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Blaž Gobec

Google's Eric Schmidt: drone wars, virtual kidnaps and privacy for kids | Technology | ... - 0 views

www.guardian.co.uk/...ric-schmidt-drone-wars-privacy

future privacy kids internet over

shared by Blaž Gobec on 05 Mar 13 - No Cached
  • Google's Eric Schmidt: drone wars, virtual kidnaps and privacy for kids
  • and parents explain online privacy to their children long before the subject of sex
  • Dark side of the web
  • ...4 more annotations...
  • "We could see virtual kidnappings – ransoming your ID for real money," Schmidt said.
  • Schmidt said the problems could go further as other technologies become cheaper
  • However, he held out hopes that the rise of connectivity, especially through mobile phones with data services, would reduce corruption and undermine repressive regimes.
  • In each, he said, the need to be connected, first through a mobile phone and then to the internet, became apparent.
Miha Naprudnik

The Future by Google's Eric Schmidt: Cyber wars, terrorism and ethnic cleansing - RT News - 0 views

rt.com/...google-cyber-war-terrorism-018

google cyber future wars terrorism

shared by Miha Naprudnik on 06 Mar 13 - No Cached
  • Cyber-terrorists targeted by government drone strikes, online identities, which are taken hostage and held for ransom, and parents, who explain online privacy to their children long before the subject of sex. That’s how Google’s boss sees the future.
  • ome hackers already take over a user's computer and encrypt its hard drive, locking them out.
  • By hacking more and more e-mail accounts, cyber-criminals expose the online life of others.
  • ...3 more annotations...
  • Online communication between terrorists could make it hard for them to hide.
  • Speaking about online IDs, Schmidt underlined the growing importance of online privacy. Parents would have to speak to their children about the perils of digital life much earlier than any conversation about the birds and the bees.
  • Schmidt also shared his views on the good side of being online in future, saying that the rise of the connected world, especially through mobile phones with data services, would reduce corruption and undermine repressive regimes.
Veronika Lavrenčič

The Internet Explained | Article by Sonet Digital - 0 views

www.southbourne.com/...internet-explained

shared by Veronika Lavrenčič on 07 Mar 13 - No Cached
  • The Internet Explained
  • Part: 1
  • The exponential growth of the Internet has been phenomenal. Or has it?
  • ...34 more annotations...
  • the ability to communicate
  • the Internet has now blossomed into a vehicle of expression
  • and research for the common person with hundreds of thousands, if not millions, of new pages being added to the World Wide Web every day
  • Vannevar Bush
  • a machine called a 'memex' might enhance human memory by the storage
  • 1945 essay, 'As We May Think'
  • ar less critical
  • Bush's contribution
  • Bush galvanised research into technology as the key determinant in winning the Second World War
  • A few years after the war the National Science Foundation (NSF) was setup
  • in 1958
  • the Advanced Research Projects Agency (ARPA) was created
  • employed a psychologist by the name of Joseph Licklider
  • in 1962
  • the development of the modern PC
  • built upon Bush's contributions
  • esponsible for penning 'Man Computer Symbiosis'
  • computer networking
  • and companies
  • he initiated research contracts with leading computer institutions
  • ay down the foundations of the first networked computing group.
  • he setup a research laboratory
  • Douglas Engelbart
  • to examine the human interface and storage and retrieval systems
  • the Augmentation Research Center
  • NLS (oNLine System
  • ARPA funding
  • hypertext
  • the developer of the first mouse or pointing device
  • the hardware giants were consolidating their computing initiatives
  • conceiving the use of packets, small chunks of a message which could be reconstituted at destination, upon which current internet transmission and reception is based
  • Paul Baran
  • Cold War technology
  • the idea of distributed networks comprising numerous interconnected nodes
  • Veronika Lavrenčič on 07 Mar 13
     
