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Javier E

The Bezos Earth Fund Indicates a National Failing - The Atlantic - 0 views

  • Jeff Bezos announced the creation of the Bezos Earth Fund, which will disperse $10 billion in the name of combatting climate change. The fund is a triumph of philanthropy—and a perfect emblem of a national failing.
  • In a healthy democracy, the world’s richest man wouldn’t be able to painlessly make a $10 billion donation. His fortune would be mitigated by the tax collector; antitrust laws would constrain the growth of his business. Instead of relying on a tycoon to bankroll the national response to an existential crisis, there would be a national response.
  • in an age of political dysfunction, Bezos has begun to subsume the powers of the state. Where the government once funded the ambitious exploration of space, Bezos is leading that project, spending a billion dollars each year to build rockets and rovers. His company, Amazon, is spearheading an experimental effort to fix American health care; it will also spend $700 million to retrain workers in the shadow of automation and displacement.
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  • Bezos is providing the vital infrastructure of state. When Amazon locates its second headquarters on the Potomac, staring across the river at the capital, it will provide a perfect geographic encapsulation of the new balance of power.
  • there is no meaningful public oversight of Bezos’s power. His investments and donations—not to mention the dominance of his sprawling firm and his ownership of one of the nation’s most important newspapers—give him an outsize role in shaping the human future.
  • There’s no clear sense of the projects it will bankroll, even though a contribution of that scale will inevitably set the agenda of academics and nongovernmental organizations.
  • Bezos’s personal biases—his penchant for technological solutions, his skepticism of government regulation—will likely shape how the Bezos Earth Fund disperses cash. And that will, in turn, shape how activists and researchers craft their grant proposals, how they attempt to please a funder who can float their operations.
  • Even if Amazon aims to slash its own emissions, it’s creating an economy that seems likely to undermine its stated goal of carbon neutrality. A reasonable debate about planetary future would at least question the wisdom of the same-day delivery of plastic tchotchkes made in China.
  • Then there are the policies that permit companies, like Amazon, to pay virtually nothing in taxes—revenue that would ideally fund, say, a Green New Deal. It hardly seems likely that the Bezos Earth Foundation will seek to erode the very basis of the fortune that funds it.
  • A skeptical response to the Bezos Earth Fund doesn’t preclude the hope that it will do real good. Michael Bloomberg’s climate philanthropy has played an important role in shutting down coal-fired power plants.
  • In these years of polarization and dysfunction, the public keeps turning to saviors who present themselves as outsiders and promise transformation. Trump, of course, billed himself as this sort of salvific figure. But instead of curing voters of this yearning, he seems to have exacerbated it. The current temptation comes in the form of billionaires who exude competence
  • That the public seems indifferent to the dangers of a growing plutocracy is perhaps the greatest national failing of them all.
brickol

Jeff Bezos sold $3.4bn of Amazon stock just before Covid-19 collapse | Business | The G... - 0 views

  • Millions of people across the world have lost their jobs, and trillions of dollars have been wiped off the value of stock markets.
  • But not everyone has lost out. Jeff Bezos, the world’s wealthiest person, is $5.5bn (£4.3bn) richer today than he was at the start of the year. His paper fortune, held mostly in Amazon shares, rose by $3.9bn on Thursday alone to $120bn – enough to buy 188,000 standard gold bars (even taking into account the soaring price of gold).
  • Bezos, 56, benefited this week from the best three-day stock market rally since 1933 helping Amazon’s share price to recover almost all of its losses this month to trade at about $1,920, though that was slightly down on their peak of $2,170 in February. Bezos owns about 12% of Amazon’s shares.
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  • He saved himself from larger losses by selling a big chunk of his Amazon shares in February, before the worldwide scale of the coronavirus crisis was fully acknowledged and before the stock market collapse
  • Bezos sold $3.4bn worth of Amazon shares in the first week of February, just before the stock price peaked.
  • his timing was near-perfect. The share sales, which represented about 3% of his total holding, were much greater than Bezos had made in previous months. The stock sold was as much as he had sold in the previous 12 months, according to analysis by the Wall Street Journal.
  • Other US executives that have been either lucky or smart by selling large chunks of their shareholdings in February include Larry Fink, the chief executive of fund manager BlackRock, who saved potential losses of $9m, and Lance Uggla, CEO of data firm IHS Markit, who sold $47m of shares on 19 February that would have dropped to $19m if he had held on to them.
  • In total US executives sold about $9.2bn in shares of the companies they run in the five weeks before the start of the stock market rout. Selling before the 30% collapse in the market saved them from paper loses of $1.9bn.
Javier E

Inside Amazon: Wrestling Big Ideas in a Bruising Workplace - The New York Times - 0 views

