More stories

  • in

    The Storm is Upon Us review: indispensable QAnon history, updated

    The Storm is Upon Us review: indispensable QAnon history, updated Donald Trump welcomed the conspiracy at the White House. Its followers stormed Congress. Big Tech still seems not to care. Mike Rothschild’s book should sound the alarm for us allWhat is it that has hypnotized so many addled souls who devote themselves to decoding the Delphic clues of the QAnon conspiracy?QAnon’s ‘Q’ re-emerges on far-right message board after two years of silenceRead moreWhat they think they’re getting is “secret knowledge”, from “Q” and a bunch of other military insiders working for Donald Trump, about “the storm … a ringside seat to the final match” in a “secret war between good and evil” that will end with the slaughter of all “enemies of freedom”.In short, an irresistible mix of “biblical retribution and participatory justice”.The bad guys are “Democrats, Hollywood elites, business tycoons, wealthy liberals, the medical establishment, celebrities and the mass media … They’re controlled by Barack Obama” – a Muslim sleeper agent – and Hillary Clinton, “a blood-drinking ghoul who murders everyone in her way … and they’re funded by George Soros and the Rothschild banking family (no relation to the author)”.This updated edition of Mike Rothschild’s exhaustive history of the Q movement is more important than ever. Why? Partly because of the crucial role played by so many QAnon devotees in the storming of the Capitol on 6 January 2021 but mostly because Rothschild documents how much of this insanity has penetrated to the heart of the new Republican party, propelled by many of America’s most loathsome individuals, from Ted Cruz and Donald Trump Jr to Alex Jones, Michael Flynn and Roseanne Barr.As Rothschild writes of Trump’s first national security adviser, “Flynn’s family even filmed themselves taking the ‘digital soldier oath’… part of what would become a total enmeshment between members of the Flynn family and QAnon.”In the two years before the 2020 presidential election, “nearly 100 Republican candidates declared themselves to be Q Believers” while Trump “retweeted hundreds of Q followers, putting their violent fantasies and bizarre memes into tens of millions of feeds”.Asked about a movement which has repackaged most of the oldest and harshest racist and antisemitic conspiracies for a new age, Trump gave his usual coy endorsement of the behavior of America’s most damaged internet addicts.“I don’t know much about the movement,” he mumbled, “other than I understand they like me very much, which I appreciate.”In winter 2021, as the Omicron variant sent Covid cases skyrocketing, “QAnon promoters were among the most visible anti-vaccine advocates pushing out lies and conspiracy theories” to “dissuade people from getting vaccinated”.As with so many of QAnon adherents’ positions, the message was “both clear and completely contradicted by the available evidence: they believed the pandemic was over and any mandates related to vaccines or masks were totalitarian control mechanisms that were actually killing people”.More than anything else, this is the latest horrific confirmation of what the social psychologist Jonathan Haidt recently described as “the power of social media as a universal solvent, breaking down bonds and weakening institutions everywhere it reached”.Like so many other ghastly conspiracies of recent decades, especially the blood libel that the Sandy Hook massacre was a staged event in which no one was actually killed, QAnon was propelled at warp speed by a combination of the incompetence and greed of all the big-tech big shots: Facebook, Twitter, Instagram and YouTube.Rothschild describes the usual futile internet game of Whac-A-Mole.Reddit “abruptly banned the 70,000-member r/Great Awakening board because members had started harassing other users” and had released the personal information “of at least one person they incorrectly claimed to be a mass shooter”.No matter: Q followers just migrated to Twitter and “closed Facebook groups with tens of thousands of members … Just in 2018, Q believers shared Q YouTube videos over 1.4m times, and drove hundreds of thousands of shares to Fox News, Breitbart and the Gateway Pundit”.By 2019, “Trump was routinely retweeting QAnon-promoting accounts.” By the 2020 election, “Trump had retweeted hundreds … and was regularly sharing memes created by the movement”.When Twitter and Facebook finally started “cracking down on Q iconography in the summer of 2020”, much of the movement just moved on to Instagram. Amazon and Etsy joined in the fun with books and merchandise and there were even “Q apps on the Google Play Store”.‘The lunacy is getting more intense’: how Birds Aren’t Real took on the conspiracy theoristsRead moreQ’s legacy includes what now looks like the permanent deformation of the Republican party. A December 2020 poll by NPR/Ipsos found about a third of Americans believed in a shadowy “deep state” and a robust 23% of Republicans “believed in a pedophilic ring of Satan-worshiping elites”.Rothschild ends by asking behavioral experts if there is anything the rest of us can do to help those who have gone far down this wretched rabbit hole. They say the only effective solution is a complete “unplugging” from the internet.Every time I read another book like this one, I’m increasingly inclined to the idea that this could be the only road back to sanity for all of us.
    The Storm is Upon Us: How QAnon Became a Movement, Cult, and Conspiracy Theory of Everything is published in paperback in the US by Melville House
    TopicsBooksQAnonThe far rightPolitics booksUS politicsSocial mediaInternetreviewsReuse this content More

