Category Archives: IT

April 21, 2018 · 11:50

Waking up 5 years late

I have had something like this, I swear it’s true. It was after I came back from the Middle East, I was more of a ‘party person’ in those days and I would party all weekend non-stop. It would start on Friday evening and I would get home Sunday afternoon. So one weekend, I had gone through the nightclub, day club, bars and Shoarma pit stops after which I went home. I went to bed and I get woken up by the telephone. It is my boss, asking me whether I would be coming to work that day. I noticed it was 09:30, I had overslept. I apologised and rushed to the office. I told him I was sorry that I had overslept and I did not expect too much nose as it was the first time that I had overslept. So the follow up question became “and where were you yesterday?” My puzzled look from my eyes told him something was wrong. It was Tuesday! I had actually slept from Sunday afternoon until Tuesday morning. It would be the weirdest week in a lifetime. I had lost an entire day and I had no idea how I lost a day. I still think back to that moment every now and then, the sensation of the perception of a week being different, I never got over it, now 31 years ago, and it still gets to me every now and then.

A similar sensation is optionally hitting Christine Lagarde I reckon, although if she is still hitting the party scene, my initial response will be “You go girl!”

You see with “Market power wielded by US tech giants concerns IMF chief” (at https://www.theguardian.com/business/2018/apr/19/market-power-wielded-by-us-tech-giants-concerns-imf-chief-christine-lagarde) we see the issues on a very different level. So even as we all accept “Christine Lagarde, has expressed concern about the market power wielded by the US technology giants and called for more competition to protect economies and individuals”, we see not the message, but the exclusion. So as we consider “Pressure has been building in the US for antitrust laws to be used to break up some of the biggest companies, with Google, Facebook and Amazon all targeted by critics“, I see a very different landscape. You see as we see Microsoft, IBM and Apple missing in that group, it is my personal consideration that this is about something else. You see Microsoft, IBM and Apple have one thing in common. They are Patent Powerhouses and no one messes with those. This is about power consolidation and the fact that Christine Lagarde is speaking out in such a way is an absolute hypocrite setting for the IMF to have.

You see, to get that you need to be aware of two elements. The first is the American economy. Now in my personal (highly opposed) vision, the US has been bankrupt; it has been for some time and just like the entire Moody debacle in 2008. People might have seen in in ‘the Big Short‘, a movie that showed part of it and whilst the Guardian reported ““Moody’s failed to adhere to its own credit-rating standards and fell short on its pledge of transparency in the run-up to the ‘great recession’,” principal deputy associate attorney general Bill Baer said in the statement“, it is merely one version of betrayal to the people of the US by giving protection to special people in excess of billions and they merely had to pay a $864m penalty. I am certain that those billionaires have split that penalty amongst them. So, as I stated, the US should be seen as bankrupt. It is not the only part in this. The Sydney Morning Herald (at https://www.smh.com.au/business/the-economy/how-trump-s-hair-raising-level-of-debt-could-bring-us-all-crashing-down-20180420-p4zank.html) gives us “Twin reports by the International Monetary Fund sketch a chain reaction of dangerous consequences for world finance. The policy – if you can call it that – puts the US on an untenable debt trajectory. It smacks of Latin American caudillo populism, a Peronist contagion that threatens to destroy the moral foundations of the Great Republic. The IMF’s Fiscal Monitor estimates that the US budget deficit will spike to 5.3 per cent of GDP this year and 5.9 per cent in 2019. This is happening at a stage of the economic cycle when swelling tax revenues should be reducing net borrowing to zero“. I am actually decently certain that this will happen. Now we need to look back to my earlier statement.

You see, if the US borrowing power is nullified, the US is left without any options, unless (you saw that coming didn’t you). The underwriting power of debt becomes patent power. Patents have been set to IP support. I attended a few of those events (being a Master of Intellectual Property Law) and even as my heart is in Trademarks, I do have a fine appreciation of Patents. In this the econometrics of the world are seeing the national values and the value of any GDP supported by the economic value of patents.

In this, in 2016 we got “Innovation and creative endeavors are indispensable elements that drive economic growth and sustain the competitive edge of the U.S. economy. The last century recorded unprecedented improvements in the health, economic well-being, and overall quality of life for the entire U.S. population. As the world leader in innovation, U.S. companies have relied on intellectual property (IP) as one of the leading tools with which such advances were promoted and realized. Patents, trademarks, and copyrights are the principal means for establishing ownership rights to the creations, inventions, and brands that can be used to generate tangible economic benefits to their owner“, as such the cookie has crumbled into where the value is set (see attached), one of the key findings is “IP-intensive industries continue to be a major, integral and growing part of the U.S. economy“, as such we see the tech giants that I mentioned as missing and not being mentioned by Christine Lagarde. It is merely one setting and there are optionally a lot more, but in light of certain elements I believe that patents are a driving force and those three have a bundle, Apple has so many that it can use those patents too buy several European nations. IBM with their (what I personally believe to be) an overvalued Watson, we have seen the entire mess moving forward, presenting itself and pushing ‘boundaries’ as we are set into a stage of ‘look what’s coming’! It is all about research, MIT and Think 2018. It is almost like Think 2018 is about the point of concept, the moment of awareness and the professional use of AI. In that IBM, in its own blog accidently gave away the goods as I see it with: “As we get closer to Think, we’re looking forward to unveiling more sessions, speakers and demos“, I think they are close, they are getting to certain levels, but they are not there yet. In my personal view they need to keep the momentum going, even if they need to throw in three more high exposed events, free plane tickets and all kinds of swag to flim flam the audience. I think that they are prepping for the events that will not be complete in an alpha stage until 2020. Yet that momentum is growing, and it needs to remain growing. Two quotes give us that essential ‘need’.

  1. The US Army signed a 33-month, $135 million contract with IBM for cloud services including Watson IoT, predictive analytics and AI for better visibility into equipment readiness.
  2. In 2017, IBM inventors received more than 1,900 patents for new cloud technologies to help solve critical business challenges.

The second is the money shot. An early estimate is outside of the realm of most, you see the IP Watchdog gave us: “IBM Inventors received a record 9043 US patents in 2017, patenting in such areas as AI, Cloud, Blockchain, Cybersecurity and Quantum Computing technology“, the low estimate is a value of $11.8 trillion dollars. That is what IBM is sitting on. That is the power of just ONE tech giant, and how come that Christine Lagarde missed out on mentioning IBM? I’ll let you decide, or perhaps it was Larry Elliott from the Guardian who missed out? I doubt it, because Larry Elliott is many things, stupid ain’t one. I might not agree with him, or at times with his point of view, but he is the clever one and his views are valid ones.

So in all this we see that there is a push, but is it the one the IMF is giving or is there another play? The fact that banks have a much larger influence in what happens is not mentioned, yet that is not the play and I accept that, it is not what is at stake. There is a push on many levels and even as we agree that some tech giants have a larger piece of the cake (Facebook, Google and Amazon), a lot could have been prevented by proper corporate taxation, but that gets to most of the EU and the American Donald Duck, or was that Trump are all about not walking that road? The fact that Christine has failed (one amongst many) to introduce proper tax accountability on tech giants is a much larger issue and it is not all on her plate in all honesty, so there are a few issues with all this and the supporting views on all this is not given with “Lagarde expressed concern at the growing threat of a trade war between the US and China, saying that protectionism posed a threat to the upswing in the global economy and to an international system that had served countries well“, it is seen in several fields, one field, was given by The Hill, in an opinion piece. The information is accurate it is merely important to see that it has the views of the writer (just like any blog).

So with “Last December, the United States and 76 other WTO members agreed at the Buenos Aires WTO Ministerial to start exploring WTO negotiations on trade-related aspects of e-commerce. Those WTO members are now beginning their work by identifying the objectives of such an agreement. The U.S. paper is an important contribution because it comprehensively addresses the digital trade barriers faced by many companies“, which now underlines “A recent United States paper submitted to the World Trade Organization (WTO) is a notable step toward establishing rules to remove digital trade barriers. The paper is significant for identifying the objectives of an international agreement on digital trade“. This now directly gives rise to “the American Bar Association Section of Intellectual Property Law also requested that the new NAFTA require increased protections in trade secrets, trademarks, copyrights, and patents“, which we get from ‘Ambassador Lighthizer Urged to Include Intellectual Property Protections in New NAFTA‘ (at https://www.jdsupra.com/legalnews/ambassador-lighthizer-urged-to-include-52674/) less than 10 hours ago. So when we link that to the quote “The proposals included: that Canada and Mexico establish criminal penalties for trade secrets violations similar to those in the U.S. Economic Espionage Act, an agreement that Mexico eliminate its requirement that trademarks be visible, a prohibition on the lowering of minimum standards of patent protection“. So when we now look back towards the statement of Christine Lagarde and her exclusion of IBM, Microsoft and Apple, how is she not directly being a protectionist of some tech giants?

I think that the IMF is also feeling the waters what happens when the US economy takes a dip, because at the current debt levels that impact is a hell of a lot more intense and the games like Moody’s have been played and cannot be played again. Getting caught on that level means that the US would have to be removed from several world economic executive decisions, not a place anyone in Wall Street is willing to accept, so that that point Pandora’s Box gets opened and no one will be able to close it at that point. So after waking up 5 years late we see that the plays have been again and again about keeping the status quo and as such the digital rights is the one card left to play, which gives the three tech giants an amount of power they have never had before, so as everyone’s favourite slapping donkey (Facebook) is mentioned next to a few others, it is the issue of those not mentioned that will be having the cake and quality venison that we all desire. In this we are in a dangerous place, even more the small developers who come up with the interesting IP’s they envisioned. As their value becomes overstated from day one, they will be pushed to sell their IP way too early, more important, that point comes before their value comes to fruition and as such those tech giants (Apple, IBM, and Microsoft) will get an even more overbearing value. Let’s be clear they are not alone, the larger players like Samsung, Canon, Qualcomm, LG Electronics, Sony and Fujitsu are also on that list. The list of top players has around 300 members, including 6 universities (all American). So that part of the entire economy is massively in American hands and we see no clear second place, not for a long time. Even as the singled out tech giants are on that list, it is the value that they have that sets them a little more apart. Perhaps when you consider having a go at three of them, whilst one is already under heavy emotional scrutiny is perhaps a small price to pay.

How nice for them to wake up, I merely lost one day once, they have been playing the sleeping game for years and we will get that invoice at the expense of the futures we were not allowed to have, if you wonder how weird that statement is, then take a look at the current retirees, the devaluation they face, the amount they are still about to lose and wonder what you will be left with when you consider that the social jar will be empty long before you retire. The one part we hoped to have at the very least is the one we will never have because governments decided that budgeting was just too hard a task, so they preferred to squander it all away. The gap of those who have and those who have not will become a lot wider over the next 5 years, so those who retire before 2028 will see hardships they never bargained for. So how exactly are you served with addressing “‘too much concentration in hands of the few’ does not help economy“, they aren’t and you weren’t. It is merely the setting for what comes next, because in all this it was never about that. It is the first fear of America that counts. With ‘US ponders how it can stem China’s technology march‘ (at http://www.afr.com/news/world/us-ponders-how-it-can-stem-chinas-technology-march-20180418-h0yyaw), we start seeing that shift, so as we see “The New York Times reported on April 7 that “at the heart” of the trade dispute is a contest over which country plays “a leading role in high-tech industries”. The Wall Street Journal reported on April 12 that the US was preparing rules to block Chinese technology investment in the US, while continuing to negotiate over trade penalties“, we see the shifted theatre of trade war. It will be about the national economic value with the weight of patents smack in the middle. In that regard, the more you depreciate other parts, the more important the value of patents becomes. It is not a simple or easy picture, but we will see loads of econometrics giving their view on all that within the next 2-3 weeks.

Have a great weekend and please do not bother to wake up, it seems that Christine Lagarde didn’t bother waking up for years.

 

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April 20, 2018 · 13:36

Physical vs Virtual (part2)

In part 2 we look at the virtual aspect in all this and for that we need to take a look at the other part of the equation, and see where the interaction ended up, because that is also a matter that truly counts.

Virtually

It started way before now, but the now gives us ‘Facebook moves 1.5bn users out of reach of new European privacy law‘ (at https://www.theguardian.com/technology/2018/apr/19/facebook-moves-15bn-users-out-of-reach-of-new-european-privacy-law). You see the law is one thing, yet in all this, when we see “Facebook has moved more than 1.5 billion users out of reach of European privacy law, despite a promise from Mark Zuckerberg to apply the “spirit” of the legislation globally“, was anything illegal done? When we see: “when asked whether his company would promise GDPR protections to its users worldwide, Zuckerberg demurred. “We’re still nailing down details on this, but it should directionally be, in spirit, the whole thing,” he said“, did he lie?

