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    Musk muses about Mars and Earth – but stays quiet on Twitter deal

    Musk muses about Mars and Earth – but stays quiet on Twitter dealBillionaire avoids talking of collapse of $44bn deal but talks about colonizing Mars and boosting Earth’s birthrates at conference Elon Musk reportedly talked about the colonization of Mars and boosting Earth’s birthrates during his keynote address at Allen & Co’s Sun Valley conference on Saturday, but he avoided discussing his attempt to withdraw from his $44bn bid to buy Twitter.Musk’s talk to close out this year’s edition of the Idaho conference which annually draws tech, media and finance gurus became one of the hottest tickets after lawyers for the Tesla boss filed notice Friday that he was terminating his bid to acquire Twitter. The billionaire accused the social media firm of failing to provide information on bot accounts, among other things, making observers wonder whether he would address such complaints at his speech scheduled for the next day.Elon Musk withdraws $44bn bid to buy Twitter after weeks of high dramaRead moreBut Musk – who is also chief of the private rocket company SpaceX – declined to do so. Instead, he mused about how he viewed Mars as a “civilian life insurance” if a disaster ever wiped out Earth, Bloomberg reported, citing the recollections of multiple people at the closed-door speech.The remarks on Mars echoed a tweet from him earlier this year that humans could land on the planet by 2029.Reuters, who reported speaking with attendees as well, wrote that Musk also expressed concern over the decline of birthrates in wealthy countries. And, Bloomberg added, he also renewed complaints about how Twitter had banned Donald Trump after the former president’s supporters staged the deadly US Capitol attack in early January 2021.It wasn’t immediately clear whether Musk was aware that Trump had called him a “bullshit artist” and his actions with Twitter “rotten” on Saturday while stumping for Republican political candidates in Alaska.Trump’s insult came after Musk last month said he was mulling throwing his support behind Florida’s governor, Ron DeSantis, rather than Trump as the Republican challenger to the Democrats’ Joe Biden in the 2024 presidential election.The chief executive officer of OpenAI, Sam Altman, reportedly moderated Musk’s talk Saturday.Musk’s withdrawal from Twitter deal sets stage for long court battleRead moreMusk may be in for a lengthy legal battle after notifying the public of his intent to withdraw from buying Twitter.Twitter chairperson Bret Taylor said the social media platform could sue Musk in a Delaware court to enforce the purchase deal they had struck with the world’s richest man. The agreement contained a provision that may force Musk to buy Twitter as long as he has financing in place, which the businessman said he had in May.Musk could also be fined $1bn if he goes through with ditching the deal, though he is trying to avoid the penalty by alleging that Twitter breached “multiple provisions” of its sale agreement.TopicsElon MuskTwitterUS politicsInternetnewsReuse this content More

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    The Crypto Crash: all Ponzi schemes topple eventually

    The Crypto Crash: all Ponzi schemes topple eventually Robert ReichWe’re back to the wild west finances of the 1920s as the crypto industry pours huge money into political campaigns One week ago, as cryptocurrency prices plummeted, Celsius Network – an experimental cryptocurrency bank with more than one million customers that has emerged as a leader in the murky world of decentralized finance, or DeFi – announced it was freezing withdrawals “due to extreme market conditions.”Earlier this past week, Bitcoin dropped 15 percent over 24 hours to its lowest value since December 2020. Last month, TerraUSD, a stablecoin – a system that was supposed to perform a lot like a conventional bank account but was backed only by a cryptocurrency called Luna – collapsed, losing 97 percent of its value in just 24 hours, apparently destroying some investors’ life savings.Eighty-nine years ago, Franklin D Roosevelt signed into law the Banking Act of 1933 – also known as the Glass-Steagall Act. It separated commercial banking from investment banking – Main Street from Wall Street – to protect people who entrusted their savings to commercial banks from having their money gambled away.Glass-Steagall’s larger purpose was to put an end to the giant Ponzi scheme that had overtaken the American economy in the 1920s and led to the Great Crash of 1929.Americans had been getting rich by speculating on shares of stock and various sorts of exotica (roughly analogous to crypto). These risky assets’ values rose solely because a growing number of investors put money into them.But at some point, Ponzi schemes topple of their own weight. When the