  • in

    On TikTok, Election Misinformation Thrives Ahead of Midterms

    The fast-growing platform’s poor track record during recent voting abroad does not bode well for elections in the U.S., researchers said.In Germany, TikTok accounts impersonated prominent political figures during the country’s last national election. In Colombia, misleading TikTok posts falsely attributed a quotation from one candidate to a cartoon villain and allowed a woman to masquerade as another candidate’s daughter. In the Philippines, TikTok videos amplified sugarcoated myths about the country’s former dictator and helped his son prevail in the country’s presidential race.Now, similar problems have arrived in the United States.Ahead of the midterm elections this fall, TikTok is shaping up to be a primary incubator of baseless and misleading information, in many ways as problematic as Facebook and Twitter, say researchers who track online falsehoods. The same qualities that allow TikTok to fuel viral dance fads — the platform’s enormous reach, the short length of its videos, its powerful but poorly understood recommendation algorithm — can also make inaccurate claims difficult to contain.Baseless conspiracy theories about certain voter fraud in November are widely viewed on TikTok, which globally has more than a billion active users each month. Users cannot search the #StopTheSteal hashtag, but #StopTheSteallll had accumulated nearly a million views until TikTok disabled the hashtag after being contacted by The New York Times. Some videos urged viewers to vote in November while citing debunked rumors raised during the congressional hearings into the Jan. 6, 2021, attack on the Capitol. TikTok posts have garnered thousands of views by claiming, without evidence, that predictions of a surge in Covid-19 infections this fall are an attempt to discourage in-person voting.The spread of misinformation has left TikTok struggling with many of the same knotty free speech and moderation issues that Facebook and Twitter have faced, and have addressed with mixed results, for several years.But the challenge may be even more difficult for TikTok to address. Video and audio — the bulk of what is shared on the app — can be far more difficult to moderate than text, especially when they are posted with a tongue-in-cheek tone. TikTok, which is owned by the Chinese tech giant ByteDance, also faces many doubts in Washington about whether its business decisions about data and moderation are influenced by its roots in Beijing.“When you have extremely short videos with extremely limited text content, you just don’t have the space and time for nuanced discussions about politics,” said Kaylee Fagan, a research fellow with the Technology and Social Change Project at the Harvard Kennedy School’s Shorenstein Center. TikTok had barely been introduced in the United States at the time of the 2018 midterm elections and was still largely considered an entertainment app for younger people during the 2020 presidential election. Today, its American user base spends an average of 82 minutes a day on the platform, three times more than on Snapchat or Twitter and twice as long as on Instagram or Facebook, according to a recent report from the app analytics firm Sensor Tower. TikTok is becoming increasingly important as a destination for political content, often produced by influencers.The company insists that it is committed to combating false information. In the second half of 2020, it removed nearly 350,000 videos that included election misinformation, disinformation and manipulated media, according to a report it released last year. The platform’s filters kept another 441,000 videos with unsubstantiated claims from being recommended to users, the report said.TikTok says it removed nearly 350,000 videos that included election misinformation, disinformation and manipulated media in the second half of 2020.TikTokThe service blocked so-called deepfake content and coordinated misinformation campaigns ahead of the 2020 election, made it easier for users to report election falsehoods and partnered with 13 fact-checking organizations, including PolitiFact. Researchers like Ms. Fagan said TikTok had worked to shut down problematic search terms, though its filters remain easy to evade with creative spellings.“We take our responsibility to protect the integrity of our platform and elections with utmost seriousness,” TikTok said in a statement. “We continue to invest in our policy, safety and security teams to counter election misinformation.”But the service’s troubling track record during foreign elections — including in France and Australia this year — does not bode well for the United States, experts said.TikTok has been “failing its first real test” in Africa in recent weeks, Odanga Madung, a researcher for the nonprofit Mozilla Foundation, wrote in a report. The app struggled to tamp down on disinformation ahead of last week’s presidential election in Kenya. Mr. Madung cited a post on TikTok that included an altered image of one candidate holding a knife to his neck and wearing a blood-streaked shirt, with a caption that described him as a murderer. The post garnered more than half a million views before it was removed.“Rather than learn from the mistakes of more established platforms like Facebook and Twitter,” Mr. Madun wrote, “TikTok is following in their footsteps.”TikTok has also struggled to contain nonpolitical misinformation in the United States. Health-related myths about Covid-19 vaccines and masks run rampant, as do rumors and falsehoods about diets, pediatric conditions and gender-affirming care for transgender people. A video making the bogus claim that the mass shooting at Robb Elementary School in Uvalde, Texas, in May had been staged drew more than 74,000 views before TikTok removed it.Posts on TikTok about Russia’s war in Ukraine have also been problematic. Even experienced journalists and researchers analyzing posts on the service struggle to separate truth from rumor or fabrication, according to a report published in March by the Shorenstein Center.TikTok’s design makes it a breeding ground for misinformation, the researchers found. They wrote that videos could easily be manipulated and republished on the platform and showcased alongside stolen or original content. Pseudonyms are common; parody and comedy videos are easily misinterpreted as fact; popularity affects the visibility of comments; and data about publication time and other details are not clearly displayed on the mobile app.(The Shorenstein Center researchers noted, however, that TikTok is less vulnerable to so-called brigading, in which groups coordinate to make a post spread widely, than platforms like Twitter or Facebook.)During the first quarter of 2022, more than 60 percent of videos with harmful misinformation were viewed by users before being removed, TikTok said. Last year, a group of behavioral scientists who had worked with TikTok said that an effort to attach warnings to posts with unsubstantiated content had reduced sharing by 24 percent but had limited views by only 5 percent.Researchers said that misinformation would continue to thrive on TikTok as long as the platform refused to release data about the origins of its videos or share insight into its algorithms. Last month, TikTok said it would offer some access to a version of its application programming interface, or A.P.I., this year, but it would not say whether it would do so before the midterms.Filippo Menczer, an informatics and computer science professor and the director of the Observatory on Social Media at Indiana University, said he had proposed research collaborations to TikTok and had been told, “Absolutely not.”“At least with Facebook and Twitter, there is some level of transparency, but, in the case of TikTok, we have no clue,” he said. “Without resources, without being able to access data, we don’t know who gets suspended, what content gets taken down, whether they act on reports or what the criteria are. It’s completely opaque, and we cannot independently assess anything.”U.S. lawmakers are also calling for more information about TikTok’s operations, amid renewed concerns that the company’s ties to China could make it a national security threat. The company has said it plans to keep data about its American users separate from its Chinese parent. It has also said its rules have changed since it was accused of censoring posts seen as antithetical to Beijing’s policy goals.The company declined to say how many human moderators it had working alongside its automated filters. (A TikTok executive told British politicians in 2020 that the company had 10,000 moderators around the world.) But former moderators have complained about difficult working conditions, saying they were spread thin and sometimes required to review videos that used unfamiliar languages and references — an echo of accusations made by moderators at platforms like Facebook.In current job listings for moderators, TikTok asks for willingness to “review a large number of short videos” and “in continuous succession during each shift.”In a lawsuit filed in March, Reece Young of Nashville and Ashley Velez of Las Vegas said they had “suffered immense stress and psychological harm” while working for TikTok last year. The former moderators described 12-hour shifts assessing thousands of videos, including conspiracy theories, fringe beliefs, political disinformation and manipulated images of elected officials. Usually, they said, they had less than 25 seconds to evaluate each post and often had to watch multiple videos simultaneously to meet TikTok’s quotas. In a filing, the company pushed for the case to be dismissed in part because the plaintiffs had been contractors hired by staffing services, and not directly by TikTok. The company also noted the benefits of human oversight when paired with its review algorithms, saying, “The significant social utility to content moderation grossly outweighs any danger to moderators.”Election season can be especially difficult for moderators, because political TikTok posts tend to come from a diffuse collection of users addressing broad issues, rather than from specific politicians or groups, said Graham Brookie, the senior director of the Digital Forensic Research Lab at the Atlantic Council.“The bottom line is that all platforms can do more and need to do more for the shared set of facts that social democracy depends on,” Mr. Brookie said. “TikTok, in particular, sticks out because of its size, its really, really rapid growth and the number of outstanding issues about how it makes decisions.” More