Those are the immediate questions. The General Data Protection Regulation (GDPR), the EU in this gives us “replaces the Data Protection Directive 95/46/EC and was designed to harmonize data privacy laws across Europe, to protect and empower all EU citizens data privacy and to reshape the way organizations across the region approach data privacy“, so the people created their account long before these privacy issues were there. They never cared for the longest time, as long as the US government didn’t get any data and when we respond to pornographic images and videos on social media, oh no, that was not us, that was merely Gavin Barwell (see part 1), in a time when his mind should have been all other kinds of matters. Ah well, we all have an itch now and then. Yes, it is that itch, because we are all on social media for some reason, to share, to look, to listen and to judge. Some of them actually communicate, and that has also been proven so communication on social media is not a fab. So when we see the EU site on the GDPR: “the biggest change to the regulatory landscape of data privacy comes with the extended jurisdiction of the GDPR, as it applies to all companies processing the personal data of data subjects residing in the Union, regardless of the company’s location. Previously, territorial applicability of the directive was ambiguous and referred to data process ‘in context of an establishment’. This topic has arisen in a number of high profile court cases. GPDR makes its applicability very clear – it will apply to the processing of personal data by controllers and processors in the EU, regardless of whether the processing takes place in the EU or not“, the first thing we see is that social media has no business having offices or processing data in the EU, that basically is the signal for Facebook to vacate using the ASAP protocol and they did just that. And Mark Zuckerberg did it all in the spirit of it all, it is just not what was expected and the Senate hearing just gave themselves (allegedly) access to de data to nearly all the European users. the second part gives us “The GDPR will also apply to the processing of personal data of data subjects in the EU by a controller or processor not established in the EU, where the activities relate to: offering goods or services to EU citizens (irrespective of whether payment is required) and the monitoring of behaviour that takes place within the EU. Non-Eu businesses processing the data of EU citizens will also have to appoint a representative in the EU“, so with ‘monitoring of behaviour that takes place within the EU‘, is a much larger issue and Alex Hern makes no mention of this anywhere in the article (that is not an accusation), merely that Facebook has moved the data and that the people in the EU have less rights under US law. Was that not always the case? Was that not the initial setting when Facebook started? So when we read “This is a major and unprecedented change in the data privacy landscape. The change will amount to the reduction of privacy guarantees and the rights of users, with a number of ramifications, notably for consent requirements“, which we get from Privacy researcher Lukasz Olejnik, we actually do not get anything new, because the GDPR would not have been enforced until next month, so there! (OK, not an entirely justified outcry, but I am feeling batty)

In all this the missed issue of monitoring is actually a lot larger for some and those boasting on what they bought on the dark net (some people remain simple on every level) will have a few repercussions, yet in all this when it regards Cambridge Analytica, we see all kinds of media exploitations, rumours, alleged actions, yet no arrests, no one in the dock and still the entire mess is merely focussed on Facebook. We have seen news on a massive amount of apps collecting data, smart toys, and with the upcoming 5G, the RFID and mobile tag as well as device tags will be an exponentially growing data market with the entire Fortune 500 chomping at the bits to get their fingers on that data, yet at present the legislation has been faulty at best and nominally missing completely. All that because the people give it all away willingly, that is what the next fridge with a £250 discount will warrant, as did the 2016 Sony Smart TV as just about all following models. that is not a joke, you agreed to this when you bought the TV,

it is in the end users license agreement and they are not alone, it is a massive list of corporation that are doing this and the media was, yet they were largely silent about it and the Sony issue in 2012, where the media is what I would personally label as: ‘whoring for advertisement options‘ instead of informing 30 million consumers on the change and its impact, is what still has my nostrils flaring 6 years later and I am an actual Sony fan.

So as we see how we are singularly focussed on where our personal data is and not what we allowed it to be used for, especially as it came with the free use of Facebook, we all need to accept that nothing is for free and the corporation requires its return of investment, well in the case of Facebook merely 60 billion. Where did you think that value came from? Watching advertisement? In that Facebook and google are largely alike. So in these issues in the physical and virtual side, we are short on memory, too large on emotions and unclear on how to make the houses of Lords and Commons more accountable for the matters at hand. Even as they cannot prevent you from staying with Facebook, we all have been failed by legislation that was too slow and MP’s that are showing to be lacking the necessary skills to do something successfully. It would be so lovely if Sir Martin Moore-Bick would be kind enough to show both matters, because it would have a much larger impact. Even as we see, (what I would personally call) the failed false promises of Jeremy Corbyn regarding housing, with: “One million new “genuinely affordable homes” over a decade, mostly for social rent. That’s not quite 1m new council houses – a chunk of these would be delivered by housing associations – but it gets very close” is also a Porky Pie of the largest order. You merely have to look at google Maps to see that there is no place for even 30% of that in London, so will they mostly be in Wales, Penzance, Brighton and Scarborough? In addition, none of the sides of the houses
(Lords or Commons) have successfully done anything to make a change, regarding leasehold which will drive the entire social housing matter further and 1,000,000 houses will not nearly be enough. So, back to the Virtual part, because that is still central in this. In that part I have to thank the realtor Harcourts for bringing the juice.

You see, with: “NPP1 – Collection of Information; Agencies are prohibited from collecting personal information unless it is necessary for one or more of its functions. Personal data should only be collected in a lawful, fair, and not unreasonably obtrusive way. The agency must disclose certain information at the point of collection“, yet in all this the terms: ‘unless it is necessary for one or more of its functions‘ gives a much wider scope, does it not? In addition, with ‘only be collected in a lawful, fair, and not unreasonably obtrusive way‘. So when they (the real estate in general) offer a £199 rebate for registering you as the leasehold owner, how many people do you think that will consider it necessary and not unreasonable? It merely needs to satisfy one function and the deed is covered with the mantle of opportunity. In addition we see “Personal and sometimes sensitive information may be collected and stored on standard real estate industry forms, such as tenancy applications, listing forms, etc. These need to be secured and available for inspection by customers“, so when did you look at what some call the RP Database? In Australia there is a firm CoreLogic and it has a product called RP Data Professional. In all this we see: “RP Data Professional is the leading property data solution used by property professionals in Australia. Prepare reports for prospects and clients, generate value estimates, verify information and conduct valuable research and highly targeted marketing. Packages starting from $150 / month“. It is widely used by debt collecting agencies as well as realtors. You would be surprised to see all that data and what every address offers. Do you think that they are the only ones? Data is gold, it is the printer that allows you to print your own money and for the most it is massively unchecked. Now, I know that RP Data is merely a facilitator in all this, all perfectly valid, and nothing illegal. Yet when we consider ABC in 2016 with “The Reserve Bank has taken the highly unusual step of switching its preferred home value data, arguing that CoreLogic’s figures overstated price growth in April and May due to a methodology change“, so as you see the data goes a lot further and for the most the people, the tenants and Real Estate seekers are totally unaware of such parts and in all this do you think that the UK does not have its own options. In all this, with the explosive cladding issues, did you not think that the clad dealers were not tailoring to ‘property value increase at minimum costs’? This goes a lot wider in several lanes and the sudden much larger issue of cladding is almost not looked at (I did say almost).

So when we see “CoreLogic’s head of research Tim Lawless acknowledged that the changes to the index may have temporarily bumped up the figures for a couple of months. However, he said other data indicate that those two months were still relatively strong for Sydney and Melbourne housing sales” we forget to look at the aligned indications and what else is setting the pass in all this. Even as the last parts were the Australian side of this, CoreLogic is also active in the UK. In this no one seems to have talked to CoreLogic to see if the cladding industry has been given (through subscription) access to the UK RP Database. Is that not interesting too? You see, when we accept the January setting of “Just three tower blocks out of almost 300 with the same “dangerous” and “flammable” cladding as Grenfell Tower have had panels taken down and replaced“, how come the number of buildings is so high? Are all cladding providers so very bad, or was there a very intelligent salesperson selling cladding to the right people, when the timing was just right? I am fairly certain that this part of the conversations has not been showing up anywhere.

The virtual side to the Grenfell disaster was not seen, perhaps that part was immaterial at that time, yet when we see 297 tower blocks in a serious setting of harm, with the initial setting of finding the proper candidates, have we considered that corporate social media (like LinkedIn) could be used to get the goods (in alleged Cambridge Analytica style) to create fear in other ways? A lack of value versus a larger valuation set against a minimal investment. You show me a person who turns that down and I will introduce you to a person who is very aware of the concept of dishonesty.

You see, we have seen for the better part of 5 years the notion of taking fear from the workplace, usually in the style of ‘Corporate Leaders Must Remove Fear Factor from the Workplace‘, which we get from the Huffington Post (at https://www.huffingtonpost.com/mary-prefontaine/corporate-leaders-must-re_1_b_1437445.html) as early as 2012, so when we see “As reported in the Harvard Business Review, employees faced with incivility are likely to narrow their focus to avoid risks, and lose opportunities to learn in the process. Obviously this impacts their level of personal success and the success of the organization“, yet in equal measure, those actors never considered to take the fear factor out of the boardrooms, which are forever ruled by the bottom line and in that respect there is very little difference between a corporate boardroom, or places like the Kensington and Chelsea TMO, which has one bottom line, which is the value of housing and the rise of values of upcoming new housing. So now, the entire Metro section we saw in part one with ‘Cladding added to Grenfell Tower to ‘improve view for nearby luxury flats’‘ it makes a whole lot more sense does it not? It is my personal view and opinion, yet in all that data was at the very Core and Logic of it all (pun intended). So when you think the Facebook data is an issue, guess again. The issue is a lot bigger, wider and more exploitable at the expense of yourself of course) than you would have thought.

All within the considerate view of those not looking at any of this, and you think I went deep here? I merely touched the surface and I will be very surprised if the public inquiry touches on any of those matters, not because they do not want to, but because the legal scope is unlikely to be there, as it would have been in the emotional seeking justice side. I guess that it is one of the questions that certain councils do not want to answer, so making sure that the question is not asked will be a first priority for all of them, because if it does get to the table, those who want to stiff Leaseholders with a £40,000 bill might optionally end up being not so successful and there is every indication that a fair chunk of those 297 tower blocks are currently facing a similar dilemma.

That is just my thought on the matter, and in all this, when you start realising the issues at hand and the time that this has taken, in addition that I saw some in minutes a few more in hours and one or two through my decades of data experience, are you not surprised that the elected officials remained in the dark? I know I am one of the better ones on the planet, but I know close to a dozen equal or better than me, many living in London. Do you actually think that some were in the dark or are they allegedly keeping themselves ignorant? In that case, if more happens, how many lives was the price of that ignorance? Can we afford to find out?

I’ll leave you with those questions, have a great Friday and do try to enjoy the weekend!

 

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April 16, 2018 · 10:32

Direction X

It is the Columbian (at http://www.columbian.com/news/2018/apr/15/harrop-facebook-wont-alter-its-lucrative-practices-without-regulations/) that gives us a light to work with today. A light that some US congressman and US Senators have been pushing for, so it is fun to have a go at that point of view. Now, do not mistake my opposition to it as a way to invalidate the view. I do not agree with the point of view, but many have it. So I see it as a way to inform the readers on the things that they need to know. Froma Harrop starts with three events. We see:

  • Mark Zuckerberg in 2006: “We really messed this one up. …We did a bad job of explaining what the new features were and an even worse job of giving you control of them.”
  • Zuckerberg in 2010: “Sometimes we move too fast. … We will add privacy controls that are much simpler to use.”
  • Zuckerberg early this year: “It was my mistake, and I’m sorry. … There’s more we can do here to limit the information developers can access and put more safeguards in place to prevent abuse.”

Now, they are valid events, but the dimensionality is missing. With the exception of certain Google products, Facebook has been the biggest evolving platform on a near daily basis, the integration with mobile apps, mobile reporting, stories, clips, annotated pictures, travelling, and so much more. Over a period of 10 years Facebook went from a dynamic page (for each user or group) to a collected omnibus of information available to all their friends. That is a level of growth that even Microsoft has not been able to compete with and in all this, there will always be mistakes. Some small and trivial and some will be bang up monsters of flaws. Compare this to Microsoft who did not push forward with its Xbox360, no it offered for sale a more powerful machine whilst trimming the functionality down by close to 20% (personal projected loss) with the shift from Xbox360 to Xbox One and Xbox One to Xbox One X. A data collecting machine of greed (whilst everyone is ignoring the data that Microsoft is uploading), pushing users like a bully, to do what they wanted the user to do or be left out. So when exactly did Facebook do that to that degree? Sony with its PlayStation at least pushed forward to some degree.

Froma makes a nice case with: “The law will require them to obtain consent for use of personal information in simple language. (Users shouldn’t have to take a night course to understand privacy and security settings.)“, this is nice in contrast to some consoles (like the Sony consoles) who suddenly made it illegal to use second hand games on their consoles in their terms of service, they quietly backed away when it blew up in the faces of Microsoft. In all this, yet with my sense of humour and realising where this article was, it was not without a giggle that I took a look at the Columbia Journal of European Law (at http://cjel.law.columbia.edu/preliminary-reference/2017/mind-the-gap-loopholes-in-the-eu-data-privacy-regime/) where we see “any set of information relating to individuals to the extent that, although the information is not processed by means of equipment operating automatically in response to instructions given for that purpose, the set is structured, either by reference to individuals or by reference to criteria relating to individuals, in such a way that specific information relating to a particular individual is readily accessible“, which now leads to “This language of “specific information [that] is readily accessible” indeed was interpreted by the English courts in a manner conflicting with the Directive. In Durant v. Financial Services Authority, the English and Wales Court of Appeal formulated a two part test to evaluate whether a filing system is caught by the Directive:” and that now leaves us with “(i) [T]he files forming part of [the filing system] are structured or referenced in such a way as clearly to indicate at the outset of the search whether specific information capable of amounting to personal data [] is held within the system and, if so, in which file or files it is held; (ii) [The filing system] has, as part of its own structure or referencing mechanism, a sufficiently sophisticated and detailed means of readily indicating whether and where in an individual file or files specific criteria or information about the applicant can be readily located.”

So in that case Froma is left with a piece of paper to be stationed where the sun does not shine and it merely took the case Durant v. Financial Services Authority to show its ‘lack‘ of complexity, or did it? She is right that ‘Users shouldn’t have to take a night course to understand privacy and security settings‘, it merely took law lord Sir Robin Ernest Auld (a former Lord Justice of Appeal in the Court of Appeal of England and Wales) a hell of a lot more than a night course, more like 25 years on the bench as a lawyer, an elected judge and his ascension to lord justice of the appellant court to get it all figured out.