    Prvi del članka, govori o krivcih, za obstajanje interneta.
nensic

Under the regime of precarity: bring your own device | openDemocracy - 0 views

www.opendemocracy.net/...recarity-bring-your-own-device

mobile internet PC neoliberal economic policy precarity monopoly

shared by nensic on 05 Mar 13 - No Cached
  • At one and the same time technocracy and financial oligarchies find here an ideal medium to extend their influence and their control of individuals in space and time.
  • At one and the same time technocracy and financial oligarchies find here an ideal medium to extend their influence and their control of individuals in space and time. This explains the fierce struggle going on among key market players.
  • Today large communities use devices like smartphones, tablets, e-readers and ultrabooks to navigate this new ecosystem.
  • ...26 more annotations...
  • The growing dynamic of mobile internet, today accounting for 12% of all internet traffic,[ii] signals a new ecosystem where living bodies, machines, networks, code, data, territory and time interact.
  • as a way of consolidating their strictly neoliberal economic policy.
  • The hundreds of thousands of apps, available in just a few years, originate from the intersection of two factors:
  • The desire and necessity to have simple, functional and fast devices able to do specific tasks on the go.
  • the operative skills to develop apps for popular mobile platforms such as Iphone Operating System (IOS) or Google Android. 
  • Apps galore
  • Apple likes to play on the ambiguity in a form of propaganda that exalts the “revolutionary” spirit of technological innovation
  • The first iPhone, in 2007, inaugurated the new phase of the cognitive era, just as the PC heralded the decline of the industrial phase. Five years later, Apple no longer has a monopoly: hundreds of millions of smartphones and tablets are sold every year and the total number of these active devices will be soon 2 billion. It took the PC thirty years to reach this level of diffusion.
  • War over the immaterial
  • Often these machines play opposite functions: as a tool to create new forms of horizontal communication and social interaction or as bait for a capillary exploitation.
  • A political analysis of mobile devices
  • The PC became a liberating tool for social cooperation in the workplace of a booming third-sector.
  • In the following phase, the spread of the first mobile devices – cellphones and laptops – provided an initial impulse for a blurring of life and work, imposing with mobile calls, emails or SMS a new type of real-time processing, regulating the rhythms of life
  • In the new biohypermedia environment, the key change lies in the combination of miniaturizing and mobilizing these pieces of equipment, allowing them to always be within the body’s reach in any context.
  • they augment physical reality[ix] with every kind of information – commercial, cultural, ecological – and act more and more as biomedical sets for the control, correction and support of our vital biological functions.
  • The PC has a central function as the medium for linguistic and written processes - its typical uses often tied to the logical concatenation of thought and the priority management of sequences over time.
  • But mobile devices concentrate complex perception of stimuli in terms of spatial organization and intervene in emotional responses. PC work in this way occupies our left hemisphere, while the continual interactions of a smartphone engage the right hemisphere.
  • In contemporary neoliberalism, these devices become an essential means of rent and profit, through a fine capture of what we generate by living with them and using them. At one and the same time technocracy and financial oligarchies find here an ideal medium to extend their influence and their control of individuals in space and time.
  • Marketing and communication campaigns portray these devices as commodity fetishes, characterizing a new phase of capitalism often described as cognitive because based on knowledge.
  • In the sphere of multinational ICT[x] Corporations a war is being waged over the design and deployment of immaterial enclosures
  • Even though all this is based on freeware and open source, they trick us into believing that the iPhone 5, Windows 8 or Jellybean[xi] are miracles that descend from Mount Olympus and for which we should be grateful as to the gods.
  • Unlike automobiles or, to a lesser degree, PCs, the use value of new mobile devices is no longer determined merely by the initial design but can be moulded by the final user.
  • The innumerable websites, blogs and forums in every language globally blooming and growing are a workshop for worldwide exchange where the digital means are developed that could be used to withdraw workers both from precarity and  from total submission to a life of labour.  
  • Microsoft is no less defensive of its monopoly: with Intel and other accomplices, they introduced a new firmware to boot Windows 8 PCs that, substituting the old BIOS,[xv] makes it impossible or very complicated to install Linux or other operating systems on new laptops.
  • Despite hesitations related to “security” problems, today companies allow or even oblige people to use their own devices
  • So, if you were one of those many who found the latest tablet, smartphone or hybrid touch device under the tree this year, be aware that you won’t be the only one pleased: under the regime of precarity, bring your own device if you want to survive. 
  • nensic on 05 Mar 13
     
    "Bring your own device (BYOD) is a business policy whereby employees bring personally owned mobile devices to their place of work and use them to access privileged company resources such as email, file servers and databases as well as their personal applications and data."
metapavlin