  • in

    How Some Parents Changed Their Politics in the Pandemic

    ORINDA, Calif. — They waved signs that read “Defeat the mandates” and “No vaccines.” They chanted “Protect our kids” and “Our kids, our choice.”Almost everyone in the crowd of more than three dozen was a parent. And as they protested on a recent Friday in the Bay Area suburb of Orinda, Calif., they had the same refrain: They were there for their children.Most had never been to a political rally before. But after seeing their children isolated and despondent early in the coronavirus pandemic, they despaired, they said. On Facebook, they found other worried parents who sympathized with them. They shared notes and online articles — many of them misleading — about the reopening of schools and the efficacy of vaccines and masks. Soon, those issues crowded out other concerns.“I wish I’d woken up to this cause sooner,” said one protester, Lisa Longnecker, 54, who has a 17-year-old son. “But I can’t think of a single more important issue. It’s going to decide how I vote.”Ms. Longnecker and her fellow objectors are part of a potentially destabilizing new movement: parents who joined the anti-vaccine and anti-mask cause during the pandemic, narrowing their political beliefs to a single-minded obsession over those issues. Their thinking hardened even as Covid-19 restrictions and mandates were eased and lifted, cementing in some cases into a skepticism of all vaccines.Nearly half of Americans oppose masking and a similar share is against vaccine mandates for schoolchildren, polls show. But what is obscured in those numbers is the intensity with which some parents have embraced these views. While they once described themselves as Republicans or Democrats, they now identify as independents who plan to vote based solely on vaccine policies.Their transformation injects an unpredictable element into November’s midterm elections. Fueled by a sense of righteousness after Covid vaccine and mask mandates ended, many of these parents have become increasingly dogmatic, convinced that unless they act, new mandates will be passed after the midterms.To back up their beliefs, some have organized rallies and disrupted local school board meetings. Others are raising money for anti-mask and anti-vaccine candidates like J.D. Vance, the Republican nominee for Senate in Ohio; Reinette Senum, an independent running for governor in California; and Rob Astorino, a Republican gubernatorial candidate in New York.In interviews, 27 parents who called themselves anti-vaccine and anti-mask voters described strikingly similar paths to their new views. They said they had experienced alarm about their children during pandemic quarantines. They pushed to reopen schools and craved normalcy. They became angry, blaming lawmakers for the disruption to their children’s lives.Many congregated in Facebook groups that initially focused on advocating in-person schooling. Those groups soon latched onto other issues, such as anti-mask and anti-vaccine messaging. While some parents left the online groups when schools reopened, others took more extreme positions over time, burrowing into private anti-vaccine channels on messaging apps like WhatsApp and Telegram.Eventually, some began questioning vaccines for measles and other diseases, where inoculations have long been proven effective. Activists who oppose all vaccines further enticed them by joining online parent groups and posting inaccurate medical studies and falsehoods.“So many people, but especially young parents, have come to this cause in the last year,” said Janine Pera, 65, a longtime activist against all vaccines who attended the Orinda protest. “It’s been a huge gift to the movement.”The extent of activity is evident on Facebook. Since 2020, more than 200 Facebook groups aimed at reopening schools or opposing closings have been created in states including Texas, Florida and Ohio, with more than 300,000 members, according to a review by The New York Times. Another 100 anti-mask Facebook groups dedicated to ending masking in schools have also sprung up in states including New Jersey, New York and Connecticut, some with tens of thousands of members.Since the outbreak of Covid-19, many Facebook groups have sprung up opposing mask mandates.Renée DiResta, a research manager at the Stanford Internet Observatory who has studied anti-vaccine activism, said the movement had indoctrinated parents into feeling “like they are part of their community, and that community supports specific candidates or policies.”Their emergence has confounded Republican and Democratic strategists, who worried they were losing voters to candidates willing to take absolute positions on vaccines and masks.“A lot of Democrats might think these voters are now unreachable, even if they voted for the party recently,” said Dan Pfeiffer, a Democratic political adviser to former President Barack Obama.Read More on Facebook and MetaA New Name: In 2021, Mark Zuckerberg announced that Facebook would change its name to Meta, as part of a wider strategy shift toward the so-called metaverse that aims at introducing people to shared virtual worlds.Morphing Into Meta: Mr. Zuckerberg is setting a relentless pace as he leads the company into the next phase. But the pivot  is causing internal disruption and uncertainty.Zuckerberg’s No. 2: In June, Sheryl Sandberg, the company’s chief financing officer announced she would step down from Meta, depriving Mr. Zuckerberg of his top deputy.Tough Times Ahead: After years of financial strength, the company is now grappling with upheaval in the global economy, a blow to its advertising business and a Federal Trade Commission lawsuit.Nathan Leamer, who worked at the Federal Communications Commission during the Trump administration and is now vice president of public affairs at the firm Targeted Victory, said Republican candidates — some of whom have publicly been against Covid vaccine mandates — were better positioned to attract these voters. He pointed to last year’s surprise win in Virginia of Gov. Glenn Youngkin, a Republican, after he gained the support of young parents by invoking their frustration over Covid-driven school closures.Even so, Mr. Leamer said, these parents were a wild card in November. “The truth is that we don’t really know what these voters will do,” he said.‘I Found My People’Natalya Murakhver, 50, once considered herself a Democrat who prioritized environmental and food sustainability issues. Sam James, 41, said he was a Democrat who worried about climate change. Sarah Levy, 37, was an independent who believed in social justice causes.That was before the pandemic. In 2020, when the coronavirus swept in and led to lockdowns, Ms. Murakhver’s two daughters — Violet, 5, and Clementine, 9 — climbed the walls of the family’s Manhattan apartment, complaining of boredom and crying that they missed their friends.In Chicago, Mr. James’s two toddlers developed social anxiety after their preschool shuttered, he said. Ms. Levy said her autistic 7-year-old son watched TV for hours and stopped speaking in full sentences.“We were seeing real trauma happening because programs for children were shut down,” said Ms. Levy, a stay-at-home mother in Miami.But when they posted about the fears for their children on Facebook, Instagram or Twitter, they were told to stop complaining, they said. Other parents called them “selfish” and “whiny.” Alienated, they sought other like-minded parents online.Many found a community on Facebook. New groups, mostly started by parents, were rapidly appearing on the social network, with people pushing for schools to reopen. In California, 62 Facebook groups dedicated to reopening or keeping elementary schools open popped up late last year, according to a review by The Times. There were 21 such groups in Ohio and 37 in New York. Most ranged in size from under 100 members to more than 150,000.Facebook, which is owned by Meta, declined to comment.The company has removed groups that spread misinformation about Covid-19 and vaccines.