Mind Matters Natural and Artificial Intelligence News and Analysis

CategoryBusiness and Finance

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An advanced CPU printed with a flag of USA on a neon glowing electronic circuit board. Illustration of the concept of United States made high-end micro chips.

What Difference Has the CHIPS Act Made to the U.S. and Taiwan?

We need to first look at the broader picture of what the CHIPS Act is intended to do

In a previous article, I discussed the semiconductor industry and Taiwan’s supremacy in manufacturing microchips, the foundry portion of the semiconductor supply chain. Now let’s look at the U.S. perspective on the semiconductor industry and its relationship to Taiwan. In order to do that, we have to talk about the CHIPS+ Act Congress passed a bipartisan bill, the CHIPS and Science Act in July, after a year of negotiations in committee. President Biden signed the act into law on August 9 and the CHIPS Act Implementation Strategy was launched on September 6 through an executive order. CHIPS, or “Creating Helpful Incentives to Produce Semiconductors,” is a $250B initiative that incentivizes businesses to bring semiconductor manufacturing, research and innovation back to Read More ›

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Concept of employee monitoring by boss

Why AI Employee Tracking Can’t Build a Great Company

Employees, knowing that an AI is tracking them, start filling in boxes instead of creating or innovating for success

Earlier this year, we learned about the best employee tracking software for 2022. (The Head Office can know if you went to the washroom or phoned your dog’s vet … ) Not everyone thinks that total surveillance by management is the best way to get optimum performance: But technology is not a replacement for what good managers do. They pull disparate groups of people together and build camaraderie, share a vision, grow trust, and—over time—create cohesive teams that achieve big goals. They get to know their team members individually and work carefully to set expectations, be supportive, understand context, and give feedback and direction. They take into account the nuance of uniqueness, inherent both in the person and in the Read More ›

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Scientists testing in lab.

Will AI Really Change Drug Development? Not So Fast…

Jeffrey Funk and Gary N. Smith note that AI was not significant in the development of COVID vaccines. Financial incentives ruled

Something to know before you invest or entertain high hopes: Jeffrey Funk and Gary Smith published a recent article in Salon that offers a free cold shower. Some realities they cite: Most of the expense of drug development is in clinical trials on human beings, which can’t be automated. Any attempt to save time or money would come at identifiable costs in accuracy. Yes, COVID vaccines were a banner achievement for speedy drug development. But AI played little or no standout role in the process: Determined to get a COVID-19 vaccine to the public before the November 3, 2020, presidential election, the U.S. government devoted $14 billion to support the pharmaceutical companies’ vaccine efforts. The government agreed to pay Pfizer Read More ›

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Once more unto the breach / 3D illustration of science fiction scene with robot general holding battle hammer rallying his android troops under a stormy dark sky

Oh, Not This Again: “AI Will Rise Up and Destroy Mankind”

The advances of AI raise a number of issues, yes. But the intelligences behind these advances are not artificial at all

A new paper from researchers at Oxford University and Google’s Deepmind prophesies that “the threat of AI is greater than previously believed. It’s so great, in fact, that artificial intelligence is likely to one day rise up and annihilate humankind … Cohen says the conditions the researchers identified show that the possibility of a threatening conclusion is stronger than in any previous publication.” (MSN, September 15, 2022) How? Why? The research paper predicted life on Earth turning into a zero-sum game between humans and the super-advanced machinery. Michael K. Cohen, a co-author of the study, spoke about their paper during an interview. In a world with infinite resources, I would be extremely uncertain about what would happen. In a world Read More ›

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Why People Keep Investing in Cool Companies That Lose Money

If money is all that matters, a beautiful loser is still a loser,… But wait. IS money all that matters when we are buying unicorns (exciting startups)?

