Tag Archives: Cisco

Facebook Folly and 5G

There was an article in the Guardian last Thursday. I had initially ignored it for all the usual reasons, yet when I sat down this morning, there was something that made me take another look and the article is actually a lot more important than most people would think. The article (at https://www.theguardian.com/technology/2019/jan/31/apple-facebook-campus-permissions-revoked-teens-access-data-iphone-app) named ‘Apple leaves Facebook offices in disarray after revoking app permissions‘ shows a different side that goes a lot further than merely Facebook. We see this with: “We designed our Enterprise Developer Program solely for the internal distribution of apps within an organisation. Facebook has been using their membership to distribute a data-collecting app to consumers, which is a clear breach of their agreement with Apple”, this statement alone shows the failing of their legal department, as well as their senior board that works under the strict sense of assumptions. We see this not merely with ‘Facebook had allegedly exploited a loophole in Apple’s approval system to bypass rules that banned the harvesting of data about what apps are installed on a user’s phone.‘ We see another level when we reconsider “Facebook Research, an app the company paid users as young as 13 to install that routed their iPhone traffic through the company’s own servers“. This is not merely about hijacking data; it is about the fact that both the IOS and Android paths are a little too transparent. Academically speaking it would be possible for Apple to distribute a similar app guiding Android people to the IOS data path.

The fact that we now see that others are affected through: “According to an internal memo, obtained by Business Insider, apps including Ride, which lets employees take shuttles between buildings on the company’s sprawling campus, and Mobile Home, an employee information portal, were down“. And it is not merely the Guardian, the Apple Insider gives us: “A report from December claimed Facebook had made special data sharing arrangements with other tech companies, enabling Facebook to collect more data on its users generated on Apple devices, without either Apple or the users’ permission or knowledge.” This now gives the setting that Facebook is getting desperate, when any company needs to rely on Data snooping to keep their momentum up that is the moment we see that any tower, data based or not will fall over.

Part of that came from an article last December giving us: “A damning report on Tuesday provides further details on Facebook’s shady data sharing practices, already under intense scrutiny for the Cambridge Analytica fiasco, suggesting the social media giant enabled Apple devices to surreptitiously collect information about users without their — or apparently Apple’s — knowledge” and the nightmare scenario is not merely that Facebook is gathering data, it is the ‘data sharing‘ part and more important, who it is shared with. This has over the last two months changed my position from waiting what is actually afoot into investigation into actively prosecute Facebook for their actions.

I am certain that the prosecution goes nowhere, mainly because the legal departments allowed for the loopholes to get into position in the first place. It enables the train of thought on how involved Apple was in all that. That train of thought continues when we revisit the Apple Insider quote: “It was revealed yesterday Facebook paid users $20 to sideload a VPN onto their devices, allowing the social network to monitor what participants aged 17 to 35 did online. Claimed to be a “social media research study,” the Facebook Research iOS app took advantage of Apple’s Enterprise Developer Certificates to allow the apps to be distributed separately from the main App Store, as well as effectively providing root access to a user’s device.” In all this the legal teams did not consider the usage and installation of linked VPN applications? Is that not weird?

Bloomberg is trying to water down the event with “Facebook seems clearly to have earned its latest privacy black eye, but it’s important not to overstate what’s going on here. This is essentially a contract dispute“, is it? It seems that the users are victims of deceptive conduct; it seems to me that root access clearly implies that all data and content of the mobile device was made available to Facebook, was that ever clearly communicated to the users installing that?

It is my sincere belief that this was never ever done. So as Bloomberg in trying to add more water to the wine with “Apple’s concern about it’s “users and their data” might well be sincere, but this particular dispute isn’t about the fact that Facebook collected user data; it’s about the way that Facebook collected user data.” Here we see more than merely deceptive conduct, or to use the quote: “I’m not suggesting that what Facebook has done isn’t serious. But neither is it the end of user privacy as we know it“. You see, when you had over root access it means that you had over everything and at that point you have revoked your own right to privacy. And at the top of the watering down of wine, making it impossible to distinguish between the taste of either we see: “But users seemed to know what they were getting into — and were also paid for the privilege“, likely to be Bloomberg foulest statement of the day. Not only do they knowingly hide behind ‘seemingly’ they know for certain that no one will ever knowingly and willingly hand over root access to an unknown third party. It also tends to introduce security flaws to any phone it was installed to, when exactly were the users informed of that part?

So whilst we get another version of: “Twenty dollars per month might not sound like a lot to, say, the typical Bloomberg reader. So imagine Facebook instead had promised one free local Uber ride per month” you all seemingly forget about the international community, who like all others will never get to cash in on those events, or paid responses or alleged dollars for donuts deals. That becomes for the most direct profit for Facebook, access without a fee, how many of those people were part of that event?

Cnet phrases it a lot better with: “I think it’s highly unlikely that the vast majority of the people who went through this whole process really knew the kind of power they were giving Facebook when they clicked OK to install this (app),“, which we see (at https://www.cnet.com/news/facebook-shuts-down-ios-research-app-it-used-to-access-user-data/) by Bennett Cyphers, a staff technologist for the Electronic Frontier Foundation.

And that is not the only part, not when we enlarge the circle. Two days ago, my predictions become fact after the Sydney Morning Herald gives us: ‘Optus concedes 5G service without best technology after Huawei ban‘, which is awesome, as the IP I came up with does not affect either and allows for Global Huawei (or Google) continued growth. So as we are treated to: “”From a pure technology perspective, Huawei is probably ahead of the other three “Mr Lew said after Optus unveiled plans for a $70-a-month unlimited service with guaranteed minimum speeds of 50Mbps. “But what we’ve got from the other suppliers will enable us to provide a globally competitive service.”” This is actually a lot more important than you think, when mobile app users seek the fastest solution, the more bang per gigabyte, the Huawei solution was essential in all this. So as Optus chief executive Allen Lew now concedes that those not using Huawei technology will be second best in the game at best, my solution will set a new level of e-commerce and information on a global scale and all I asked for was $25M upfront and 10% of the patents, the rest was for Google (or Huawei). It is a great deal for them and a really nice deal for me to, a win-win-win, because the consumer and SMB communities will equally profit. I merely circumvented paths that were not strictly legally required; merely a second tier to equal the first tier and when the speed map drives us forward, the players using second rate materials will end up losing customers like nothing they have ever seen. It’s good to use political short sighted policies against them. So whilst the world is listening on how Apple and Facebook values are affected, no one is properly looking on how Huawei and Google have a much clearer playing field on how 5G can be innovated for the consumers and small businesses. It will be on them to restart economies and they will. They are moving from ‘Wherever the consumer is‘ to ‘Whenever the consumer wants it‘, the systems are there and ready to be switched on, which will be disastrous for many wannabe 5G players. I am giving a speculative part now. I predict that Huawei holding players will be able to gain speed over all others by 0.01% a day when they go life. This implies that within 6 months after going life they can facilitate 2% better than the others and within a year is double that. These are numbers that matter, because that means that the businesses depending on speed will vacate to the better provider a hell of a lot faster than with other players. This effect will be seen especially in the Middle East and Europe. And before you start screaming ‘Huawei’ and ‘security threat’ consider that the entire Facebook mess was happening under the noses of that so called cyber aware place America. It happened under their noses and they were seemingly unaware (for the longest of time), so as security threats go, they are more clueless than most others at present. It boils down to the boy howling Huawei, whilst his sheep are getting eaten by fellow shepherds, that is what is at stake and it shows just how delusional the Huawei accusations have been form many nations. How many of them were aware of the Facebook data syphoning actions?

This gives us the final part where we see the growth of Huawei as we see ‘Saudi-based Telco opens joint ICT Academy with Huawei‘, you might not find it distinct and that is fine, yet this is the same path Cisco took a decade ago to grow the size it has now and it was an excellent example for Huawei to adopt. The middle East is the global 5G growth center and with Qatar 2022 introducing maximised 5G events, we will see that Huawei took the better path, feel free to disagree and rely on AT&T and their 5G Evolution, yet when you learn the hard way that it is merely 4G LTE and now that we also see that ‘Verizon likely halting its ‘5G Home’ service roll-out after test cities, waiting for 5G hardware to actually exist‘, we see the events come into play as I have said it would, America is lagging and it is now likely to lag between 12 and 18 months at the very least, so whilst the world is starting their 5G solutions, America gets to watch from the sidelines, how sad it all is, but then they could still intervene into the Facebook events. They are not likely to do so as they do not see that as a ‘security threat‘. So as we are given: “As reported by VentureBeat, Verizon has detailed that it won’t have true 5G hardware for its 5G Home service ready until later this year. That means expansion to more markets beyond Indianapolis, Los Angeles, Sacramento, and Houston won’t be likely until the second half of 2019“, how many people have figured out that ‘expansion to more markets beyond Indianapolis, Los Angeles, Sacramento, and Houston‘ implies the largest part of the USA and they are not up for anything before 2020 (and that is me being optimistic).

It is he direct impact of a stupid policy, which in the end was not policy at all, it was merely stupid and we all get to witness the impact and the carefully phrased political denials linked to all that; funny how evidence can be used to sink a politician.

This reminds me of my blog of August 2018 (at https://lawlordtobe.com/2018/08/23/liberalism-overboard/) where I opened the premise of “the topic would be ‘How to assassinate a politician‘“, I should sell it to Alibaba Pictures or Netflix, it could be my Oscar moment (and cash in the wallet). So, it is true, political folly is good for the wallet, who would have thunk it?



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Does smoke mean fire?

We have all heard the expression before: ‘Where there is smoke, there is fire‘, yet what happens when no fire is found, what happens when certain involved parties are all combined in the need for deception?

That is the question; it is not a direct accusation, as I am not aware of all the facts. I am merely in possession of a whole heap of doubt. The latest is given with: “On Thursday, communications giant Vodafone said it is pausing the deployment of new Huawei equipment in its core networks across the globe. The core networks are particularly sensitive as if they are compromised, mass spying can be conducted across them“, the operative part is ‘if they are compromised‘, there is no evidence, there is no case, it is merely Vodafone sucking the proverbial addendum of America. This comes with the addition of “the University of California at Berkeley and UC San Diego — are removing Huawei equipment and shunning its cash. They apparently don’t want to lose funding under the terms of last year’s National Defense Authorization Act (NDAA), which banned federal funding recipients from using certain products and services“. The mess is increasing and the whole fiasco is all connected to the fact that there is no evidence. At least with Alex Younger (MI6), the premise was that no government should be allowed to be in an optional point of weakness through foreign technology. I do not believe that was the cleverest step to make, but we can argue that it should be seen as a valid national reason, which is fair enough.