The online copyright war: the day the internet hit back at big media | Technology | The... - 0 views

www.guardian.co.uk/...opyright-war-internet-hit-back

online copyright internet hit back media

shared by metapavlin on 12 Apr 13 - No Cached
  • he internet has changed the world so much that current legislation is not adequate, said Wales. "
  • " If, for example, someone uploads a video of their child's birthday party and then finds it has been deleted because a copyrighted song is playing in the background, "that's not piracy. That's how we use our music these days," says Wales. "A lot of what people want to do now is not legal but should be legal. We can say that and still be against full-scale piracy."
  • I think we are at a point where we are asking whether you really need a film industry for a film to be made or a music industry to make music. People can now speak directly to their audiences,"
Janja Petek

Forty years of the internet: how the world changed for ever | Technology | The Guardian - 1 views

www.guardian.co.uk/...internet-40-history-arpanet

history web changed world

shared by Janja Petek on 06 Mar 13 - Cached
pina bitenc liked it
  • In October 1969, a student typed 'LO' on a computer - and the internet was born
  • Towards the end of the summer of 1969
  • a large grey metal box was delivered to the office of Leonard Kleinrock, a professor at the University of California in Los Angeles.
  • ...32 more annotations...
  • At 10.30pm, as Kleinrock's fellow professors and students crowded around, a computer was connected to the IMP, which made contact with a second IMP, attached to a second computer, several hundred miles away at the Stanford Research Institute, and an undergraduate named Charley Kline tapped out a message.
  • It's impossible to say for certain when the internet began, mainly because nobody can agree on what, precisely, the internet is.
  • It's interesting to compare how much has changed in computing and the internet since 1969 with, say, how much has changed in world politics.
  • On the other hand, the breakthrough accomplished that night in 1969 was a decidedly down-to-earth one
  • Twelve years after Charley Kline's first message on the Arpanet, as it was then known, there were still only 213 computers on the network; but 14 years after that, 16 million people were online, and email was beginning to change the world; the first really usable web browser wasn't launched until 1993, but by 1995 we had Amazon, by 1998 Google, and by 2001, Wikipedia, at which point there were 513 million people online. Today the figure is more like 1.7 billion.
  • on New Year's Day 1994 – only yesterday, in other words – there were an estimated 623 websites.
  • On the one hand, they were there because of the Russian Sputnik satellite launch, in 1957, which panicked the American defence establishment, prompting Eisenhower to channel millions of dollars into scientific research, and establishing Arpa, the Advanced Research Projects Agency, to try to win the arms technology race. The idea was "that we would not get surprised again,"
  • "In a few years, men will be able to communicate more effectively through a machine than face to face," they declared.
  • The few outsiders who knew of the box's existence couldn't even get its name right: it was an IMP, or "interface message processor"
  • It was already possible to link computers by telephone lines, but it was glacially slow, and every computer in the network had to be connected, by a dedicated line, to every other computer, which meant you couldn't connect more than a handful of machines without everything becoming monstrously complex and costly.
  • The solution, called "packet switching" – which owed its existence to the work of a British physicist, Donald Davies – involved breaking data down into blocks that could be routed around any part of the network that happened to be free, before getting reassembled at the other end.
  • Still, Kleinrock recalls a tangible sense of excitement that night as Kline sat down at the SDS Sigma 7 computer, connected to the IMP, and at the same time made telephone contact with his opposite number at Stanford. As his colleagues watched, he typed the letter L, to begin the word LOGIN.
  • One of the most intriguing things about the growth of the internet is this: to a select group of technological thinkers, the surprise wasn't how quickly it spread across the world, remaking business, culture and politics – but that it took so long to get off the ground.