“We couldn’t stand by and watch our children suffer without their friends and teachers,” said Natalya Murakhver, a mother of two.Marko Dukic for The New York TimesMs. Murakhver joined some Facebook groups and became particularly active in one called “Keep NYC Schools Open,” which petitioned the city to open schools and keep them open through Covid surges. Last year, she became a group administrator, helping to admit new members and moderating discussions. The group swelled to 2,500 members.“We had the same cause to rally behind,” Ms. Murakhver said. “We couldn’t stand by and watch our children suffer without their friends and teachers.”In Chicago, Mr. James joined two Facebook groups pushing Chicago schools to reopen. In Miami, Ms. Levy jumped into national Facebook groups and discussed how to force the federal government to mandate that schools everywhere reopen.“I found my people,” Ms. Levy said. While she had been an independent, she said she found common ground with Republicans “who understood that for us, worse than the virus, was having our kid trapped at home and out of school.”Into the Online Rabbit HoleThe Facebook groups were just the beginning of an online journey that took some parents from more mainstream views of reopening schools toward a single-issue position.In Chico, Calif., Kim Snyder, 36, who has a 7-year-old daughter and 9-year-old son, said she was a longtime Republican. After her children had to stay home in the pandemic, she helped create a Facebook group in 2020 for Chico parents committed to reopening schools full-time.At the time, her local schools had partially reopened and children were learning both online and in-person, Ms. Snyder said. But frustration over hybrid learning was mounting, and schools were repeatedly shut down when Covid surged.By mid-2021, Ms. Snyder’s Facebook group had splintered. Some parents were satisfied with the safety measures and hybrid learning and stopped participating in online discussions, she said. Others were angry that they had not returned to a prepandemic way of living.Protesters demanded the removal of the indoor mask mandate for the Los Angeles Unified School District in March.Caroline Brehman/EPA, via ShutterstockMs. Snyder counted herself in the latter category. She channeled her discontent by attending in-person protests against mask requirements at public schools. At the rallies, she met activists who opposed all types of vaccines. She invited some to join her Facebook group, she said, “because we were all fighting for the same thing. We wanted a return to normalcy.”The focus of her Facebook group soon morphed from reopening schools to standing against masks in schools. By late last year, more content decrying every vaccine had also started appearing in the Facebook group.“I started to read more about how masks and vaccines were causing all this damage to our kids,” Ms. Snyder said.Scientific advisers to the Centers for Disease Control and Prevention have said the Pfizer-BioNTech and Moderna coronavirus vaccine shots are considered safe for young children. But Ms. Snyder said she became convinced they were wrong. She browsed other Facebook groups too, to meet more parents with similar beliefs.Activists posted statistics about Covid vaccines in those Facebook groups. Often that information came from the Vaccine Adverse Event Reporting System, a database maintained by the C.D.C. and the Food and Drug Administration, which allows anyone to submit data. The C.D.C. has warned that the database “cannot prove that a vaccine caused a problem.”Yet in a September 2021 post in Ms. Snyder’s Facebook group, parents pointed to VAERS figures that they said showed thousands of vaccine-induced deaths.“This is absolutely dangerous!” one parent wrote. “This hasn’t been really tested and is NOT NECESSARY….OMG!”Another post titled “If you want to really know what is going on, read this” linked to an article that falsely claimed vaccines could leave children sterile. The article was originally posted to a Facebook group named Children’s Health Defense, which supports an organization founded and chaired by the anti-vaccine activist Robert F. Kennedy Jr.That tipped some parents into repudiating every vaccine, from chickenpox to hepatitis, and against vaccine mandates of any kind. A right to self-determination so that parents could decide what vaccines their children took was paramount.“For the first time, I began to look at the statistics and questioned whether all the vaccines I had previously given my kids made sense,” Ms. Snyder said.Soon she joined explicitly anti-vaccine Facebook groups that activists linked to, including ones supporting Children’s Health Defense. In those forums, parents seethed at the authorities, arguing they had no right to tell them what to do with their children’s bodies. Activists posted other links to Twitter and Telegram and urged parents to join them there, warning that Facebook often removed their content for misinformation.One link led to a Telegram channel run by Denise Aguilar, an anti-vaccine activist in Stockton, Calif. Ms. Aguilar, who speaks about her experiences as a mother on social media and on conservative podcasts, also runs a survivalist organization called Mamalitia, a self-described mom militia. She has more than 100,000 followers across her TikTok and Telegram channels.Early in the pandemic, Ms. Aguilar posted conspiracy theories about the coronavirus’s origins and questioned the effectiveness of masking. Now her messaging has changed to focus on political activism for the midterms. Denise Aguilar, right, an anti-vaccine activist, joined other activists in blocking the door to Gov. Gavin Newsom’s office in Sacramento in September 2019.Rich Pedroncelli/Associated PressIn June, Ms. Aguilar encouraged her Telegram followers to vote for Carlos Villapudua, a Democrat running for California State Assembly who voted against a bill that would let children aged 12 and older get vaccinated without parental consent.“Patriots unite!” wrote Ms. Aguilar, who didn’t respond to a request for comment. “We need to support freedom loving Americans.”From Talk to ActionBy late last year, the talk among parent groups on Facebook, Telegram and Instagram had shifted from vaccine dangers to taking action in the midterms.Ms. Snyder said her involvement against vaccines would “100 percent determine” whom she voted for in November. She said she was disappointed in Gov. Gavin Newsom of California, a Democrat who encouraged masking and promoted the coronavirus vaccines.In New York, Ms. Murakhaver, who previously supported candidates who favored strong environmental protection laws, said she would vote based solely on a candidate’s position on mandates on all children’s vaccines.The Facebook group she helped operate, Keep NYC Schools Open, has shut down. But Ms. Murakhaver remains close with activists she met through the group, chatting with them on Signal and WhatsApp. While her children were vaccinated against measles and other diseases when they were babies, she now opposes any mandate that would force other parents to inoculate their children.“I’m a single-issue voter now, and I can’t see myself supporting Democratic Party candidates unless they show they fought to keep our kids in school and let parents make decisions about masks and vaccines,” she said, adding that she prefers Mr. Astorino for New York governor over the Democratic incumbent, Kathy Hochul.While states including California have deferred bills requiring Covid-19 vaccines for students attending public schools, many parents said they worried the mandates would be passed after the midterms.“If we don’t show up and vote, these bills could come back in the future,” Ms. Snyder said.A “Defeat the Mandate” rally in April to protest vaccine mandates.Damian Dovarganes/Associated PressAt the Orinda demonstration in April, more than 50 people gathered outside the office of Steve Glazer, a Democratic state senator to oppose coronavirus vaccine mandates.One was Jessica Barsotti, 56, who has two teenagers and was at her first rally. Previously a Democrat, Ms. Barsotti said elected officials had let her family down during the pandemic and planned to cast her ballot in November for candidates who were against vaccine mandates.“If that is Republicans so be it. If it is independents, fine,” she said. “I’m not looking at their party affiliation but how they fall on this one issue. It’s changed me as a person and as a voter.” More