There is of course concern in opposition and the Guardian gives is (at https://www.theguardian.com/technology/2019/jan/27/huaweis-problems-deepen-as-western-suspicions-mount) with: “Critics say Huawei’s rapid expansion is suspicious. Founded in 1987 and focused on selling telecom equipment in rural areas of China, it has grown into the world’s largest supplier of telecoms equipment and second largest smartphone maker. It operates in more than 170 countries, employing about 180,000 people“. OK, I am willing to give that thought, because there is suspicion on that level, yet there is also Facebook, it grew to a multibillion dollar behemoth in less than a decade. At least with technology there are supporting investors when they comprehend the technology and it has been clear in the last 10 years that Huawei was ahead of the curve. My initial assessment in 2014 was that Huawei would soon have at least 20% of the mobile market. I was laughed at by several people, now when I remember them of their short sightedness, they seem to react in denial with statements like ‘I don’t know what you mean‘ and ‘Well, you should have communicated it better‘. Although I did state that Huawei will soon have well over 20% of the mobile market‘ seems to have been clear enough. Now they surpass that with a comfortable distance, and they are not done growing. When I initially discussed my $2B IP idea there were only two players. Google and Huawei, now my benefit to only consider Huawei will have a few more tactical benefits as well as leaving me with a larger slice of that cake which I find appealing as well. that is beside the point of me sticking it to Microsoft and Apple to show them how stupid their path of iterative technology was, in addition, if Huawei pulls it off, it will create a very new cloud technology based growth system. they will do so because all these jokers who are hiding behind ‘security concerns‘ will soon learn that evidence is still adamant and the people are finding out that getting sold short for the benefit of specific Telecom operators come with a massive price tag.

So I found a way around it and create a second system that avoids them altogether, that also means that these players will lost on terabytes of data per day making their losses increasingly uncomfortable. I do have an issue with the quote: “Ren went on a media blitz, breaking years of silence to say the company has never engaged in espionage on behalf of Beijing. “China’s ministry of foreign affairs has officially clarified that no law in China requires any company to install mandatory back doors. Huawei and me personally have never received any request from any government to provide improper information,” he said” I have no doubt that Ren Zhengfei is speaking the truth, yet I am also aware that someone like Chen Wenqing will never knock on the door of Ren Zhengfei, he will find a way around it and get what he needs in another way. By the way that same picture applies to Gina Cheri Haspel and General Paul Nakasone and their links to Microsoft, IBM, Facebook and Apple. You better believe that they are very much on the same page when it comes to their national security, your rights be damned (when National security is discussed).

So let’s not have that pot, kettle and black conversation, shall we?

Then we get to the trade secret part of it all. Oh, and before you get any crazy idea’s. Perhaps you have heard of how in the mid 60’s Israel, through Mossad acquired (read borrowed) the blueprints from the French and when the ban for Israel was clear, they producing an uncanny identical likeness of the Mirage 5, I believe it was called the Nesher, with technical specifications for several main parts to be as perfectly identical as a fingerprint. We were not really that surprised when it happened, yet what was less known was that some documents in the mid 90’s implied that the CIA was very aware of it all before the operation was completed, which shines a light on their need of what they regard to be a trade secret.

This part is important when we realise that the accusation reads: ‘conspiring to steal trade secrets from T-Mobile US Inc.‘. The question is: ‘What Trade Secrets?‘ You see Huawei is a lot more advanced than T-Mobile. Perhaps it is what BGR Media LLC claimed with: “unscrupulous T-Mobile sales reps lie to customers and open lines on their accounts without permission, all to meet unrealistic sales goals“, which is interesting as this is not a think Huawei does, they merely sell hardware and services to companies, not to individuals. Or perhaps the EFF (Electronic Frontier Foundation) findings with: ‘EFF Confirms: T-Mobile’s Binge on Optimization is Just Throttling, Applies Indiscriminately to All Video‘, so how is any of that interesting to Huawei? So what exactly is the formal brief for the case? You see, the media does not divulge that, they give us all the innuendo but not the facts. And when it comes to the accusation ”Huawei used a Hong Kong shell company called Skycom to sell equipment in violation of the US sanctions in Iran“, which might hold water (I actually do not know), yet if the US is unwilling to set that stage by “The U.S. has agreed to let eight countries — including Japan, India and South Korea” to let the Iran sanctions be waived, why are they so specific? Is it merely because their financial and economic setting demands it? How is that proper sanctioning? All that, whilst the media at large is not making any mention of the other 5, we need to see that the entire Iran Sanction is to be seen as a cloak of corruption, if that was not allowed, the oil price would suddenly soar and at that point the US economy would be in deep drenching goo, is that not an interesting side as well? Or perhaps a better clue on how Cisco, Sun and HP equipment makes it to Iran without any hassle, an event that has been going on since 2012, so in all this, the entire Huawei discrimination debacle reads like a joke.

to be quite honest, if there was an actual security issue, I would go after Huawei without a moment’s hesitation, I know I can best Director Igor Kostyukov (GRU), yet going after Chen Wenqing, a man who eats, dreams and lives by the Art of War and optionally one of the few people on the planet whose eyes have seen the actual original version, he would be a lovely challenge for the likes of me. I am no Steinitz, Karpov, Kasparov or Carlsen, but I could be a crazy Bobby Fischer, he’ll never see me coming! (OK, that was my ego talking for a second).

You see, I look beyond the data, beyond what people and politicians hide behind and the entire Huawei mess is a political play of nepotism and fear, because those getting momentum in 5G will set the pace and win the race, that is what America fears it was that simple all along. That truth is easily found, the orchestration (read: rigging) of what would be global 5G rules and the FCC of setting a different stage, the non-accountability of AT&T in all this and that list is growing almost on a daily basis, it gets to be more interesting now that the Democrats from the “Leaders of the House Energy and Commerce Committee sent a letter to the Federal Communications Commission today demanding information concerning possible coordination between FCC officials and carriers in an ongoing legal fight” (source: the Verge) and a few more like them. In the last 15 days we have seen more orchestration and the setting of the stage with specific judges, to get a more appealing situation, when we see that part, we see that the technology gap in America is a lot larger than we think and it is setting the stage of fear against an advanced players like Huawei on an almost exponential growing path. America has seemingly no other optional left. That is why I saw from the beginning that places like Saudi Arabia could fuel exponential growth in 5G and making Huawei larger by the day. It also fuels the growth path back to Europe, because the moment Huawei proves that they have the good stuff, the EU will chose profit over short sighted American policies, because those policies do not pay the bills, profit does and the EU is desperate for any profit it can get.

Consider the billions of value of those networks and the billions of revenue that these networks make in addition through information, advertisement and data collection. America is starting to lose out because they were asleep at the wheel for close to 3 years, it is enough to miss out on an entire technology generation. That is the danger that iterative technology brings. For now I merely wonder what Google can do to stay ahead of it all, because their lives depend on the technologies that Huawei has, when Google search becomes less and less at the point of the spear, merely to be laughingly called Bing v2.1, how do you think Google will react? They optionally have the path to equal Huawei in a new network facilitating stream giving them additional revenue in a new dimension. We might initially think Saudi Arabia and Neom city in the pilot stage, yet that could so one thereafter evolve towards London, Paris and other places to grow strong and fast, because in the end all these policies sound nice, but they all forget the number one clause required. It all requires users and that is the part both Google and Huawei figured out a decade before the sheep (read: IBM and Microsoft) started to get a proper clue.

Too many intelligence wannabe’s focussed on Mark Lowenthal’s Intelligence: From Secrets to Policy, which is an awesome book, and when you consider the simple: “on how the intelligence community’s history, structure, procedures, and functions affect policy decisions“, which is also an absolute truth, yet behind what you would like to have, these people all forgot about the consumers and what they demanded to be their right, that is where their gravy train became another Titanic and the greed driven path went not by one iceberg, but it steered towards one every other hour making it a wreck in the making, the entire 5G debacle in the US is no difference in that regard and I will be around to laugh at those in denial thinking and parroting ‘security concern‘ on all the media without any proper cause or evidence to show for it. Oh, and I am not the only one, a whole score of cyber experts are on that same path, so I am not alone in seeing through the media stupidity, merely seeing on how much bigger experts like me are totally ignored on several levels giving merely the rise and early expectation to someone screaming in some policy department ‘Iceberg dead ahead‘, whilst none of them are qualified or sanctioned to alter course, going straight for the natural Whiskey coolant.

Life can be exceedingly entertaining at time, but for all the tea (and Huawei mobiles) in China, I never expected them to be this hilarious. Sometimes smoke is not fire, it is the steam of a ship striking an iceberg and going down. For those on that ship do not worry, the direct path to land is only 3800 meters away (straight down).


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When inability drives fear

It is a dangerous place to be in. We all have been there and in most cases it is as innocent as it could ever be. You see, sometimes life throws you a curveball. Gamers tend to identify it most easily. In my particular case it was a game called Magic Carpet. It was a Bullfrog game and I was testing it on the PC. It played magnificently there, and soon thereafter I also tested it on the very first PlayStation. There, because of the controller it was good, but not great. Still, it was fun to play and I tended (in those early years) to really get into a game, so when the situation blew into my face, I got a little frustrated. The next two times were worse and the last time (on that day) I went slightly angry (with myself) and I kicked the door. The issue was not the door, it was my steel tipped boot and I went straight through the door, so, I was not merely ticked off, I had a hole in the door (which would require funds to repair) and the boss in Magic Carpet was still alive. We all have had these moments. Our car, our bike, the TV, things go wobbly on you and we sometimes react wrongly to this situation and in light of that get to reflect on our own ego’s a little.

These are the images going through me when I was confronted to new information when looking at the unrealistic response by America (and Australia) to Huawei. In the case of Australia it seemed the mere application of greed and fear as politicians cater to the greed of a large telecom company, which was not seemingly the case with America. Yet that tip was raised for me less than 24 hours ago. The article (at https://foreignpolicy.com/2018/08/15/botched-cia-communications-system-helped-blow-cover-chinese-agents-intelligence/), shows how the CIA got their own systems handed to them through ego and what I would regard as stupidity. The initial headline ‘The number of informants executed in the debacle is higher than initially thought‘ is rather unsettling. It gets to be worse with “The CIA had imported the system from its Middle East operations, where the online environment was considerably less hazardous, and apparently underestimated China’s ability to penetrate it. “The attitude was that we’ve got this, we’re untouchable,” said one of the officials who, like the others, declined to be named discussing sensitive information. The former official described the attitude of those in the agency who worked on China at the time as “invincible.” Other factors played a role as well, including China’s alleged recruitment of former CIA officer Jerry Chun Shing Lee around the same time.” This is the most dangerous of settings. The wrongful setting comes straight from Sun Tsu where we learn that all war is based on deception. China is not some place that is tinkering at the side of the road, the Art of War COMES FROM CHINA! It gets to be worse when you consider that that book was written long before Americans had adopted proper reading and writing skills, close to 1200 years before that, so that was their first error.