  • In 1945, the American presidential science adviser, Vannevar Bush, was already imagining the "memex", a device in which "an individual stores all his books, records, and communications", which would be linked to each other by "a mesh of associative trails", like weblinks.
  • And in 1946, an astonishingly complete vision of the future appeared in the magazine Astounding Science Fiction. In a story entitled A Logic Named Joe, the author Murray Leinster envisioned a world in which every home was equipped with a tabletop box that he called a "logic":
  • Instead of smothering their research in the utmost secrecy – as you might expect of a cold war project aimed at winning a technological battle against Moscow – they made public every step of their thinking, in documents known as Requests For Comments.
  • Deliberately or not, they helped encourage a vibrant culture of hobbyists on the fringes of academia – students and rank amateurs who built their own electronic bulletin-board systems and eventually FidoNet, a network to connect them to each other.
  • n argument can be made that these unofficial tinkerings did as much to create the public internet as did the Arpanet. Well into the 90s, by the time the Arpanet had been replaced by NSFNet, a larger government-funded network,
  • It was the hobbyists, making unofficial connections into the main system, who first opened the internet up to allcomers.
  • This was the software known as TCP/IP, which made it possible for networks to connect to other networks, creating a "network of networks", capable of expanding virtually infinitely
  • Nevertheless, by July 1992, an Essex-born businessman named Cliff Stanford had opened Demon Internet, Britain's first commercial internet service provider.
  • After a year or so, Demon had between 2,000 and 3,000 users,
  • the @ symbol was introduced in 1971, and the first message, according to the programmer who sent it, Ray Tomlinson, was "something like QWERTYUIOP".
  • A couple of years later I got my first mobile phone, which came with two batteries: a very large one, for normal use, and an extremely large one, for those occasions on which you might actually want a few hours of power
  • For most of us, though, the web is in effect synonymous with the internet, even if we grasp that in technical terms that's inaccurate: the web is simply a system that sits on top of the internet, making it greatly easier to navigate the information there, and to use it as a medium of sharing and communication.
  • The first ever website was his own, at CERN: info.cern.ch.
  • The idea that a network of computers might enable a specific new way of thinking about information, instead of just allowing people to access the data on each other's terminals, had been around for as long as the idea of the network itself: it's there in Vannevar Bush's memex, and Murray Leinster's logics.
  • Web browsers crossed the border into mainstream use far more rapidly than had been the case with the internet itself: Mosaic launched in 1993 and Netscape followed soon after, though it was an embarrassingly long time before Microsoft realised the commercial necessity of getting involved at all. Amazon and eBay were online by 1995. And in 1998 came Google, offering a powerful new way to search the proliferating mass of information on the web.
  • Google, and others, saw that the key to the web's future would be helping users exclude almost everything on any given topic, restricting search results to the most relevant pages.
  • It is absurd – though also unavoidable here – to compact the whole of what happened from then onwards into a few sentences: the dotcom boom, the historically unprecedented dotcom bust, the growing "digital divide", and then the hugely significant flourishing, over the last seven years, of what became known as Web 2.0.
  • The most confounding thing of all is that in a few years' time, all this stupendous change will probably seem like not very much change at all.
  • Will you remember when the web was something you accessed primarily via a computer? Will you remember when there were places you couldn't get a wireless connection? Will you remember when "being on the web" was still a distinct concept, something that described only a part of your life, instead of permeating all of it? Will you remember Google?
Gabrijela Vrbnjak