  • in

    Big Tech and the Fed

    Some tech companies’ earnings are flagging, in what could be a positive sign for the Federal Reserve.Still big.Noah Berger/Agence France-Presse — Getty ImagesWhat tech earnings say about the economy The long-booming bottom lines of major tech companies are all of a sudden smaller than expected. That might be a good thing. Big Tech sailed through the pandemic with its profits mostly intact. The fact that some firms’ results are now flagging could be a positive sign for the Federal Reserve, which is trying to engineer a slowdown as it fights the nation’s worst bout of inflation in four decades.The big question for investors, and perhaps the Fed, is whether the profits of Apple, Alphabet, Amazon and the other tech giants, along with corporate America in general, have fallen enough.Microsoft and Alphabet, Google’s parent company, kicked off what appears to be a disappointing round of quarterly reports for the U.S.’s largest tech companies yesterday. Meta will release its results this afternoon, with Apple and Amazon rounding out Big Tech’s earnings announcements tomorrow.Microsoft’s profits, while below expectations, were still up. Sales of its signature software products, like Office, rose 13 percent. Its cloud services were up 40 percent. And LinkedIn, the professional social network Microsoft bought in 2016, grew 26 percent from a year ago, continuing to benefit from the tightest job market in decades.Alphabet’s sales rose 13 percent. In another good sign for the economy, the jump was driven by better-than-expected sales in its core Google search engine business, while results were mixed elsewhere. A jump in expenses and an exit from its Russian-related businesses caused profits to slump 14 percent.The results were positive enough for investors. Alphabet’s shares rose nearly 5 percent on the earnings news to $110. Microsoft’s shares jumped $10, or nearly 4 percent, to $262. Executives at both companies said they saw evidence of a weaker economy. “We are not immune to what is happening in the macro broadly,” Satya Nadella, Microsoft’s chief executive, said on a call with analysts. Alphabet’s chief financial officer, Ruth Porat, told analysts that a pullback in spending by some advertisers reflected “uncertainty about a number of factors.”Few are betting that the earnings reports will change the Fed’s approach. Its policymakers are meeting this week, and they are widely expected to continue raising benchmark interest rates. While central bankers “will likely acknowledge a recent weakening in economic momentum, the Fed will likely feel the need to appear resolute in battling inflation until there are clear signs that it is abating,” wrote David Kelly, the chief global strategist of J.P. Morgan Asset Management, in a note to clients earlier this week.HERE’S WHAT’S HAPPENING Kraken, the crypto exchange, is under investigation for possible sanctions violations. The Treasury Department is looking into whether Kraken illegally allowed users in Iran and elsewhere to buy and sell digital tokens. Shares of Coinbase, a larger crypto exchange, plunged yesterday after reports that the S.E.C. was investigating whether it allowed trading in unregistered securities. Cathie Wood’s Ark funds reportedly dumped Coinbase shares yesterday for the first time this year.Antitrust legislation aimed at Big Tech may be off the table for now. Chuck Schumer, the Senate majority leader, told donors at a Capitol Hill fund-raiser yesterday that the American Innovation and Choice Online Act, which he had promised to bring to a vote this summer, lacks the support needed to get it to the Senate floor, Bloomberg reported. The bill’s bipartisan backers have been pressuring Schumer to act fast, before midterm elections that could change the balance of power in Congress.One America News, once a dependable Trump promoter, is struggling to survive. The network is being dropped by major carriers and faces a wave of defamation lawsuits for its outlandish stories about the 2020 election. OAN’s most recent blow is from Verizon, which will stop carrying the network on its Fios television service this week. It is now available to only a few thousand people who subscribe to regional cable providers.Teva Pharmaceuticals reaches a tentative $4.25 billion settlement over opioids. The proposed settlement, which is with some 2,500 local governments, states and tribes, would end thousands of lawsuits against one of the largest producers of the painkillers during the height of the opioid epidemic.Florida’s largest utility secretly funded a website that attacked its critics. Florida Power & Light bankrolled and controlled The Capitolist, a news site aimed at Florida lawmakers, through intermediaries from an Alabama consulting firm, an investigation by The Miami Herald found. The site claimed to be independent, but it advocated rate hikes and legislative favors in efforts that were directed by top executives at the utility.BlackRock downshifts on E.S.G. BlackRock, the world’s largest asset manager, slashed its support for shareholder proposals on environmental and social issues this year, backing only 24 percent of such resolutions in the proxy season that ended in June, down from 43 percent in the previous period. The firm, which has long led the conscious investing movement, said this year’s proposals were “less supportable” and cited new regulatory guidance that opened the door to a broader range of policy-related proposals.The firm has criticized overly “prescriptive” resolutions. In a May memo, BlackRock signaled that Russia’s war in Ukraine was straining global energy supplies and shifting its calculations. “Many climate-related shareholder proposals sought to dictate the pace of companies’ energy transition plans despite continued consumer demand,” wrote the firm’s global head of investment stewardship, Sandy Boss. She noted that shareholders generally supported fewer environmental and social proposals this year as well, voting for 27 percent of resolutions, down from 36 percent in the previous proxy period.Opposition to E.S.G. is mounting. The environmental, social and governance investment push has been labeled “woke capitalism” by critics and is under fire from executives like Tesla’s Elon Musk, major investors like Bill Ackman and Republican politicians. In a speech yesterday, former Vice President Mike Pence, a possible 2024 hopeful, said that big government and big business were together advancing a “pernicious woke agenda.”E.S.G. supporters say critics may have a point. Andrew Behar, C.E.O. of the shareholder advocacy group As You Sow, agrees that many supposed E.S.G. investments don’t reflect true sustainability — with ever more capital directed toward the idea and many funds failing to live up to their promises. Behar argued that more corporate disclosures — which anti-E.S.G. groups oppose — would help to ensure that green investing actually works. He argues that critics also ignore a key financial incentive driving investor interest: knowing and lowering the costs of environmental issues throughout company operations, including risks from changing weather and the transition to more sustainable models. “We don’t have an E.S.G. problem,” Behar told DealBook. “We have a naming problem.”“I quit Starbucks. I had to. I just didn’t feel like that was justifiable. It’s like a small car payment.” — Fontaine Weyman, a 43-year-old songwriter from Charleston, S.C., on changing her coffee habits. Many Americans are dealing with the fastest inflation of their adult lives across a broad range of goods and services.Instagram tries to explain itself Instagram responded yesterday to criticism from some of its most popular users, including Kylie Jenner, about new features that made it more like its top rival, TikTok, the fast-growing video app owned by the Chinese company ByteDance.Adam Mosseri, Instagram’s head, said that it was experimenting with several changes, and that he knew users were unhappy. “It’s not yet good,” he said of some of the tweaks in a video post. He stressed Instagram’s commitment to photos, the app’s original focus, but said, “I’m going to be honest, I do believe that more and more of Instagram is going to become video over time.”Reels, a short-video product, is one of the six main investment priorities at Meta, which owns Facebook and Instagram, according to an internal memo last month from Chris Cox, the company’s chief product officer. Cox said that users had doubled the amount of time they spent on Reels year over year, and that Meta would prioritize boosting ads in Reels “as quickly as possible.” Last week, Instagram announced that almost all videos in the app would be posted as Reels.The changes come as Meta heads into a new phase. Mark Zuckerberg, its founder and chief executive, has cut costs, reshuffled his leadership team and made clear that low-performing employees will be let go, writes The Times’s Mike Isaac. “Realistically, there are probably a bunch of people at the company who shouldn’t be here,” Zuckerberg said on a call late last month. In recent months, profit at Meta has fallen and revenue has slowed as the company has spent lavishly on augmented and virtual reality projects, and as the economic slowdown has hurt its advertising business.The high-profile complaints about Instagram’s revamp started in recent days, when Kylie Jenner, the beauty mogul with 361 million Instagram followers, shared an image on the site that read: “Make Instagram Instagram again. (stop trying to be tiktok i just want to see cute photos of my friends.) Sincerely, everyone.”“PRETTY PLEASE,” Kim Kardashian, Jenner’s half sister and the seventh-most-followed Instagram user, echoed in a later post. Yesterday, Chrissy Teigen, a model and author with 39 million followers, responded to Mosseri in a tweet, saying, “we don’t wanna make videos Adam lol.”Companies have reason to listen when social media stars speak up, writes The Times’s Kalley Huang. In 2018, after Snapchat overhauled its interface, Jenner tweeted: “sooo does anyone else not open Snapchat anymore? Or is it just me….” Within a week, Snap, the app’s parent company, had lost $1.3 billion in market value.THE SPEED READ DealsThe activist investor Elliott Management reportedly has a stake in Paypal and is pushing it to cut costs faster. (WSJ, Bloomberg)Twitter shareholders will be asked to vote on Elon Musk’s potential acquisition in September. (Bloomberg)PolicyThe Senate advanced an industrial policy bill that includes more than $52 billion in subsidies for chip makers building U.S. plants. (NYT)The short seller Carson Block is being sued over a $14 million award from the S.E.C. that raised questions about the agency’s whistle-blower program. (Bloomberg)After Apple launched a “buy now, pay later” service, the top U.S. consumer finance regulator warned Big Tech about undermining competition in the sector. (FT)A federal judge ruled that Uber doesn’t have to offer wheelchair-accessible cars in every city. (The Verge)Best of the restCredit Suisse, which reported larger second-quarter losses than expected, replaced its C.E.O. (FT)Customers are paying billions of dollars in fees for “free” checking. (Bloomberg)The default settings in Apple, Google, Amazon and Microsoft products that you should turn off right away. (NYT)This man sells mud to Major League Baseball. (NYT)“The Case of the $5,000 Springsteen Tickets” (NYT)R.I.P., Choco Taco. (NYT)We’d like your feedback! Please email thoughts and suggestions to dealbook@nytimes.com. More

  • in

    Has Democrat John Fetterman found a way to beat the reality-TV politician?