When we see: “But the penetration of the communication system seems to account for the speed and accuracy with which Chinese authorities moved against the CIA’s China-based assets. “You could tell the Chinese weren’t guessing. The Ministry of State Security [which handles both foreign intelligence and domestic security] were always pulling in the right people,” one of the officials said. “When things started going bad, they went bad fast.”“. The entire matter seems to be exponentially wrong. The big issue is not on how it was cracked, or even if it was cracked. My issue had been (for a much longer time now) that for too long, the deciding voices, all listening to some CTO, often with multiple sides lacking wisdom that the setting was not merely that there was ‘a security risk’, there was for the longer time a much larger security flaw. For much too long a time, we got the ‘slides of wisdom’ on how data in transit tends to be safe and data at rest tended to be in danger. Even when I started my CCNA, the amount of knowledge given in the Cisco books gave the rise to the consideration that data in transit is not merely as vulnerable, it was that a lot more could be done unnoticed (not merely by the Chinese mind you). It was some time before the Sony hack that I expected a setting where the routers themselves might be used against the owner, it went further when we consider Wired in 2013 (at https://www.wired.com/2013/09/nsa-router-hacking/). The headline is not merely ‘NSA laughs at pc’s, prefers hacking routers and switches‘. It is the setting where we see: ““No one updates their routers,” he says. “If you think people are bad about patching Windows and Linux (which they are) then they are … horrible about updating their networking gear because it is too critical, and usually they don’t have redundancy to be able to do it properly.” He also notes that routers don’t have security software that can help detect a breach“. This is where I was in 2011, when I started to comprehend the working of a router and router tables, I figured out that it is not the router they can see that is the problem; it is the one they cannot see. That idea came from a presentation by Thomas Akin, CISSP, Director, Southeast Cybercrime Institute who had a presentation for the Blackhat briefings. The 2002 presentation gave me the idea. You see apart from the lack of security, the +1 hop hack allows form something truly unique. Consider [.MIL Server], that server connects to <secure router 1> and things are set into motion. Now, we cannot direct all the traffic, yet materials from that location to let’s say ‘preferred consultant one‘ will go via certain paths, yet the first router after <secure router 1> tends to be merely one or two routers (depending on traffic) to that preferred consultant. It is easy to find a router that could optionally be a link to these routers and duplicate all packages that go to that specific next step. Not only is the task easily done, the path is not hindered, the router is not intervened with and a simple reset takes away whatever evidence existed in the first place. In addition, the additional part is that the compact flash in those routers is ‘The maximum storage capacity for the CF in Slot0 and Slot1 is 4GB‘, yet the only part here is that you only needed 32 MB, which is what most of us used then, but cards that small are no longer made, so most IT people just plug in what they have. You have well over 3GB of package storage, so all packages to that one location could be stored and redirected on the ‘off’ hours as not to leave any monitored spike. Until the CFlash card is ejected from the router and investigated no one will have a clue. That was 7 years ago and the systems are even more capable now, a 3GB glitch will not register on most systems, especially when those IT people do not block Spotify and/or YouTube. By the time they figured it out, the setting is already wiped, and this path can be adjusted on a daily bases so that most IT networkers never had a clue in the first place.

You think that I am alone in this, that I am this clever? No, I am not! There are plenty of IT Networkers running circles around me and that is now set into the stage of ‘we’re untouchable‘. The CIA was never that, they never needed to be touched, the opponent merely needed a clear line of sight to the router that is one skip from the secure router that they needed to get to. We see more in the Foreign Policy article with the quotes “Information about sources is so highly compartmentalized that Lee would not have known their identities. That fact and others reinforced the theory that China had managed to eavesdrop on the communications between agents and their CIA handlers” and “an encrypted digital program, allows for remote communication between an intelligence officer and a source, but it is also separated from the main communications system used with vetted sources, reducing the risk if an asset goes bad“. Now we merely add “But the CIA’s interim system contained a technical error: It connected back architecturally to the CIA’s main covert communications platform. When the compromise was suspected, the FBI and NSA both ran “penetration tests” to determine the security of the interim system. They found that cyber experts with access to the interim system could also access the broader covert communications system the agency was using to interact with its vetted sources, according to the former officials“. I believe it goes further than that. If we see the entire layer process and consider that in the end, certain systems merely replicate a process. Cisco (at https://www.cisco.com/c/en/us/support/docs/lan-switching/8021q/17056-741-4.html) gives us: “A device can determine which VLAN the traffic belongs to by its VLAN identifier. The VLAN identifier is a tag that is encapsulated with the data. ISL and 802.1Q are two types of encapsulation that are used to carry data from multiple VLANs over trunk links”, as well as “The DA field of the ISL packet is a 40-bit destination address. This address is a multicast address and is set at “0x01-00-0C-00-00” or “0x03-00-0c-00-00”. The first 40 bits of the DA field signal the receiver that the packet is in ISL format“, so as the destination was known, the people needing this could search very specifically. When we consider ‘It connected back architecturally to the CIA’s main covert communications platform‘, the connection back would enable those seeking to find the needed value of the DA field. That does not merely impede the CIA, it stands to reason that to some degree the NSA would be just as vulnerable.

The main course

In my case, I tend to go for the Bambi burger, ideally I watch Bambi whilst having that lovely slice of venison. You see when we get to “As part of China’s Great Firewall, internet traffic there is watched closely, and unusual patterns are flagged. Even in 2010, online anonymity of any kind was proving increasingly difficult. Once Chinese intelligence obtained access to the interim communications system,­ penetrating the main system would have been relatively straightforward, according to the former intelligence officials. The window between the two systems may have only been open for a few months before the gap was closed, but the Chinese broke in during this period of vulnerability“, I believe the setting is worse than that. These players still require their consultants. It does not matter whether you call them construction workers, members of Blackwater, Xe Services, or Academi. It is those places as well as Booz Allan Hamilton and other providers that still require to be informed, and that is where the interception could start. The setting is not ‘the Chinese broke in during this period of vulnerability‘, it is the long term flags that they were able to test at this point and that is the fear we see with their setting of Huawei and partners. Not that Huawei is the danger, but the fact that Chinese intelligence is just as able to get into nearly all systems, it merely can get into Chinese systems faster (for now). This is where it gets a little more complicated, because it is not about the now, it is about tomorrow and the tomorrows that are coming. The only ones who have a chance of getting things done are players like the Constellis Group and Palantir when they unite abilities. It is going to be about data and about the ability to forecast how traffic goes. Thomas Akin was teaching this wisdom 16 years ago. We see this when we are made to realise

  • Live system data is the most valuable.
  • Immediate shutdown destroys all of this data.
  • Investigators must recover live data for analysis.

And the loss is merely a reset away, in most cases if there is an automatic reset; the only data available is the last transgression at best. With the coming of 5G live real-time capturing data streams is what is more likely to set the stage of finding out what happened, in this the entire setting of ‘China’s Great Firewall‘, we are already looking at outdated Chinese technology and I do believe that those behind the article, as well as some DARPA people are aware of that. America and Europe are behind in ways that we cannot even perceive, because the players that need to move forward are doing so iteratively, that whilst the time of reengineering is now merely 10% of what the development time was. We see this with “Call this the IBM problem, which faced an existential threat as soon as Asian groups started churning out cheap PCs in the 1990s. But here IBM also provides a few tips to the future, with its pivot to software and solutions. By the time of IBM’s iconic “solutions for a small planet” ad campaign in 1996, the company was trumpeting voice recognition and ecommerce — producing the sort of digital enterprise backbone that ended up helping develop the internet economy” (source: Australian Financial Review). In the first instance the Asian market required 10-15 years to catch up, the second time around it took 2-3 years and now with Google and Apple working globally, it takes months. IBM (others too) took iterative steps to maximise the economic footprint, instead of truly leaping forward whenever possible, they lost the advantage and are now trailing the markets. Huawei is one clear example where the American market was surpassed. Samsung showed its supremacy by having 5G home routers ahead of everyone else and the advantage in Asia is only growing. It is seen with “Alternatively, authorities might have identified the system through a pattern analysis of suspicious online activities. China was so determined to crack the system that it had set up a special task force composed of members of the Ministry of State Security and the Chinese military’s signals directorate (roughly equivalent to the NSA), one former official said“. I do not read this part in the same way. I believe that with ‘set up a special task force composed of members of the Ministry of State Security‘, was not about cracking. I personally believe that the Cisco books were so illuminating that they decided to change the setting in their own game. I believe that the Chinese now have a more advanced system. They have done what players like Cisco should have done before 2014 and they did not. I believe that when we see a partnership between Constellis and Palantir, their findings will bear that out with in addition an optional link that shows part of the accusation that China let Russia in on certain findings (and the Russian evolution of certain networking devices). This and the next part is largely speculative, but it is supported to some extent. We see this in: “Once one person was identified as a CIA asset, Chinese intelligence could then track the agent’s meetings with handlers and unravel the entire network. (Some CIA assets whose identities became known to the Ministry of State Security were not active users of the communications system, the sources said.)“. I believe that he part given in ‘not active users of the communications system‘ gives us the third part. I believe that the system was not merely invaded. There is every chance that certain systems when activated also leave tags behind and that is where the intrusion would have paid off. You see, in the Cisco setting (as an example), the data frame has an optional 60 bytes of extension headers, yet is that always empty? More important, when were these data packages truly thoroughly checked? In this speculative setting I take you to the movie Die Hard 2. In that movie we see on how someone decided to get clever and uses the outer marker beacon to warn the planes that were in danger. The beacon can be used in other ways than merely give a beep. I believe that Cisco data packages have other optional parts than can be ‘reused’ to do something different, like the optional headers. They are to most merely empty pre-set ‘spaces’, but they could have more. That is the setting that America faces and the fact that they could get overwhelmed by Chinese intelligence because they did not rely on iterative parts. Huawei had been leaping forward, for example now offering a 128GB Android 8.1 phone (the Huawei nova 3i 128GB Handset), for 50% less than its competitors. A system that is just as advanced as anything Apple and Samsung offer; at merely half the price whilst Chinese Intelligence has been digging into that device for months, unlike the NSA that needs to queue up with all the other users to get to look at the Pixel 3 and the iPhone 8 on launch day. That is the setting we seem to be seeing and America is indeed and rightfully worried, not because Huawei has backdoors (which I never really believed) but because the players here had been held backwards through iterative technology. Apple is actually staged by Forbes that way with the quote ‘a minor point update for the iOS 11.1 iteration‘, even Forbes speaks about iterative changes. That is the setting that they are up against and they have been surpassed for years and with Huawei leading the 5G stage on a global setting the US authorities are merely getting more and more afraid that not only are they no longer the leading players, they are now sidelined by not being able to keep up with what will be presented ‘tomorrow’.