BBC News - Web code weakness allows data dump on PCs - 0 views

www.bbc.co.uk/...technology-21628622

clevercode html5 browser bug

shared by Gabrijela Vrbnjak on 04 Mar 13 - No Cached
  • The loophole exploits a feature of HTML 5 which defines how websites are made and what they can do.
  • Developer Feross Aboukhadijeh found the bug and set up a demo page that fills visitors' hard drives with pictures of cartoon cats. In one demo, Mr Aboukhadijeh managed to dump one gigabyte of data every 16 seconds onto a vulnerable Macbook. Clever code Most major browsers, Chrome, Internet Explorer, Opera and Safari, were found to be vulnerable to the bug, said Mr Aboukhadijeh. While most websites are currently built using version 4 of the Hyper Text Markup Language (HTML), that code is gradually being superseded by the newer version 5. One big change brought in with HTML 5 lets websites store more data locally on visitors' PCs. Safeguards built into the "local storage" specification should limit how much data can be stored. Different browsers allow different limits but all allow at least 2.5 megabytes to be stored. However, Mr Aboukhadijeh found a way round this cap by creating lots of temporary websites linked to the one a person actually visited. He found that each one of these associated sites was allowed to store up to the limit of data because browser makers had not written code to stop this happening. By endlessly creating new, linked websites the bug can be used to siphon huge amounts of data onto target PCs. Only Mozilla's Firefox capped storage at 5MB and was not vulnerable, he found. "Cleverly coded websites have effectively unlimited storage space on visitor's computers," wrote Mr Aboukhadijeh in a blogpost about the bug. Code to exploit the bug has been released by Mr Aboukhadijeh and he set up a website, called Filldisk that, on vulnerable PCs, dumps lots of images of cats on to the hard drive. So far, no malicious use of the exploits has been observed. In a bid to solve the problem, bug reports about the exploit have been filed with major browser makers. More on This Story .related-links-list li { position: relative; } .related-links-list .gvl3-icon { position: absolute; top: 0; left: 0; } Related Stories Firefox smartphone partners revealed 24 FEBRUARY 2013, TECHNOLOGY Flash Player exits Android store 15 AUGUST 2012, TECHNOLOGY HTML 5 target for cybercriminals 02 DECEMBER 2011, TECHNOLOGY $render("page-see-also","ID"); $render("page-newstracker","ID"); Related Internet links Feross Aboukhadijeh The BBC is not responsible for the content of external Internet sites $render("page-related-items","ID"); Share this pageShare this page1.4KShareFacebookTwitter Email Print In association with $render("advert","advert-sponsor-module","page-bookmark-links"); $render("advert-post-script-load"); $render("advert-post-script-load"); More Technology stories RSS Computer glitch hits Mars rover Nasa's Curiosity Mars rover is put into "safe mode" after a computer glitch caused by corrupted files. US plans small-ship drone launches Hackers breach Evernote security $render("advert","advert-mpu-high"); $render("advert-post-script-load"); Top Stories http://news.bbcimg.co.uk/media/images/6618
  • found the bug and set up a demo page that fills visitors' hard drives with pictures of cartoon cats.
  • ...6 more annotations...
  • because browser makers had not written code to stop this happening. By endlessly creating new, linked websites the bug can be used to siphon huge amounts of data onto target PCs.
  • found a way round this cap by creating lots of temporary websites linked to the one a person actually visited
  • Most major browsers, Chrome, Internet Explorer, Opera and Safari, were found to be vulnerable to the bug
  • was not vulnerable
  • Mozilla's Firefox
  • bug reports about the exploit have been filed with major browser makers.
Gabrijela Vrbnjak

Apple and Samsung smartphone patent row set for new jury trial | Technology | guardian.... - 0 views

www.guardian.co.uk/...artphone-patent-new-jury-trial

apple samsung smartphone patent jurytrial

shared by Gabrijela Vrbnjak on 04 Mar 13 - No Cached
  • battle between Apple and Samsung over smartphone patents
  • Samsung used to be Apple's biggest supplier for phone parts, and Apple its largest customer. But in 2010, Steve Jobs, then Apple's chief, vowed to go to "thermonuclear war" over what he saw as copying of iPhone features by Android phones.
  • the jury decided that some Samsung products had copied the appearance of Apple's iPhone 3GS
  • ...4 more annotations...
  • is not quite over yet.
  • Samsung meanwhile became the largest smartphone manufacturer in the world, and the second most profitable behind Apple. Together, the two companies produce around half of all the smartphones shipped worldwide.
  • Samsung has mounted a series of complaints against the jury decision
  • Apple meanwhile is seeking to have the damages increased.
inesmag

Apple value falls below $400bn, as Warren Buffett says 'ignore critics' | Technology | ... - 0 views

www.guardian.co.uk/...lue-400-billion-warren-buffett

apple technology critics value samsung company

shared by inesmag on 05 Mar 13 - No Cached
  • Apple is still embroiled in a legal tussle with Samsung, once its biggest supplier of phone parts. Photograph: Michaela Rehle/Reuters
  • The company is under increasing pressure from rivals including Google and smartphone manufacturers like South Korean electronics giant Samsung, whose Galaxy line has challenged iPhone's success.
  • Samsung used to be Apple's biggest supplier for phone parts, and Apple its largest customer. But in 2010, Jobs vowed to go to "thermonuclear war" over what he saw as copying of iPhone features by phones using Google's Android operating system.
metapavlin

'We are the 8%' - why tech companies matter to the UK economy | Saul Klein | Technology... - 0 views

www.guardian.co.uk/...tech-companies-uk-economy

tech companies economy technology guardian

shared by metapavlin on 01 Mar 13 - No Cached
  • y 2016, the internet is forecast to grow to 12.4% in the UK, contributing some £225bn to the overall UK economy.
  • Certainly the past 15 years have seen London, in particular, generate some incredible homegrown successes including ASOS, JustEat, King.com, Mimecast, Moshi, Net-a-Porter, Playfish and Skype. It is the US giants Apple, Amazon, eBay, Google and Facebook, which currently generate more than £15bn of annual UK revenues combined.
  • Understanding the internet's role in our economy and society is so fundamental now that we cannot afford to operate blindly. If we are in a global economic war for talent, resources and income, perhaps we need to establish the internet age-equivalent of Winston Churchill's 1941 creation of the Central Statistical Office (the precursor to the Office for National Statistics), and build a transparent central statistics body for relevant economic internet related data.Government can and does have an enormous impact on the economy.
Jernej Prodnik