    Has Democrat John Fetterman found a way to beat the reality-TV politician?The Pennsylvania Senate hopeful is wielding social media might against star power. His secret weapon? Snooki Whether it’s Ronald, Donald or Arnold, Americans are all too familiar with the phenomenon of the second-tier celebrity turned politician. So when the TV doctor Mehmet Oz decided to run for Senate in Pennsylvania, his background as a B-lister seemed well suited to the role.As he proudly notes in his official biography, Oz has won Emmys, has written eight bestsellers, and was featured on six seasons of The Oprah Winfrey Show. He is a master of traditional media. But now the daytime TV star is facing a Democratic opponent who has proved himself a media success story in his own right – though his area of expertise is Twitter, not television.Dr Oz embraced Trump’s big lie – will Maga voters reward him in Senate race?Read moreWhen John Fetterman entered the race, the relatively little known lieutenant governor had his work cut out for him: a Bernie Sanders backer who supports universal healthcare and a $15 minimum wage, he is running to replace a Republican in a swing state.But he has rapidly made himself a national name as he tears into Oz on social media – hammering him, in particular, on the question of whether he’s really from Pennsylvania at all. Oz has said he moved there in 2020 – to a place his wife’s parents own. Before that, he lived in New Jersey for decades.In Fetterman’s view, Oz is still a Jersey boy, and the Democrat has weaponized meme after meme against his rival. Fetterman has posted a picture of Oz’s face on a Pennsylvania driver’s license, labeled “McLovin” in an homage to cinema’s best known fake ID. He has mocked his rival for apparently filming an ad for his Pennsylvania campaign in his New Jersey mansion. And he has employed the services of the most Jersey person this side of Bruce Springsteen: Nicole “Snooki” Polizzi.Hey @DrOz 👋JERSEY loves you + will not forget you!!! 🥰 pic.twitter.com/YmaXfMpzUK— John Fetterman (@JohnFetterman) July 14, 2022
    In a clip that has received more than 84,000 likes on Twitter, the Jersey Shore reality star offers some savage sympathy: “I heard that you moved from New Jersey to look for a new job,” she says. “I know you’re away from home and you’re in a new place, but … don’t worry, because you’ll be back in New Jersey soon.”Fetterman’s attacks aren’t limited to the digital world. He had a pilot fly a banner over the Jersey shore saying, “Hey Dr Oz. Welcome home to NJ! ❤️ John.” He posted the image online, flexing Pennsylvania credentials by dedicating it to “yinz and youse down the shore today” – a combination of Pittsburgh and Philly-speak. He’s also selling a “Dr Oz for NJ” sticker. And in a coup de grâce on Thursday, Fetterman confirmed that he had launched a petition to have Oz honored in the New Jersey Hall of Fame, which celebrates the accomplishments of state residents.Oz himself has a ways to go when it comes to the art of the political stunt. He posted pictures of himself visiting Pat’s and Geno’s, the dueling cheesesteak shops, across the street from each other, that are a Philadelphia landmark. It was a rookie error, akin to a New Yorker taking a selfie at Times Square – any local can list at least five cheesesteak places they’ve deemed better than those two. Fetterman called Oz a “tourist”, and even Pat’s itself replied: “Do you even live in [Pennsylvania]? And can you spell the town you live in?” (Oz misspelled the name of his supposed home town, Huntingdon Valley, in a campaign filing.) When you’re getting burned by a cheesesteak shop, you know you need to up your social media game.While Fetterman has proved himself a natural in the art of trolling, you can almost feel the blood, sweat and tears poured into Oz’s efforts. When he posted a doctored image of Bernie Sanders with Fetterman labeled “best friends”, Fetterman replied with a meme mocking Oz’s graphic design skills. When the Republican shared a picture of a dictionary definition of “John Fetterman” – a “Bernie Sanders socialist” who is “wrong for Pennsylvania” – it felt like exactly what it was: an attempt to crowbar old-fashioned political boilerplate into a modern format. (It also placed “John Fetterman” between “justice” and “jurisdiction”, which, as several people pointed out, is not how the alphabet works.)To all yinz + youse down the shore today: hope you saw my very nice message ✈️ to one of NJ’s famous longtime residents 🥰 pic.twitter.com/xiVd6q5JIm— John Fetterman (@JohnFetterman) July 10, 2022
    Perhaps in desperation, Oz has recently adopted a new tactic: a “John Fetterman basement tracker” that records how long it’s been since the Democrat has held a public event. But instead of coming off as a blow to his opponent, the strategy just seems mean-spirited. What took Fetterman off the campaign trail was a stroke on 13 May.Despite his pause from IRL campaigning, Fetterman’s strategy appears to be working. Polls have repeatedly put the Democrat on top in the race, and he has raised about nine times as much as his opponent since April. A win in November may serve as a political lesson about the importance of carving out a digital identity and could be crucial to Democrats’ chances of holding the Senate. Like so many others these days, Fetterman is working from home – and finding that he can still get things done.TopicsUS politicsPennsylvaniaUS SenateSocial mediaTwitterfeaturesReuse this content More

