failed approaches to healthcare, why think that the private sector (a greed and profit driven entity) would do better to the cost and even more disgraceful, better to the people it is supposed to take care of?

The article has a clear quote that shows the danger people face: “Once they have squeezed out the state sector, and the third sector, we will then see prices rise; then we will see profits; then we will see these tax-efficient structures working.” This is a clear ‘divide and conquer’ approach, a method, might I remind the reader of that has been around Julius Caesar, so long before Nicola Machiavelli decided to become devious. Attached to this is that as more and more cost cutting solutions are born, ‘surviving’ on tax shelter operations, then the treasury coffers will miss out on a lot more, which will just force a system of checks and balances which is no longer depending on any balance, it makes for a massively unbalanced future for both the people and the state.

The part that gets me is the people behind the strike “Fifty carers for the disabled are staging one of the longest strikes in the history of the health service to secure a living wage for staff working in privatised services formerly run by the NHS“. Have these people on minimum wage figured out what politicians, who make a lot more than that are ignoring?

The danger is that when (not if) the healthcare sector collapses, the fallout will be unimaginable. Those deciding on cutting costs (which by itself is not a bad idea), should also consider the dangers that follows. Government has health and medical options because (for now) it is not driven from a profit point of view, which is at the heart of this situation, this is not about cutting cost or making profit, this is about breaking even or losing an essential part of support for the living. When we are left to the devices of that what brings profit, we see the first steps into culling a population. It will not happen because they are killed, it will happen because services are no longer available. Then what will the government do, and who will they have to pay, or more interestingly, how much will it cost the government then?

Is that in any way a lesser form of murder?

The question becomes: ‘If a Service Level Agreement is set between government and the private sector, can any of these parties be prosecuted for murder?‘

You the reader will laugh now, which is fine, but when we see the first casualty because of these changes consider my words and consider how that person would still be alive if certain steps had not been taken.

 

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