Amazon unpacked - FT.com - 0 views

www.ft.com/...bd-11e2-85d0-00144feab49a.html

amazon political economy of the internet political economy of communication labour conditions

shared by Jernej Prodnik on 24 Feb 13 - No Cached
  • February 8, 2013 12:30 pm Amazon unpacked By Sarah O’Connor The online giant is creating thousands of UK jobs, so why are some employees less than happy?
  • Between a sooty power station and a brown canal on the edge of a small English town, there is a building that seems as if it should be somewhere else. An enormous long blue box, it looks like a smear of summer sky on the damp industrial landscape. Inside, hundreds of people in orange vests are pushing trolleys around a space the size of nine football pitches, glancing down at the screens of their handheld satnav computers for directions on where to walk next and what to pick up when they get there. They do not dawdle – the devices in their hands are also measuring their productivity in real time. They might each walk between seven and 15 miles today. It is almost Christmas and the people working in this building, together with those in seven others like it across the country, are dispatching a truck filled with parcels every three minutes or so. Before they can go home at the end of their eight-hour shift, or go to the canteen for their 30-minute break, they must walk through a set of airport-style security scanners to prove they are not stealing anything. They also walk past a life-sized cardboard image of a cheery blonde woman in an orange vest. “This is the best job I have ever had!” says a speech bubble near her head.
  • If you could slice the world in half right here, you could read the history of this town called Rugeley in the layers. Below the ground are the shafts and tunnels of the coal mine that fed the power station and was once the local economy’s beating heart. Above the ground are the trolleys and computers of Amazon, the global online retailer that has taken its place. As online shopping explodes in Britain, helping to push traditional retailers such as HMV out of business, more and more jobs are moving from high-street shops into warehouses like this one. Under pressure from politicians and the public over its tax arrangements, Amazon has tried to stress how many jobs it is creating across the country at a time of economic malaise. The undisputed behemoth of the online retail world has invested more than £1bn in its UK operations and announced last year that it would open another three warehouses over the next two years and create 2,000 more permanent jobs. Amazon even had a quote from David Cameron, the prime minister, in its September press release. “This is great news, not only for those individuals who will find work, but for the UK economy,” he said.
  • ...10 more annotations...
  • Workers in Amazon’s warehouses – or “associates in Amazon’s fulfilment centres” as the company would put it – are divided into four main groups. There are the people on the “receive lines” and the “pack lines”: they either unpack, check and scan every product arriving from around the world, or they pack up customers’ orders at the other end of the process. Another group stows away suppliers’ products somewhere in the warehouse. They put things wherever there’s a free space – in Rugeley, there are inflatable palm trees next to milk frothers and protein powder next to kettles. Only Amazon’s vast computer brain knows where everything is, because the workers use their handheld computers to scan both the item they are stowing away and a barcode on the spot on the shelf where they put it. The last group, the “pickers”, push trolleys around and pick out customers’ orders from the aisles. Amazon’s software calculates the most efficient walking route to collect all the items to fill a trolley, and then simply directs the worker from one shelf space to the next via instructions on the screen of the handheld satnav device. Even with these efficient routes, there’s a lot of walking. One of the new Rugeley “pickers” lost almost half a stone in his first three shifts. “You’re sort of like a robot, but in human form,” said the Amazon manager. “It’s human automation, if you like.” Amazon recently bought a robot company, but says it still expects to keep plenty of humans around because they are so much better at coping with the vast array of differently shaped products the company sells.
  • The unassuming efficiency of these warehouses is what enables Amazon to put parcels on customers’ doorsteps so quickly, even when it is receiving 35 orders a second. Every warehouse has its own “continuous improvement manager” who uses “kaizen” techniques pioneered by Japanese car company Toyota to improve prod­uctivity. Marc Onetto, the senior vice-president of worldwide operations, told a business school class at the University of Virginia a few years ago: “We use a bunch of Japanese guys, they are not consultants, they are insultants, they are really not nice … They’re samurais, the real last samurais, the guys from the Toyota plants.” In Rugeley, the person with the kaizen job is a friendly, bald man called Matt Pedersen, who has a “black belt” in “Six Sigma”, the Motorola-developed method of operational improvement, most famously embraced by Jack Welch at General Electric. Every day, the managers in Rugeley take a “genba walk”, which roughly means “go to the place” in Japanese, Pedersen says as he accompanies the FT on a tour of the warehouse. “We go to the associates and find out what’s stopping them from performing today, how we can make their day better.” Some people also patrol the warehouse pushing tall little desks on wheels with laptops on them – they are “mobile problem solvers” looking for any hitches that could be slowing down the operation.