That part can be supported through the CIA with analyses reports (at https://www.cia.gov/library/center-for-the-study-of-intelligence/csi-publications/csi-studies/studies/vol49no3/html_files/Collection_Analysis_Iraq_5.htm), in here we see that Richard Kerr, Thomas Wolfe, Rebecca Donegan, and Aris Pappas give us (in a different context): “The analysis on this issue by the Intelligence Community clearly was wide of the mark. That analysis relied heavily on old information acquired largely before late 1998 and was strongly influenced by untested, long-held assumptions. Moreover, the analytic judgments rested almost solely on technical analysis, which has a natural tendency to put bits and pieces together as evidence of coherent programs and to equate programs to capabilities. As a result the analysis, although understandable and explainable, arrived at conclusions that were seriously flawed, misleading, and even wrong“. It is important to realise that this was on the WMD setting, so in a different context and on a different setting. Yet the information systems were all designed to upholster that flaw to an ‘evolved’ placement, the systems in their entirety are nowhere near ready, now even for the previous setting. The movement from a lot of staff to more fruitful consultant settings is now paying off in a negative way for the CIA (and the NSA too). This is where it gets interesting. You see, the previous setting that I gave should partially have been dealt with through the flashlight program that DARPA has. Raytheon BBN is working on that with Professor Richard Guidorizzi from George Mason University Fairfax. I think that the system is not entirely ready here, not if the packages can be duplicated via the router and as long as the original is not touched, that system will not get the alert lights ringing.

To get you on board on how far all the NATO partners are behind, let me give you two settings. The first is a DARPA Project called ‘Probabilistic Programming for Advancing Machine Learning (PPAML)‘, the man in charge is Dr. Suresh Jagannathan, yet the bigger brain might be MIT graduate Dr. Jennifer Roberts. The given setting is “Probabilistic programming is a new programming paradigm for managing uncertain information. Using probabilistic programming languages, PPAML seeks to greatly increase the number of people who can successfully build machine learning applications and make machine learning experts radically more effective“, whilst we also see the goods in the DARPA article by Dr Roberts with “If successful, PPAML could help revolutionize machine learning capabilities in fields from Intelligence, Surveillance and Reconnaissance (ISR) and Natural Language Processing (NLP) to predictive analytics and cybersecurity“, this is certainly leaping forward, but it is still based on a system. I believe that the Chinese decided to turn the funnel upside down. To illustrate this I need to get you to an app called Inke. The article (at https://thenextweb.com/contributors/2018/02/09/hidden-world-chinese-livestreaming-app-inke/), gives us ‘The hidden world of Chinese livestreaming app Inke‘, this is not a few people; this is a craze that has already infected millions upon millions. So with “he was actually doing a livestream, an extremely popular hobby for young people in China. China is way ahead of the rest of the world when it comes to embracing livestreams.” you are missing out and missing out by a lot. These streams are real-time and often geo-tagged. I believe that the Chinese have changed the setting, they are optionally collecting Terabytes of daily data and they are converting that to actionable intelligence. Facial recognitions in phones, geo-tagged and all uploaded and streamed, all converted on the spot, like the SETI screensaver, millions of affordable mobiles (this is where the Huawei nova 3i 128GB Handset and all other new handsets come in), parsing all that data into uploaded files and Chinese intelligence gets global information close to real time, whilst their learning machines are about efficiencies of collected data, it is not about the better application by making them more effective, it is about the massive amounts of data offered to get the systems to upgrade the efficiency of parsing data, because parsing data is where the bottleneck will be in 5G and they already have a larger advantage.

In the meantime, on any given day thousands of Inke users are filming life around them in malls and famous places looking awesome doing it. Yet, if you look at the CCTV settings, how many users would have passed 935 Pennsylvania Avenue, Washington DC, or at London SE1 9EL, UK walking towards London Bridge? How many people were merely assuming that they were tourists face timing with mom and dad? Are you getting that picture now? and also realise that Inke is merely one of more than 300 live streaming companies, all capturing that data all those tags that a smartphone allows it to capture and at the top of all this, Facebook and YouTube are eagerly pushing people to gain following by doing just that. So how long until the user realises that uploading the same stream to 2-3 providers gets them to gain a lot more following and optionally cash? Yes, the intelligence community is that far behind at present. So when we are worrying on “The system was not designed to withstand the scrutiny of a place like China, where the CIA faced a highly sophisticated intelligence service and a completely different online environment“, we need to consider that China is already ahead of the game and the CIA systems might be merely an option to scrutinise their own data, because that remains the Chinese bottleneck, the data will require verification and that is the one field where their opposition could gain the advantage if they set their minds to a different algorithm, one on reliability, not on likelihood. It is a setting where all the players involved have a second tier of consideration. They embrace a ‘not now, but soon‘ thought, when ‘I needed this yesterday‘ is the proper setting as I personally see it, because data without proper vetting is merely used space on any given storage device.

That final part can be considered when we look at the linked article that NBC had from last January. There we see: “When agents searched Lee’s hotel rooms in 2012, they found notebooks with the names of covert CIA sources, according to court documents. But not all of the agent arrests and deaths could be linked to information possessed by Lee, who left the CIA in 2007“, an issue I mentioned in an earlier blog. We get there when we consider his actions and ‘found notebooks with the names of covert CIA sources‘, do you think that anyone, especially in this setting would be that stupid? It’s like keeping the condom as a trophy after having intercourse, its useless and stupid. I believe that either it is not the ‘covcom’ system, or not merely the ‘covcom’ system. I believe that (if it is all correct) that Chinese intelligence got in further and deeper into acquiring the data required and the notebook is the proverbial red herring in all this, especially as Jerry Chun Shing Lee left the CIA in 2007. You do not hold on to that level of information 11 years after you might have had some level of valid reasons to have it in the first place. That is the part many overlooked, or looked away from.

In the end, I do believe that it is not merely the inability that drove the anti-Huawei waves, it is the fact that those decision makers have no idea where to navigate towards next is what drives their fears almost exponentially.


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The academic colour

This goes back to me having a very young age and in those days we had a saying in chess: ‘white begins and black wins‘. It had nothing to do with race, it was that those in reaction have a benefit; we can play whilst considering in response what the opponent is doing. It is a mere tactic, some you win, some you lose, yet overall, I still believe that the one moving first is out on a limb until the game unfolds and as long as the player using black comprehends the moves that are set, that player has an advantage, the size of that advantage is how quickly white picks up on the countermoves by black.

Yet, I made the race connection and here it is: ‘Trump administration moves to rescind Obama-era guidance on race in admissions‘, the Washington Post headline (at https://www.washingtonpost.com/local/education/trump-administration-moves-to-rescind-obama-era-guidance-on-race-in-admissions/2018/07/03/78210e9e-7ed8-11e8-bb6b-c1cb691f1402_story.html) gives us a dangerous setting. The issue is the reasoning behind it is what matters. The quote starts us with: “rescind Obama-era guidance to colleges and universities on how they can use race in admissions decisions to promote diversity, according to an administration official“, yet I am not certain whether that is a good setting. You see I have had my share of tertiary education. I was lucky to some extent and I finished with three post graduate degrees, one a Master. I have lived in many places where diversity was the cornerstone of education and I expected that to be the norm, yet we all know that it is not.

If we look at the Pre-Obama era and take the sport players out of the consideration (Football and Basketball), the racial diversity is pretty much non-existent as I see it. Even now, if we look at American education and we take the top 30% we get a really skewed view of ‘educated Americans‘ it is seen even better when we look at the census. We see (at https://www.census.gov/prod/99pubs/99statab/sec04.pdf), the fact of educated people, and even if we realise that the percentages are all going up, the setting that in 1998 that 80% of those with high school were white and merely 50% was black, that is a number that matters, in a diversity given setting, they should be a lot closer together, not 30% apart. The Hispanic community is much closer to the white one, yet still trailing. When we look at the next step, those with 4 years (or more) of college, we see that Caucasians lead with 25%, that against Hispanics at roughly 12% and blacks at 10%, that is a problem, there is no level of equality. Any civilisation that truly embraces diversity and equality can see that these numbers are just wrong, and as such changes, many large changes are essential. Now, we can argue with the Obama setting, or find a way to improve it, not rescind it.

There is another setting that we see (at https://www.census.gov/content/dam/Census/library/publications/2016/demo/p20-578.pdf). It makes no sense to completely chew the report and mull over the entire spectre of data, yet the one that lighted up were those with advanced degrees. 8.2% Black and 12.1 were Caucasian, what was interesting that the Asian group is 21.4% surpassing all others. There is a change and we need to earn what that is, because here we have a shift in success. The numbers seem to add up more evenly (after 20 years) between black and white, yet the shift starts from Associate degree and later, that is where we see the numbers drop. Yet in all, how was this weighted? You see, the counts give us White with 168,420, Black with 25,420, and Asian with 12,331, so a setting so uneven is unsettling, because this implies that if there is weighting that it is too unbalanced. That issues grows even further when we see (at https://www.census.gov/prod/cen2010/briefs/c2010br-02.pdf), the setting “This report looks at our nation’s changing racial and ethnic diversity. It is part of a series that analyses population and housing data collected from the 2010 Census, and it provides a snapshot of race and Hispanic origin in the United States. Racial and ethnic population group distributions and growth at the national level and at lower levels of geography are presented” is one that I cannot agree with. We see in 2010 223,553,265 (72.4%) white, 38,929,319 (12.6%) black or African American and 14,674,252 (4.8%) is Asian. If we go from the (I admit a wrongful set assumption) that there is equality to some degree, that if we take the black population as part of the white population as comparison, there should be some equality between the educated and the ‘actual’ population (yes, it is shallow, I know), they should be close together, yet they are not, they are 2% apart and when you consider it reflects a total of 200,000 students (roughly rounded), the African Americans lose out on a few thousand completed education seats and that is actually a much larger issues than anyone realises.