So as we get that out of the way we also need to look at “The companies will have to notify users of a data break-in within 72 hours of its discovery. They’ll have to give up monopoly control of the personal information; people will have the right to obtain a copy of their data and share it with others“, it took Sony a hell of a lot longer to figure out that they were breached and notify people. So now consider the breaches of Equifax (143 million), eBay (145 million), Yahoo (3 billion) and Target stores (110 million). the implication of alerting that many people is not just weird, it is actually dangerous as people tend to overreact do something stupid and lock their accounts, these 4 events could set the stage for close to 4.5 billion locked accounts. The entire 72 hours, that whilst the discovery does not guarantee that the intrusion is stopped opens the entire system up for all kinds of hackers to have a go at that victim and truly make a much bigger mess of it all. Now the people should be informed, but the entire 72 hours was (as I personally see it) pulled out of a hat. In all this the latest Facebook issue was not done by hackers, it was done by corporations who intentionally abused the system, they set their profit knowingly at the expense of the users of that system and exactly who at Cambridge Analytica is currently under arrest and in prison? It seems to me that Facebook, clearly a victim here, has made mistakes, yet the transgressors are not held to vigorous account, yet the maker of the system is. Now, let’s be clear, Mark has clearly some explaining to do. Yet, when we see “Facebook failed in an attempt to get a handle on the Cambridge Analytica scandal Monday, after British authorities ordered its auditors to vacate the political consultancy’s offices” (source: Fortune), all this whilst the offices of Cambridge Analytica ended up being raided 5 days later, I have never seen authorities giving bank robbers that level of leeway, so why was this level of freedom given to Cambridge Analytica? When we consider that this data could be transplanted to writable objects (Blu-ray) in mere hours, it seems to me that giving them 5 days to wipe the evidence is a lot more questionable than merely thumping Facebook for the flaws.

The one part I truly disagree with is “Many of us have a need to connect and share. But expecting much privacy in a business model that relies on selling your information is highly unrealistic“, you see, here we see two levels of privacy, that what the person shares, free of will and that what is accessed. In one part the privacy from the outside is partially an easy thing, because Google with AdWords has shown that to be a clear option, their advertisers can create and address a population to the granularity available, yet the results of this marketing is done in a level of aggregation, individual records per person are not available. The fact that apps could capture it was a given, but the fact that all unique identifiers were optionally possible was kept in the shadows and that is where Cambridge Analytica worked. Now, this is a generalisation, but it fits the overall issues. Facebook could have done better, yet it was massively naive when it thought that the paying corporations would not try to get their fingers on EVERY part they could. In that I wonder what data the insurance companies in the end got a hold on.

So when I see “Tech investor Jason Calacanis has set up a contest — the Open Book Challenge — to create a Facebook replacement. Finalists will be given $100,000 and residence in a 12-week incubator“, when we see it in the light of “Facebook has delivered Zuckerberg a net worth of over $60 billion” must be the easiest pickings for Jason Calacanis that any entrepreneur has ever been a part of. It is like the pyramid games after 15 rounds whilst the top person stayed on top never having to pay more than 0.0001% of the total earning, not even Las Vegas in its wildest times offered such odds.

So I am very much against regulations, it is merely a way for governments to get a hold of that data. Now I am not against that if it truly serves national security, but the fact that actual criminals and terrorists use such systems to elude identification and strike form a distance merely makes it a waste of time and most analysts know this. Now, we also know that when we know where exactly to look, Facebook could reveal stuff, but to hold those billions of accounts to optionally find merely one person is an extremely bad application of time management.

In the end, the one additional part I liked was Zuckerberg stating “It was my mistake, and I’m sorry. I started Facebook. I run it. And I’m responsible for what happens here”. I like it because of the realisation that in all the bungles of IBM in the last 30 years, especially the PS/2 range, at what point did any of them stand up and tell their consumers that they screwed up? Especially in line of the setting that the average Model 80 (80386) computer was 400% more expensive at merely 28% of the power of a Taiwan clone, in addition the on board time clock battery has given the user more headaches than a hammer and the graphical underperformance offered should be forgotten at the drop of any hat.

So in this Zuckerberg kept his head high and in all this the entire setting of data abuse is still not addressed by either the US or UK government, in all this there is absolutely no indication that the abusers will be facing punishment or prison, so in all this the law failed the people a lot more than Facebook ever did, especially in the light of issues like this have been going on for years, but we do not get to read that part, do we?

 

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April 8, 2018 · 14:21

The sting of history

There was an interesting article on the BBC (at http://www.bbc.com/news/business-43656378) a few days ago. I missed it initially as I tend to not dig too deep into the BBC past the breaking news points at times. Yet there it was, staring at me and I thought it was rather funny. You see ‘Google should not be in business of war, say employees‘, which is fair enough. Apart from the issue of them not being too great at waging war and roughing it out, it makes perfect sense to stay away from war. Yet is that possible? You see, the quote is funny when you see ‘No military projects‘, whilst we are all aware that the internet itself is an invention of DARPA, who came up with it as a solution that addressed “A network of such [computers], connected to one another by wide-band communication lines [which provided] the functions of present-day libraries together with anticipated advances in information storage and retrieval and [other] symbiotic functions“, which let to ARPANET and became the Internet. So now that the cat is out of the bag, we can continue. The objection they give is fair enough. When you are an engineer who is destined to create a world where everyone communicates to one another, the last thing you want to see is “Project Maven involves using artificial intelligence to improve the precision of military drone strikes“. I am not sure if Google could achieve it, but the goal is clear and so is the objection. The BBC article show merely one side, when we go to the source itself (at https://www.defense.gov/News/Article/Article/1254719/project-maven-to-deploy-computer-algorithms-to-war-zone-by-years-end/), in this I saw the words from Marine Corps Colonel Drew Cukor: “Cukor described an algorithm as about 75 lines of Python code “placed inside a larger software-hardware container.” He said the immediate focus is 38 classes of objects that represent the kinds of things the department needs to detect, especially in the fight against the Islamic State of Iraq and Syria“. You see, I think he has been talking to the wrong people. Perhaps you remember the project SETI screensaver. “In May 1999 the University of California launched SETI@Home. SETI stands for the” Search for Extraterrestrial Intelligence,” Originally thought that it could at best recruit only a thousand or so participants, more than a million people actually signed up on the day and in the process overwhelmed the meager desktop PC that was set aside for this project“, I remember it because I was one of them. It is in that trend that “SETI@Home was built around the idea that people with personal computers who often leave them to do something else and then just let the screensaver run are actually wasting good computing resources. This was a good thing, as these ‘idle’ moments can actually be used to process the large amount of data that SETI collects from the galaxy” (source: Manilla Times), they were right. The design was brilliant and simple and it worked better than even the SETI people thought it would, but here we now see the application, where any android (OK, IOS too) device created after 2016 is pretty much a supercomputer at rest. You see, Drew Cukor is trying to look where he needs to look, it is a ‘flaw’ he has as well as the bulk of all the military. You see, when you look for a target that is 1 in 10,000, so he needs to hit the 0.01% mark. This is his choice and that is what he needs to do, I am merely stating that by figuring out where NOT to look, I am upping his chances. If I can set the premise of illuminating 7,500 false potential in a few seconds, his job went from a 0.01% chance to 0.04%, making his work 25 times easier and optionally faster. Perhaps the change could eliminate 8,500 or even 9,000 flags. Now we are talking the chances and the time frame we need. You see, it is the memo of Bob Work that does remain an issue. I disagree with “As numerous studies have made clear, the department of defense must integrate artificial intelligence and machine learning more effectively across operations to maintain advantages over increasingly capable adversaries and competitors,“. The clear distinction is that those people tend to not rely on a smartphone, they rely on a simple Nokia 2100 burner phone and as such, there will be a complete absence of data, or will there be? As I see it, to tackle that, you need to be able to engage is what might be regarded as a ‘Snippet War‘, a war based on (a lot of) ‘small pieces of data or brief extracts‘. It is in one part cell tower connection patterns, it is in one part tracking IMEI (International Mobile Equipment Identity) codes and a part of sim switching. It is a jumble of patterns and normally getting anything done will be insane. Now what happens when we connect 100 supercomputers to one cell tower and mine all available tags? What happens when we can disseminate these packages and let all those supercomputers do the job? Merely 100 smart phones or even 1,000 smart phones per cell tower. At that point the war changes, because now we have an optional setting where on the spot data is offered in real time. Some might call it ‘the wet dream’ of Marine Corps Col. Drew Cukor and he was not ever aware that he was allowed to adult dream to that degree on the job, was he?

Even as these people are throwing AI around like it is Steven Spielberg’s chance to make a Kubrick movie, in the end it is a new scale and new level of machine learning, a combination of clustered flags and decentralised processing on a level that is not linked to any synchronicity. Part of this solution is not in the future, it was in the past. For that we need to read the original papers by Paul Baran in the early 60’s. I think we pushed forward to fast (a likely involuntary reaction). His concept of packet switching was not taken far enough, because the issues of then are nowhere near the issues of now. Consider raw data as a package and the transmission itself set the foundation of the data path that is to be created. So basically the package becomes the data entry point of raw data and the mobile phone processes this data on the fly, resetting the data parameters on the fly, giving instant rise to what is unlikely to be a threat and optionally what is), a setting where 90% could be parsed by the time it gets to the mining point. The interesting side is that the container for processing this could be set in the memory of most mobile phones without installing stuff as it is merely processing parsed data, not a nice, but essentially an optional solution to get a few hundred thousand mobiles to do in mere minutes what takes a day by most data centres, they merely receive the first level processed data, now it is a lot more interesting, as thousands are near a cell tower, that data keeps on being processed on the fly by supercomputers at rest all over the place.

So, we are not as Drew states ‘in an AI arms race‘, we are merely in a race to be clever on how we process data and we need to be clever on how to get these things done a lot faster. The fact that the foundation of that solution is 50 years old and still counts as an optional way in getting things done merely shows the brilliance of those who came before us. You see, that is where the military forgot the lessons of limitations. As we shun the old games like the CBM 64, and applaud the now of Ubisoft. We forget that Ubisoft shows to be graphically brilliant, having the resources of 4K camera’s, whilst those on the CBM-64 (Like Sid Meier) were actually brilliant for getting a workable interface that looked decent as they had the mere resources that were 0.000076293% of the resources that Ubisoft gets to work with me now. I am not here to attack Ubisoft, they are working with the resources available, I am addressing the utter brilliance of people like Sid Meier, David Braben, Richard Garriott, Peter Molyneux and a few others for being able to do what they did with the little they had. It is that simplicity and the added SETI@Home where we see the solutions that separates the children from the clever Machine learning programmers. It is not about “an algorithm of about 75 lines of Python code “placed inside a larger software-hardware container.”“, it is about where to set the slicer and how to do it whilst no one is able to say it is happening whilst remaining reliable in what it reports. It is not about a room or a shopping mall with 150 servers walking around the place, it is about the desktop no one notices who is able to keep tabs on those servers merely to keep the shops safe that is the part that matters. The need for brilliance is shown again in limitations when we realise why SETI@Home was designed. It opposes in directness the quote “The colonel described the technology available commercially, the state-of-the-art in computer vision, as “frankly … stunning,” thanks to work in the area by researchers and engineers at Stanford University, the University of California-Berkeley, Carnegie Mellon University and Massachusetts Institute of Technology, and a $36 billion investment last year across commercial industry“, the people at SETI had to get clever fast because they did not get access to $36 billion. How many of these players would have remained around if it was 0.36 billion, or even 0.036 billion? Not too many I reckon, the entire ‘the technology available commercially‘ would instantly fall away the moment the optional payoff remains null, void and unavailable. $36 billion investment implies that those ‘philanthropists’ are expecting a $360 billion payout at some point, call me a sceptic, but that is how I expect those people to roll.

The final ‘mistake’ that Marine Corps Col. Drew Cukor makes is one that he cannot be blamed for. He forgot that computers should again be taught to rough it out, just like the old computers did. The mistake I am referring to is not an actual mistake, it is more accurately the view, the missed perception he unintentionally has. The quote I am referring to is “Before deploying algorithms to combat zones, Cukor said, “you’ve got to have your data ready and you’ve got to prepare and you need the computational infrastructure for training.”“. He is not stating anything incorrect or illogical, he is merely wrong. You see, we need to realise the old days, the days of the mainframe. I got treated in the early 80’s to an ‘event’. You see a ‘box’ was delivered. It was the size of an A3 flatbed scanner, it had the weight of a small office safe (rather weighty that fucker was) and it looked like a print board on a metal box with a starter engine on top. It was pricey like a middle class car. It was a 100Mb Winchester Drive. Yes, 100Mb, the mere size of 4 iPhone X photographs. In those days data was super expensive, so the users and designers had to be really clever about data. This time is needed again, not because we have no storage, we have loads of it. We have to get clever again because there is too much data and we have to filter through too much of it, we need to get better fast because 5G is less than 2 years away and we will drown by that time in all that raw untested data, we need to reset our views and comprehend how the old ways of data worked and prevent Exabyte’s of junk per hour slowing us down, we need to redefine how tags can be used to set different markers, different levels of records. The old ways of hierarchical data was too cumbersome, but it was fast. The same is seen with BTree data (a really antiquated database approach), instantly passing through 50% data in every iteration. In this machine learning could be the key and the next person that comes up with that data solution would surpass the wealth of Mark Zuckerberg pretty much overnight. Data systems need to stop being ‘static’, it needs to be a fluidic and dynamic system, that evolves as data is added. Not because it is cleverer, but because of the amounts of data we need to get through is growing near exponentially per hour. It is there that we see that Google has a very good reason to be involved, not because of the song ‘Here come the drones‘, but because this level of data evolution is pushed upon nearly all and getting in the thick of things is when one remains the top dog and Google is very much about being top dog in that race, as it is servicing the ‘needs’ of billions and as such their own data centres will require loads of evolution, the old ways are getting closer and closer to becoming obsolete, Google needs to be ahead before that happens, and of course when that happens IBM will give a clear memo that they have been on top of it for years whilst trying to figure out how to best present the delays they are currently facing.
 