  • . . . What did the people of Rugeley make of all this? For many, it has been a culture shock. “The feedback we’re getting is it’s like being in a slave camp,” said Brian Garner, the dapper chairman of the Lea Hall Miners Welfare Centre and Social Club, still a popular drinking spot. One of the first complaints to spread through the town was that employees were getting blisters from the safety boots some were given to wear, which workers said were either too cheap or the wrong sizes. One former shop-floor manager, who did not want to be named, said he always told new workers to smear their bare feet with Vaseline. “Then put your socks on and your boots on, because I know for a fact these boots are going to rub and cause blisters and sores.” ©Ben RobertsAmazon workers in Rugeley process ordersOthers found the pressure intense. Several former workers said the handheld computers, which look like clunky scientific calculators with handles and big screens, gave them a real-time indication of whether they were running behind or ahead of their target and by how much. Managers could also send text messages to these devices to tell workers to speed up, they said. “People were constantly warned about talking to one another by the management, who were keen to eliminate any form of time-wasting,” one former worker added.
  • Watson said Amazon was supposed to send the council employment data every six months, but it had not done so. “We had no idea Amazon were going to be as indifferent to these issues as they have been, it’s come as a shock to us how intransigent they are,” he said. Inside the warehouse, Amazon employees wear blue badges and the workers supplied by the agencies wear green badges. In the most basic roles they perform the same tasks as each other for the same pay of £6.20 an hour or so (the minimum adult wage is £6.19), but the Amazon workers also receive a pension and shares. A former agency worker said the prospect of winning a blue badge, “like a carrot, was dangled constantly in front of us by management in return for meeting shift targets”. Amazon’s Darwinian culture comes from the top. Jeff Bezos, its chief executive, told Forbes magazine last year (when it named him “number one CEO in America”): “Our culture is friendly and intense, but if push comes to shove, we’ll settle for intense.”
  • Ransdtad said it supplied a number of clients with “onsite-flexible workforce solutions”. It added: “The number of workers required by these clients fluctuates in response to supply and demand. When demand for clients’ products or services is high (for example during the Christmas period) the Randstad partnership allows local people to benefit from short-term work on a temporary contract, to help supplement our clients’ permanent workforce and deliver against order requirements.” Certainly, not everyone in Rugeley is upset about Amazon. A group of workers having a pint on a picnic table outside The Colliers pub near the warehouse gates said they liked their jobs, albeit as their managers hovered nervously in the background. One young agency worker said he was earning about £220 a week, compared with the £54 he had been receiving in jobless benefits. He had bought a car and moved out of his mum’s house and into a rented flat with his girlfriend, who he had met at work. “I’m doing pretty well for myself,” he said with a shy grin. “There’s always opportunities to improve yourself there.” Across the table, an older man, wagging two fingers with a cigarette pinched between them, said slowly: “It gives you your pride back, that’s what it gives you. Your pride back.” Many in the town, however, have mixed feelings. They are grateful for the jobs Amazon has created but they are also sad and angry about the quality of them. Timothy Jones, a barrister and parish councillor, summed up the mood. “I very much want them to stay, but equally I would like some of the worst employment practices to end.”
  • For Watson, the big question is whether these new jobs can support sustainable economic growth. In Rugeley, it is hard not to look back to the coal mine for an example of how one big employer could transform a place. . . . The Lea Hall Colliery opened officially on a soggy Tuesday in July 1960. Miners and their families huddled under marquees to eat their packed lunches and when the first coal was wound to the surface, three bands played an overture specially written for the occasion. It was the first mine planned and sunk by the Coal Board, the body set up after the second world war to run Britain’s newly nationalised coal industry, and the Central Electricity Generating Board was building a coal-fired power station right next door. It was a defiant demonstration of confidence in coal at a time of increasing competition from oil. “King Coal is not yet dead, as many would have it, but is going to be with us for many years to come,” the regional secretary of the National Union of Mineworkers told the crowd.