I will not tell you what the reason is for the difference, because it takes someone a lot more clever than me to do that, but the data (even when not optimally used) should not add up to this. In equal measure I feel that I need to disagree with Roger Clegg, president of the Center for Equal Opportunity. We see: “He said it was appropriate for the administration to ditch policies that had encouraged schools to weigh race and ethnicity in deciding where students would be assigned or admitted. “Students should be able to go to a school without regard to their skin color or what country their ancestors came from,”“, I agree with the premise he states, yet we already see that the African American population are getting short changed for a few thousand higher education seats and we need to find out why that is happening, because if diversity can lead to academic salvation of a nation, we need to change the books and values most held for granted. This is seen in the Teacher Education Quarterly, Fall 2008 in the article by Rita Kohli called: ‘Breaking the Cycle of Racism in the Classroom: Critical Race Reflections from Future Teachers of Color‘, we see on page 178: “Eddie came up to us and asked, “Ms. Wright, I don’t got no lunch money, can I sit in your room and use the computer?” Ms. Wright was a seventh year White teacher who received a lot of respect for the high academic standards that she held students to at this underperforming school. Ms. Wright immediately responded, “I am not going to answer that question until you speak correctly. How can we say that in proper English?” We both looked at Eddie, waiting for him to rephrase his words, but instead he calmly replied, “Maybe not in your house, but in my house that is how we speak correctly.” Ms. Wright and I were both caught off guard and a little speechless, and Eddie just stood there un-phased, waiting for us to let him use the computer“, it is there that we see the reflection on “what I was not conscious of, until Eddie so confidently pointed it out, was that although differences exist in the structure of African American Language (AAL) and Standard American English (SAE), at this school, we were actually teaching a hierarchy of those differences (FairesConklin& Lourie, 1983)“. The article goes on regarding racial issues that are beyond my comprehension, as my life has been very different, yet this one setting where we see that the cards are already set against the African American population in a mere AAL versus SAE setting, these kids have not even made it to high school and they are already at an advantage, I cannot even perceive the disadvantages that the Native Americans face in such a setting. But that small setting can already impact thousands, thousands of students who could be the prospering African American minds that America desperately needs. Let me state it in a simplified way, the mere setting of AAL versus SAE would not prevent any African American becoming the next Mary Frances Berry, Stephen L. Carter, Patricia Hill Collins, Roland G. Fryer, Jr., or Rhonda Vonshay Sharpe. Hell, I’d be happy just to get another James Earl Jones so we get to enjoy a really good movie that is relying on zero special effects.

The issue is that in a true society, race is not the deciding factor. Or as I see it, when we look at the average year of a university we should get a racial setting that approaches the national population. That will never be true, because some are more driven to be successful than others. You merely need to see the Asian graduation numbers to see that some drives are inherent to family values and history. Yet, they should not be as unequal as we currently see them and that is why I am not on the side of Roger Clegg, even as he might be completely correct.

I also need to raise the issue that we see with: “Harvard University’s use of race in admissions has come under scrutiny in a federal lawsuit that alleges the school has discriminated against Asian Americans. Separately, the Justice Department is conducting its own civil rights investigation of Harvard admissions. The university denies wrongdoing and says its methods — weighing race and ethnicity as one factor among many in a review of an applicant’s background and credentials — conform to decades of settled law“. I do not think that there is anything that Harvard is likely to have done wrong, I merely think that the system has stopped working correctly and we need to see if another mould might do the trick in getting it right, yet the setting of ‘weighing race and ethnicity ‘ might be the wrong path. You see, weighing is dangerous, even if we use it to set towards a path of minimum inclusion, which is a good thing, most tend to see it as a reference line to exclusion, which is a lot more dangerous. The old setting that has been going around for the longest time is ‘will that person succeed’, ‘will that person contribute’, ‘will this not be a failure’. The third is important, as it highlights my issue with a place like Ubisoft for the longest of time. To set the stage of something not being a failure is also the stage of creating mediocrity, for those who are not willing to put it all out, they will never create something truly exceptional. In gaming those are the games that are that are scoring 97% or higher. You merely have to look at the track record of Ubisoft to see that I am correct. The next group of upcoming billionaires are not created in Wall Street, they come from the streets and high schools; they figured out on how the next generation of technology (5G) can be harnessed in productive ways, the will start something new, whilst those around them will try to copy and mimic that creativity. We forgot all about the creative arts, the one side that does not rely on AAL versus SAE, it relies on vision and that matters, because vision allows to create that what does not yet exist and growing that group with academic skills is all that matters, giving them the comprehension of tools and concepts is what allows them to link one to the other and that is where trillions are created. I came up with three systems not by pushing the boundaries further, but by inverting the process. We do not need someone who solves the next small clever iteration, we have thousands of that, we optionally need the one solving the puzzle of CELL(150) (or is that CELL(182)?), it cannot be created here, but when you figure out where it could be found, you solve two other puzzles and that is where we need to look.

We don’t need another John Paulson; we need another James Edward Allchin. As data speeds go up, the systems that need to store are becoming the bottle neck in all this, and whilst everyone smiles and points at the cloud, we will see some people losing the plot, and some sales figures will point at the Cisco QoS: Congestion Management Configuration Guide. We will see clever articles on “control congestion by determining the order in which packets are sent out an interface based on priorities assigned to those packets. Congestion management entails the creation of queues“, it all sounds so easy and so logical. Yet the truth is that most have no clue. You see, 3 billion people using the peak of 5G (2024-2027) will impose  levies of congestion on nearly all systems; some cannot even keep up now (a jab at Australia’s NBN). It is very serious matter and even as all the players are in the dark. So, someone, who was into painting night skies would optionally get into astrology and whilst that person decided to paint a starry night outside Lambert Montana, the thought: ‘What if I stored it that way?‘ came to that persons mind and then considered the storage that mother had in the kitchen and things start falling together. It would never have worked in any other way, sometimes the biggest fluke is actually the brainwave that solves a lot more than we ever considered.

Exceptional solutions are not grown or trained, they come from people with vision and growing those people into levels of comprehension towards analytical and critical thinking is what gets the golden eggs that change everything. True wealth is not following or being better, true wealth is being first and pushing the boundaries for everyone else. Mark Zuckerberg might be the clearest example, but he is not the only one. And when we consider that some of the solutions were seen as early as the 70’s with the benefits of VAX/VMS whilst the connection of one with the setting 5D optical data storage and now replace that ‘contact lens’ for a hollow cylinder where the inside writes and the outside reads and you’ll end up with a storage system that offers no less than 250 Petabyte, has a half-life of well over  an eon and is 75,000 times faster than anything found in the Pentagon (at present or in the next decade). You merely need to reset the mind to not adhere to the current rules of any proclaimed captain of industry (especially the self-proclaimed ones). And whilst you laugh on the CP/M part, consider that it was equal to anything else and was merely surpassed by IBM because they relied on business sense and marketing, not on technological advantage. Oh, and whilst you giggle on VAX/VMS, it had full 64-bit addressing around 21 years before Microsoft, it also had version control and decent security at least a decade before Microsoft or their Windows 95 version had a decent setting towards security, so looking back at what the ‘old guys’ offered is never the worst idea.

So when we change the given and make 5G the weakest link in speed, we will finally get to the hardware that will give us a true advantage, although I merely want it so that I can call Sundar Pichai, telling him that the Bristlecone processor is the slowest link in my computer system and I need a quicker chip so that I can enjoy a nice game of Pong, because that is how weirdly warped my sense of humour is at times.



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The non-knowing speak loudest

There is an old saying that goes back to the original circus, the days of Sir Alec Guiness, John Le Carre and the circus (MI6). Those who do not know speak and those who do will not. There is however a valid issue with that mindset. When it is merely intelligence and what some regard as spyshit, we tend to not care. It is their world and they tend to live by other rules even as they have the same lack of common cyber sense as some US generals, it is their choice to make. Yet when we see labour people like Michael Danby need to present evidence in regards to “an opposition Labor party MP, called on the Liberal-National coalition to block Huawei and fellow Chinese telecoms company ZTE from supplying equipment for the 5G network. “Both Huawei and ZTE must report to the Communist party cell at the top of their organisations,” he told parliament. “Let me issue a clarion call to this parliament: Australia’s 5G network must not be sold to these telcos.”” I am actually in the mindset that his seat should be put up for auction if he does not disclose a proper setting and give evidence as to the reasoning of all this. It becomes more pressing when we see “Mr Lord, a former rear admiral in the Royal Australian Navy, told Australia’s state broadcaster on Monday that these claims were “wrong”, adding that Huawei was not owned by any committee of government and posed no risk to Australia’s security“. It is not just because Mr Lord is a former rear admiral, more that the average naval midshipman tends to be more reliable than any politician. We get this from the Financial Times (at https://www.ft.com/content/1a2d19ba-67b1-11e8-8cf3-0c230fa67aec). In addition, when we get politicians start the scare tactics of ‘critical infrastructure pose a risk to national security’, there is a clear need for both Duncan Lewis and Paul Symon AO to get hauled in a chair in Canberra and ask them to openly answer the questions regarding any evidence that Huawei is a security threat. To blatantly accept the US on their ‘china fears’ is all well and good for Telstra, yet the setting is not a given and the fact that Telstra is nowhere near the technological levels of Huawei is not something that we blame them from, but they basically lost the 5G war before it started through their own actions and inactions.

Now if there is an actual national security concern, we should be open about that and when that happens, and evidence is presented, at that point we can all relax and state to Huawei that we feel sorry for the inconvenience caused, but such concerns are just too big to ignore. I think we have had quite enough of these presentations that reek of Colin Powell and his silver suitcase with evidence that no one ever saw in 2001. We cannot go in that direction ever again. We will not be the play toy of greedy telecom companies and their internal needs for stupidity and inactions; we can no longer afford such a nepotism environment.

That same issue can be said regarding Nationals MP George Christensen. Apart from him trying to undo a business deal of a 99 year lease, no matter how silly that deal was, Australia cannot be perceived as a nation that cannot be trusted at the business table. My second issue is why a maroon (Queenslander) is involving himself with NT politics. In that regard, why do we not see the responses form Vicki O’Halloran is she has any, is she not the appointed administrator? In this, the game is not over. The Australian Financial Review gives us: “Huawei faces the likelihood that Cabinet’s national security committee will veto it supplying equipment for the 5G network, based on the recommendations of security agencies, over concerns about the potential for cyber espionage at the behest of China’s leaders“. In this the question becomes, is there an actual security concern, or is it that the national concern is the devaluation of Telstra? In additional support we need to see the Sydney Morning Herald two weeks ago when they gave us (at https://www.smh.com.au/business/companies/how-a-huawei-5g-ban-is-about-more-than-espionage-20180614-p4zlhf.html): “The Sydney Morning Herald and The Age reported in March that there were serious concerns within the Turnbull government about Huawei’s potential role in 5G – a new wireless standard that could be up to 10 times as powerful as existing mobile services, and used to power internet connections for a range of consumer devices beyond phones“, as well as “the decision will have an impact on Australia’s $40 billion a year telecoms market – potentially hurting Telstra’s rivals“. the first part is something I wrote about for well over a year, the second one is important as we see ‘potentially hurting Telstra’s rivals‘, from my personal point of view it reads like the one lobotomised idiot in telecom country gets to decide through arm-twisting on how we need to remain backwards as they set the standard that they could not deliver for the longest of times (a little sarcasm regarding Telstra’s 2011 3.7G), I wrote about that recently.