  • At Amazon, workers are encouraged to tear apart one another’s ideas in meetings, toil long and late (emails arrive past midnight, followed by text messages asking why they were not answered), and held to standards that the company boasts are “unreasonably high.” The internal phone directory instructs colleagues on how to send secret feedback to one another’s bosses. Employees say it is frequently used to sabotage others. (The tool offers sample texts, including this: “I felt concerned about his inflexibility and openly complaining about minor tasks.”)
  • The company’s winners dream up innovations that they roll out to a quarter-billion customers and accrue small fortunes in soaring stock. Losers leave or are fired in annual cullings of the staff — “purposeful Darwinism,”
  • his enduring image was watching people weep in the office, a sight other workers described as well. “You walk out of a conference room and you’ll see a grown man covering his face,” he said. “Nearly every person I worked with, I saw cry at their desk.”
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  • Last month, it eclipsed Walmart as the most valuable retailer in the country, with a market valuation of $250 billion, and Forbes deemed Mr. Bezos the fifth-wealthiest person on earth.
  • Others who cycled in and out of the company said that what they learned in their brief stints helped their careers take off. And more than a few who fled said they later realized they had become addicted to Amazon’s way of working.
  • Amazon may be singular but perhaps not quite as peculiar as it claims. It has just been quicker in responding to changes that the rest of the work world is now experiencing: data that allows individual performance to be measured continuously, come-and-go relationships between employers and employees, and global competition in which empires rise and fall overnight. Amazon is in the vanguard of where technology wants to take the modern office: more nimble and more productive, but harsher and less forgiving.
  • “Organizations are turning up the dial, pushing their teams to do more for less money, either to keep up with the competition or just stay ahead of the executioner’s blade,”
  • At its best, some employees said, Amazon can feel like the Bezos vision come to life, a place willing to embrace risk and strengthen ideas by stress test. Employees often say their co-workers are the sharpest, most committed colleagues they have ever met, taking to heart instructions in the leadership principles like “never settle” and “no task is beneath them.”
  • In contrast to companies where declarations about their philosophy amount to vague platitudes, Amazon has rules that are part of its daily language and rituals, used in hiring, cited at meetings and quoted in food-truck lines at lunchtime
  • “You can work long, hard or smart, but at Amazon.com you can’t choose two out of three,” Mr. Bezos wrote in his 1997 letter to shareholders
  • mazon, though, offers no pretense that catering to employees is a priority. Compensation
  • As the company has grown, Mr. Bezos has become more committed to his original ideas, viewing them in almost moral terms, those who have worked closely with him say. “My main job today: I work hard at helping to maintain the culture,”
  • perhaps the most distinctive is his belief that harmony is often overvalued in the workplace — that it can stifle honest critique and encourage polite praise for flawed ideas. Instead, Amazonians are instructed to “disagree and commit” (
  • According to early executives and employees, Mr. Bezos was determined almost from the moment he founded Amazon in 1994 to resist the forces he thought sapped businesses over time — bureaucracy, profligate spending, lack of rigor. As the company grew, he wanted to codify his ideas about the workplace, some of them proudly counterintuitive, into instructions simple enough for a new worker to understand, general enough to apply to the nearly limitless number of businesses he wanted to enter and stringent enough to stave off the mediocrity he feared.
  • Company veterans often say the genius of Amazon is the way it drives them to drive themselves. “If you’re a good Amazonian, you become an Amabot,” said one employee, using a term that means you have become at one with the system.
  • But in its offices, Amazon uses a self-reinforcing set of management, data and psychological tools to spur its tens of thousands of white-collar employees to do more and more. “The company is running a continual performance improvement algorithm on its staff,” said Amy Michaels, a former Kindle marketer.
  • As the newcomers acclimate, they often feel dazzled, flattered and intimidated by how much responsibility the company puts on their shoulders and how directly Amazon links their performance to the success of their assigned projects
  • Every aspect of the Amazon system amplifies the others to motivate and discipline the company’s marketers, engineers and finance specialists: the leadership principles; rigorous, continuing feedback on performance; and the competition among peers who fear missing a potential problem or improvement and race to answer an email before anyone else.
  • many others said the culture stoked their willingness to erode work-life boundaries, castigate themselves for shortcomings (being “vocally self-critical” is included in the description of the leadership principles) and try to impress a company that can often feel like an insatiable taskmaster.
  • “One time I didn’t sleep for four days straight,” said Dina Vaccari, who joined in 2008 to sell Amazon gift cards to other companies and once used her own money, without asking for approval, to pay a freelancer in India to enter data so she could get more done. “These businesses were my babies, and I did whatever I could to make them successful.”
  • To prod employees, Amazon has a powerful lever: more data than any retail operation in history. Its perpetual flow of real-time, ultradetailed metrics allows the company to measure nearly everything its customers do:
  • Amazon employees are held accountable for a staggering array of metrics, a process that unfolds in what can be anxiety-provoking sessions called business reviews, held weekly or monthly among various teams. A day or two before the meetings, employees receive printouts, sometimes up to 50 or 60 pages long, several workers said. At the reviews, employees are cold-called and pop-quizzed on any one of those thousands of numbers.
  • Ms. Willet’s co-workers strafed her through the Anytime Feedback Tool, the widget in the company directory that allows employees to send praise or criticism about colleagues to management. (While bosses know who sends the comments, their identities are not typically shared with the subjects of the remarks.) Because team members are ranked, and those at the bottom eliminated every year, it is in everyone’s interest to outperform everyone else.
  • many workers called it a river of intrigue and scheming. They described making quiet pacts with colleagues to bury the same person at once, or to praise one another lavishly. Many others, along with Ms. Willet, described feeling sabotaged by negative comments from unidentified colleagues with whom they could not argue
  • The rivalries at Amazon extend beyond behind-the-back comments. Employees say that the Bezos ideal, a meritocracy in which people and ideas compete and the best win, where co-workers challenge one another “even when doing so is uncomfortable or exhausting,” as the leadership principles note, has turned into a world of frequent combat
  • Resources are sometimes hoarded. That includes promising job candidates, who are especially precious at a company with a high number of open positions. To get new team members, one veteran said, sometimes “you drown someone in the deep end of the pool,” then take his or her subordinates. Ideas are critiqued so harshly in meetings at times that some workers fear speaking up.
  • David Loftesness, a senior developer, said he admired the customer focus but could not tolerate the hostile language used in many meetings, a comment echoed by many others.
  • Each year, the internal competition culminates at an extended semi-open tournament called an Organization Level Review, where managers debate subordinates’ rankings, assigning and reassigning names to boxes in a matrix projected on the wall. In recent years, other large companies, including Microsoft, General Electric and Accenture Consulting, have dropped the practice — often called stack ranking, or “rank and yank” — in part because it can force managers to get rid of valuable talent just to meet quotas.
  • Molly Jay, an early member of the Kindle team, said she received high ratings for years. But when she began traveling to care for her father, who was suffering from cancer, and cut back working on nights and weekends, her status changed. She was blocked from transferring to a less pressure-filled job, she said, and her boss told her she was “a problem.” As her father was dying, she took unpaid leave to care for him and never returned to Amazon.
  • “When you’re not able to give your absolute all, 80 hours a week, they see it as a major weakness,” she said.
  • A woman who had thyroid cancer was given a low performance rating after she returned from treatment. She says her manager explained that while she was out, her peers were accomplishing a great deal. Another employee who miscarried twins left for a business trip the day after she had surgery. “I’m sorry, the work is still going to need to get done,” she said her boss told her. “From where you are in life, trying to start a family, I don’t know if this is the right place for you.”
  • A woman who had breast cancer was told that she was put on a “performance improvement plan” — Amazon code for “you’re in danger of being fired” — because “difficulties” in her “personal life” had interfered with fulfilling her work goals. Their accounts echoed others from workers who had suffered health crises and felt they had also been judged harshly instead of being given time to recover.
  • Amazon retains new workers in part by requiring them to repay a part of their signing bonus if they leave within a year, and a portion of their hefty relocation fees if they leave within two years.
  • In interviews, 40-year-old men were convinced Amazon would replace them with 30-year-olds who could put in more hours, and 30-year-olds were sure that the company preferred to hire 20-somethings who would outwork them. A
  • A 2013 survey by PayScale, a salary analysis firm, put the median employee tenure at one year, among the briefest in the Fortune 500
  • Recruiters, though, also say that other businesses are sometimes cautious about bringing in Amazon workers, because they have been trained to be so combative. The derisive local nickname for Amazon employees is “Amholes” — pugnacious and work-obsessed.
  • By the time the dust settles in three years, Amazon will have enough space for 50,000 employees or so, more than triple what it had as recently as 2013.
  • just as Jeff Bezos was able to see the future of e-commerce before anyone else, she added, he was able to envision a new kind of workplace: fluid but tough, with employees staying only a short time and employers demanding the maximum.
  • “Amazon is driven by data,” said Ms. Pearce, who now runs her own Seattle software company, which is well stocked with ex-Amazonians. “It will only change if the data says it must — when the entire way of hiring and working and firing stops making economic sense.”
martinelligi