Recently, we’ve been looking at unicorns — those tech companies that are just so Now! that, like Uber, Airbnb, and DoorDash, they are part of our everyday conversation. But as Gary Smith and Jeffrey Funk have noted, they don’t make money. And seldom or never have. For years on end. The recent downturn could mean some don’t survive. So Mind Matters News asked Dr. Funk, “Why don’t people notice, year after year, that these companies are not good investments? Is the buzzy idea more important than the financial outcome?“ Here’s what he told us: There are many ways to answer this question. My favourite answer uses Nobel Laureate Robert Shiller’s concept of irrational exuberance. Some of the following words are Read More ›

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A hand in disposable latex glove scanning an orange at a grocery store self-checkout station. People wearing gloves to protect themselves from covid-19 pandemic.

Grocery Giant Sours on Self-Checkouts; Too Much Loss…

Wegmans checked out (for the present) when it couldn’t stem the losses — which they suffered for various reasons perhaps, not just thefts

Recently, we wrote about unsubstantiated accusations of shoplifting at retail self-checkouts — sometimes accompanied by attempted shakedowns. But bigger, more complex issues loom in the background: Self-checkout probably does make theft (along with false accusations of theft) — and various other reasons that unpaid-for items find their way into shopping bags — much easier. So one large retailer, Wegmans, has decided to just forget it for now: “SCAN users have told us they love the app and convenience it offers,” a Wegmans spokesperson told FOX Business in a statement. “Unfortunately, the losses we are experiencing prevent us from continuing to make it available in its current state.” The grocery chain said the app would remain shut off until it can Read More ›

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unicorn on gold cube mountain . start up, illustration concept of leader on a market.3d rendering. 3d illustration.

Warning: Unicorn Stocks May Be Nearing Bankruptcy, Fire Sales

Uber, Airbnb, and DoorDash seem so lifestyle-friendly … they even became part of our vocabulary

In an article today, Jeffrey Funk and Gary Smith puzzle over the way investors have “rained cash” on unprofitable companies like Uber, Airbnb, DoorDash, etc. Yes, they are icons of popular culture. No, unlike Apple and Google, they do not make money: Here are their stats from the table the authors offer: Company Founded Funds Raised Cumulative LossesUber Technologies 2009 $25.2 billion $31.7 billionAirbnb 2008 $6.0 billion $6.0 billionDoor Dash 2013 $2.5 billion $4.6 billion Only one of the 15 companies they list — including some other culture icons — has ever had a profitable quarter: Any hopeful arguments that profitability is just around the corner ring hollow when every company is at least nine years old and two are Read More ›

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Human hand is holding Electric Car Charging connect to Electric car

Cars of the Future Will Offer “Electrifying” Rides — Guaranteed

Electric car expert Tony Posawatz will be speaking about new industry developments at COSM 2022

After forty years in the car business, professional engineer Tony Posawatz, is optimistic about the future of electric vehicles (EVs). At Forbes, he was mooted to replace Elon Musk at Tesla in 2018. Well, one thing Posawatz would not do is jump into an expensive catfight with… Twitter. He is wholly focused on ACES, as it is called: Autonomous, Connected, Electric & Shared vehicles, as the future of private transportation. Go here to get the Early Adopter rate before September 15. Current CEO of Invictus iCAR, a consulting firm that specializes in making cars leaner, meaner, and greener, Posawatz describes himself as “known for championing award-winning products and electrifying rides.” His interests and achievements span many automotive areas: “His product/general Read More ›

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Macro image of a motherboard with the inscription

How Safe Is Our Tech If It Depends on Non-Free Nations?

Europe’s energy woes, in the wake of the Russia–Ukraine war, should spur us to take the question seriously

Keith Krach, former chairman and CEO of Docusign, the app that enables you to conveniently buy a house in Delaware while selling one in Oregon, is speaking at COSM (November 9–11 in Seattle). Docusign was of immense help during the COVID pandemic when in-person transactions were often impractical, illegal, or just impossible. Go here to get the Early Adopter rate before September 15. Krach, former Under Secretary of State and current Chairman of the Krach Institute for Tech Diplomacy at Purdue University, has been thinking a good deal about our future and new technology. He is committed to the importance of rehoming technology Americans need in the United States, as he told Fierce Electronics recently: Our adversaries, starting with the Read More ›

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Modern way of exchange. Bitcoin is convenient payment in global economy market. Virtual digital currency and financial investment trade concept. Abstract cryptocurrency with gold bitcoin background..