  • Soon, miners from all over the country were swarming to the modern new mine. The Coal Board and the local council built housing estates and schools to cope with the exploding population. “Peartree estate was built for the Geordies, the Springfield estate was built for the Scots and the Welsh,” remembered Brian Garner, who helped to build the mine when he was 16. “It was unbelievable, it was buzzing in the town, there was that much money about then. I could leave my job at 10 o’clock in the morning and start at five past 10 on another.” On Friday and Saturday nights, the queue outside the Lea Hall Miners’ Welfare Centre and Social Club would wrap right around the building. Rugeley’s mine was soon the most productive in the country. It was a “young man’s pit” with all the latest machines and techniques, says Ken Edwards, who started there at 25 as an electrician. The work was still dirty and dangerous, though. In 1972, a local reporter took a tour. “All is silent except for the movement of conveyor belts which carry the coal and the murmur of the air pumps. The blackness is relieved only by narrow shafts of light coming from each person’s headlamp,” she wrote. It took her two days to remove the black dust from her nails, ears, nose and hair.
  • The good times didn’t last. By the time the pit closed, four days before Christmas in 1990, a spokesman for British Coal told Reuters it was losing £300,000 a week. More than 800 people lost jobs that paid the equivalent of between £380 and £900 a week in today’s money. The town council’s chairman tried desperately to say something reassuring. “It has come as such a shock,” he told the local paper. “[But] we have got to do what many have done and look for new areas, particularly information technology and high technology. We have a lot of expertise and a wonderful geographical spot. There’s no reason why it should be the end for Rugeley.” From behind her desk in Vision estate agents, all purple paint and fairy lights, Dawn Goodwin sucks the air in through her teeth at the mention of Amazon. “We all thought it was going to be the making of the town,” she says. She expected an influx of people, including well-to-do managers, looking to buy or rent houses. But she hasn’t had any extra business at all. People are cautious because they don’t know how long their agency jobs with Amazon will last, she says. One of her tenants, a single young woman, got a job there but lost it again after she became ill halfway through a shift. She struggled to pay her rent for three months while she waited for her jobseeker’s benefits to be reinstated. “It’s leaving a bad taste in everyone’s mouths,” Goodwin says with a frown. Even the little “Unit 9” café next to the Amazon warehouse hasn’t had a boost in trade. The women who run it reckon the employees don’t have enough time in their 30-minute break to get through security, come and eat something, and then go back in again.
  • In a cramped upstairs office at the Citizens Advice Bureau, Gillian Astbury and Angela Jones have turned to statistics to try to identify Amazon’s effect on the area. They haven’t had an increase in the number of people asking about employment problems or unfair dismissal, but nor has there been any improvement in the community’s problems with debt and homelessness. Their best guess is that people haven’t had enough sustained work to make much of a difference. Astbury says employment agencies are a “necessary evil”, but stresses it is hardly ideal for people to be bouncing in and out of temporary work, particularly when a job ends abruptly and they are left with no income at all until their benefits are reinstated. Workers leaving Amazon have had a particular problem with this, prompting the parish council to submit a Freedom of Information request to the Department for Work and Pensions to find out exactly how long local people are being made to wait for their social security payments to come through.
  • Far from the CAB’s little office in Rugeley, Britain’s economists are also puzzling over why the economy remains moribund even though more and more people are in work. There are still about half a million fewer people working as full-time employees than there were before the 2008 crash, but the number of people in some sort of employment has surpassed the previous peak. Economists think the rise in insecure temporary, self-employed and part-time work, while a testament to the British labour market’s flexibility, helps to explain why economic growth remains elusive. Angi Cooney, who runs C Residential, the biggest estate agent in Rugeley, thinks the nature of employment is changing permanently and people should stop pining for the past. It’s “bloody great” that a company like Amazon chose to come to “this little old place”, she says fiercely, looking as if she’d like to take the town by the shoulders and give it a shake. “People expect a job for life, but the world isn’t like that any more, is it?” Sarah O’Connor is the FT’s economics correspondent
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