Jeff Bezos to Step Down as Amazon C.E.O., Elevating Andy Jassy - The New York Times - 0 views

  • On Tuesday, Mr. Bezos, 57, said his run at the top of the Seattle-based company was over.
  • “As much as I still tap dance into the office, I’m excited about this transition,” Mr. Bezos wrote in an email to Amazon’s employees. As executive chairman, he said, he intends “to focus my energies and attention on new products and early initiatives.
  • The changing of the guard is set to ripple out beyond Amazon, which Mr. Bezos has personified for more than two decades. His impact on corporate America and his remaking of the way that goods are sold turned him into one of the world’s most influential technology and business leaders, as well known as the founders of Apple and Microsoft, Steve Jobs and Bill Gates.
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  • Amazon has now stabilized, and its growth has surged as more people have turned to e-commerce and the company’s Prime fast-shipping program, which has more than 150 million members. Amazon on Tuesday posted a record $125.6 billion in sales for the fourth quarter, while profits more than doubled to $7.2 billion from a year earlier.
  • Mr. Bezos will remain Amazon’s biggest shareholder — he owns 10.6 percent of the company, according to filings — and stay on the board of directors
brookegoodman

Jeff Bezos made billions by selling stock before Covid collapse | Business | The Guardian - 0 views

  • Millions of people across the world have lost their jobs, and trillions of dollars have been wiped off the value of stock markets.
  • Bezos, 56, benefited this week from the best three-day stock market rally since 1933 helping Amazon’s share price to recover almost all of its losses this month to trade at about $1,920, though that was slightly down on their peak of $2,170 in February. Bezos owns about 12% of Amazon’s shares.
  • There is no suggestion that Bezos acted improperly by selling the shares or that he was acting on non-public information about the impact of the pandemic. But his timing was near-perfect. The share sales, which represented about 3% of his total holding, were much greater than Bezos had made in previous months. The stock sold was as much as he had sold in the previous 12 months, according to analysis by the Wall Street Journal.
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  • In total US executives sold about $9.2bn in shares of the companies they run in the five weeks before the start of the stock market rout. Selling before the 30% collapse in the market saved them from paper loses of $1.9bn.
anonymous

There's Rich, And There's Jeff Bezos Rich: Meet The World's Centibillionaires : NPR - 0 views

  • You probably think 2020 has turned out to be a pretty lousy year, what with the coronavirus pandemic, a global recession and unceasing partisan warfare in Washington. Then again, you're not Jeff Bezos or Elon Musk.
  • Bezos. With a net worth of $182 billion, the Amazon founder is by far the wealthiest person on the planet.
  • Forbes magazine once called Bezos the richest human being who has ever lived.
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  • "It is bigger than the GDP of most countries in the world. I mean, it is larger than the market cap of many companies that are on the S&P 500,"
  • Rounding out the group of five centibillionaires are Musk, Bill Gates of Microsoft with a net worth of $129 billion
  • In fact, Musk and Zuckerberg each ascended to the $100 billion club this year after shares of Tesla and Facebook rose 677% and 39%, respectively.
  • "It's not anything to celebrate. It's kind of a disturbing milestone," he says. "But I think it's a predictable outcome of four decades of flat wages and steadily concentrating wealth and power."
  • Bezos, for example, has such a staggering fortune that despite going through a messy divorce and giving up one quarter of his Amazon shares to his ex-wife, MacKenzie Scott, he still remains the world's richest person.
Javier E

How Amazon's Long Game Yielded a Retail Juggernaut - The New York Times - 0 views