The futurist finance world of flash loans and hypernodes

In the cryptocurrency world, you could float a loan for ten seconds and make good money — but you and your computer must be very fast indeed

In the first part of Episode 4, “What Is Decentralized Finance?” (September 1, 2022), computer engineer Adam Goad discussed with Walter Bradley Center director (and computer engineering prof) Robert J. Marks how blockchain would decentralize finance by establishing trust and security without government regulations. Now they look at how some of the remarkable new financial instruments work. https://mindmatters.ai/wp-content/uploads/sites/2/2022/08/Mind-Matters-202-Adam-Goad-Austin-Egbert.mp3 A partial transcript, notes, and Additional Resources follow. Robert J. Marks: Before we started this recording, you mentioned something which blew my mind — flash loans. Adam Goad: A flash loan is a loan that you take out for a very short amount of time, usually a few seconds. But it can be for a very large amounts, like millions of dollars. Read More ›

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Set of red glass dice isolated on black background. 3d rendering - illustration.

Don’t Worship Math: Numbers Don’t Equal Insight

The unwarranted assumption that investing in stocks is like rolling dice has led to some erroneous conclusions and extraordinarily conservative advice

My mentor, James Tobin, considered studying mathematics or law as a Harvard undergraduate but later explained that I studied economics and made it my career for two reasons. The subject was and is intellectually fascinating and challenging, particularly to someone with taste and talent for theoretical reasoning and quantitative analysis. At the same time it offered the hope, as it still does, that improved understanding could better the lot of mankind. I was an undergraduate math major (at Harvey Mudd, not Harvard) and chose economics for the much the same reasons. Mathematical theories and empirical data can be used to help us understand and improve the world. For example, during the Great Depression in the 1930s, governments everywhere had so Read More ›

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Social media concept. Social networking service. Video hosting website. Streaming video.

You Hate Twitter Already? But Did You Know About the Child Porn?

From a searing report at The Verge, we learn that it’s out of control but executives have just not prioritized the issue

Recently, we’ve been covering Twitter’s court-destined squabble with tech entrepreneur Elon Musk about what he should pay for the edgy social medium. Labor writer Zoe Schiffer and tech writer Casey Newton published an article at The Verge today that will surely stir the pot. It’s about Twitter’s problems with child porn — and its efforts to get involved with adult porn. The story is complex as well as disturbing but here’s the outline: Early in 2022, Twitter, which has not been making much money in recent years, decided to allow adult content (porn) vendors to tweet their wares to paying customers (Adult Content Monetization or ACM). Twitter would, of course, get a percentage. The main competitor, OnlyFans, projects revenues of Read More ›

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WEB 3.0 abstract sign with blockchain 3d illustration

Why Didn’t Decentralized Organizations Work in the Crypto World?

DAOs broke down when people tried to make them interact with the outside world

Here’s the second part of Episode 3 of the discussion between computer engineering prof Robert J. Marks and computer engineering grad students Adam Goad and Austin Egber on the wild new online world. They’ve been talking about non-fungible tokens (NFTs), and what sort of NFTs survived the crypto crater: Now, in the second part of “The NFT Anti-bubble” (August 18, 2022), they look at what happened to the decentralized autonomous organizations (DAOs) that grew up along with crypto and NFTs: https://mindmatters.ai/wp-content/uploads/sites/2/2022/08/Mind-Matters-200-Adam-Goad-Austin-Egbert.mp3 A partial transcript, notes, and Additional Resources follow. Austin Egbert: Could you give an example of what one of these DAOs was maybe trying to do? What service were they providing? Or what was their business output, so to Read More ›

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The colossal titan is comingAttack On Titan

Big Tech Moguls vs. Historic Titans of Industry: What’s Changed?