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March 27, 2018 · 15:28

The Red Flags

Today is a day where we are overloaded with actions on parties, yet there is little evidence shown, actual evidence that gives light to the danger. So first we see Russia, the old red with hammer and sickle. First we see ‘Expulsions of Russians are pushback against Putin’s hybrid warfare‘ (at https://www.theguardian.com/world/2018/mar/26/expulsions-of-russians-are-pushback-against-putins-hybrid-warfare), as well as ‘More than 130 people could have been exposed to novichok, PM says‘ (at https://www.theguardian.com/uk-news/2018/mar/26/130-people-feared-exposed-to-novichok-in-spy-attack-says-pm). These two matters are shown to us giving two lights. The first is “The expulsions of Russian diplomats on Monday reflect how widely Vladimir Putin has attempted to wage his brand of hybrid warfare and how many leaders and their intelligence agencies he has angered in the process. Even before the Salisbury poisoning, many governments had lost patience with Vladimir Putin’s grey war for domestic reasons of their own. Their response is not just an act of solidarity with the UK but a collective pushback“, I am not denying any of this. There are indicators that Putin has been waging ‘war’ for some time. There is also the larger indication that he is moving on several fronts and he is gaining field in economic options in the Middle East, whilst America has lost footing. The US needs to appease Saudi Arabia to the maximum degree to avoid the dangers of losing even more footing in the Middle East.

It is with “In Lithuania, the government found Russian spyware on its computers. As far back as 2007, Estonia suffered a three-week wave of cyber-attacks” we do get a first issue, as well as with “US and EU expel scores of Russian diplomats over Skripal attack“. You see when governments start to react with “in a show of solidarity” you should all be aware that there is a lot more going on. This is not some form of ‘conspiracy theory’, this is merely facts that you can check. How much solidarity was shown when we all got screwed over by the meltdowns of 2004 and 2008? The economic impact was shown in several countries. Of course not as massive outside of the US, but we all felt the pinch, millions of us. So how much solidarity was shown AGAINST Wall Street? Please show me the evidence, because for the most, these people might have lost their jobs, but left so wealthy that these men could go into brothels for the rest of their lives, shopping for virgins. So when it comes to solidarity, i have merely seen that as a government sham over the last 10 years. In addition, even if we acknowledge that the Novichok is of Russian making, there is evidence that it was not uniquely in Russian hands. In addition, there are clear questions regarding Vil Mirzayanov as well as some of his statements as I showed in the earlier presented blog ‘Something for the Silver Screen?‘ (at https://lawlordtobe.com/2018/03/17/something-for-the-silver-screen/) where I gave the readers “Regarding new toxic chemicals not listed in the Annex on Chemicals but which may nevertheless pose a risk to the Convention, the SAB makes reference to “Novichoks”. The name “Novichok” is used in a publication of a former Soviet scientist who reported investigating a new class of nerve agents suitable for use as binary chemical weapons. The SAB states that it has insufficient information to comment on the existence or properties of “Novichoks””. Now we need to consider that both the OPCW and the SAB are incompetent beyond belief, or that we are now getting a collection of Fish Stories. They presented the statements in 2013. Now TASS (I know, not the greatest source of non-biased journalism) gives us “As far back as 1998, we looked though a regular edition of the spectral database released by the US National Bureau of Standards, which has spectral data on about 300,000 compounds and is regularly updated, to find an agent that caught our attention as it was an organophosphorate chemical. We understood that it must have a lethal effect. Now it has turned out that, judging by the name of that agent, it was Novichok A234. It has surfaced,” Igor Rybalchenko, chief of the ministry’s chemical laboratory, said in an interview with the Voskresny Vecher news roundup on the Rossiya-1 television channel“. You see, this is something that could have been checked. Is TASS lying? If not than we get the additional of what some might regard as ‘fuck ups‘ by both MI5 and GCHQ. In that regard, the less stated involving MI6 at present the better. Now, that part could be easily verified, yet the US and the UK have not given any clear evidence, whilst several sources have clearly shown that Novichoks were out there. If any of the sources, that I mentioned on Novichoks (like Leonard Rink), are shown to be true than there is a larger issue in play. The issue is that some governments are in denial over the evidence and facts and that is a bad thing. Let’s be clear, that does not absolve the USSR (I love the old names) on many of their actions, it merely shows that painting everything with a single brush shows other levels of incompetence on several fields. Even if that was the Intelligence branch intervening for whatever reason, they went about it really bad and the wrong people end up getting scorched. It is the Guardian that gets credits here for asking the hard questions. With ‘UK’s claims questioned: doubts voiced about source of Salisbury novichok‘ (at https://www.theguardian.com/uk-news/2018/mar/15/uks-claims-questioned-doubts-emerge-about-source-of-salisburys-novichok) it asks the harder questions and in there we see the conflicts that Craig Murray brings. With ““There is no evidence it was Russia. I am not ruling out that it could be Russia, though I don’t see the motive. I want to see where the evidence lies,” Murray said. “Anyone who expresses scepticism is seen as an enemy of the state.”“. I am pretty much on his side on this matter. I found issues that gave rise to the blanket accusation within 30 minutes, perhaps better stated it took an hour because the OPCW documents read as smooth as sandpaper, more boring materials and meetings will seldom be read. Besides the questions from the Guardian, not one of the newspapers dug into the overkill matter. The entire exercise too overly complicated. I could have mugged, executed the two making it look like a robbery in mere minutes (excluding preparation time), it would be done in no time and no chemical risks at all, to no one. So as we saw PM Theresa May give us “More than 130 people could have been exposed to the deadly nerve agent novichok during the Russian spy attack in Salisbury, Theresa May said on Monday“, yet no one raises that it could be a mere individual or even the Russian Mafia. Two likely considerations in all this, and not one has raised that part. No matter how we see the opposing players in Special Forces or Intelligence. To set the stage of 130 bystanders getting in the crossfires is a realistic thing in places like Syria and Yemen, where there is open warfare, in places like Chantilly, Cheltenham, St Petersburg, or Lille is not where one goes playing like that. You see killing a target, a valid target is one thing, doing it whilst setting the stage for getting +100 plus knowingly in the crossfires requires an entirely different type of psychopath and governments tend to not hire those types in the first place.

That alone merely emphasizes the part that my view has been correct all the time. In addition to that, we still have seen no clear stated evidence on how it was done. The Scotsman (at https://www.scotsman.com/news/uk/sergei-skripal-exposed-to-nerve-agent-through-car-vents-reports-1-4707852) stated “may have been exposed to a deadly nerve agent through his car’s ventilation system“, which they got from the US. You see, when we get ‘may have been‘ and ‘possibly‘, we need to realise that we are either kept in the dark, or they actually just do not know at present, which makes a case for blaming the Russian government a weird choice at best. And with every delay in this it merely shows that the entire mess is a lot larger, yet the media ignores that. I call that an actual problem.

I mentioned Lithuania earlier. Now, the following speculation does not absolve Russia, but when you realise that people like the Russian Mafia might oblige the Russian government at times, they are still in it for money, for simple profit and coin. So when we see: “In March 2016, Vladislav Reznik, a Deputy of the State Duma, has been put on the international wanted list and officially charged with membership in Tambovsko-Malyshevskie organized criminal group and money laundering in Spain. Reznik’s villa has been searched. According to the indictment, Reznik was among those controlling the gang operations and a member of Gennady Petrov’s business circle” as well as “€16 million have been received from the British Virgin Islands, Panama, Lithuania, Switzerland, Great Britain, and Russia. On the other hand, monetary funds amounting to some $8.5 million have been transferred from his accounts to Russia, Panama, Cayman Islands, and U.S.“, we see that Lithuania has larger players in the fold. If it is a vessel for transferring funds, having their cyber infrastructure under attack seems to be an effective way to keep the eyes peeled in different direction (extremely speculative), yet in support there is also “In July, Russian hackers were blamed for a similar assault on Lithuanian government Web sites. In Security Fix’s account of that attack, I posted a copy of a congratulatory letter sent to nationalist Russian hackers by Nikolai Kuryanovich, a former member of the Russian Duma. The missive is dated March 2006, and addresses the hacker group Slavic Union after the group had just completed a series of successful attacks against Israeli Web sites“, which is a first link from a ‘gov.ge‘ site. Cyberwar – Georgia

In addition there is “The wave of attacks came after a row erupted over the removal of the Bronze Soldier Soviet war memorial in Tallinn, the Estonian capital. The websites of government departments, political parties, banks and newspapers were all targeted. Analysts have immediately accused the Russian Business Network (RBN), a network of criminal hackers with close links to the Russian mafia and government, of the Georgian attacks“, now remember that Tallinn is in Estonia, not Lithuania. Yet the methods that the Russian Mafia uses are quite often duplicated (an Amway solution) and that part is not so far stretched. It is another cog that is showing us on the acts of the Russian Mafia. The Russian government is not absolved in all this, yet Theresa May did not tell us: ‘we have strong indications that a member or Russian organised crime with links to the Russian governments are behind this‘. No! She went straight for the Russian government and offered no clear evidence, that whilst the clear evidence could be largely dismissed in most courts with merely the use of the documents of the SAB, the OPCW and the testimony of Vil Mirzayanov who seemed to be interested in upping the sold copies of his 2008 publication.

There are sides to my story as well, parts I am not happy about, parts that should be scrutinised, yet in all this, the current facts and statements seem to take down the UK case at present. More importantly it shows us that the US is also playing the fear game, it is now more afraid than ever that it loses more and more turf in the Middle East, whilst Russia is moving forward. That scares them more than anything, even more than any Novichooks (yup intentional typo) in play, especially when we consider the danger that these weapons are and additional could be down the line, is that not odd either?

Ready Player Two

And that is not the whole story. You see in all this the other red flag has a star and a crescent moon. Yes it’s everyone’s favourite humanitarian setting (or was that lack off?), it is Turkey. So when we are again treated to the marketing of ‘Turkey needs Europe, Europe needs Turkey‘, the people in Europe need to run to the Brexit, or any EU-Exit they can find. I stated it in a previous blog with ‘This relates directly to Turkey, because it shows the desperate EU trying to open a many doors as possible‘. I did that in ‘A changing language‘ (at https://lawlordtobe.com/2018/02/15/a-changing-language/) well over a month ago. Now we see “Turkey is not doing very well economically, it needs outlets” said Lamberts, “and it is very clear that bad relations with Europe are harmful to Turkey, so somewhere on the economic level Erdogan needs Europe and Europe in fairness needs Turkey“, which Euro news gave us yesterday. So we see how Philippe Lamberts, a Belgian Green MEP is willing to throw values overboard, the economy does not allow for any humanitarian values. So when I see any journalists hiding behind ‘constant attacks on transgressions of human rights‘, whilst attacking governments making any kind of economy based deals. Can they just kindly go fuck themselves? When we see the Turkish joke evolving on the EU field, no journalist gets to use the ‘Human Rights‘ card for a long time to come. If you want to do that, go visit Turkey and protest in front of those prisons that have journalists locked up for life. Until you can make that change there, do not come crying on other shores. If you need actual Human rights issues, then perhaps turn to Canada where we got “A French waiter who was fired for his “aggressive, rude and disrespectful” manner has claimed compensation, insisting that his behaviour is not unusual, but that he is simply French“, that is the story of Guillame Rey from Vancouver Canada. that is where the Human Rights have gotten us and that is a real win for the ‘15 children that were killed in an airstrike as they hid in the basement of a school in the town of Arbin‘, yes a real humanitarian win in this. So even as the financial Times reported less than 2 hours ago “The EU said it failed to win a pledge from Turkey to free journalists it has jailed and improve other rights for its citizens but that it will maintain talks with President Recep Tayyip Erdogan after their first meeting in almost year“, we see no place stating that turkey will not become a member of the EU. It is another side where the gross negligence of evidence is taking the toll of our humanity. So as the President of the European Council Donald Tusk gives us “Only progress on these issues will allow us to improve EU-Turkey relations, including the accession process” (at https://www.ft.com/content/dbefa9e6-313d-11e8-b5bf-23cb17fd1498), so I am proven correct yet again, they merely need to push the EU deeper in debt, which according to Bloomberg is coming for certain through “Draghi’s call for patience and persistence in delivering stimulus, suggesting bond-buying will be extended beyond September” or set the stage where the so called Humanitarian principles are ignored, which has been the case for close to a year. It has only strengthened my view that the UK is a lot better off outside the EU, because this entire EU mess will collapse onto itself and woe to those who are left behind paying for it all. It could set back the economic markers for close to two generations in Europe, which should scare anyone in the EU.