  • Shares of Jeff Bezos’s company have doubled in value so far in 2015, pushing Amazon into the world’s 10 largest companies by stock market value, where it jockeys for position with General Electric and is far ahead of Walmart.
  • The simple story involves Amazon Web Services, the company’s cloud-computing business, which rents out vast amounts of server space to other companies.
  • Deutsche Bank estimates that A.W.S., which is less than a decade old, could soon be worth $160 billion as a stand-alone company. That’s more valuable than Intel.
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  • For years, observers have wondered if Amazon’s shopping business — you know, its main business — could ever really work. Investors gave Mr. Bezos enormous leeway to spend billions building out a distribution-center infrastructure, but it remained a semi-open question if the scale and pace of investments would ever pay off. Could this company ever make a whole lot of money selling so much for so little?
  • Amazon’s retail operations had reached a “critical scale” or an “inflection point.” They meant that Amazon’s enormous investments in infrastructure and logistics have begun to pay off. The company keeps capturing a larger slice of American and even international purchases. It keeps attracting more users to its Prime fast-shipping subscription program, and, albeit slowly, it is beginning to scratch out higher profits from shoppers.
  • Now that Amazon has hit this point, it’s difficult to see how any other retailer could catch up anytime soon. I recently asked a couple of Silicon Valley venture capitalists who have previously made huge investments in e-commerce whether they were keen to spend any more in the sector. They weren’t, citing Amazon.
  • “The truth is they’re building a really insurmountable infrastructure that I don’t see how others can really deal with,”
  • Amazon also faces a wider set of competitive threats internationally. Although it has reported increasingly brisk sales in India, the company has had a difficult time breaking into the lucrative Chinese market, where Alibaba dominates the shopping scene
  • Walmart, which on Tuesday published earnings that came in slightly above analysts’ expectations, is also spending billions to slow Amazon’s roll. But Walmart said that in its latest quarter, e-commerce sales had grown only 10 percent from a year ago. Amazon’s retail sales rose 20 percent during the same period.
  • What has been key to this rise, and missing from many of his competitors’ efforts, is patience. In a very old-fashioned manner, one that is far out of step with a corporate world in which milestones are measured every three months, Amazon has been willing to build its empire methodically and at great cost over almost two decades, despite skepticism from many sectors of the business world.
  • Amazon has built more than 100 warehouses from which to package and ship goods, and it hasn’t really slowed its pace in establishing more. Because the warehouses speed up Amazon’s shipping, encouraging more shopping, the costs of these centers is becoming an ever-smaller fraction of Amazon’s operations.
  • Amazon’s investments in Prime, the $99-a-year service that offers free two-day shipping, are also paying off. Last year Mr. Bezos told me that people were increasingly signing up for Prime for the company’s media offerings
  • Mr. Schachter, of Macquarie Securities, estimates that there will be at least 40 million Prime subscribers by the end of this year, and perhaps as many as 60 million, up from an estimated 30 million at the beginning of 2015
  • he predicted that by 2020, 50 percent of American households will have joined Prime, “and that’s very conservative,” he said.
  • its operating margin on the North American retail business was 3.5 percent, while Amazon Web Services’s margin was 25 percent.
  • “retail gross profit dollars per customer” — a fancy way of measuring how much Amazon makes from each shopper — has accelerated in each of the last four quarters, in part because of Prime. Amazon keeps winning “a larger share of customers’ wallets,” the firm said, eventually “leading to a period of sustained, rising profitability.”
  • “The thing about retail is, the consumer has near-perfect information,” said Paul Vogel, an analyst at Barclays. “So what’s the differentiator at this point? It’s selection. It’s service. It’s convenience. It’s how easy it is to use their interface. And Amazon’s got all this stuff already. How do you compete with that? I don’t know, man. It’s really hard.
Javier E

Why Rotterdam Wouldn't Allow a Bridge to Be Dismantled for Bezos' Yacht - The New York ... - 0 views

  • we think that rich people are not acting normal. Here in Holland, we don’t believe that everybody can be rich the way people do in America, where the sky is the limit. We think ‘Be average.’ That’s good enough.”
  • “When I was about 11 years old, we had an American boy stay with us for a week, an exchange student,” she recalled. “And my mother told him, just make your own sandwich like you do in America. Instead of putting one sausage on his bread, he put on five. My mother was too polite to say anything to him, but to me she said in Dutch, ‘We will never eat like that in this house.’”
  • The streak of austerity in Dutch culture can be traced to Calvinism, say residents, the most popular religious branch of Protestantism here for hundreds of years. It emphasizes virtues like self-discipline, frugality and conscientiousness. Polls suggest that most people in the Netherlands today are not churchgoers, but the norms are embedded, as evidenced by Dutch attitudes toward wealth.
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  • “Calvin teaches that you’re given stewardship over your money, that you have a responsibility to take care of it, which means giving lots of it away, being generous to others,”
  • “Work is a divine calling for which you will be held accountable. It’s considered bad for society and bad for your soul if you spend in ostentatious ways.”
  • “He doesn’t pay his taxes,” is a common refrain in this city, and it doesn’t mean that Mr. Bezos is considered a tax cheat. It means that he isn’t fighting inequality by sharing his money, an obligation that transcends the tax code.
  • An ethos endures that nobody is any better than anyone else, or deserves more, and it stems from an unignorable geographic fact. Roughly one-third of the Netherlands is below sea level and citizens for centuries have had little choice but to band together to create an infrastructure of dikes and drainage systems to remain alive.
  • “The Netherlands is built on cooperation,” said Paul van de Laar, a professor of history at Erasmus University. “There were constant threats of disaster from the 15th and 16th century. Protestants and Catholics knew that to survive, they could not quarrel too much.”
  • Chip in. Blend in. Help others. These are among the highest ideals of the Netherlands
  • The Dutch once ran one of the world’s largest empires but there’s a certain pride here that the prime minister of the country rides a bicycle to pay visits to the king — yes, the Netherlands has a royal family, which is also relatively low-key — and locks the bicycle outside the palace.
  • At the time, it was said in the Netherlands that putting both butter and cheese on your bread was “the devil’s sandwich.” Choose one, went the thinking. You don’t need both.
  • explaining the anger that Mr. Bezos and Oceanco, the maker of the three-masted, $500 million schooner, inspired after making what may have sounded like a fairly benign request. The company asked the local government to briefly dismantle the elevated middle span of the Hef, which is 230 feet tall at its highest point, allowing the vessel to sail down the King’s Harbor channel and out to sea.
  • The whole process would have taken a day or two and Oceanco would have covered the costs.AdvertisementContinue reading the main story
  • The bridge, a lattice of moss-green steel in the shape of a hulking “H,” is not actually used by anyone. It served as a railroad bridge for decades until it was replaced by a tunnel and decommissioned in the early 1990s. It’s been idle ever since.
  • In sum, the operation would have been fast, free and disrupted nothing. So why the fuss?
  • “What can you buy if you have unlimited cash? Can you bend every rule? Can you take apart monuments?”
  • “There’s a principle at stake,”
  • The first problem was the astounding wealth of Mr. Bezos.
  • “The Dutch like to say, ‘Acting normal is crazy enough,’
Javier E