toppling occurred in 1929, it plunged the nation and the world into a Great Depression. The Glass-Steagall Act was a means of restoring stability.But by the 1980s, America forgot the financial trauma of 1929. As the stock market soared, speculators noticed they could make lots more money if they could gamble with other people’s money – as speculators did in the 1920s. They pushed Congress to deregulate Wall Street, arguing that the United States financial sector would otherwise lose its competitive standing relative to other financial centers around the world.Finally, in 1999, Bill Clinton and Congress agreed to ditch what remained of Glass-Steagall.As a result, the American economy once again became a betting parlor. Inevitably, Wall Street suffered another near-death experience from excessive gambling. Its Ponzi schemes began toppling in 2008, just as they had in 1929.The difference was this time the US government bailed out the biggest banks and financial institutions. The wreckage was contained. Still, millions of Americans lost their jobs, their savings, and their homes (and not a single banking executive went to jail).Which brings us to the crypto crash.The current chair of the Securities and Exchange Commission, Gary Gensler, has described cryptocurrency investments as “rife with fraud, scams, and abuse.” In the murky world of crypto DeFi, it’s hard to know who provides money for loans, where the money flows, or how easy it is to trigger currency meltdowns.There are no standards for risk management or capital reserves. There are no transparency requirements. Investors often don’t know how their money is being handled. Deposits are not insured. We’re back to the wild west finances of the 1920s.Before the crypto crash, the value of cryptocurrencies had kept rising by attracting an ever-growing number of investors and some big Wall Street money, along with celebrity endorsements. But, again, all Ponzi schemes topple eventually. And it looks like crypto is now toppling.Why isn’t this market regulated? Mainly because of intensive lobbying by the crypto industry, whose kingpins want the Ponzi scheme to continue.Trillion-dollar crypto collapse sparks flurry of US lawsuits – who’s to blame?Read moreThe industry is pouring huge money into political campaigns.And it has hired scores of former government officials and regulators to lobby on its behalf – including three former chairs of the Securities and Exchange Commission, three former chairs of the Commodity Futures Trading Commission, three former US senators, one former White House chief of staff, and the former chair of the Federal Deposit Insurance Corporation.Former Treasury Secretary Lawrence Summers advises crypto investment firm Digital Currency Group Inc. and sits on the board of Block Inc., a financial-technology firm that is investing in cryptocurrency-payments systems.If we should have learned anything from the crashes of 1929 and 2008, it’s that regulation of financial markets is essential. Otherwise, they turn into Ponzi schemes that eventually leave small investors with nothing and destabilize the entire economy.It’s time for the Biden administration and Congress to regulate crypto.
    Robert Reich, a former US secretary of labor, is professor of public policy at the University of California at Berkeley and the author of Saving Capitalism: For the Many, Not the Few and The Common Good. His new book, The System: Who Rigged It, How We Fix It, is out now. He is a Guardian US columnist. His newsletter is at robertreich.substack.com
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    White House announces internet program for low-income Americans

    White House announces internet program for low-income AmericansWith new commitment from 20 internet providers, about 48m households will be eligible for $30 monthly plans The Biden administration announced on Monday that 20 internet companies have agreed to provide discounted service to people with low incomes, a program that could effectively make tens of millions of households eligible for free service through an already existing federal subsidy.The $1tn infrastructure package passed by Congress last year included $14.2bn in funding for the Affordable Connectivity Program, which provides $30 monthly subsidies ($75 in tribal areas) on internet service for millions of lower-income households.Jill Biden makes unannounced visit to Ukraine and meets first ladyRead moreWith the new commitment from the internet providers, about 48m households will be eligible for $30 monthly plans for 100 megabits per second, or higher speed, service – making internet service fully paid for with the government subsidy if they sign up with one of the providers participating in the program.Biden, during his White House run and the push for the infrastructure bill, made expanding high-speed internet access in rural and low-income areas a priority. He has repeatedly spoken out about low-income families have struggled to find reliable wifi, so their children could take part in remote schooling and complete homework assignments early in the coronavirus pandemic.