ABC gave us yesterday: “it continues to be the target of criticism over its connections to the Chinese Government, including allegations it is involved in state-sponsored espionage“, yet the people have never been shown actual evidence, so where is that at? There might have been doubts to some degree for a while, but the Powell stunt is too clear in our minds and the USA does not have the credibility (or credit rating for that matter) it once had. The fact that the opposing former rear admiral of the Australian navy trumps two half bit politicians seeking the limelight any day of the week and some stay silent, the reason for that is only speculation, but we might not need to seek far and a few words ion Google Search might help find that answer (like ‘Telstra’ and ‘8000’). When we see some giving us: ‘Telstra Corporation Ltd (ASX:TLS) is betting it all on 5G‘ and we see the Telstra strategy briefing (at https://www.telstra.com.au/content/dam/tcom/about-us/investors/pdf-e/2018-Strategy-Update.pdf), we see on page 6, Leading with 5G, that would never be an option with Huawei in play as they are ahead by a lot, so the presentation given a week ago, whilst we realise that the presentation was prepared way before that is giving the setting that Huawei is no longer considered to be competition, that is what we now face! What some might call a backward organisation proclaiming to be leading whilst 8000 men will be missing through inaction. That page is even more fun when you consider the quote ‘new technologies like IoT‘, which is funny when you consider that the Internet of Things (IoT) is a system of interrelated computing devices. It is not a technology; it is a network that enables technology. In addition, when you start nit-picking in that 34 page event, we see all the bells and whistles we need to see, yet when you consider consumers and small business (the millions of people that Telstra charges) starts at page 9 and gives us 5 slides. We see ‘cutting edge 5G capability’ (by whose standards?), we see location devices (with the image of a dog), Access to rewards an tickets, a fully-digital relationship with Telstra (an implied no more personal interaction after the sales, merely a chatbot) and value added services, yet the value of a service like customer service and customer care are absent in that part of the equation, so how does this push the people forward, because I doubt that it actually will achieve anything in the long run and one flaw will anger the actual consumers without limits.

You see, personally I believe in the IoT, I believe in 5G, they are tools to enhance experiences and interactions, not make them obsolete and that is what  feel when I saw the Telstra strategy update. These two elements can enhance customer care, customer service and customer support, not replace them with ‘AI’ enhanced chatbots. So the moment we get a 2.0 version of ‘Telstra’s new chatbot, Codi, is making so many mistakes customers are furious’ (at https://www.businessinsider.com.au/telstra-codi-bot-backlash-2018-3), chatbots can be a great asset to get the information and channel the call to the right person, yet that again is merely enhancing and that can work fine. The presentation implies the loss of actual customer values and ignoring their need for interactions. That in an aging population might be the least intelligent stance to make ever.

Yet this does not give way to the issue on Telstra versus Huawei, as the Sydney Morning Herald states “Telstra has refused to exclude Huawei from its 5G tender, but that is seen more as a way of keeping its existing supplier Ericsson on its toes“, as well as “In other words, a ban could be bad news for TPG, Vodafone and Optus. Whether it is necessarily good news for Telstra – which has its own issues at the moment – is less clear“. In finality we get “Intelligence agencies tend to get their way on matters like these“, this beckons the question what are they actually after? The US seems to be in bed with Samsung and their 5G routers, so it makes sense that this will be the path that Telstra walks as well, time will tell how it ends.

So why is this such a big deal?

We are currently in danger of actually falling behind Saudi Arabia, yes, that place in a large sandbox is about to surpass us in 5G and other technologies. They had the audacity to reserve half a trillion dollars toward Vision 2030 and Neom. So when we got “Al-Khobar in the Eastern Province, of Saudi Arabia, has become the first city in the region to benefit from the fifth-generation wireless network or 5G network, according to a press statement issued by the Center of International Communication“, last month. There was not a surprise in my bone. You see, this will drive their Vision 2030 plans even further. So as Saudi Arabia is now the new pond to grow speciality in 5G, app designers can promote, test and deliver on knowledge that will be available whilst Telstra is trying to figure out how to get 5G installed. with “All the necessary national 5G policies and supporting administrative provisions are planned to be in place before the end of 2019, along with the award of initial batches of the spectrum to support the full commercial deployment of 5G technologies“, we see that Saudi Arabia had been taking this serious for a much longer time. This goes a little further when we see ‘the Middle East and Africa 5G Technology market (Egypt, Saudi Arabia, UAE, Nigeria, and South Africa)‘, so at this point, Saudi Arabia has a head start to not just push Saudi Arabia forward, they have quite literally first dibs on gaining a chunk of the 98 million Egyptians. Not all can afford 5G, we get that, but those who do are confronted with only Saudi Arabia as a Muslim player, you did not actually believe that they would run to Vodafone, did you?

So back to the 5G local ‘market’! For this we need to take a look at the Australian Financial review 2 weeks ago. Here we see (at https://www.afr.com/opinion/columnists/the-technical-reasons-why-huawei-too-great-a-5g-risk-20180614-h11e3o), with the title ‘The technical reasons why Huawei is too great a 5G risk‘, the start is good, this is what we wanted. Yet we are treated to paragraphs of emotion and alleged settings. So when we see: “Huawei presents unique additional risk beyond the “normal” risk of buying complex equipment. China has demonstrated a long-standing intent to conduct cyber-espionage“, so is ‘intent’ shown in evidence? How did the CIA and NSA acquire our data or Cambridge Analytica for that matter? ‘China is thought to be behind data breaches‘ is merely a statement ‘thought‘ is speculation, not evidence. Then we get: “The US Trade Representative’s Section 301 report from March this year details the very close cooperation between the Third Department of China’s People’s Liberation Army (3PLA is a military hacking unit, also known as Unit 61398) and Chinese enterprises“, I have to get back to this. We are treated to ‘At one extreme, Huawei could be asked‘, is a case of fear mongering and not evidence. In addition we get ‘it is certainly a possibility‘ which came after ‘Vulnerabilities may already exist. This may not be the most likely possibility‘ as well as ‘very likely‘ all emotional responses, none of them evidence in any way, so the article with included in the title ‘The technical reasons’, has pretty much zero technology and close to 90% ‘allegedly’, speculations and emotional twists, whilst we cannot deny the optional existence of vulnerabilities, yet these are found regularly in Cisco hardware and Microsoft software, so have those two been banned in Australia?

Now to get back to the Section 301 report (at https://ustr.gov/sites/default/files/Section%20301%20FINAL.PDF). It is 215 pages and I did not read that complete political US marketing behemoth. There is one that actually carries weight. On page 153 we see: “evidence from U.S. law enforcement and private sources indicates that the Chinese government has used cyber intrusions to serve its strategic economic objectives. Documented incidents of China’s cyber intrusions against U.S. commercial entities align closely with China’s industrial policy objectives. As the global economy has increased its dependence on information systems in recent years, cyber theft became one of China’s preferred methods of collecting commercial information because of its logistical advantages and plausible deniability“, which is basically good application of intelligence gathering. Please do not take my word for it, feel free to call the NSA (at +1-301-6886311, all their calls are recorded for training and quality purposes). Oh, and before I forget, the text came with footnote 970, which gave us “A number of public submissions provided to USTR state that the Chinese government has no reason to conduct cyber intrusions or commit cyber theft for commercial purposes, see CHINA GENERAL CHAMBER OF COMMERCE [hereinafter “CGCC”], Submission, Section 301 Hearing 16 (Sept. 28, 2017); that the US has not provided evidence of such actions by China, that China is also a target of cyber-attacks, and that the two countries should work together“, there is that to deal with and is that not a rare instance where we are treated to ‘the US has not provided evidence of such actions‘, how many times have we seen claims like that since 2001? Would that number be a 4 or 5 digit number?

The point is not whether it can or could happen, the question becomes did it happen here? let’s not forget that in most settings the section 301 report is about US interests and their technological advancement (which they lost by becoming iteratively stupid). Here we have a different setting. In the setting we face Huawei has a technological advance over all we have in Australia and most of Europe as well. Huawei was one of the first to realise the power of data and 5G and they are close to a market leader, the US is basically relying on Samsung to get them there. BT (British Telecom) is on the ball, but still not on par. They are in bed with Finland “BT has teamed with Nokia to collaborate on the creation of 5G proof of concept trials, the development of emerging technology standards and equipment, and potential 5G use cases“, so this sets the larger players in a field where Nokia and Huawei are now active. The SAMENA Telecom Leaders Summit 2018 and Saudi Telecom Company (STC) announced today that it is working with Nokia to launch a 5G network in 2018 within Saudi Arabia, yet the technology agreements show that it does include Huawei and Cisco, so they aren’t already active, the setting for the initial bumps in the road that Cisco, Nokia and Huawei will surely overcome is knowledge that we will not have in Australia long after someone was able to connect the 5G router to a power point (very presentable, yet the online green light seems to be broken).

So whilst politicians are considering who to be buddies with, Saudi Arabia joins the US and they will be the first 5G providers, which means that the UK and Australia are lagging behind and optionally not for the short term either.

So am I not knowing or am I all knowing? I actually prefer the first, because it is more relaxing; yet the need to speak out loud is becoming increasingly important even if it was only to place the loud mouth limelight seeking politicians like Michael Danby and George Christensen in their slightly too arrogant place. They are of course welcome to present ACTUAL evidence proving me wrong. #WishingForAMiracleHere


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A legislative system shock

Today the Guardian brings us the news regarding the new legislation on personal data. The interesting starts with the image of Google and not Microsoft, which is a first item in all this. I will get back to this. The info we get with ‘New legislation will give people right to force online traders and social media to delete personal data and will comply with EU data protection‘ is actually something of a joke, but I will get back to that too. You see, the quote it is the caption with the image that should have been at the top of all this. With “New legislation will be even tougher than the ‘right to be forgotten’ allowing people to ask search engines to take down links to news items about their lives“, we get to ask the question who the protection is actually for?

the newspapers gives us this: “However, the measures appear to have been toughened since then, as the legislation will give people the right to have all their personal data deleted by companies, not just social media content relating to the time before they turned 18“, yet the reality is that this merely enables new facilitation for data providers to have a backup in a third party sense of data. As I personally see it, the people in all this will merely be chasing a phantom wave.