How Jeff Bezos' iPhone X Was Hacked - The New York Times - 0 views

  • The hack also exposed how popular messaging platforms like WhatsApp have vulnerabilities that attackers can exploit.
  • In October, WhatsApp sued the NSO Group in federal court, claiming that NSO’s spy technology was used on its service to target journalists and human rights activists. WhatsApp, which is owned by Facebook, has patched the flaw that the malware used.
  • “This case really highlights the threats that are posed by a lawless and unaccountable private surveillance industry,
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  • Malware that was created for the explicit purpose of prying into private online communications, also known as spyware, has become a $1 billion industry.
  • smaller companies also sell simpler versions of the software for as little as $10, allowing people to snoop on their spouses or children.
  • The May 2018 message that contained the innocuous-seeming video file, with a tiny 14-byte chunk of malicious code, came out of the blue, according to the report and additional notes obtained by The New York Times. In the 24 hours after it was sent, Mr. Bezos’ iPhone began sending large amounts of data, which increased approximately 29,000 percent over his normal data usage
  • The FTI report was not definitive about the hack, but said it had “medium to high confidence” that the message from the prince’s WhatsApp account was the culprit. In notes to the report, FTI said it was still attempting a more thorough analysis of the iPhone, including by jailbreaking it, or bypassing Apple’s control system on the phone.
  • the episode was “a wake-up call to the international community as a whole that we are facing a technology that is very difficult to track, extremely powerful and effective, and that is completely unregulated.”
  • She said Mr. Bezos’ experience should sound alarms because even with his wealth and resources, it took months of investigation by specialists to figure out what had happened — a luxury few others have.“It basically means that we are all extremely vulnerable,”
Javier E

Elon Musk, Jeff Bezos, Mark Zuckerberg, and Bill Gates profited the most during the pan... - 0 views

  • The wealth of nine of the country’s top titans has increased by more than $360 billion in the past year.
  • Tesla’s Elon Musk more than quadrupled his fortune and jockeyed with Amazon’s Jeff Bezos for the title of world’s wealthiest person. Facebook’s Mark Zuckerberg topped $100 billion. Google co-founders Larry Page and Sergey Brin gained a combined $65 billion.
  • the $360 billion increase in top billionaire wealth approaches the $410 billion the U.S. government is spending on the latest round of $1,400 stimulus checks, passed with the $1.9 trillion pandemic relief package this week.
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  • “In my view, we can no longer tolerate billionaires like Jeff Bezos, Mark Zuckerberg and Elon Musk becoming obscenely rich at a time of unprecedented economic pain and suffering,” Sen. Bernie Sanders (I-Vt.) said
Javier E

Amazon's Bezos, Other Corporate Executives Sold Shares Just in Time - WSJ - 0 views

  • Top executives at U.S.-traded companies sold a total of roughly $9.2 billion in shares of their own companies between the start of February and the end of last week, a Wall Street Journal analysis shows
  • The selling saved the executives—including many in the financial industry—potential losses totaling $1.9 billion, according to the analysis, as the S&P 500 stock index plunged about 30% from its peak on Feb. 19 through the close of trading March 20.
  • By far the largest executive seller was Amazon. AMZN 1.96% com Inc. Chief Executive Jeffrey Bezos, who sold a total of $3.4 billion in Amazon AMZN 1.96% shares in the first week  of February, shortly before the stock market peaked, allowing him to avoid paper losses of roughly $317 million if he had held the stock through March 20, according to the Journal analysis.
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  • The sales represented roughly 3% of Mr. Bezos’s Amazon holdings, according to the most recently available regulatory filings. He sold almost as much stock during the first week in February as he sold during the previous 12 months.
Javier E

Will We Forgive Amazon When This Is Over? - WSJ - 0 views

  • all is far from well in the kingdom of Bezos. At a defining moment for the company, it is letting customers down.
  • the promise to ship anything to our doorstep in a day or two that has gained it the trust of an astonishing 112 million Prime members in the U.S. (a nation of 129 million households) has evaporated nearly overnight.
  • it feels like Amazon is little better than any other retailer at getting us what we need, when we need it.
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  • The fact that Amazon’s retail operations are functioning at all is a testament to the flexibility of the company’s infrastructure during a health crisis that few if any companies were prepared for.
  • But the crisis is laying bare the cracks in Amazon’s ability
  • Those cracks include times when up to half the workers in some of the company’s facilities haven’t shown up, with some saying it was due to their fear they wouldn’t be adequately protected from coronavirus.
  • It’s also due to Amazon’s just-in-time supply chain, reliance on third-party sellers and largely automated systems of buying and selling that were never designed to handle such a crisis.
  • Amazon shoppers are unable to get many of the essential products the company says it’s prioritizing now.
  • everything considered nonessential takes more time than the two days Amazon conditioned us to expect.
  • In the mid-2010s, Amazon initiated a program called “hands off the wheel,” which replaced many of the functions of Amazon’s white-collar retail workers—those responsible for managing inventory and negotiating with sellers—with AI and automated systems
  • One-third of respondents said the first time they had ever ordered groceries online was in the past 30 days, and 60% of respondents used Amazon to order groceries.
  • The infrastructure Amazon built pushed the entire e-commerce industry toward ever broader selection delivered ever faster.
  • as of March, 55% of Americans polled had ordered groceries online, compared with 36% two years ago.
  • Amazon’s systems respond more quickly to increases in demand than humans could, but it also leads to breakdowns when they encounter unexpected shocks—e.g., a global pandemic
  • In the week ending March 28, Americans spent 47% more on consumer packaged goods purchased online when compared with the same period a year ago, according to Nielsen and Rakuten Intelligence.
  • Amazon has hired 80,000 additional workers in just the past few weeks, as part of its pledge to hire 100,000 new permanent workers. It has also raised its base wage from $15 an hour to $17, through April.
  • with more workers pouring into Amazon’s facilities, and more forced to stay by the lack of alternatives, there could be more protests by employees and more concessions from historically union-averse management
  • Already, the company has instituted double pay for overtime, paid leave for associates with confirmed or suspected cases of Covid-19, a tripling of its janitorial staff and audits of its own facilities to comply with these measures.
  • Consumers felt, in good times anyway, that “I can trust the item, I know it’s a good price, I have transparency on when I’m going to receive it, and if I have issues Amazon will work on my behalf,” he adds.
  • A big edge Amazon holds over competitors is that it can cover losses or scant retail margins with a combination of good will from investors and a cross-subsidy from its booming cloud business, Amazon Web Services.
  • Of all cloud providers, Amazon is the best positioned to benefit both in the long and short term from surging demand, Eric Sheridan, an analyst at UBS, wrote in a Monday note surveying the industry.
  • All this increased usage means more revenue for AWS and more profit for its parent company. In turn, that means more opportunity for Amazon to, as Mr. Bezos famously put it, turn its retail competitors’ margins into Amazon’s opportunity.
  • for Amazon, a company that may already be too big for its own good, it could lead to more of the regulatory scrutiny that its success was drawing even before coronavirus.
  • An ever greater variety of customers will view Amazon as a basic utility but, wary of overreliance, will explore alternatives, too. The bill for Mr. Bezos’ possibly Faustian bargain with the universe—that everyone loves an innovative and ruthless competitor, even when it becomes dominant—may finally come due.
Javier E