“If we didn’t know it before, we know now: high-speed internet is essential,” the Democratic president said during a White House event last month honoring the National Teacher of the Year.The 20 internet companies that have agreed to lower their rates for eligible consumers provide service in areas where 80% of the US population, including 50% of the rural population, live, according to the White House. Participating companies that offer service on tribal lands are providing $75 rates in those areas, the equivalent of the federal government subsidy in those areas.Biden and Vice-President Kamala Harris on Monday were set to meet with telecom executives, members of Congress and others to spotlight the effort to improve access to high-speed internet for low-income households.The providers are Allo Communications, AltaFiber (and Hawaiian Telecom), Altice USA (Optimum and Suddenlink), Astound, AT&T, Breezeline, Comcast, Comporium, Frontier, IdeaTek, Cox Communications, Jackson Energy Authority, MediaCom, MLGC, Spectrum (Charter Communications), Starry, Verizon (Fios only), Vermont Telephone Co, Vexus Fiber and Wow! Internet, Cable and TV.American households are eligible for subsidies through the Affordable Connectivity Program if their income is at or below 200% of the federal poverty level, or if a member of their family participates in one of several programs, including the Supplemental Nutrition Assistance Program (Snap), Federal Public Housing Assistance (FPHA) and Veterans Pension and Survivors Benefit.TopicsUS newsBroadbandInternetBiden administrationIncome inequalityTelecommunications industryUS politicsnewsReuse this content More

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    Sandy Hook review: anatomy of an American tragedy – and the obscenity of social media

    Sandy Hook review: anatomy of an American tragedy – and the obscenity of social media Elizabeth Williamson’s book on the 2012 elementary school shooting is a near-unbearable, necessary indictment of Facebook, YouTube and the conspiracy theories they spreadEven in a country now completely inured to the horrors of mass shootings, the massacre at Sandy Hook remains lodged in the minds of everyone old enough to remember it. Ten years ago, 20-year-old Adam Lanza fired 154 rounds from an AR-15-style rifle in less than five minutes. Twenty extremely young children and six adults were killed.Sandy Hook’s tragic legacy: seven years on, a loving father is the latest victimRead moreIt was the worst elementary school shooting in American history.Elizabeth Williamson’s new book is about that “American Tragedy”, but more importantly it is about “the Battle for Truth” that followed. In excruciating detail, Williamson describes the unimaginable double tragedy every Sandy Hook parent has had to endure: the murder of their child, followed by years and years of an army of online monsters accusing them of inventing this unimaginable horror.Alex Jones of Infowars is the best-known villain of this ghastly narrative. His Facebook pages and YouTube channels convinced millions of fools the massacre was either some kind of government plot to encourage a push for gun control or, even more obscenely, that it was all carried out by actors and no one was killed at all.While a single deranged shooter was responsible for the original tragedy, Williamson makes clear she believes Facebook and Google (the owner of YouTube) deserve most of the blame for the subsequent horror the relatives of victims have endured.As Congressman Ro Khanna reported in his new book, Dignity in a Digital Age, an internal Facebook document estimated that “64% of all extremist group joins are due to our recommendations”.Those recommendations are the result of the infernal algorithms which are at the heart of the business models of Facebook and YouTube and are probably more responsible for the breakdown in civil society in the US and the world than anything else invented.“We thought the internet would give us this accelerated society of science and information,” says Lenny Pozner, whose son Noah was one of the Sandy Hook victims. But “really, we’ve gone back to flat earth”.It horrified Pozner “to see the image of his son, smiling in his bomber jacket, passed round by an online mob attacking Noah as a fake, a body double, a boy who never lived”. Relentless algorithms pushed those “human lies to the top” on an internet which has become an “all-powerful booster of outrage and denial”.Noah’s mother, Veronique De la Rosa, was another victim of Jones’s persistent, outrageous lies.