The last red flag is North Korea (it has blue too)

I mentioned it some time ago. The entire Sony mess and blaming North Korea was never really resolved. So when I got the news from ABC stating “Secret intelligence documents and photos unilaterally collected by the U.S. military were among the stolen cache of South Korea’s classified documents by North Korean hackers, but the totality of what was stolen remains unknown“, we should be starting to get careful. you see it implies one side, but to my view it gives an entirely different issue. It implies that North Korea is a capable cyber operator. Now, we know that one can do plenty of damage with a laptop (like in the movies). Yet when you see these pics you wonder what on earth is going on, because we now get the speculated but believable view that ‘the US gave documents to an ally that does not have its basic cyber protections in place‘, that is a very different kind of cheddar, isn’t it? Now, I have seen a few pics where the computers look a little more advanced, but nothing that an actual gamer would still be using two years ago. And that is the foundation of their hacking? Let’s be clear, there are situation where you can hack with a 10 year old laptop, but you need skills, you need access to documentation and the ability to get past the firewalls and past sniffers and network monitors. They do exist, yet that requires an equal incompetency on the South Korean side, a part that we are also ignoring, the use of Common Cyber Sense.

You see, when you get “Malware contamination of the intranet server of the cyber command that occurred in September last year was confirmed by the South Korea’s Defense Ministry in May but this is the first glimpse of the scope of the damage“, there is another layer in place, one that does make sense. Some of the European, Russian and optional US hackers are selling their stuff to North Korea. That is a very possible scenario, but in that case both the FBI (if the US was involved), as well as the CIA failed in their tasks. Perhaps better stated, the CIA seems to be unable to thwart North Korea from purchasing cyber hacking software from making it to North Korea, which is equally a failure on several levels. It is unfair to blame merely the CIA. It is fair enough to add the earlier avoided MI6 to the mix as they should have been watching that danger, because if these hackers can get to South Korea, they could in theory hit the UK in equal measure, the evidence is there. Even as we agree that North Korea does not have the skills (my personal belief) to create something like Wannacry. I already went there to some degree in ‘In light of the evidence‘ (at https://lawlordtobe.com/2017/05/28/in-light-of-the-evidence/), the evidence given was compelling that was given by ICIT. In addition we had ‘when IBM cannot give view of any mail that propagated the worm’, which also takes North Korea out of the loop, yet they could have acquired the software. So even as the largest cyber player like IBM remains in the dark, there is still evidence that it was North Korea? That view was only enforced when a Dutch media team went to North Korea a few years back. In some places their cameras were locked up because no photographs were allowed. Yet most had them anyway, because the North Korean officers had no idea what a smartphone was and that it was able to take pictures. The Dutch NOS showed it on Television, so that is the place that hacked into South Korea, the birthplace of Samsung? It is not impossible and was never denied by me, but it was so extremely unlikely that unless clearly proven with evidence considering it was utterly impossible to the common sense mind. Yet as the source is not in North Korea, hunting that source down is more important, because the next time it will not be some version like Wannacry 2.0, it could be Stuxnet 7.1 and as the UK has 15 reactors and the US has 99 reactors in 30 states, it seems to me that waking up both MI6 and the CIA to actually get to the bottom of these North Korean ‘praised’ cyber skills and find out where those skills actually were (read: came from), because not doing so is a much larger issue. I hope that the South Korean bungle of their network security constitutes as at least some level of evidence.

Three red flags, none of them are innocent, I never implied that, but as we are changing the play, the marketing vibe and the need of what is real we need to carefully weigh what the media gives us and what those giving the media are actually after. I have seen enough evidence thrown about and have been able to ask questions to the extent that gives rise to many question marks and whilst some media are playing the emotional waves, some are seeking clarity and that clarity gives us additional options and views that we did not consider before. People all over the world are told to jump to the left, whilst there is no evidence that anything form the right was going to hit us in the first place, which makes us wonder why they did not want us on the right side to begin with.

These red flags are important, because even if we had any faith on the Russians trying to attack us, we need to consider that Cambridge Analytica is an English firm and even as Fortune now reports “A non-partisan watchdog group has filed complaints with the Department of Justice and the Federal Election Commission alleging that the data firm Cambridge Analytica violated U.S. election law by having foreign nationals involved in the decisions of political committees“, we see that it was a British firm who scored that job.

So it is possible that the people in Moscow will be treated to a comedy in 22 hours, it will go something like “TASS Is Authorized to Declare that the accusations against the Russian government and its people were propagated by an English Firm“, in this I used part of the 1984 Soviet spy miniseries directed by Vladimir Fokin, because even with my weird sense of humour it seemed important to give it an Orwellian sling. Perhaps you should check out his new book. It apparently deals with life in the US after a presidential election.

 

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March 23, 2018 · 10:27

Pinata whacking Couper

There is a little mean streak in me, you see, it started with Tesco, and it actually started a little earlier. But the gist is that when it concerns PwC (PricewaterhouseCoopers) I tend to take a swing at them whenever possible, I just roll that way. So there I was looking at ‘PwC charges more than £20m for first eight weeks of Carillion collapse‘ (at https://www.theguardian.com/business/2018/mar/21/pwc-charges-20m-eight-weeks-carillion-collapse-final-bill) when I realised that when I wack those boys I usually have good reason and supporting documentations to test my latest sledgehammer on a member of their board of Directors. In this article, when I saw “MPs have accused the accountancy firm tasked with salvaging money from Carillion on behalf of its creditors and pensioners of charging “superhuman” fees, after it racked up a bill for £20.4m in eight weeks” it took a mere 3.2 seconds from spitting in my hands and getting ready to swing that hammer at Kevin Ellis (yes all the way from Sydney, my arms are that long). I held off and went ‘wait a minute!‘

You see, I always had as I saw it good cause, but who are these MP’s thinking that they have good cause? The first is Rachel Reeves, the Labour MP in charge of the business select committee. So she mentioned that ‘superhuman’ part. What does she know? The Wiki claim states that she is an economist. So how much does one charge for 112 consultants? You see at £199 an hour we get £891K for these people working a mere 40 hours a week. As it is the UK, they are more likely to work 60 hours which gets us at flat rate £1.3 million a week which leaves PwC with an overhead of a mere £100K whilst I have not taking into account any additional expenses and they tend to get high. I reckon that these people are likely to make a lot more than 60 hours a week, that is the result of “£2bn to its 30,000 suppliers” and as the article states “a week to employ 112 staff to keep the company running and to honour government contracts” we do not see the inclusion of any additional staff that was not hired and that is still assigned via PwC. So that took a mere 6 seconds to realise that I was not getting to whack Kevin Ellis. Leave it to a Labour MP to spoil a perfectly lovely Friday morning feeling. Now, let’s also realise that my calculations could be way off, there are so little actual facts in the article (I am not blaming the article here) that there are hidden traps all over the place. I think that Rachel should have gotten up from the right side of the vibrator that morning, as we need to realise what an amazing mess Carillion is. The oversight had fallen short on so many sides, with the mention of pensions and a shortfall that is close to a £1,000,000,000 should be a much larger issue and the fact that this had fallen short implies a level of what I regard to be criminal negligence that is unheard of. We merely need to look at ‘Carillion’s pension crisis defies magic legal cure‘ (at https://www.ft.com/content/5041d10e-1a1c-11e8-aaca-4574d7dabfb6). So when we see “Yet in the seven years before its collapse, Carillion made contributions to the fund of just £280m while paying out dividends worth more than £500m“, my first idea is to look at the auditors and the accountancy firm. So how much overview did Rachel Reeves give regarding KPMG? We get part of this when we see ‘Why didn’t anyone working with Carillion say it was going to fail?‘ (at https://www.independent.co.uk/voices/carillion-kpmg-auditors-audit-hbos-financial-crisis-self-regulation-deloitte-a8185356.html). Here we see: “In March 2017, the giant audit firm KPMG signed off on the annual accounts of the construction giant-cum-outsourced services provider Carillion, saying they gave a “true and fair view” of the state of the company’s affairs. For this work, KPMG received a fee of £1.4m. This followed £1.4m of fees recouped the year before. In fact, KPMG had been Carillion’s auditor every year since it was founded in 1999. You don’t need to be an accountant to work out that that adds up to a very lucrative client relationship” that whilst we get the news that a mere four months later “its contracts to provide services were worth a remarkable £845m less than they had previously been valued on its books” that is an amount that exceeds whatever Richard Branson has in his wallet on his best days, so how was this overlooked? So as Rachel Reeves was kind enough that the value of KPMG is not good enough to audit the contents of her fridge, she should also be aware that this entire audit is not merely the outstanding invoices, there is a decent concern that the audit of KPMG has been unable to correctly assess issues for 17 years. So there is a real need to set up the correct framework to be able to take a long term look to the matters as well as the ability to set the right data dimensionality so that the data does not need to migrate over and over as more is found. I would think that an MP who part of the ‘the business select committee’, as well as a graduated economist would know that. You see as an experienced IT worker and a data analyst, I saw that coming a mile away.

So here I am partially standing up for PwC (so how fucked up will my day become?), news at 23:00. So when we get back to the Financial Times article and we see “As a House of Commons report has noted, Carillion’s growing borrowings were not used to invest in the company. In fact, while the group’s debt rose 297 per cent between 2009 and 2017, the value of its long-term assets grew just 14 per cent“, can we agree that there is a side that is terribly wrong here? These matters should have been clear in the KPMG reports, which now clearly overthrows the statement “they gave a “true and fair view” of the state of the company’s affairs“, I think that we can all agree that this part has been debunked in 30 seconds flat. In addition the Independent gives us “Moreover, KPMG was not the only auditor of Carillion’s numbers. Its 2016 report relates that it had a special “internal” auditor too, in Deloitte, with which it worked even more closely than with KPMG. So why didn’t Deloitte pick up on the dodgy contract numbers?” For me that is an interesting side as I have never seen anything dodgy in Deloitte. The fact that they might be part of the mess (unlikely though) is also cause for concern. More important, as I personally see it, it will be up to PwC to get that part out in the open. What was the exact assignment of the internal auditor, what data was presented, what data was accessed and used and who was part of the entire reporting stage of this internal audit? It would show more players in all this and could optionally give a better path in seeing the navigations that the decision makers in Carillion were involved in.

That is a part that we need to realise and consider.

There is another concern that the Independent brought to light. With: “Previous probes by the FRC have produced nothing but clean bills of health for auditors. “In nearly every major financial scandal we’ve had since the financial crisis, the FRC decides none of its charges have done anything wrong,” notes Jim Armitage, city editor of the Evening Standard. Worse, these rulings come with no reports or published evidence, making a mockery of the FRC’s claims to “promote transparency”” we might think that it is merely the FRC, yet what Wall Street taught us is that the entire 2008 joke gave rise to an 8 trillion write off, whilst no actual laws were broken, or at least none that could be proven, so in that regard, if that happens again now, we can clearly look at the House of Lords, point fingers and tell them to improve laws immediately and hold any MP and minister accountable for naming and public shaming. It might work, but I doubt it. You see, until there are large and unforgiving prison sentences, whilst also remove all the rights of ownership to those involved in Carillion, nothing will change. I have seen people setting the ownership of their large estates to their wives and then deny that they had any outstanding financial responsibilities in more than one country. Until these matters are settled this game will continue because greed will always win in the end.

So when we get back to the initial article we get “Kelly, who said his personal rate was £865 an hour, said PwC’s costs would gradually fall as more parts of Carillion were sold and staff from the accounting firm stopped working on the project. He said the firm initially had 257 people working on Carillion, with a bill for about £3m for their services in the first week after its collapse“, we see where part of the costs went to, so as my calculations was based on smaller settings we see how easily these costs were attained and the end of it is not in sight. Rachel Reeves should have seen this clearly as she had access to data I still have not seen. I think it is much more interesting to look at “Finance director Richard Adam, who retired in December 2016 after nine years at Carillion received almost £1.1m in salary and bonuses in 2016“, which we get from the BBC. So if we get to see the wrongdoings of Richard Adams, this is a reasonable speculation as the entire mess goes back a lot further than 2016, will we see these same MPs demand the auctioning of the goods of Richard Adams to make up for the losses of Carillion? You see the article stated MPs, not singular. Rachel Reeves might have been the visible one, but I want to see all those names, because when we consider the BBC news (at http://www.bbc.com/news/business-42703549) as it gives us:

  • The £350m Midland Metropolitan Hospital in Sandwell: opening delayed to 2019 due to construction problems.
  • The £335m Royal Liverpool Hospital: completion date repeatedly pushed back amid reports of cracks in the building.
  • The £745m Aberdeen bypass: delayed because of slow progress in completing initial earthworks.

We need to ask questions on several MPs all over the field, all over the UK apparently. These three alone show a £1.3 billion issue are so out in the open that these three alone will constitute evidence of a much deeper required accountancy dig. Three issues shown last January and these three alone gives rise for me to think that PwC will be able to charge a lot more and in addition, the entire settling and selling could take a lot longer than some expect it to take. So these elements are the setting for additional costs, so those MPs might claim that there is a case of ‘milking the Carillion cow dry‘, but they better be ready for me to take a look at more than these three projects, because I will ask openly on their failings to get a handle on matters, because I am 99% certain that these three projects alone will lead to a dozen others all over the UK and if there are no clear memo’s from those MPs in regards to Carillion, they will be named openly to give rise to their shortcomings (perhaps also what was between their legs), because if you do not have the balls to go against the larger players, you should not be in office at all. Yet, that might be merely my warped expectation of elected officials.

Carillion is a clear mess that had been going on for a much longer time than some expect. You see, that part is seen in ‘cracks in the building‘, ‘construction problems‘ and ‘slow progress in completing initial earthworks‘ it implies optional failings going all the way back to the foundation of the works that were possibly never correctly done in the first place.

So I might still end up treating the bosses of PwC UK as piñatas, but at present there are plenty of other targets and so far (remember I say ‘so far’), in this particular case PwC seems to be in the clear (darn!).