'Heads we win, tails you lose': how America's rich have turned pandemic into profit | W... - 0 views

  • At the same time, the billionaire class has added $308bn to its wealth in four weeks - even as a record 26 million people lost their jobs.
  • between 18 March and 22 April the wealth of America’s plutocrats grew 10.5%. After the last recession, it took over two years for total billionaire wealth to get back to the levels they enjoyed in 2007.
  • Eight of those billionaires have seen their net worth surge by over $1bn each, including the Amazon boss, Jeff Bezos, and his ex-wife MacKenzie Bezos; Eric Yuan, founder of Zoom; the former Microsoft chief Steve Ballmer; and Elon Musk, the Tesla and SpaceX technocrat.
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  • About 150 public companies managed to bag more than $600m in forgivable loans before the funds ran out. Among them was Shake Shack, a company with 6,000 employees valued at $2bn. It has since given the cash back but others have not.
  • Fisher Island, a members-only location off the coast of Miami where the average income of residents is $2.2m and the beaches are made from imported Bahamian sand, has received $2m in aid.
  • The banks that were the largest recipients of bailout cash in the last recession have also done well, raking in $10bn in fees from the government loans, according to an analysis by National Public Radio.
  • By 2016 – seven years after the end of the last recession – the bottom 90% of households in the US had still not recovered from the last downturn while the top 10% had more wealth than they had in 2007.
  • For black and Latinx Americans, the situation is worse. The black-white wage gaps are larger today than they were in 1979.
  • Meanwhile, billionaires have been unable to put a well-heeled foot wrong. Billionaire wealth soared 1,130% in 2020 dollars between 1990 and 2020, according to the Institute for Policy Studies
  • That increase is more than 200 times greater than the 5.37% growth of median wealth in the US over this same period
  • the tax obligations of America’s billionaires, measured as a percentage of their wealth, decreased 79% between 1980 and 2018.
Javier E

Amazon's CEO tells investors 'you may want to take a seat,' as he explains why the comp... - 0 views

  • Bezos’s fortune, meanwhile, has surged by more than $24 billion since the pandemic took the broader market for a roller-coaster ride, according to Fortune. That rise has lifted his net worth to a stunning $148.6 billion, according to Forbes, making him by far the richest person in the world, even after relinquishing much of his wealth to his partner in divorce proceedings back in July.
Javier E

Amazon Prime Day Is Dystopian - The Atlantic - 0 views

  • hen Prime was introduced, in 2005, Amazon was relatively small, and still known mostly for books. As the company’s former director of ordering, Vijay Ravindran, told Recode’s Jason Del Rey in 2019, Prime “was brilliant. It made Amazon the default.”
  • It created incentives for users to be loyal to Amazon, so they could recoup the cost of membership, then $79 for unlimited two-day shipping. It also enabled Amazon to better track the products they buy and, when video streaming was added as a perk in 2011, the shows they watch, in order to make more things that the data indicated people would want to buy and watch, and to surface the things they were most likely to buy and watch at the very top of the page.
  • And most important, Prime habituated consumers to a degree of convenience, speed, and selection that, while unheard-of just years before, was made standard virtually overnight.
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  • “It is genius for the current consumer culture,” Christine Whelan, a clinical professor of consumer science at the University of Wisconsin at Madison, told me. “It encourages and then meets the need for the thing, so we then continue on the hedonic treadmill: Buy the latest thing we want and then have it delivered immediately and then buy the next latest thing.”
  • With traditional retail, “there’s the friction of having to go to the store, there’s the friction of will the store have it, there’s the friction of carrying it,” Whelan said. “There’s the friction of having to admit to another human being that you’re buying it. And when you remove the friction, you also remove a lot of individual self-control. The more you are in the ecosystem and the easier it is to make a purchase, the easier it is to say yes to your desire rather than no.”
  • “It used to be that being a consumer was all about choice,”
  • But now, “two-thirds of people start their product searches on Amazon.
  • Prime discourages comparison shopping—looking around is pointless when everything you need is right here—even as Amazon’s sheer breadth of products makes shoppers feel as if they have agency.
  • “Consumerism has become a key way that people have misidentified freedom,”
  • what Amazon represents is a corporate infrastructure that is increasingly directed at getting as many consumers as possible locked into a consumerist process—an Amazon consumer for life.”
  • Amazon offers steep discounts to college students and new parents, two groups that are highly likely to change their buying behavior. It keeps adding more discounts and goodies to the Prime bundle, making subscribing ever more appealing. And, in an especially sinister move, it makes quitting Prime maddeningly difficult.
  • the United States now has more Prime memberships than households. In 2020,
  • In 2019, Amazon shaved a full day off its delivery time, making one-day shipping the default, and also making Prime an even more tantalizing proposition: Why hop in the car for anything at all when you could get it delivered tomorrow, for free?
  • As subscription numbers grew through the 2010s, the revenue from them helped Amazon pump more money into building fulfillment centers (to get products to people even faster), acquiring new businesses (to control even more of the global economy), and adding more perks to the bundle (to encourage more people to sign up)
  • “Every decision we make is based upon the fact that Amazon can get these books cheaper and faster. The prevailing expectation is you can get anything online shipped for”— he scrunched his fingers into air quotes—“‘free,’ in one or two days. And there’s really only one company that can do that. They do that because they’re willing to push and exploit their workers.”
  • Thanks in large part to the revenue from Prime subscriptions and from the things subscribers buy, Amazon’s value has multiplied roughly 97 times, to $1.76 trillion, since the service was introduced. Amazon is the second-largest private employer in the United States, after Walmart, and it is responsible for roughly 40 percent of all e-commerce in the United States.
  • It controls hundreds of millions of square feet across the country and is opening more fulfillment centers all the time. It has acquired dozens of other companies, most recently the film studio MGM for $8.5 billion. Its cloud-computing operation, Amazon Web Services, is the largest of its kind and provides the plumbing for a vast swath of the internet, to a profit of $13.5 billion last year.
  • Amazon has entered some 40 million American homes in the form of the Alexa smart speaker, and some 150 million American pockets in the form of the Amazon app
  • “Amazon is a beast we’ve never seen before,” Alimahomed-Wilson told me. “Amazon powers our Zoom calls. It contracts with ICE. It’s in our neighborhoods. This is a very different thing than just being a large retailer, like Walmart or the Ford Motor Company.”
  • I find it useful to compare Big Tech to climate change, another force that is altering the destiny of everyone on Earth, forever. Both present themselves to us all the time in small ways—a creepy ad here, an uncommonly warm November there—but are so big, so abstract, so everywhere that they’re impossible for any one person to really understand
  • Both are the result of a decades-long, very human addiction to consumption and convenience that has been made grotesque and extreme by the incentives and mechanisms of the internet, market consolidation, and economic stratification
  • Both have primarily been advanced by a small handful of very big companies that are invested in making their machinations unseeable to the naked eye.
  • Speed and convenience aren’t actually free; they never are. Free shipping isn’t free either. It just obscures the real price.
  • Next-day shipping comes with tremendous costs: for labor and logistics and transportation and storage; for the people who pack your stuff into those smiling boxes and for the people who deliver them; for the planes and trucks and vans that carry them; for the warehouses that store them; for the software ensuring that everything really does get to your door on time, for air-conditioning and gas and cardboard and steel. Amazon—Prime in particular—has done a superlative job of making all those costs, all those moving parts, all those externalities invisible to the consumer.
  • The pandemic drove up demand for Amazon, and for labor: Last year, company profits shot up 70 percent, Bezos’s personal wealth grew by $70 billion, and 1,400 people a day joined the company’s workforce.
  • Amazon is so big that every sector of our economy has bent to respond to the new way of consuming that it invented. Prime isn’t just bad for Amazon’s workers—it’s bad for Target’s, and Walmart’s. It’s bad for the people behind the counter at your neighborhood hardware store and bookstore, if your neighborhood still has a hardware store and a bookstore. Amazon has accustomed shoppers to a pace and manner of buying that depends on a miracle of precision logistics even when it’s managed by one of the biggest companies on Earth. For the smaller guys, it’s downright impossible.
  • Amazon’s revenue from subscriptions alone—mostly Prime—was $25.2 billion, which is a 31 percent increase from the previous year
  • Just as abstaining from flying for moral reasons won’t stop sea-level rise, one person canceling Prime won’t do much of anything to a multinational corporation’s bottom line. “It’s statistically insignificant to Amazon. They’ll never feel it,” Caine told me. But, he said, “the small businesses in your neighborhood will absolutely feel the addition of a new customer. Individual choices do make a big difference to them.”
  • Whelan teaches a class at UW called Consuming Happiness, and she is fond of giving her students the adage that you can buy happiness—“if you spend your money in keeping with your values: spending prosocially, on experiences. Tons of research shows us this.”
Javier E