We see the self-assured Matt Hancock standing there in the image and in all this; I see no reason to claim that these laws will be the most robust set of data laws at all. They might be more pronounced, yet in all this, I question how facilitation is dealt with. With “Elizabeth Denham, the information commissioner, said data handlers would be made more accountable for the data “with the priority on personal privacy rights” under the new laws“, you see the viewer will always respond in the aftermath, meaning that the data is already created.

We can laugh at the statement “The definition of “personal data” will also be expanded to include IP addresses, internet cookies and DNA, while there will also be new criminal offences to stop companies intentionally or recklessly allowing people to be identified from anonymous personal data“, it is laughable because it merely opens up venues for data farms in the US and Asia, whilst diminishing the value of UK and European data farms. The mention of ‘include IP addresses‘ is funny as the bulk of the people on the internet are all on dynamic IP addresses. It is a protection for large corporations that are on static addresses. the mention of ‘stop companies intentionally or recklessly allowing people to be identified from anonymous personal data‘ is an issue as intent must be shown and proven, recklessly is something that needs to be proven as well and not on the balance of it, but beyond all reasonable doubt, so good luck with that idea!

As I read “The main aim of the legislation will be to ensure that data can continue to flow freely between the UK and EU countries after Brexit, when Britain will be classed as a third-party country. Under the EU’s data protection framework, personal data can only be transferred to a third country where an adequate level of protection is guaranteed“, is this another twist in anti-Brexit? You see none of this shows a clear ‘adequate level of protection‘, which tends to stem from technology, not from legislation, the fact that all this legislation is all about ‘after the event‘ gives rise to all this. So as I see it, the gem is at the end, when we see “the EU committee of the House of Lords has warned that there will need to be transitional arrangements covering personal information to secure uninterrupted flows of data“, it makes me wonder what those ‘actual transitional arrangements‘ are and how come that the new legislation is covering policy on this.

You see, to dig a little deeper we need to look at Nielsen. There was an article last year (at http://www.nielsen.com/au/en/insights/news/2016/uncommon-sense-the-big-data-warehouse.html), here we see: “just as it reached maturity, the enterprise data warehouse died, laid low by a combination of big data and the cloud“, you might not realise this, but it is actually a little more important than most realise. It is partially seen in the statement “Enterprise decision-making is increasingly reliant on data from outside the enterprise: both from traditional partners and “born in the cloud” companies, such as Twitter and Facebook, as well as brokers of cloud-hosted utility datasets, such as weather and econometrics. Meanwhile, businesses are migrating their own internal systems and data to cloud services“.

You see, the actual dangers in all that personal data, is not the ‘privacy’ part, it is the utilities in our daily lives that are under attack. Insurances, health protection, they are all set to premiums and econometrics. These data farms are all about finding the right margins and the more they know, the less you get to work with and they (read: their data) will happily move to where ever the cloud takes them. In all this, the strong legislation merely transports data. You see the cloud has transformed data in one other way, the part Cisco could not cover. The cloud has the ability to move and work with ‘data in motion’; a concept that legislation has no way of coping with. The power (read: 8 figure value of a data utility) is about being able to do that and the parties needing that data and personalised are willing to pay through the nose for it, it is the holy grail of any secure cloud environment. I was actually relieved that it was not merely me looking at that part; another blog (at https://digitalguardian.com/blog/data-protection-data-in-transit-vs-data-at-rest) gives us the story from Nate Lord. He gives us a few definitions that are really nice to read, yet the part that he did not touch on to the degree I hoped for is that the new grail, the analyses of data in transit (read: in motion) is cutting edge application, it is what the pentagon wants, it is what the industry wants and it is what the facilitators want. It is a different approach to real time analyses, and with analyses in transit those people get an edge, an edge we all want.

Let’s give you another clear example that shows the value (and the futility of legislation). Traders get profit by being the first, which is the start of real wealth. So whoever has the fastest connection is the one getting the cream of the trade, which is why trade houses pay millions upon millions to get the best of the best. The difference between 5ms and 3ms results in billions of profit. Everyone in that industry knows that. So every firm has a Bloomberg terminal (at $27,000 per terminal), now consider the option that they could get you that data a millisecond faster and the automated scripts could therefor beat the wave of sales, giving them a much better price, how much are they willing to pay suddenly? This is a different level of armistice, it is weaponised data. The issue is not merely the speed; it is the cutting edge of being able to do it at all.

So how does this relate?

I am taking you back to the quote “it would amount to a “right to be forgotten” by companies, which will no longer be able to get limitless use of people’s data simply through default “tick boxes” online” as well as “the legislation will give people the right to have all their personal data deleted by companies“. The issue here is not to be forgotten, or to be deleted. It is about the data not being stored and data in motion is not stored, which now shows the futility of the legislation to some extent. You might think that this is BS, consider the quote by IBM (at https://www.ibm.com/developerworks/community/blogs/5things/entry/5_things_to_know_about_big_data_in_motion?lang=en), it comes from 2013, IBM was already looking at matters in different areas close to 5 years ago, as were all the large players like Google and Microsoft. With: “data in motion is the process of analysing data on the fly without storing it. Some big data sources feed data unceasingly in real time. Systems to analyse this data include IBM Streams “, here we get part of it. Now consider: “IBM Streams is installed on nearly every continent in the world. Here are just a few of the locations of IBM Streams, and more are being added each year“. In 2010 there were 90 streams on 6 continents, and IBM stream is not the only solution. As you read that IBM article, you also read that Real-time Analytic Processing (RTAP) is a real thing, it already was then and the legislation that we now read about does not take care of this form of data processing, what the legislation does in my view is not give you any protection, it merely limits the players in the field. It only lets the really big boys play with your details. So when you see the reference to the Bloomberg terminal, do you actually think that you are not part in the data, or ever forgotten? EVERY large newspaper and news outlet would be willing to pay well over $127,000 a year to get that data on their monitors. Let’s call them Reuter Analytic Systems (read: my speculated name for it), which gets them a true representation of all personalised analytical and reportable data in motion. So when they type the name they need, they will get every detail. In this, the events that were given 3 weeks ago with the ITPRO side (at http://www.itpro.co.uk/strategy/29082/ecj-may-extend-right-to-be-forgotten-ruling-outside-the-eu) sounds nice, yet the quote “Now, as reported by the Guardian, the ECJ will be asked to be more specific with its initial ruling and state whether sites have to delete links only in the country that requests it, or whether it’s in the EU or globally” sounds like it is the real deal, yet this is about data in rest, the links are all at rest, so the data itself will remain and as soon as HTML6 comes we might see the beginning of the change. There have been requests on that with “This is the single-page app web design pattern. Everyone’s into it because the responsiveness is so much better than loading a full page – 10-50ms with a clean API load vs. 300-1500ms for a full HTML page load. My goal would be a high-speed responsive web experience without having to load JavaScript“, as well as “having the browser internally load the data into a new data structure, and the browser then replaces DOM elements with whatever data that was loaded as needed“, it is not mere speed, it would allow for dynamic data (data in motion) to be shown. So when I read ‘UK citizens to get more rights over personal data under new laws‘, I just laughed. The article is 15 hours old and I considered instantly the issues I shown you today. I will have to wait until the legislation is released, yet I am willing to bet a quality bottle of XO Cognac that data in motion is not part of this, better stated, it will be about stored data. All this whilst the new data norm is still shifting and with G5 mobile technologies, stored data might actually phase out to be a much smaller dimension of data. The larger players knew this and have been preparing for this for several years now. This is also an initial new need for the AI that Google wants desperately, because such a system could ascertain and give weight to all data in motion, something IBM is currently not able to do to the extent they need to.

The system is about to get shocked into a largely new format, that has always been the case with evolution. It is just that actual data evolution is a rare thing. It merely shows to me how much legislation is behind on all this, perhaps I will be proven wrong after the summer recess. It would be a really interesting surprise if that were the case, but I doubt that will happen. You can see (read about that) for yourself after the recess.

I will follow up on this, whether I was right or wrong!

I’ll let you speculate which of the two I am, as history has proven me right on technology matters every single time (a small final statement to boost my own ego).


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Did UKIP get it right?

That is a question that is slowly growing within the minds of Britons and non-Britons alike. Some will be in denial over it all, some will ignore their inner voice and some will ponder it. You see, once the banter and the mudslinging stops and people are sitting down thinking over a year in political waves, we are slowly getting the aftermath news and suddenly things are a lot less gloomy. Bloomberg gives us “There’s dwindling talk of a recession caused by the vote the leave the European Union, and British politicians are wondering if a “hard Brexit” option –rapid withdrawal from Europe without a new trade agreement – might be feasible. The answer is no. Such views rest upon bad economic reasoning and the cost of Brexit remains high, albeit mostly invisible for the time being“, is part of the news. You see, the scaremongers are now out of the view and the negative impacts, the ones we knew about are showing to be less negative than the scaremongers proclaimed. I agree and always did agree that the cost would be high. Mark Carney, Governor of the Bank of England had stated it, and in addition stated that there were elements that could not be forecasted. Which is also a truth. They are the invisible costs that will come and come again. The issue in my mind has always been, will it in the end be worth it (are the costs not unaffordable high) and I leaned more and more towards the Yes side!

You see, one of the main reasons for leaning towards Brexit was Mario Draghi. The trillion plus stimulus plans he had were too unfounded. Japan and the US are showing that there had been no clear increase whilst we hear opposite claims. The issue is actually brought to light by Bloomberg last week (at http://www.bloomberg.com/news/videos/2016-09-08/ecb-s-mario-draghi-downplays-more-stimulus), where we hear at 00:39 that there is an impact on the markets, but no real impact on the economy, which was my issue from the start. Politicians casually mixing both up in their speeches were playing, as I see it a flim-flam artist dictionary game, trying to make us think it is one and the same, yet they all know that it is not. So no real impact yet will over a trillion deeper in debt, only those on the financial markets, only some of them got a big payday out of all of it, the rest just has to assist in paying off the invoice. It is one of the pillars UKIP had!