 

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March 22, 2018 · 10:26

The additional word Analytica

When we hear ‘Cambridge’, we consider a place of reverence. Cambridge, a place where science is academically pushed to new borders! It has been around for 733 years. In that time we saw Lord Byron working on Satires and poems. In 1812 Charles Babbage started the design of a calculating machine, he never finished it, but his work would later herald the modern computer. In 1903 Bertrand Russell publishes ‘Principles of Mathematics’ and ends up with being part of the ‘Principia Mathematica’ it takes people a decades to comprehend the genius and he ends up with a Nobel price. Other members will get similar laurels for working on the electron, X-ray diffraction, someone proves that vitamins are real and the atom gets split. there was Professor Stephen Hawking, who did have a sense of comedy (according to many sources), not very mobile, yet ends up giving us academic work on Black holes, the big bang theory (not the comedy) and gives us the a founding realisation on the origin of the universe and only recently do they were able to identify gene causing diabetes and high blood pressure. So we should see it as a place of academic goodness. Yet when you take ‘Cambridge’ and you add ‘Analytica’ you get a synonym for ‘Despicable Sewage‘.

So as we are treated just over an hour ago to ‘Facebook’s Mark Zuckerberg finally addresses Cambridge Analytica scandal‘ (at https://www.theguardian.com/technology/2018/mar/21/mark-zuckerberg-response-facebook-cambridge-analytica) we can clearly see that things are escalating as Mr Zuckerberg himself is taken off the moth balls to remedy the situation. So when I see his response ‘we made mistakes‘, my initial response is ‘You think?‘

When we are treated to “The Facebook CEO broke his five-day silence on the scandal that has enveloped his company this week in a Facebook post acknowledging that the policies that allowed the misuse of data were “a breach of trust between Facebook and the people who share their data with us and expect us to protect it”” my initial worry is that he does not comprehend the scale of the issue. It is not merely the misuse of data, basically personal data of 50 million people, a lot of data on these people is now out in the open. When you have the data of 14% of your population you have the means to forecast, the options to set the marketing push on a national level. That amount of data would allow places like Walmart to set the need to satisfy 90% of the population need and cut out the loss making products overnight. You see, when you take the concept of a good article, a average article and a bad article, we often get all the good articles and a chunk of average articles. This is the risk the business has, they all have it and we can predict this to some extent. Now we get more data and now with that data we see a group of people that are classified for a certain category as ‘Not caring’, they have no interest at all. Knowing this allows for the setting of a ‘true view’ on the articles so we get a sharper view, we take the population, we take out the non-carers of that product, and suddenly we end up with a list of the products that are all classified as good.

Now how does that work?

You see, sometimes we are driven by internal motives, motives we do not tell Walmart, but we might tell others on social media. Now consider for example that a Catholic will never buy a certain brand. A naturist will never buy certain chemicals and a tech-lover will never buy certain brands. There are dozens of these indicators and Walmart, if they had that data can now see a pattern, even if they only have the 14% view, the pattern once seen can lead to a national view. As a wild example I give you: ‘A Catholic techie will always buy a Manfrotto camera stand‘. So now we have a specific product that would do really well in Rhode Island, Connecticut and Massachusetts. So not only can it decide to dump the inferior camera stands in those places, it could essentially also raise the Manfrotto price by $2, so less overhead and better profits. This is merely an example, but the pattern is clear and as places like Walmart have such data they can now directly target their audience and streamline what they carry per location. So not only do they get a better business setting, by marketing directly to certain groups they get a much better result on the same marketing cost. So their marketing costs remained the same whilst getting up to a speculated 30% of better results.

This is a given setting in analytics (and Market Research). It has existed for decades and Mark Zuckerberg is a clever boy, so he knew this. The setting as shown in the Guardian is debatable at this point. You see, debatable because Mark Zuckerberg knows the value of data, there is no way that he does not know that. So the last thing he wanted to do was hand out data, lose control of the treasury. He lost control as the data is out there now, and as the source has been shared for what I believe to be at least three times over, that data is now no longer containable. That can now be seen as a direct loss for Facebook.

In equal measure we need to look at “We know that this was a major violation of peoples’ trust, and I deeply regret that we didn’t do enough to deal with it”, a quote that came from Sheryl Sandberg. You see, I think that the matter is more serious and more dangerous. We see that when we realise that ‘we didn’t do enough to deal with it‘, there is a data quality loss, a data containment loss and a lack of technological oversight. This is not a new given and even as Cambridge Analytica took it to a much larger setting, they were not alone. I myself almost tried a game once, yet when I saw it wanted my ‘religious preference‘ I decided to have an issue with a game firm that is concerned with my religion. I don’t have any, but that had absolutely no bearing on the game. That made me suspicious and I decided not to install the game. There has been a flaw for the longest of times. That flaw goes all the way back to Zynga’s Farmville. When they started to demanded ‘gifts from friends‘ to progress to some extent in the game, it was not a novel thing (well it was), it was a marketing setting that either you pay for the next item (with buyable currency), or you get your friends to play the game and give it to you, so we saw groups of people all linking, whilst their only link was the social setting of one game and Zynga ended up with the data (to some extent). That requirement is not what I see as ‘social growth’, it is in its foundation a dangerous place because it allows paedophiles access to younger players, it allows white supremacists to hide in a social flock whilst the others in the flock had no idea that the herd is not just made up from sheep, it also contains wolves and other undesirables. The problem is that as long as nothing happened no-one would care and that has been a dangerous game to play. Facebook loved the concept because it grew communities beyond their wildest dreams, but it also gave us groups where we still needed to be careful what data got out, yet the people at large are not careful with their social data. That has been seen since 2011 as Prostitutes were found by several media publications to use Facebook as a customer recruitment system. Now, I don’t care what these ladies do, yet as we have seen that recruiters and HR are using Facebook more and more to ‘judge’ potential employees (and one should never talk to a ‘lady of the night’ in social circles), we see that Facebook has become a monster of abuse and that monster is valued for data, so as more and more data is added, more and more people end up getting wrongfully tainted in a colour that was never them.

So when we see “The CEO also pledged to investigate and audit apps that accessed large amounts of data from Facebook users prior to changes in its platform in 2014, and said that it will inform users if their personally identifiable information was misused by app developers“, we need to realise that the foundation of Facebook apps is a much larger problem, it is not merely about the data they can access, it is the issue we see when the app data itself is open to mining. You see it is not merely “Facebook will investigate all apps that have access to large data and ban developers that misuse identifiable information“, how about apps that merely collect a small amount of data. Now consider that they link the use of apps (like for example Farmville, the Pioneer trail and Cafe World). Now let’s be clear, I am not accusing Zynga of doing anything wrong or illegal. But those three apps allow for ‘free’ currency, when you hit a target in the other game, people start to get very motivated to play 3+ games from the same makers, as it allows for that currency that is not usually free. Consider that each app has 5 demographics and perhaps 3-5 additional stats and these three apps all have 3-5 different stats. So as hundreds of thousands are playing all three apps, the developer suddenly ends up with a much larger pool of data than ever before. Now I use Zynga as it also has real-money gambling games. Now consider that they now have more and more markers on people who gamble. It is the wet dream of any Las Vegas entrepreneur to get that much data on their users, a way to classify those who are more likely to spend more on gambling. This was a setting that has been known for a long time and there is no way to tell how far people ended up being pushed into gambling. I have seen and learned that greed is eternal, so in that regard there is all likelihood that Mark Zuckerberg had to be aware to a much larger extent and that the mistakes made were a lot more than ‘excusable’ and it is one that cannot be solved through apologies and better oversight. Because when we cut those developers off from the data, what are the chances that 70% moves elsewhere? Data was the treasure trove and too many have been dipping their toes in the water. The damage is much larger and even as Cambridge Analytica made it visible to the masses, the issue has been there for a lot longer, the question becomes who properly looked at it. Also consider that games like Farmville had well over 60 million users every month, so how much data made it out of Facebook?

I reckon that no one will actually know that part, but the issue is also how this simple given remained off the radar of so many for so long. I wrote about the sharing of data as early 2013, sharing at the same time my thoughts on how all the NSA data issues were merely hypocrite. Well, now that the fence is gone, good luck containing the sheep, because I expect to see a lot more ‘revelations’ over the coming months.

 

 

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March 18, 2018 · 14:35

How Facebook data flows

This started just 4 hours ago when the Guardian gave us ‘50 million Facebook profiles harvested for Cambridge Analytica in major data breach‘ (at https://www.theguardian.com/news/2018/mar/17/cambridge-analytica-facebook-influence-us-election). Even when we see “Whistleblower describes how firm linked to former Trump adviser Steve Bannon compiled user data to target American voters“, we tend to wonder, because me getting any data from my own account in Facebook is a stretch under the most optimal of conditions. So when we see “how Cambridge Analytica – a company owned by the hedge fund billionaire Robert Mercer, and headed at the time by Trump’s key adviser Steve Bannon – used personal information taken without authorisation in early 2014 to build a system that could profile individual US voters, in order to target them with personalised political advertisements“, so in all this I am not saying it is not possible and that it did not happened. The video that the Guardian offered, the interview with the whistle-blower is nice, but it is quite something else. You see, what I got out of that interview is not answers, but questions. So when I heard “grossly unethical experiments” and “you are playing with the psychology of an entire nation in the context of the democratic process“. Here I wonder (for a mere moment) if something wrong was done at all. This is social media; social media is something that has no boundaries and no actual setting of limits.

We tend to set the bar of any social given at whatever level it should be according to us, but in reality, there is no social setting, not until enough people complain. I have seen many apps that are out there that do not only want your name, gender, age and so forth. They also want your religious and other settings and most people are happy to click ‘OK’. So this is something we are walking into and the given stupidity of many Americans means that a free game is something that comes for free and whatever it stated with the ‘allowed access to‘ is pretty much ignored, especially when the people around them state that it is a very cool free game. So when I see “built models to exploit what we knew about them and target their inner demons. That was the basis the entire company was built on.”” we see that Robert Mercer has found a business model that works. The question merely remains on how that data was captured, if it was through ‘cool apps’ there is little that Facebook can do, unless it has exact legislation at their fingers to state that the law was broken. Yet in all this the fact that this happened in 2014 and that the Guardian (and the Observer) had the scoop 4 years later gives rise that the farmed data is not merely still in use, it is actively used for whatever endeavour Robert Mercer has in play to gain maximum profit, because that is what a billionaire does. So when we see “Documents seen by the Observer, and confirmed by a Facebook statement, show that by late 2015 the company had found out that information had been harvested on an unprecedented scale. However, at the time it failed to alert users and took only limited steps to recover and secure the private information of more than 50 million individuals” the outrage should follow, but with ‘it failed to alert users‘ implies that Facebook did not care about the users, but about the business model, as well as ‘took only limited steps to recover and secure the private information‘ gives rise that their data was merely secure enough and no actual loss was found, that is the view we get when a firm where data is their direct market value data and ‘secure the private information of more than 50 million individuals‘ was not done. It is actually that simple, those who claim it not to be are merely hiding in the margins, hoping to strike it rich themselves, because that is what the data of 50 million people offers.

It goes further when we see the NY Times claim. With ‘How Trump Consultants Exploited the Facebook Data of Millions‘ (at https://www.nytimes.com/2018/03/17/us/politics/cambridge-analytica-trump-campaign.html), we see “During a week of inquiries from The Times, Facebook downplayed the scope of the leak and questioned whether any of the data still remained out of its control. But on Friday, the company posted a statement expressing alarm and promising to take action“, not only does it imply that the data is beyond their control, it gives rise that others have access to it which is more alarming. The Facebook system has failed its members to the extent that their privacy did not exist for close to 4 years. So how much data have you shared in the last 4 years thinking it was only for your friends?

In addition, the claim we see in the NY Times “Alexander Nix, the chief executive of Cambridge Analytica, and other officials had repeatedly denied obtaining or using Facebook data, most recently during a parliamentary hearing last month. But in a statement to The Times, the company acknowledged that it had acquired the data, though it blamed Mr. Kogan for violating Facebook’s rules and said it had deleted the information as soon as it learned of the problem two years ago“, when combined with what the Guardian is giving us is a rise to the setting that both Alexander Nix of Cambridge Analytica and the speakers of Facebook are both incorrect, insincere and without any doubt cause for great concern and so far the Facebook users are in the dark on a near global level.

I can applaud Robert Mercer to some extent, you see with “The conservative donor Robert Mercer invested $15 million in Cambridge Analytica, where his daughter Rebekah is a board member” we see one side, the other side is that all things being equal the return on his investment is close to five-fold, making is a wise investment when the goal is merely $$$$.

In all this we can give the Facebook users the bird, not because we hate them, but for years I have spoken out clearly that these users are all about stating ‘privacy’ no the NSA whilst at the same time sharing indiscriminately on social media like Facebook, whilst not comprehending the system because it was ‘free’. This is the direct consequence and these users will be used again and again because that is what they signed up for. So when Robert Mercer is offered a $25 million deal with an international IT firm like Vintage Alternating Java Academy or Medicinal Office of International Studies, we will see a CEO who will happily oblige, yet have you figured out yet where that data ended up? That is how the game is played, so when they cannot sell the data and the firm gets taken over by a Chinese multinational, do you think that the data stays in that one place? This is what you all signed up for. You might be in denial and you might state that it should not happen, but the law is very easy on what should happen and what is legally possible, the ‘should happen‘ group loses without a moment’s hesitation. The only part that I am not getting is what I would personally describe as ‘the Facebook level of ignorance’. You see, either some players were intentionally extremely stupid, or they were in on it form the beginning. They were in on it as they did not address the flaw they had exposed themselves to and they thought they had stopped the fear for 3 years, but now as we see merely two days ago, over three years after the fact has happened “a Russian-American academic, from Facebook. “We will take whatever steps are required to see that the data in question is deleted once and for all — and take action against all offending parties”“, as well as ““This was a scam — and a fraud,” Paul Grewal, a vice president and deputy general counsel at the social network” they are now realising that they set themselves up for a much larger negative boost. You see, when these 50 million users find out that they have been had, will they remain with Facebook? So what happened when the global wave starts and Facebook optionally loses 10% users, how will they sell that? It was the short-sighted prospect of meeting the sales needs and targets that got them in hot water. That is the foundation of the loss they set themselves up for and in all this, Americans far and wide have given their privacy up for a much larger extent that they realise and this path will take at least a few weeks as Facebook is setting all their guns to downplay any information that the public is exposed to.