Trump Could Threaten U.S. Rule of Law, Scholars Say - The New York Times - 1 views

  • “This is how authoritarianism starts, with a president who does not respect the judiciary,” Mr. Post said. “You can criticize the judicial system, you can criticize individual cases, you can criticize individual judges. But the president has to be clear that the law is the law and that he enforces the law. That is his constitutional obligation.”
  • Even as much of the Republican political establishment lines up behind its presumptive nominee, many conservative and libertarian legal scholars warn that electing Mr. Trump is a recipe for a constitutional crisis.
  • “Who knows what Donald Trump with a pen and phone would do?” asked Ilya Shapiro, a lawyer with the libertarian Cato Institute.
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  • With five months to go before Election Day, Mr. Trump has already said he would “loosen” libel laws to make it easier to sue news organizations. He has threatened to sic federal regulators on his critics. He has encouraged rough treatment of demonstrators.
  • His proposal to bar Muslims from entry into the country tests the Constitution’s guarantees of religious freedom, due process and equal protection. Advertisement Continue reading the main story
  • And, in what was a tipping point for some, he attacked Judge Gonzalo P. Curiel of the Federal District Court in San Diego, who is overseeing two class actions against Trump University.Mr. Trump accused the judge of bias, falsely said he was Mexican and seemed to issue a threat.
  • Beyond the attack on judicial independence is a broader question of Mr. Trump’s commitment to the separation of powers and to the principles of federalism enshrined in the Constitution. Randy E. Barnett, a law professor at Georgetown and an architect of the first major challenge to President Obama’s health care law, said he had grave doubts on both fronts.
  • “You would like a president with some idea about constitutional limits on presidential powers, on congressional powers, on federal powers,” Professor Barnett said, “and I doubt he has any awareness of such limits.”
  • Mr. Post said that view was too sanguine, given the executive branch’s practical primacy. “The president has all the power with respect to enforcing the law,” he said. “There’s only one of those three branches that actually has the guns in its hands, and that’s the executive.”
  • “I don’t think he cares about separation of powers at all,” said Richard Epstein, a fellow at the Hoover Institution who also teaches at New York University and the University of Chicago.
  • President George W. Bush “often went beyond what he should have done,” Professor Epstein said. “I think Obama’s been much worse on that issue pretty consistently, and his underlings have been even more so. But I think Trump doesn’t even think there’s an issue to worry about. He just simply says whatever I want to do I will do.”
  • “I can easily see a situation in which he would take the Andrew Jackson line,” Professor Epstein said, referring to a probably apocryphal comment attributed to Jackson about Chief Justice John Marshall: “John Marshall has made his decision; now let him enforce i
  • “I can easily see a situati
  • There are other precedents, said John C. Yoo, a law professor at the University of California, Berkeley, who took an expansive view of executive power as a lawyer in the Bush administration. “The only two other presidents I can think of who were so hostile to judges on an individual level and to the judiciary as a whole would be Thomas Jefferson and Franklin Roosevelt,” he said.
  • Other legal scholars said they were worried about Mr. Trump’s commitment to the First Amendment. He has taken particular aim at The Washington Post and its owner, Jeff Bezos, the founder of Amazon
  • On one hand, Mr. Trump seemed to misunderstand the scope of presidential power. Libel is a state-law tort constrained by First Amendment principles, and a president’s views do not figure in its application.
  • “There are very few serious constitutional thinkers who believe public figures should be able to use libel as indiscriminately as Trump seems to think they should,” Professor Somin said. “He poses a serious threat to the press and the First Amendment.”
  • On the other hand, said Ilya Somin, a law professor at George Mason University, Mr. Trump’s comments betrayed a troubling disregard for free expression.
  • Many of Mr. Trump’s statements about legal issues were extemporaneous and resist conventional legal analysis. Some seemed to betray ignorance of fundamental legal concepts, as when he said in a debate that Senator Ted Cruz of Texas had criticized Mr. Trump’s sister, a federal appeals court judge, “for signing a certain bill,” adding for good measure that Justice Samuel A. Alito Jr., while still an appeals court judge, had also “signed that bill.”
  • But bills are legislative rather than judicial documents. And, as it happened, Judge Alito had not joined the opinion in question.
Javier E