  • in

    Amazon Acquires One Medical in Push Into Health Care

    The internet giant acquired One Medical, a national chain of primary care clinics, for $3.9 billion.Twitter’s shares fell after the social media platform, which is locked in a legal battle with Elon Musk over its future ownership, reported that it lost $270 million in the second quarter. Alphabet, Apple, Meta and Microsoft will report their earnings next week, with many forecasters expecting more disappointing results. Now delivering diagnoses.Patrick T. Fallon/Agence France-Presse — Getty ImagesJassy’s big bet on health careYesterday, Amazon announced its first major acquisition during Andy Jassy’s tenure as C.E.O., with the $3.9 billion purchase of One Medical, a national chain of primary care clinics that is backed by the private equity firm the Carlyle Group.Amazon’s ambitions in health care go back more than two decades, writes The Times’s Karen Weise. But none of its forays into the sector have had notable success, or have been as big as the One Medical acquisition. Its previous bets in health care include:Investing in Drugstore.com in 1999. (Jeff Bezos served on the company’s board.)Teaming up with JPMorgan and Berkshire Hathaway in 2018 to start Haven, in an amorphous effort to explore new ways to deliver health care to their work forces. The venture formally ended last year.Buying the start-up PillPack, an online pharmacy that focuses on recurring monthly medications, in 2018 for $753 million. It later began Amazon Pharmacy, which, like PillPack, delivers medications, and it integrated discounts for customers with Prime memberships.Running its own primary and urgent care service, called Amazon Care, beginning in 2019, to treat its employees. Amazon Care has tried to get other employers to offer its service, with limited success.The One Medical deal gives Amazon access to more data. One Medical built its own electronic medical records system, and it has 15 years’ worth of medical and health-system data that Amazon could tap. Although individual patient records are generally protected under federal health privacy laws, the big data expertise that has fueled Amazon’s success can be powerful in health care — for predicting costs, targeting interventions and developing products and treatments.It could also test the new antitrust regime. Last night, Senator Amy Klobuchar said she was calling on the F.T.C. to “thoroughly investigate” the deal, citing Amazon’s previous investments in health care and its access to data. And while Amazon hardly dominates heath care, the Justice Department and the F.T.C. have sought to rewrite the rules for reviewing big mergers to broaden the scope for intervention. Lina Khan, who leads the F.T.C., has long contended that there is an antitrust argument against Amazon. She has not so far filed a suit against the company in her time as chair. Her agency reviewed and approved Amazon’s acquisition of the movie studio Metro-Goldwyn-Mayer, though that was before Democrats held a majority on the commission.When asked by The Washington Post last month about Amazon’s push into health care, Khan said, “Our current approach to thinking about mergers still has more work to do to fully understand what it means for these businesses to enter into all these other markets and industries.”HERE’S WHAT’S HAPPENING Turkey promises a deal to get grain out of Ukraine’s blocked ports. The Turkish presidency says that a signing ceremony will be held today for a deal between Ukraine and Russia aiming to allow millions of tons of Ukrainian grain to be exported, alleviating a global food shortage.President Biden has “very mild” Covid symptoms. Biden, 79, tested positive for the coronavirus yesterday. Karine Jean-Pierre, the White House press secretary, said he would “continue to carry out all of his duties fully” while isolating.Snap shares plunge after a disappointing quarterly report. The company, which runs the social media platform Snapchat, said it would “substantially reduce” hiring and that revenue growth in its current uncompleted quarter was approximately zero. Jessica Lessin, the editor of the tech-focused news site The Information, said, Snap’s results “raise questions about digital advertising in the current macroeconomic climate.”The U.S. government files its first criminal case about crypto insider trading. A former Coinbase employee and two other men were charged with buying and selling digital assets based on confidential information from the cryptocurrency exchange. The three men, one of whom has fled to India, are said to have made $1.5 million on 14 trades over a 10-month period.China will faces severe heat waves over the next 10 days. Regions could be hit by temperatures of 40 degrees Celsius (104 degrees Fahrenheit) or higher, forecasts suggest, and some cities in Zhejiang Province, which has many factories, issued red alerts today.Trump’s inaction in actionAs a mob of his supporters assaulted the Capitol on Jan. 6, Trump refused to stop them, according to former Trump administration officials, who testified yesterday to the House committee investigating the attack. Over 187 minutes, Trump sat in his dining room off the Oval Office, watching the violence on television, not just ignoring calls to respond, but repeatedly signaling that he did not want anything done.It was one of the most dramatic hearings of the inquiry, write The Times’s Luke Broadwater and Maggie Haberman. Still, the assertion that Mr. Trump was derelict in duty raised ethical, moral and legal questions, but it might not be the basis for a criminal charge, according to Representative Elaine Luria, Democrat of Virginia, who led much of last night’s proceedings. The media critic Brian Stelter, of CNN, called yesterday evening’s hearing “the most Fox-centric hearing yet — and none of it was shown live by Fox,” underscoring how divided the U.S. media landscape is.Here were the takeaways:Trump ignored a torrent of pleas from inside and outside the White House to call off his supporters. Members of Congress, aides and his own daughter, Ivanka, pleaded with Mr. Trump to call off the violence as it unfolded in front of him on television, The Times’s Michael S. Schmidt notes. Representative Adam Kinzinger, the Illinois Republican who helped lead the hearing, said that the president, after learning of the Capitol breach, resisted putting out a tweet saying, “Stay peaceful.”Even the next day, Trump was not fully willing to concede the race. Outtakes from a taped address of the president’s speech on Jan. 7 showed the president saying he didn’t want to say “the election is over.”Members of Pence’s Secret Service security detail feared for their lives as protesters drew nearer. “I don’t like talking about it, but there were calls to say goodbye to family members, so on and so forth,” one official, whom the committee declined to name, said.Gen. Mark A. Milley, the chairman of the Joint Chiefs of Staff, the nation’s highest-ranking military officer, told the panel: “You’re the commander in chief. You’ve got an assault going on on the Capitol of the United States of America, and there’s nothing? No call? Nothing? Zero?”More hearings are planned for September.YouTube’s policy on pulling abortion-related content has skeptics YouTube said on Twitter yesterday that it would be removing videos over the next few weeks that provided instructions for “unsafe abortion methods.” Citing its medical misinformation policies, it also said that it would be removing content that promoted “false claims about abortion safety” and that it would start including information from health authorities alongside abortion content.YouTube’s announcement was a step in the right direction, but it should have happened a long time ago, said Imran Ahmed, the C.E.O. and founder of the nonprofit organization the Center for Countering Digital Hate. “Even though we welcome any change in their rule, why on earth were home remedies for abortion ever permitted on their site?” he told DealBook, citing the medical risks associated with using dangerous methods. He recommended that YouTube provided a hotline to groups that offer accurate information on reproductive health care.Since the Supreme Court’s decision to overturn Roe v. Wade in June, abortion has been banned in at least eight states, and videos offering home remedies to induce abortions have spread on YouTube, TikTok and social media platforms. Experts have urged caution, saying these methods may be dangerous and there is no data on whether they work. A 2020 survey published in the journal JAMA Network Open estimated that 7 percent of American women would attempt a self-managed abortion at some point in their lives.For YouTube, the challenge will be enforcement, said Katharine Trendacosta, an associate director of policy and activism at the Electronic Frontier Foundation, a nonprofit digital rights group. Trendacosta told DealBook that she questioned whether YouTube had the staffing and processes in place to pull this off. “I have trouble with these announcements because it doesn’t tell me if they’re going to hire enough people to implement it,” she said.THE SPEED READ DealsThe U.K. competition watchdog cleared a merger of the sports broadcasting businesses of BT Group and Warner Bros. Discovery. (Reuters)Malaysia’s AMMB, a financial services manager, is reportedly considering a sale of its asset-management unit. (Bloomberg)“Amazon Wants 100,000 Electric Vans. Can Rivian Deliver?” (NYT)The toymaker Mattel reported a 20 percent jump in sales. (NYT)PolicyRussia is keeping Germany guessing on gas shipments. (NYT)Truckers protesting a labor law have blocked roads that serve the Port of Oakland in California. (NYT)The E.C.B. has a new tool to keep bond markets in check. It doesn’t want to use it. (NYT)In good news for consumers, the economy and President Biden, gas prices are finally falling. (The Morning)Best of the restSwatch’s $260 MoonSwatch is helping to revive the brand. (Bloomberg Businessweek)A look at the PGA Tour’s lobbying effort against the Saudi-backed LIV golf league. (CNBC)A 35,000-acre forest fire in Spain was accidentally started by a Dutch carbon offset company. (Vice)Despite Putin’s efforts to destroy Ukraine’s economy, tech companies there are still thriving. (NYT)“Pro-Putin Biker Gang Rides Into E.U. Sanctions Roadblock” (FT)We’d like your feedback! Please email thoughts and suggestions to dealbook@nytimes.com. More