“It’s like you’ve entered the ninth circle of hell,” she tells Williamson. “Never even in your wildest, most fear-fueled fantasies would you have guessed you’d find yourself having to fight not only through your grief, which you know is at times paralyzing, but to even prove that your son existed.”Lenny Pozner regularly saw his dead son described as an “alleged victim”, but it took years before Facebook and YouTube and Twitter took substantial action to quiet the insane conspiracies their own algorithms had done so much to reinforce.Facebook allowed a Sandy Hook Hoax group and dozens of others to operate virtually uninterrupted for two years. Hundreds of videos on YouTube, owned by Google, wallowed in the hoax, drawing thousands who made threats against the families.“Facebook and Twitter are monsters,” says Pozner. “Out-of-control beasts run like mom-and-pop shops.”Facebook “focuses on growth, to the exclusion of most everything else”, Williamson writes. The algorithms are designed to keep all of us on the platform as long as possible, and they operate “with relentless, sometimes murderous neutrality, rewarding whatever horrible behavior and false or inflammatory content captures and retains users”.In 2018, an open letter to Mark Zuckerberg by Pozner and De La Rosa, published in the Guardian, accused the Facebook chief of “allowing your platform to continue to be used as an instrument to disseminate hate”.Two days later, Facebook finally suspended Jones’s personal page but “took no action against Infowars’ account, which had 1.7 million followers”. YouTube removed four videos from Infowars’ channel and banned Jones from live-streaming for all of 90 days.An open letter to Mark Zuckerberg from the parents of a Sandy Hook victimRead moreHarry Farid heads the school of Information at the University of California Berkeley. He describes the perfect storm which is threatening democracy and civility everywhere: “You have bad people and trolls and people trying to make money by taking advantage of horrible things … you have social media websites who are not only welcoming and permissive of it but are promoting it, and then you have us, the unsuspecting public.”Williamson makes the important and usually forgotten point that nothing in the first amendment gives anyone the right to use a social media platform. All it says on this subject is that “Congress shall make no law … abridging the freedom of speech, or of the press.”As Farid points out, platforms have an absolute right to ban all forms of content “without running afoul of the constitution” – which is why Donald Trump had no judicial recourse when he was banned from Facebook and Twitter after the Capitol riot.But most of the time, Farid says, the platforms just look the other way: “Because they’re making so much goddamned money.”Last fall, the California Democrat Adam Schiff told the Guardian the blockbuster testimony of the Facebook whistleblower Frances Haugen would finally be enough to spur Congress to regulate the worst excesses of the big platforms. So far, their lobbyists have prevented such action. On Saturday, the Guardian asked Schiff if he still believed Congress might act in this session. “There is still a chance,” he wrote in an e-mail, adding that “the degree of Russian propaganda on social media attempting to justify their bloody invasion of Ukraine” might finally provide the “impetus” needed for change.
    Sandy Hook: An American Tragedy and the Battle for the Truth is published in the US by Dutton Books
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    Fake news alert! Donald Trump’s new social media app is a triumph | Arwa Mahdawi

    Fake news alert! Donald Trump’s new social media app is a triumphArwa MahdawiThe former president’s media venture, Truth Social has got off to a rocky start – with technical problems and potential legal issues to boot Truth hurts, everyone knows that. Nevertheless, I wasn’t expecting my experience with Truth Social, Donald Trump’s new social media venture, to be quite so painful. After months of fanfare, the former president’s new app, which is essentially a Twitter clone, was opened to the US public on Sunday night. Obviously, I signed up straight away – or at least I tried to.Donald Trump’s social media app launches on Apple storeRead moreI spent 20 frustrating minutes attempting to create a new account and getting error message after error message. Eventually, I managed to sign up with the username @stormyd, only to be told that I had been put on a waiting list “due to massive demand”. I was number 194,276 in line, apparently. Which, I’m sure, is a very precise number and not something they just pulled out of the air.It is unclear how many people were actually successful at getting on Truth Social – although the Guardian has reported that at least one Catholic priest managed to join. The fact that you, apparently, needed God on your side to secure an account wasn’t the only issue with the launch: the app has also run into potential legal trouble. It turns out Truth Social may not