So as we are ‘exposed’ to ““Protecting people’s information is at the heart of everything we do,” Mr. Grewal said. “No systems were infiltrated, and no passwords or sensitive pieces of information were stolen or hacked.” Still, he added, “it’s a serious abuse of our rules.”“. So is that true? You see the data shows that he is not truthful, because if that was an actual setting than Facebook would have had their own cloud for analytical solutions that did not require the export of data, but we see that this did not happen. So as we see the altered statement of ‘No systems were infiltrated, and no passwords or sensitive pieces of information were stolen or hacked‘, we could paraphrase this into ‘we voluntarily handed over the data to be used outside of the Facebook system‘. So does this make Robert Mercer the most intelligent entrepreneur, or is he merely the first one who got found out. So when we take a look at the flowchart in the Guardian article we see that Alekandr Kogan is linked to Cambridge University, St Petersburg State University, the Russian Government, as well as Global Science Research (GSR), which he founded, we see the setting that as academics are all about reselling their solutions for maximised economic profit, we see that the link between GSR and SCL Election Ltd (which now links Alexander Nix, we see that the data has likely gone a lot wider than anyone expected and there we have the setting that Facebook and their position of ‘it cannot be used legitimately in the future and must be deleted immediately‘, when data is out there it is NEVER deleted, whomever thinks that this actually happens will be delusional at the very best.

So when we see “That to me was the most astonishing thing. They waited two years and did absolutely nothing to check that the data was deleted. All they asked me to do was tick a box on a form and post it back“, which we get from former employee Christopher Wylie, gives the rise of the delusional settings that are seemingly available at Facebook. This now gets us to the final part “Paul-Olivier Dehaye, a data protection specialist, who spearheaded the investigative efforts into the tech giant, said: “Facebook has denied and denied and denied this. It has misled MPs and congressional investigators and it’s failed in its duties to respect the law“. I personally see this as the fallout to keep the billions of advertisement revenue rolling, because the larger the revenue stake, the less oversight is given to that firm. That is a view we have seen with the larger players for close to a decade. So is anyone actually surprised to see the Facebook data flow far beyond the borders of Facebook?

We as users have merely ourselves to thank for the shortcomings that exposes our privacy all over the world making it non-existent.

 

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March 6, 2018 · 15:13

The Global Economic Switch

There is a shift going on, now this shift is still in the planning stages, but the switch is very real and as we see the crumbling switch from enabler and entrepreneur, the US is moving towards becoming a mere consumer and dependent user. That is a switch some might have seen coming, others have not seen it at all and some are still in denial, claiming it is a short term inconvenient stage. I have no idea which is true, but the events that are a given are showing to be more than a mere short term event and the diplomatic impact will equally show to be a long term impact on what the US had and what it will become. Now there are indicators, but the image is not seen in a single view, so let’s paint this picture for you whilst adding the sources.

Saudi Arabia

The Saudi Arabian announced investment (at https://www.cnbc.com/2018/03/05/saudi-arabia-and-egypt-agree-to-a-10-billion-deal-to-build-a-new-mega-city.html), is actually a lot more than the $10 billion forecasted, because the value as I showed in over the last year is more than becoming a reality, it is now in a planned stage, and planned much larger than I foresaw it going. It starts with “Saudi Arabia and Egypt have agreed to create a $10 billion joint fund to develop a mega-city in Egypt’s southern Sinai Peninsula, with both countries committing more than 1,000 square kilometres (386 square miles) of land to the new project“, you see, depending on the distance from Sharm-El-Sheikh the infrastructure will grow much faster and even as they will rely on what Sharm-El-Sheikh has, the growth of this new Mega-city could be the start of the tech-hub that benefits both Egypt and Saudi Arabia. As the technology hubs grow, so will the economy. It is also the first part to start getting combined 4G/5G preparation in place, because as this technology becomes available Saudi Arabia now has a first advantage in both upgrading its services and that gives optional access to 23-32 million out of a 95 million population. With the tech hubs, both the Sinai one as the half a trillion dollar NEOM, there will be a massive growth in dependency and requirements for technology. There is in addition, the Barcelona World Mobile Congress where on February 26th Huawei announced its full range of end-to-end (E2E) 3GPP-compliant 5G product solutions, now the other players will be following, yet Huawei has an advantage for now. With “The featured products are also the only available options within the industry to provide 5G E2E capabilities” we see that Huawei has chosen a path that allows them to grow and they will not be alone, but for now they are ahead of the crowds, so even as we see now “Huawei partnered with Zain Saudi Arabia, signing a Memorandum of Understanding promising to develop a new network strategy in the Kingdom. The aim of the MoU is to accelerate the realization of 5G networks and assist Zain in building the most advanced end-to-end networks in the region. The two companies will work together to accelerate the deployment of 4.5 to 5G networks, make further advances towards full cloudification, and produce additional strategy and planning in the field of ICT Synergy Cloud” (at https://www.arabtimesonline.com/news/huawei-outlines-vision-5g-future-co-unveils-latest-innovative-products-solutions-mwc/) merely a day ago. I gave that indication almost two weeks earlier, so how is that for a prediction. So even as the US is setting the bar at “Chicago, Los Angeles, Dallas, Atlanta, Washington, DC and Houston” to be the first with 5G at the end of the year, what happens when you need to reach out to Wall Street and Manhattan? Will that be merely 4G, or will you suddenly experience other issues (between providers, reception issues and so on; oh, and as you go from protocol to protocol switching per cell tower on the move, watch that battery power drain as the battery percentage goes down like a timer in seconds 75, 74, 73, 72, 71 and so on. Please do not take my word on this, it is much better when your own eyes see the battery counter go down, it adds to the dramatic effect when you hear me howl with laughter (stating: ‘I told you so’). So even as the article ended with “Ken Hu, Huawei Rotating CEO, said: “The intelligent world is drawing near, filled with potential and possibilities. Ground-breaking technologies like 5G and IoT promise to solve complex business challenges and improve the lives of the population. Yet challenges remain on our path before these dreams are realized. MWC 2018 was an excellent opportunity for us to meet with other leading companies and discuss how together we can overcome these obstacles, achieve sustainable business growth, and Build a Better Connected World.”“, I will admit that I have an issue with that part, you see with ‘IoT promise to solve complex business challenges‘, we see the implied solution, but the IoT (Internet of Things) is merely the applied hype word in a solution that has not been designed yet. It is true that the application of IoT is a solution in itself towards a whole shoal of options and challenges, but as we consider that the 4G smartphone brings solutions, it requires the apps to be there and solve actual settings and that takes time, like all other needs. In that regard I see the IoT as the old sales technique of selling a concept before the product exists and I always thought that to be a broken non resolving approach to the greedy salespeople coming with a ‘pay it forward’ solution that is paid for before the product has been completed. It is a dodgy need, because in the end the (business) consumer needs and actual product to work with. Yet that might just be me imagining things.

United States of America

The view here starts with the Financial Times, who brought us ‘Currency markets send a warning on the US economy‘ (at https://www.ft.com/content/de57a6a2-1e32-11e8-a748-5da7d696ccab). So even as this is about the financial markets, there are a few points to take away from that. First there is “The pattern of higher interest rates and a weakening currency suggests that on multiple dimensions US assets now have to be put on sale to convince foreigners to hold them or induce Americans not to diversify into overseas assets. This pattern is relatively uncommon in the US though it happened in the Carter administration before Paul Volcker’s appointment as chair of the Federal Reserve and in the Clinton administration before Treasury secretary Robert Rubin’s invocation of the “strong dollar” policy. It is fairly ubiquitous in emerging markets where it reflects anxiety over a country’s policy framework“. The dangerous part here is ‘convince foreigners to hold them or induce Americans not to diversify into overseas assets’; you see it is a move of limitation, either the non-American buyer holds onto the for a much longer time, which needs convincing (usually with higher yields), as well as stopping Americans to go overseas into other markets, so it is not actually an ‘or’ situation, it is actually an ‘and’ setting where the inclusion needs to be both to remove doubt and volatility. The article ends with “The confidence of global markets is much easier to maintain than to regain. Currency markets are sending a signal that the US is not on a healthy path. Its time for the US to strengthen the strong fundamentals on which a strong dollar and healthy economy depends“, you see that view is set not merely in the war of tariffs, it is set where the global markets have been seeing a decline in US activity and more important acts that show that the US economy is feeble and the US infrastructure is not in strength, it is merely getting by and that is a dangerous place to be in. Even as I predicted that the inactions and the inability to act against Russia will be felt when Russia calls the bluff of America, it is now showing that the US on a larger scale is showing to be set towards a series of hurdles that will stagnate its economy and over the long haul (within two years) will show the danger of another recession, so when that happens and projects get halted, how will Sprint and other players pay for 5G? Entrepreneurial innovation tends to demand buckets of cash, cash that is not available, certainly not readily. Protectionism is merely the first hurdle and one of at least three in the setting of the tariff war. The Financial times gave the people the biggest fear and doubt on February 21st with “US ‘too big to fail’ regime set for Trump overhaul“, that ‘too big to fail‘ has been used before and a whole bunch of billionaire grapes got bitten rather badly in Europe. It is not merely the Chapter 14 implementation with the by-line ‘to shield the tax payers’, it is the text “Both Wall Street and overseas regulators have warned the administration over the dangers of dismantling the system but the Treasury said it wanted to narrow its use so it could serve only as a last resort“, the fact that ‘narrow’ and ‘Wall Street’ imply that the Chapter 14 will lack the teeth it needs and as such it is another parachute for the 1% bankers, banks and those making upwards of $253 million a year. So how much will this marker cost the tax payers in the end? Even as there is an abundance of recession fear articles and announcements by the media at large, that part even as it is likely to happen, it is not certain to happen and that fear needs to be removed (by other means than the Chapter 14 messages). You see, the problem is that the 1% has enough wealth to survive the next two recessions, whilst the quality of life of the other 99% has not been pushing forward towards the level it needed to be. So they will get hurt really bad if another recession happens within the next 16 months, which is close to all speculated views by the media at large. Whilst that is not much of an indication, the events in Saudi Arabia is only one element, the other elements is the one we will see next

Other players

There is more than one player in all this. The first is seen by CNBC (at https://www.cnbc.com/2018/03/05/saudi-russia-oil-deal-leads-to-bigger-russia-role-in-middle-east.html), where we are treated to “The partnership with OPEC, led by Saudi Arabia, allows Russia to strengthen its hand in the Middle East at the same time the U.S. role has been diminished“, the diminishing of the US as stated by other sources closes doors to the US on several shores, a dangerous change that comes at one of the least fortunate times. The quote “it is now the foundation for a broader relationship that has the potential to reduce already waning U.S. influence in the Middle East” is foremost set to the chilling friendships with Syria and Iran, it is not merely there. Turkey has been out of control for the longest of times and now that Turkey is smelling blood, it is trying to get much more out of the US, making them a very expensive ‘friend’, more so, the question becomes was Turkey ever a friend? In that whatever bites there could hinder the US with its access to the Middle East at large. Should Incirlik and Izmir become an issue, the economic print of the US would drastically change, because that would require the US to find a way to grow the option to get a base in Saudi Arabia and optionally in Israel. Whilst neither is a given, the costs of that will be staggering and the economic footprint of the US will equally become an issue down the road. Even if there would be an option to get one in Western India (who would like that economic windfall in their region), it would be a drastic fund pressuring move for the US.
Another option would be in Egypt and if that becomes an option it would in the longer term benefit both Egypt and Saudi Arabia, whilst Egypt gets to grow its stability in the Sinai, the US would become a much larger target in Egypt, wherever its base would be placed. So that too would come at a cost for the US in a time it needs to turn over every dollar it spends. Another is Jordan, but there is no way to tell the impact, the costs and the options in that regard as I have no clear information or sources to give at this time. You see, the memorandum of understanding was signed with Jordan with Rex Tillerson a mere 3 weeks ago, so adding a conversation of adding a US base there might not be the one that would work (pure speculation from my side). In addition, the EU News (and others) who gave us “Commissioner for Trade Cecilia Malmström added: “These US measures will have a negative impact on transatlantic relations and on global markets. In addition, they will raise costs and reduce choice for US consumers of steel and aluminium, including industries that import these commodities”” gives rise that there is a cooling of ‘friendliness’ between the EU nations and the US to some degree, so there is that impact as well. I am not talking about the tariff, I am talking to the diplomatic language where Dutch Prime Minister Mark Rutte gave us “Relations with the United States can no longer be taken for granted“, which is not a good thing as the Dutch port of Rotterdam is the gateway to Germany and its industrial heart, in addition the US pressures on France regarding the Iran nuclear deal could impact the two, but that is not a given, even better, it is unlikely to be an issue, which is a plus point, for the US for now as the Italian elections are over and the anti-EU parties made a massive gain (from 4% to 18%, whilst they surpassed the Berlusconi party) is still an issue in play. I agree with the Guardian that stated that the EU-issue is not in play, but as we see (at https://www.theguardian.com/commentisfree/2018/mar/03/italian-elections-european-union-populism), the need for Berlusconi was the man to save them from populism has now become a non-reality, the impact will grow and in that matter the US would need to play nice, very nice with Italy. You see there was always going to be an issue with Matteo Salvini, yet the fact that they became the largest party with 37% was unforeseen. There is no issue with iExit as the Italian version of Brexit is called, but its anti-immigration policies will give headaches for many EU nations and as the impact of US-EU nations is cooling, becoming an enabler for Italy might be the wiser of solution for the US. The BBC (at http://www.bbc.com/news/world-europe-43294041) gives much more, but the power is at the end with “Voter frustration here in Italy but evident and ongoing in Germany too surely shows it’s time for Brussels to sit up and really pay attention“, the shown fact that Brussels have not been doing that is the anchor around the neck for the EU and that will impact the US numbers as well. Even as Germany was the biggest friend of the US in the EU, the tariff and, the EU army and the need by America for Germany to play a larger role in the EU borders (taking some pressures from the US) are all elements that put more and more pressures on the US, even as some of the needs by the US are very valid, we need to realise that Newsweek gave us “Germany’s top diplomat has told foreign policy experts that his country’s relationship with the U.S. has suffered irreparable damage under the administration of President Donald Trump“, even as the damage began in the previous administration (to a small extent), the chosen path by the Trump administration has been adding negativity to it all. Syria must be seen as the largest of catalysts in that regard, it is merely my sense of humour that the Germans see the forced ‘friendship‘ with the French as a larger issue than the actual absence of the US in all that, but that is just my take on humour.