Now we see even more issues, especially when we see additional issues in City A.M. (at http://www.cityam.com/249335/christine-lagarde-and-mario-draghi-call-politicians-do-more), with the quote “Christine Lagarde, head of the International Monetary Fund (IMF) and Mario Draghi, president of the European Central Bank (ECB) said governments and institutions needed to make sure their policies did not leave the poorest members of society behind, and called for structural reforms to help share the spoils of economic growth“, the failure of the European Community laid bare! You see, the people on EEC incomes have been meeting and not getting anywhere for almost 15 years now! The fact that tax laws and Corporate laws required revision even before 2004 as a requirement and after 2004 as a given is shown that none of this has been adequately done. The fact that the US played its cards in the Summit in the Netherlands in 2013, we all knew how that ended, so as we see that some are now crying cockroach, whilst littering food all over the floor only have themselves to thank for this situation. This all reflects back on the initial issue UKIP gave, ‘let’s make Britain about the British’. This is not racism, this is nationalism (read: nationalistic pride). An issue that neither Christine Lagarde nor Mario Draghi could resolve as they have been setting a neutral pose in aid of large corporations for far too long.

The next issue is the economic plan B that is now all over the news. The powerful monetary tool (TLTRO) that at 1:37 comes with the quote “that nobody has really fully understood or analysed“, and that is the plan B they are now grasping for!


It is not a cereal or breakfast solution. It is a Targeted Long-Term Refinancing Operation. The ECB states “provide financing to credit institutions for periods of up to four years. They offer long-term funding at attractive conditions to banks in order to further ease private sector credit conditions and stimulate bank lending to the real economy“, that sounds nice on paper, but if we know that the impact is not understood, has never been analysed to the effect it is, this all whilst we know that taxation laws are failing and corporate laws are not up to scrap, the ECB quote could be translated to “provide financing to credit institutions for periods of up to four years. They offer a refinanced the current outstanding debts to banks, guaranteeing large bonuses by resetting bad debts and revitalising the conditions of what were supposed to be written off debts, giving a false incentive to a dangerous presented economy at present“, you see, I am almost stating the same whilst the intent completely changes, the markets are now getting a boost via the other side. This is a reality we could face!

You see, the view is given with “All the new operations will have a four-year maturity, with the possibility of repayment after two years” (at https://www.ecb.europa.eu/press/pr/date/2016/html/pr160310_1.en.html), yet like the US, Greece and Japan, it is almost a given (speculation from my side) that these maturities will be paid with new debts. When we see the quote “Counterparties will be able to repay the amounts borrowed under TLTRO II at a quarterly frequency starting two years from the settlement of each operation. Counterparties will not be subject to mandatory early repayments” gives way to the thought that it is entirely possible that when the debts mature, they could be replaced be a new debt. Giving weight to the dangers. The fact that the option ‘not subject to early repayments’ is clearly included gives ample weight to the solution, whilst not preventing additional debts from this rephrased stimulus. In the end, the economy will not prosper, the rise of the debt will. Whilst under the debts the UK already is, these arrangements are as I see it too dangerous, all this as the increase of debts only give rise and power to non-governmental institutions to grow their influence via corporations over nations. One of the better players (Natixis), had this quote “Natixis Asset Management ranks among the leading European asset managers with €328.6 billion in assets under management” (source at present intentionally omitted), with the TLTRO in play, depending on the rules of the game (which were not available to me at present), it is entirely possible that once really in play, banks can indirectly refinance risky debts in additional loans via the applicant and as such get themselves a boost. It could potentially allow Natixis to grow its asset management part up to 20%. The ECB states (at https://www.ecb.europa.eu/mopo/implement/omo/tltro/html/index.en.html) “The TLTROs are targeted operations, as the amount that banks can borrow is linked to their loans to non-financial corporations and households“, so basically companies in hardship can get relief, whilst the banks will still get their cut (aka administration and processing fee). Consider that Wealth Management is many things and Estate planning is one, now consider that Natixis has Credit and counterparty risks amounting in excess to 295 billion euro’s. Now there is a Draghi solution, one that no one seems to have ‘analysed’ that allows for solutions to non-financial corporations. Natixis is that, but their clients are not, and they can apply for the shifted funds, offsetting their loans, paying of the loans towards Natixis, who now have a massive amount of freed up cash that they can now pour into all kinds of solutions and endeavours. So do you still think that my view of 20% is oversimplified? And in 4 years? Well at that point, when things go south, Natixis and parties alike can jump in and possibly help out, ‘but at a price’ (which is fair enough).

This now reflects back to UKIP and Brexit!

The Guardian had an opinion piece (at https://www.theguardian.com/commentisfree/2014/sep/14/ttip-deal-british-sovereignty-cameron-ukip-treaty), that gives us the following, remember this is September 2014! “If you are worried about the power of corporations over our democracy, be very afraid: ISDS in effect grants multinationals the same legal position as a nation-state itself, and allows them to sue sovereign governments in so-called arbitration tribunals on the grounds that their profits are threatened by government policies. Is this scaremongering, as TTIP supporters claim?” So far there have been many voices who seem to be over the moon that the TTIP is now a failure and that the issues within the EU would have been far more reaching that many players were willing to admit to before the signing. Politico.eu reported “U.S. diplomats are sketching out a last-ditch plan to salvage core sections of the EU’s moribund trade deal with Washington“, that with the added “U.S. and Italian officials are now weighing the option of a “Step 1” deal to lock in elements that can be finalized by December, possibly including joint testing regimes and mutually agreed upon standards for cars, pharmaceuticals and medical devices“. It is clear that the US want to lock in Pharmaceuticals and cars, yet how is such a niche nothing more than a path trying to ditch the title ‘total loser government’ regarding the current administration. In addition “The idea has sparked immediate scepticism in the European Commission and in some EU member countries, which argue that any form of a downgraded deal will be very hard to sell politically, particularly after French Trade Minister Matthias Fekl and German Economy Minister Sigmar Gabriel turned hostile on the negotiations” gives way that BMW, Mercedes, Bayer Pharmaceuticals, Peugeot, Citroen and Sanofi are none too pleased with such a one sided piece of paper. The idea that such set benefits would be allotted at this point gives even more weight to some of the UKIP statements in the past.

If 2 out of the many projection come true, you are not suddenly a better prognosticator, mainly because that title is reserved for the likes of Punxsutawney Phil, Queen Charlotte and Shubenacadie Sam. Let’s face it, it is the title worthy of a groundhog! But some of these steps were clearly seen, because this is where everything was headed, the more forward you look, the easier the prediction could come true is not wrong, but only if you are travelling on a straight road. A road that corporate greed depends on I might say!

In my view, there is not enough to state that UKIP got it right, yet there are also enough facts and questions in play that UKIP did not get it wrong. We might listen those who keep on shouting that Brexit was wrong and see them as the people trying to reinvent the vote, but overall people are starting to realise that the US (read Wall Street) has been trying to give people a bad deal to benefit their own greed. The fact that this is going on at this very minute is equally a worry. This is on both sides of the isle, yet we can understand that Labour needs to clean house and they have decided on the method of accidentally leaking names. How will that solve anything? If Labour was on the ball, than they would steering towards real economic improvements, not bickering minors trying to decide who should be the number two, and soon thereafter remove the number one (read: allegedly attempt to). Actions that are totally counterproductive as the Conservatives are governing until the next general elections. It seems like such a waste of energy to me.

Now we see a new escalation. It seems (at http://www.ibtimes.co.uk/jean-claude-juncker-proposes-new-european-military-hq-worj-towards-eu-army-1581391). So the quote “The president of the European Commission Jean-Claude Juncker has called for a European Union military headquarters to work towards an EU-controlled army. Juncker made the proposals during his State of the Union address to MEPs in Strasbourg on Wednesday (14 September)“, which automatically makes me wonder how this correlates with Nazi Germany as this was how they resolves their bad economic times. It is a harsh history lesson to learn, but in that I am actually less afraid for a ‘new’ Nazi Europe. My issue is that many nations have their Cyber plan not in hand and any actions here give rise to the dangers that this would open up data for the Chinese Cyber groups to learn a lot more than they bargained for. You see, no matter how much denial we see, the facts are simple, Ren Zhengfei is the Huawei CEO and a former officer for the PLA. Now this does not mean that he is now still committed to the PLA, yet Huawei does business with the Chinese government and as such, they have all the specs and as such, they have all the weaknesses  of these devices too, meaning that governments all over Europe are in a possible place of Cyber Scrutiny. This does not mean that I am willing to just blindly accept the NSA report, but ties like that, when you are on these levels talking to the ruling members of Chinese government, you need to be networking on a massive scale and if both the Chinese military and Chinese Intelligence (MSS) gives you the thumbs up, you have been playing the game they want you to play, plain and simple. By the way, this is not a rant, or a side step into the matter, this is a direct factual response. Nigel Farage addressed the EU on an EU Army opposing it on valid points, and he got a few more hands clapping than his opponents are comfortable with. Now this was about opposition of the EU army as a whole, but underneath is the need for any military organisation to be secure and have systems in place, systems that could be compromised. In this Huawei could validly give the same argument that all Cisco Systems are compromised by the CIA and NSA. As we cannot prove either side, or perhaps even both sides, how to proceed? Both sides would be fair enough and it only makes a case strong enough to not proceed with any EU Army, which is no solution to any existing threat, will cost massive amounts of money (and that just the initial infrastructure) and with the current upcoming changes to the EC as a whole. Especially as Marine Le Pen has vowed to hold the French referendum if she is elected, this whilst several European magazines are now stating that France can no longer avoid Frexit (at https://www.letemps.ch/economie/2016/09/12/france-ne-pourra-eviter-frexit), which I stated was a growing realistic danger if Brexit would commence, in addition, Italy is seeding its own departure later this year, but no given certainty exists at present.

All these parts I gave visibility to almost 2 years ago, the press still largely in denial and additional players are now coming out to (as I personally see it) fill their pockets as fast as possible because when this comes to town and the referendums do fall, certain people will have to give account of their actions. The fact will remain that the Credit Card that Mario Draghi used will be spread over several nations, most of them with no option to get into deeper debt. So they have this to look forward to. In Italy there seems to be a plus side, as the larger players are now looking towards the option of as referendum, the act as such seems to be taking the wind out of the sails of Matteo Salvini, head of the far-right Lega Nord, which is regarded as a relief in many European nations. They seem to regard Matteo Salvini the same way that they regard the French Newspaper Minute, too far to the right and not really that readable. I cannot confirm that (as my French does not surpass the ability to read a menu), but I understand the sentiment as there have been Dutch papers on the other side of the political isle receiving similar accusations.

In the end Europe is about to take economic steps with large implications, the fact that they are trying to push it through regardless of whatever consideration it required, which makes me worried on the fact that the impact on the European populations have been ignored for too long. The weird thing is that any action should have been in support of the European population and their needs, giving weight to more than one statement from the side of Nigel Farage.

I would suggest you ponder those facts before blindly moving into the Bremain field in the near future, because there are several issues that no one can answer and they come with obscenely high price tags!


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