have just taken inspiration from Twitter, the app’s logo looks suspiciously like that of a British solar power startup called Trailar. “Great to see Donald Trump supporting a growing sustainability business!” Trailar tweeted on Monday. “Maybe ask next time?”If Trump’s new app failed to successfully launch on time, it would hardly be the surprise of the century. The last time he made a lot of noise about launching a new media platform, it turned out to be an underwhelming blog, which shuttered after just a few weeks. It’s not as if Trump put a technological genius in charge of Truth Social: Devin Nunes, head honcho at the app’s parent company, Trump Media & Technology Group (TMTG), may be most famous for the fact that he once unsuccessfully sued a cow.In 2019, Nunes, who used to be a Republican congressman, filed a $250m lawsuit against Twitter and two parody Twitter accounts: one was called “Devin Nunes’ Mom” and one was called “Devin Nunes’ Cow”. This is no laughing matter, I’ll have you know. The cow was very mean to him: it called the politician a “treasonous cowpoke” whose “boots are full of manure”. It was all very hard for the poor man, whose lawsuit claimed that the parody accounts subjected him to a “defamation campaign of stunning breadth and scope, one that no human being should ever have to bear and suffer in their whole life”.Nunes doesn’t just have beef with cows, by the way. He’s a big fan of suing anyone who says anything mean to him, and has launched defamation lawsuits against a number of journalists. He managed to juggle all these lawsuits with his political career for a while but, in December, announced he was leaving Congress to join TMTG. “The time has come to reopen the internet and allow for the free flow of ideas and expression without censorship,” he proclaimed. Unless cows are involved, obviously. No free speech or free flow of ideas for cows! Or pesky journalists. Or anyone who says anything unflattering, if we’re being honest.Truth Social’s marketing material talks about welcoming diverse opinions but the app’s terms and conditions are rather more restrictive. Under “prohibited activities”, the rules state that users of the site agree not to “disparage, tarnish, or otherwise harm, in our opinion, us and/or the Site”.A cynic might wonder whether the fact that you are not allowed to say mean things about Trump on his app may factor in why Melania doesn’t appear to be a big fan of her husband’s latest venture. A couple of weeks ago, you see, the former first lady entered into a “special arrangement” to share “exclusive communications” with the conservative social media app Parler. Why would she announce an exclusive relationship with a direct competitor to Truth Social shortly before it launched ? I’m not even going to begin to speculate. The truth is out there, but there’s a very long waiting list to get to it.
    Arwa Mahdawi is a Guardian columnist
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    Trump Truth Social app will be fully operational by end of March, Nunes says

    Trump Truth Social app will be fully operational by end of March, Nunes saysApple App Store lists rightwing Twitter alternative but ex-congressman tapped to lead company indicates slow rollout Donald Trump’s rightwing riposte to Twitter – his new social media app Truth Social – is supposed to launch on Monday. But the rollout of what the former president hopes will be the start of a new media empire continues to be shrouded in confusion and secrecy.Tim Scott, only Black Senate Republican, hints he could be Trump running mateRead moreDevin Nunes, the former Republican congressman and Trump loyalist who heads Trump Media & Technology Group (TMTG), told Fox News on Sunday Truth Social would make its debut on the Apple App Store this week. The app is featured on the store, with the notice “Expected Feb 21”.But the launch has been beset with delays. On the Fox News show Sunday Morning Futures, Nunes indicated that a full service was still weeks away.“Our goal is, I think we’re going to hit it, I think by the end of March we’re going to be fully operational at least within the United States,” he said.Truth Social is Trump’s answer to having been permanently thrown off Twitter after the company ruled that the then president’s tweets leading up to the US Capitol attack on January 6 2021 violated its policy against glorification of violence. The decision cut Trump off from direct contact with almost 90m followers.Facebook has also suspended Trump for comments inciting violence at the Capitol, but has left open the possibility of a return.Glimpses of what Truth Social will look like have been given in the past few days, prompting the observation that it looks remarkably similar to Twitter. Instead of blue ticks to denote verified accounts, it will use red ticks.Trump’s eldest son, Donald Jr, tweeted a screenshot of his father’s first post on