  • in

    Twitter Takes Round 1

    Judge Kathaleen McCormick granted the social media giant’s request for an expedited hearing. Now, the two sides are gearing up for a trial in October.Twitter: 1, Musk: 0.Jim Wilson/The New York TimesTwitter suit takes the fast laneTwitter won its effort to expedite its trial with Elon Musk yesterday, in its lawsuit to force Musk to close his $44 billion acquisition of the company. So many people tried to listen to the proceedings that the dial-in hit capacity — and we hear advisers across Wall Street were huddled around speakerphones.It’s a big win for Twitter. In granting an expedited hearing, Judge Kathaleen McCormick effectively repudiated the notion that the court needed to allow time for a deep dive into whether Twitter had accurately counted the number of bots on its platform. She cited the “cloud of uncertainty” that was hanging over the company the longer the case went undecided as the reason for her decision to fast-track the trial. And in what may be another good sign for Twitter, Judge McCormick said she was unsure that damages would be a sufficient remedy for the social media company, which wants Musk to buy it, not pay damages to walk away.Please see Page 5. A centerpiece of Musk’s claims is that Twitter’s disclosures about the percentage of active users on its platform that are bots are misleading, which would have a “material adverse effect” on the company’s value. But Musk has yet to tell the court what, exactly, in Twitter’s disclosures might be false. This became an issue when Musk’s lawyer at Quinn Emanuel, Andy Rossman, took aim at Page 5 of Twitter’s annual report, which explains its bot count. But Twitter’s lawyer at Wachtell, Bill Savitt, in his rebuttal, noted that Twitter fills that page with hedges and warnings that numbers might be off. (It reads, in part: “Our estimation of false or spam accounts may not accurately represent the actual number of such accounts, and the actual number of false or spam accounts could be higher than we have estimated.”) Of Twitter’s disclosure, Savitt said: “This does not require a recreation of all things known to humanity.” Judge McCormick seemingly agreed.The two sides are gearing up for a trial in October. Over the next weeks, they have to agree on schedules for depositions and discovery. And Musk will have time to prepare for another hearing before Judge McCormick that month: a defense of his whopping Tesla pay package — money that could come in handy if she forces him to buy Twitter.HERE’S WHAT’S HAPPENING Netflix loses fewer subscribers than expected. The streaming service reported yesterday that it lost nearly 1 million subscribers in the second quarter, far fewer than it had forecast. What’s more, Netflix said some of its strategies to stem losses, like an ad-supported option for consumers and a crackdown on password sharing, would boost revenue as soon as next year.A heroic act in an Indiana mall shooting renews the debate over gun access. In the days since a 22-year-old armed bystander killed a gunman two minutes into a shooting spree, the U.S. is again debating the wisdom of easier access to guns. But an analysis of 433 active shooter attacks in the U.S. between 2000 and 2021 found just 22 had ended with a bystander shooting the attacker, according to the Advanced Law Enforcement Rapid Response Training Center at Texas State University.The CHIPS Act passes a procedural hurdle in the Senate with more than 60 votes. The legislation, stalled for more than a year, gives chip manufacturers what they say is help they need to build factories in the U.S. The Senate is expected today to officially vote to pass the bill, which has been slimmed down and still needs to return to the House before it can go to the president.Intelligence agencies say Russia remains a threat in elections. Top F.B.I. and National Security Agency officials warned yesterday that Russia could still seek to meddle or promote disinformation during the 2022 midterm races, even as it wages war in Ukraine. Iran and China also remained potent threats, the officials said.The House moves to protect same-sex marriage from Supreme Court reversal. New legislation, which garnered some Republican support, would recognize same-sex marriages at the federal level, but it faces an uncertain path in the Senate. The move was a direct answer to Justice Clarence Thomas’s concurring opinion in the ruling last month that overturned federal abortion rights.The loans that may haunt Silicon ValleyTech workers have taken out loans in recent years based on the value of their start-up stock. But as the start-up economy has deflated, that may come back to haunt them, writes The Times’s Erin Griffith.Start-up loans stem from the way workers are typically paid. As part of their compensation, most employees at privately held tech companies receive stock options. That’s where loans and other financing options come in. Start-up stock is used as a form of collateral for cash advances. The loans vary in structure, but most providers charge interest and take a percentage of the worker’s stock when the company sells or goes public. Some are structured as contracts or investments.This lending industry has boomed in recent years. Many of the providers were created in the mid-2010s as hot start-ups like Uber and Airbnb put off initial public offerings of stock as long as they could, hitting private market valuations in the tens of billions of dollars.Debate has ignited in Silicon Valley over the proliferation of loans backed by stakes in still-private start-ups. Proponents say the loans are necessary for employees to participate in tech’s wealth-creation engine. But critics say the loans create needless risk in an already-risky industry and are reminiscent of the dot-com era in the early 2000s, when many tech workers were badly burned by similar loans.As the start-up economy deflates, these loans can be risky. While most are structured to be forgiven if a start-up fails, employees could still face a tax bill because the loan forgiveness is treated as taxable income.“No one’s been thinking about what happens when things go down,” said Rick Heitzmann, an investor at FirstMark Capital. “Everyone’s only thinking about the upside.”“The thing I’ve always been taught by my parents is to be the first one in and last one out. But there’s no one else there.”— Alex Hyman, who pictured his internship at a Los Angeles entertainment agency this summer as being one part “Entourage” and one part “The Office,” but found it more like “Home Alone.” It’s a common experience in an age of remote-working bosses.Mooch’s crypto problemAnthony Scaramucci, who is famous for his 11-day stint as former President Donald Trump’s communications director, is facing a mass exodus of investors from his funds.Earlier this week, Bloomberg reported that Scaramucci’s firm SkyBridge Capital had halted withdrawals from one of its smaller funds, Legion Strategies, which contains just over $200 million. But Scaramucci is also struggling to hold onto investors in SkyBridge’s flagship fund, the SkyBridge Multi-Adviser Hedge Fund Portfolios, which managed as much as $2 billion at the end of March. Its investments lost nearly a quarter of their value in the second quarter.Investors in SkyBridge’s flagship fund are seeking to withdraw as much as $890 million, or about half of the money that it held as of the end of last month, Scaramucci told DealBook. But many of those investors will be stuck in the fund for a while. Under its rules, investors in the Multi-Adviser fund are only allowed to withdraw money during certain windows. Those used to occur four times a year, but SkyBridge cut them to twice a year in 2020, after big losses at the beginning of the pandemic. Earlier this month, SkyBridge told investors they would only collectively receive about 16 percent of the money they requested. The letter said it was issuing investors’ notes that would be paid no later than October.Scaramucci’s losses come just over a year after SkyBridge’s pivot into crypto. SkyBridge’s flagship fund, which Scaramucci bought from Citigroup, has long specialized in buying and selling stakes of other hedge funds. For a time, that, along with strong performance in the years after the 2008 financial crisis, made Scaramucci one of the most powerful players in the hedge fund industry.Scaramucci says he is still a long-term believer in crypto. The fund manager says that about 22 percent of his flagship fund remained in crypto and related investments as of the end of last month. “I am not smart enough to time the market,” he told DealBook. “But we’ve done a tremendous amount of research and we think anyone who has will see that blockchain technology is good and is the future.”THE SPEED READ DealsPimco bought $1 billion worth of debt backing Apollo’s acquisition of a payments company at a steep discount. (Bloomberg)Start-ups are racing for share of the market for home chargers of electric vehicles, and several have already been acquired. (Reuters)“Sam Bankman-Fried Turns $2 Trillion Crypto Rout Into Buying Opportunity” (Bloomberg Businessweek)PolicyDan Cox, a Trump loyalist, won the primary to be the Republican candidate for governor of Maryland. (NYT)Novavax’s Covid vaccine was cleared for use in the U.S. (NYT)The Secret Service said texts requested by the Jan. 6 commission were probably lost for good. (NYT)U.K. inflation has exceeded economists’ forecasts, hitting 9.4 percent (FT)President Vladimir Putin signaled that Russia would resume gas deliveries through a key pipeline but at a reduced level. (NYT)Best of the restLeaked salary data at Twitter showed a pay gap of as much as 225 percent for the same role in different countries. (Input)Soaring overdose rates in the pandemic reflect widening racial disparities. (NYT)How the pain of past economic crises is haunting Italy. (NYT)“Fighting a Brutal Regime With the Help of a Video Game” (NYT)We’d like your feedback! Please email thoughts and suggestions to dealbook@nytimes.com. More