All these elements are part of the economic switch in all this, in support of this, there are sources that show that Saudi Arabia wants to grow its arms industry and as SAMI (Saudi Arabian Military Industries) is sitting down with the Russian who are eager to accommodate, I need to wonder why the hell Raytheon and Northrop Grumman were asleep at the wheel, or decided to remain vacant from that setting. So even as Remington (American outdoor Brands) has a product of sheer excellence, they are now not at the middle Eastern table, but in a novel mentioned in Chapter 11 and seeking a quick sale, perhaps someone can tell me how much could have been gained at the Riyadh SAMI conference table? So even as we read (at http://www.business-standard.com/article/international/saudi-arabia-wants-to-make-their-own-weapons-russia-eager-to-help-118030300622_1.html) that “likely to alarm American policy makers, who worry about losing ground to Russia and China in the Middle East“, where we see that this is understated to the largest degree. With “They’re already planning to buy the Russian S-400 air-defense system, under a deal that would let them manufacture related products at home” as well as “Half of Saudi procurement is supposed to be done locally by 2030, from about 2 per cent today” we see the extent of the market lost for both Raytheon and Northrop Grumman as two of the largest players in that field. Someone (more than one player) was asleep at the helm and by playing the card of exclusivity the ended up playing the card of exclusion, which takes them out of the game as such and that is the issue in this, because as far as I see it we have not seen such a large shift of plays optionally towards Russia and away from the US since before WW2, perhaps it might be more correct that this has never happened to this degree in history, that too is a factor that must be considered; so, suddenly the extended play changes. I mentioned part of this on Feb 24th (at https://lawlordtobe.com/2018/02/24/losing-values-towards-insanity/) in ‘Losing values towards insanity‘, yet I only had some unconfirmed parts and no idea why I had some parts, I had these parts a week ago, yet all these parts came to me over the last 24 hours with 1-2 exceptions, now we see a shifted picture. When we consider LLC Megaline (as well as Concord Management and Consulting) where Yevgeniy Prigozhin and Dmitry Utkin allegedly have been preparing to grow an ICT/Mobile infrastructure in Syria, that whilst construction fortunes would be coming their way too, the entire growth with Saudi Arabia as an optional side allows those two to split a few billions between the two of them, whilst at the same time growing the other fields they have access to and get a seat at the Saudi Arabian table at the same time. A side I never saw as I did not have the information I have read over the last 24 hours. To get any additional part in that play could set me up for life within 3 years, to get a 400% better lifestyle in 36 months than the 36 years of hard work allowed me to get is what would get any person to change their pupils to dollar signs and that is merely in their need for ICT, Data farms, Mobile facilitation, Data systems, forecasting, reporting and logistical infrastructures. In all this we see the clear evidence as given by several players that is now on route in a place where the US has a setting that is diminishing, so as those currencies go elsewhere, do you think it will not impact the US economy. That is apart from the greedy pharmaceuticals that are now pushing on India for the longest time. It is an additional place where non-US players will have options to gain market share. All that because certain players in the patent field were enablers towards the few greedy US pharmaceuticals as they increasingly ‘demanded‘ more and more outside of the patent scope that was once given (the attempted Trans Pacific Partnership was clear evidence of that), now we see hat impact and the US is at the axis of an economic switch where someone else will soon decide whether that switch will be switched on or off, no longer as the setting where the US sets the status, which is something the US has not faced before ever as far as I can tell, even the 2004 and 2008 events did not remove that option from them, but that is now a reality from sources like Bloomberg, Reuters, the Financial Times, CNBC, BBC and other players are setting the view that we are getting now. Even as none as saying it outright, the news as given provides a speculated picture where that may become a reality. I do believe that it could be prevented to some extent, but at the current course of the US ‘Kingmakers’ and ‘Wall Street regents’, that reality is slowly being removed from the US table of decision makers and once that reality hits, when they have to report that the Switch is set to ‘OFF‘, the impact will hit pretty much every market where the US is policy maker.

A world where the US player involved goes from being exclusive to excluded!

I wonder how the media will then cover it and who will they blame, because they will always be about laying the blame.

 

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March 4, 2018 · 14:00

The red lights of death

It has been one year, one year since the doors opened to the consumers to become the owner of the Nintendo Switch. Nintendo has been a true gaming company that has focussed on gaming since the beginning of time. Even as we loved their journey and whilst we globally disliked the WiiU; that what followed is a machine that has been embraced by pretty much every gamer young and old. The numbers are giving a picture, one that is not yet complete, yet Nintendo has had one year, Sony and Microsoft have both had 6 years and the numbers are actually quite scary. The analytical site Statistica (at https://www.statista.com/statistics/687059/nintendo-switch-unit-sales-worldwide/) gives us that after a year, the Switch has now surpassed 14 million consoles sold, in one year it is close to 45% of the Xbox One lifetime sales over 6 years, and the Nintendo is still rising its sales numbers. Another source (VGChartz, at http://www.vgchartz.com/article/272742/ps4-vs-xbox-one-vs-switch-global-lifetime-salesjanuary-2018/) gives us more, the monthly numbers are that Nintendo has close to 225% of what Microsoft is doing and it is getting close to nipping the Sony sales numbers at the heels. Even as the PlayStation 4 is now set to 75 million gamers, the achievement of Nintendo is noticed. It is noticed to the extent that in the market share, the PlayStation 4 managed to achieve 48 percent. The Nintendo Switch accounted for 37 percent of the consoles sold, and the Xbox One 15 percent. So even as the total numbers are not yet equalled, Nintendo has defeated the Microsoft market share by well over 2:1, I predicted that Nintendo would surpass the total sales numbers, but the fact that the Microsoft share numbers would be outdone 2:1 in just one year is a little more positive than even I imagined.

So if the Xbox360 users might remember the red lights of death, we can now say that for Microsoft as a gaming provider, they too are now facing the red lights of death, because at present Microsoft will be surpassed by Nintendo well before December 2019, even Sony who is still ahead by 400K systems per month is feeling some pressure growing. As I stated in the past, Microsoft can pretend whatever they want to in the business world, gamers demand results and excellence and in that regard, both the Xbox One and Xbox One X have faltered the gamer at large. Did they actually think that hiding behind ‘the most powerful console‘ would help them? That system can store no more than at most 50% of a Nintendo Switch? Who were they kidding?

Forbes had a go at Microsoft on more than one occasion and their views are not good, even as they ‘hide’ it with ‘rough’ time, with “Sony is coming out swinging next year with games like Spider-Man, God of War, The Last of Us Part 2, Death Stranding, Days Gone and more. Exclusives remain Sony’s most important advantage over Microsoft, and the company’s 2018 line-up is one of its strongest yet” we see the first part, the second part was given by Forbes a month later with “I can’t really get into specifics because Microsoft no longer shares sales information on Xbox One consoles, but common estimates put it at about half of what the PS4 has sold, maybe around 30-35 million units. The Xbox One is not a failure, I don’t think anyone but Sony die-hards would say that, as we are miles past something like the scant 13 million sales of the Wii U, but it is clear that if we had to pick an odd man out in this current climate, it’s Microsoft“. Forbes is partially right. I see it in two parts; the first one is that the Xbox offers merely 80% of what the Xbox360 offered, which is a really bad thing. What is more important is that Microsoft refused to listen to the gamers and when they pretend that they did, they still harassed gamers to do what Microsoft wanted against the express desire of the gamer, so how long was that EVER going to work? Some took the $150 loss and traded in for the PS4Pro, others (like me) left to old Xbox to gather dust and played and enjoyed their PS4 and some their Switch on the side too. One console they could not keep up with, the other has surpassed them in market share and will within the next year also surpass their total console sales.

In this the only losers will be the independent game designers who will now have to see if Sony and Nintendo offer a better deal. Two of the most amazing ones have been Astroneer and Subnautica. Astroneer would be a great Switch addition and Subnautica might make it, If they can get this playable on Switch too, it is a long shot, but it would be a unique experience to say the least. And that also triggers another part. As independent designers are now looking if their game can be ported, Microsoft will be losing out in all three fields, meaning that the red lights of death for Microsoft in gaming would soon be heralded. That is the consequence of not listening to gamers and selling short what gamers need. You see, all that Microsoft Azure pep talk sounds nice, but there they have rough competition, to bank in that direction whilst short selling a $125 billion market was perhaps one of the most stupid acts that Microsoft could have tried, they tried and they are getting fried!

Even now, as we saw only a week ago (at https://www.windowscentral.com/new-xbox-one-preview-build-spring-update), on how there are improvements, we see “As with any pre-release update, expect bugs – a lot of them. Current known issues include black screens, update errors and various issues across the Xbox One experience. These will soon clear up in forthcoming builds, though caution should be taken, especially when installing on your daily driver“, so apart from non-stop updates, the fact that the largest console is 1TB, how much space will be wasted in that regard? In that side there is one issue that both Sony and Microsoft share, or is it? With ‘Fortnite’s new 60fps mode is the real deal‘ (at http://www.eurogamer.net/articles/digitalfoundry-2018-fortnites-new-patch-really-does-deliver-60fps), where we see “Now, we’ve seen a range of ‘performance’ modes in the past that target 60fps on Sony and Microsoft’s enhanced consoles, but generally, they fail to deliver. The good news here is that Epic’s work is the real deal – and it’s by no means exclusive to the more powerful consoles, with owners of the standard models getting an equally impressive boost“, so both PS4pro and Xbox One X have issues and as the most powerful system cannot deliver at present as implied by multiple parties, the issue remains why that was not properly addressed before launch? That is still a dangerous subject as several games (example Forza: Horizon) do promise to deliver 60fps, so there is still an issue there. Still as the Switch is showing more and more games that get a much larger appreciation than other consoles tend to have for titles give even more rise to the Switch, which Nintendo will see as a handsome extra to the setting as given at present.

So in how much death danger is Microsoft?

That is the whole picture and until the 12th-14th June 2018, when the E3 will explode in our faces there will be no way to tell. The Microsoft marketing engine will continue to boast and boost what it can, but the E3 will be the first true test where Microsoft is and if they have any serious intentions to listen to the gamers and please their needs to the minimum, which is at present essential for their survival, Sony learned that lesson in 2017 and their adjusted views are back on the positive side for the most (they had less issues to deal with), in addition, the new exclusive game line-up that Sony has for this year is much stronger than before, so they are likely to rule the show. Although, there is no saying what Bethesda hits us with and they are on all systems, so Microsoft will have a benefit there. I also predict that they will be more and more dependent on Ubisoft stealing the show (whilst including the Xbox One X as much as possible) , more than ever before, so there will be information coming from several sides in all this and that should not be ignored.

The one thing that is at present almost a given, that is that the tickets to the Nintendo E3 show might be the hottest tickets in town because whatever they bat out of the park is also the size of the market share that Microsoft could lose to Nintendo, a side they never had to fear before. The game of gaming changed and Microsoft missed at least two exits from that road to nowhere. The E3 which is of course still rumours for the most as it is 12 weeks away is still an issue as it also rumoured to include a new Pokémon, Kirby, Yoshi and Metroid Prime 4 on Switch, whilst the Xbox One has 3 titles at present (no exclusives rumoured or announced) but does include the long awaited Cyberpunk 2077 by the makers that gave us Witcher 3, so there is that to desire. Bethesda had a teaser with references to Elder scrolls, Fallout and Doom, so there is more behind that whilst Sony might be stealing the show in regards to exclusives and it includes a conformed The Last of Us Part II, so there is enough to see that the Xbox might need to be placed in the ICU sooner than thought. Yet, in that last part, it will be at least another 5-7 weeks until there is a stronger confirmed list of games and gamers. The one part that is missing for now is the list of indie developers, because they can actually change the landscape by a lot, so I wonder what we will see. what is now clear and what is being shown by data, by the evidence out in the field is that Microsoft has lost the benefits they had and unless there is a massive overhaul and a large course adjustment by the Microsoft board of directors it is not impossible that the E3 2019 is one that will happen without Microsoft, or with them not getting noticed at all. I wonder which they think will be worse, but hey, they have ‘the most powerful console’, so this speculation might just be me with no chance of this becoming a reality, or will it?

 

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