Truth Social, which said: “Get ready! Your favorite President will see you soon!”The remark was much less memorable than the fact that the Truth Social screenshot and Donald Jr’s actual tweet looked virtually identical.Truth Social describes itself as a “big tent” social media platform “that encourages an open, free, and honest global conversation without discriminating against political ideology”.But given the initial teething problems of the launch, the former president could find it difficult to fill the hole in his public profile left by his banishment from established social media.Twitter records more than 200 million daily active users and Facebook almost 2 billion. By contrast Gettr, a social media outlet set up by Jason Miller, a former Trump adviser, claims 4 million users on average per month.Gettr is part of a growing number of social media start-ups vying to take on tech giants they accuse of censoring rightwing ideology. Gettr, Parler and Gab all present as rightwing alternatives to Twitter.Rumble is a video platform that sets itself up as conservative competition to YouTube. The company has said it will be providing video on the Truth Social app.The proliferation of rightwing social media sites, despite their relatively small reach compared with Silicon Valley giants, is prompting concern about their political impact.Observers have questioned whether the start-ups, which present themselves as forums for open untrammeled discussion, will act as breeding grounds for misinformation on subjects such as vaccinations, the climate crisis and election integrity.Truth Social has promised to ensure that its contents is “family friendly” and has reportedly entered a partnership with a San Francisco company, Hive, which will moderate posts using cloud-based artificial intelligence.Even the new app’s name is likely to be controversial, given Trump’s legendary struggles with veracity. The Washington Post calculated that in the four years of his presidency, the man now behind Truth Social made 30,573 false or misleading claims.TopicsDonald TrumpSocial mediaDigital mediaInternetUS politicsRepublicansnewsReuse this content More

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    Can a socialist live in a $2.7m mansion? | Arwa Mahdawi

    OpinionUS politicsCan a socialist live in a $2.7m mansion?Arwa MahdawiHasan Piker, a leftwing commentator with a huge online following, has attracted criticism after buying an expensive new home. But shouldn’t the left be concentrating on other things, such as getting into power? Tue 24 Aug 2021 09.48 EDTLast modified on Tue 24 Aug 2021 13.32 EDTHasan Piker, AKA Hasan the Hun, AKA “woke bae”, has bought a house. If you’re extremely online then you’ll know exactly what this means and already have a strong opinion about it. If you are a normal, well-adjusted, human being then you will have no idea what I’m talking about. So, in brief: Piker is a 30-year-old dude who has gained a massive following through leftwing political commentary on the streaming service Twitch. Spending several hours a day ranting about politics on the internet hasn’t just earned him more than a million followers, it’s also made him a lot of money: Piker has just bought a $2.7m (£1.9m) house with a swimming pool in West Hollywood. Cue screams of “class traitor” and “hypocrite!”Piker’s new pad has drawn a lot of criticism from fans who think he has betrayed his socialist values. It has also drawn predictable ire from the rightwing media, who have used the story to try to prove socialists don’t have any values. There is nothing conservatives love more than an opportunity to write a story along the lines of “FRAUD: self-proclaimed socialist buys something!” They seem to think that you can’t possibly critique capitalism if you own any sort of property. Alexandria Ocasio-Cortez, for example has been criticised by rightwing commentators for owning a nice jacket and a Tesla; Bernie Sanders has been slammed for owning three houses; Patrisse Cullors, a co-founder of Black Lives Matter and self-described Marxist, has been dubbed a hypocrite for buying multiple houses.Look, if you’re making a living through socialist politics then you shouldn’t be surprised if people raise an eyebrow when you shell out millions of dollars on property. That said, I don’t really care about Piker’s fancy new house. There is a strain of purity politics on the left that means that nobody seems to be able to do anything correctly. Had Piker bought a more modest house in a cheap neighbourhood, for example, he would probably have been accused of being a gentrifier. Instead of wasting all its time in-fighting, the left really ought to exert its energy building a broader base and trying to actually get into power. Let Piker enjoy his fancy new pool. There are bigger fish to fry.
    Arwa Mahdawi is a Guardian columnist
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