Work Policies May Be Kinder, but Brutal Competition Isn't - The New York Times - 0 views

  • a closer look at the forces that drive the relentless pace at elite companies suggests that — however much the most sought-after employers in the country may be changing their official policies — brutal competition remains an inescapable component of workers’ daily lives. In some ways it’s getting worse.
  • the basic problem is that the rewards for ascending to top jobs at companies like Netflix and Goldman Sachs are not just enormous, they are also substantially greater than at companies in the next tier down. As a result, far more people are interested in these jobs than there are available slots, leading to the brutal competition
  • Grueling competition remains perhaps the defining feature of the upper echelon in today’s white-collar workplace.
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  • If anything, analysts point out, Amazon offers at least one major advantage over many other companies, which is that its founder and chief executive, Jeff Bezos, has created a culture in which employees typically know exactly where they stand. “It’s a super attention-rich environment,” said Marcus Buckingham, an author and founder of the firm TMBC, which advises large companies on employee evaluation and performance. “There’s a lot of critical attention. They’re almost never ignored.”
  • The legal profession, one of the most brutal when it comes to pace and time commitment, illuminates the economic logic of a system where a large initial cohort of workers is gradually culled until only a small fraction are left.
  • The so-called Cravath system, named after the prestigious New York law firm known today as Cravath, Swaine & Moore, began to be put in place in the early 20th century. The firm and its imitators hired a large class of entry-level associates from the top law schools in the country, then relentlessly sifted them out over a period of several years, at the end of which only the most brilliant and productive — historically about one in 10 or 15 — became partners.
  • Those who did not make partner got first-rate legal training along the way, though, and were almost always able to land respectable jobs at lesser firms or as in-house corporate lawyers. For Cravath, it was also a plus: The partners made good money billing out its associates at top-of-market rates.
  • The thinning process even has its own name among scholars of law firms: the tournament.
  • Variations on the tournament are also the norm at elite management consulting firms and investment banks.
  • in many cases, many of the overachievers who are candidates for upper management at companies like Amazon welcome the breakneck pace and unyielding expectations. They just want to know that the system will be meritocratic. “We don’t mind competition,” he said. “We mind unfair competition.”
  • But there are some signs of change, as more and more young highly credentialed workers acknowledge that they can’t fulfill their responsibilities as husbands, wives, parents and friends while ascending through their organizations.
  • As in previous decades, the legal profession may hint at what’s to come. Alternative work arrangements are proliferating, and many previously elite firms are finding they no longer have the profits or the partnership slots to make the Cravath system work, abandoning the field of play to only a tiny number of ultrasuccessful firms.
  • “Amazon is at the top of the food chain,” Professor Henderson said. “Maybe they can get away with it. But most firms can’t rank and yank.”
Javier E

A Staggeringly Well-Funded Blowback Machine | History News Network - 0 views

  • Watson Institute published an estimate of the taxpayer dollars that will have gone into America’s war on terror from September 12, 2001, through fiscal year 2018. That figure: a cool $5.6 trillion (including the future costs of caring for our war vets)
  • On average, that’s at least $23,386 per taxpayer.
  • how could you even begin to put a dollars-and-cents value on the larger human costs of those wars
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  • those refugees -- or at least fantasy versions of them -- played in Donald Trump’s full-throated, successful pitch for the presidency? What, in the end, might be the cost of that?
  • The tens of millions of people displaced in their own countries or sent as refugees fleeing across any border in sight?
  • How could you factor in the way those masses of uprooted peoples of the Greater Middle East and Africa are unsettling other parts of the planet?
  • for instance, helped fuel an expanding set of right-wing “populist” movements that threaten to tear Europe apart.
  • the hundreds of thousands of dead?
  • America’s never-ending twenty-first-century conflicts were triggered by the decision of George W. Bush and his top officials to instantly define their response to attacks on the Pentagon and the World Trade Center by a tiny group of jihadis as a “war”; then to proclaim it nothing short of a “Global War on Terror”; and finally to invade and occupy first Afghanistan and then Iraq, with dreams of dominating the Greater Middle East -- and ultimately the planet -- as no other imperial power had ever done
  • I’ve never forgotten the 2002 warning issued by Amr Moussa, then head of the Arab League. An invasion of Iraq would, he predicted that September, “open the gates of hell.”
  • It wasn’t just the US military that, in the spring of 2003, passed through those gates to hell. In our own way, we all did.
  • Bill Gates, Jeff Bezos, and Warren Buffett -- now possess as much wealth as the bottom half of the US population, of 160 million Americans,
  • How, for instance, could I begin to explain to them the ways in which, in these years, money flowed ever upward into the pockets of the immensely wealthy and then down again into what became one-percent elections that would finally ensconce a billionaire and his family in the White House?
  • none of this would have been imaginable if, in the aftermath of 9/11, George W. Bush, Dick Cheney & Co. hadn’t felt the urge to launch the wars that led us through those gates of hell. Their soaring geopolitical dreams of global domination proved to be nightmares of the first order. They imagined a planet unlike any in the previous half millennium of imperial history, in which a single power would basically dominate everything
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