Today’s Big Tech moguls were more likely to have been born into fractured relationships and may be seeking an eternal geek adolescence

If we had to compare the giants of industrialization of the late 19th through early 20th centuries — Andrew Carnegie, Thomas A. Edison, Henry Ford, Henry Clay Frick,J.P. Morgan, John D. Rockefeller, and Cornelius Vanderbilt — with the giants of the contemporary tech world —Jeff Bezos, Jack Dorsey, Bill Gates, Steve Jobs,  Elon Musk, Larry Page, and Mark Zuckerberg — would we see significant differences? Fred Bech tackles that at Expensivity. He finds that the immense fame, power, and wealth are comparable, as is the fact that they took inventions created largely by others and — via business acumen — transformed our way of life.Of course, that means new problems as well as new solutions. Staying in touch with far-distant loved ones is a blessing; viruses, hacking, and Twitter mobs are Read More ›

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Ex-Security Head: Twitter Has Much Bigger Woes Than the Bots

Elon Musk’s buyout offer collapsed over the bots. Now, with a court case looming, we learn, bots were only a PART of Twitter’s problems

A new uproar at Twitter sheds an interesting light on Elon Musk’s on again-off again bid to buy the social media firm: Twitter has much bigger problems than bots, according to its former head of security, who just dropped a bomb in claims to the federal government that the site’s security is so lax it’s a risk to national security, and the company allegedly has foreign intelligence agents on the payroll… That former head of security submitted disclosures to those agencies, as well as Congress, detailing what CNN calls “reckless and negligent cybersecurity policies,” including that thousands of Twitter employees have access to central controls with no oversight, that executives have been knowingly lying to investors and regulators for years, Read More ›

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Metaverse world NFT Art Gallery Avatars and VR Glasses 3D Illustrations

Are NFTs a Bubble That Has Just Plain Popped for Good?

Despite the crypto crash, they seem to be developing a life of their own — in ticket sales, for example

Here’s the first part of Episode 3 of the discussion between computer engineering prof Robert J. Marks and computer engineering grad students Adam Goad and Austin Egbert on that wild new online world. They’ve been discussing what gives NFTs (non-fungible tokens) their value. Now, in “The NFT Anti-bubble” (August 18, 2022), they are looking at how NFTs are faring in the vast crypto crater. What still sells?: https://mindmatters.ai/wp-content/uploads/sites/2/2022/08/Mind-Matters-200-Adam-Goad-Austin-Egbert.mp3 This portion begins at 00:15 min. A partial transcript, notes, and Additional Resources follow. Robert J. Marks: We have talked about non-fungible tokens kind of hitting the skids. Is this a bubble pop? Are non-fungible tokens going to disappear as kind of an interesting thing in history? Or are they going to Read More ›

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Ransomware

What To Do If Your Business Is Hit With a Ransomware Demand

A roundup of advice for small businesses and their employees and contract workers, on site or remote

Ransomware attacks have reportedly continued to grow in 2022, as criminals hone their skills in grabbing our data and wanting money to release it. Today, it’s not just government and large businesses that are at risk. Small to mid-size businesses are at greatest risk. That’s because a) they often don’t have enough security in place and b) let’s face it, today’s attacker might be content with $300,000 each from a cluster of them rather than $30 million from a giant firm. Attracts less attention, for one thing. Here’s Blackfog’s monthly list of publicly reported attacks in 2022. In the first 30 minutes… Don’t just panic and agree to pay: [Kevin] Epstein says international law enforcement and white hat hackers usually Read More ›

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NFT non fungible tokenscrypto art on colorful abstract background. Pay for unique collectibles in games or art. 3d render of NFT crypto art collectibles concept

What Gives NFTs (Non-Fungible Tokens) Their Value?

But first, a tour through the seamier side of the internet, supported in large part by the very blockchain that mints NFTs

Here’s the second part of Episode 2 of the discussion between computer engineering prof Robert J. Marks and computer engineering grad students Adam Goad and Austin Egbert on the wild new online world of digital money, fan gear, contracts, and art. In the first part, Adam and Austin explained how digital collectibles — non-fungible tokens (NFTs) — work (or don’t). In this second part, What are NFTs?, they look at how people use them, with a sidestep into the swashbuckling world of crypto crime: https://mindmatters.ai/wp-content/uploads/sites/2/2022/08/Mind-Matters-199-Adam-Goad-Austin-Egbert.mp3 A partial transcript, notes, and Additional Resources follow. The discussion continued with the NBA’s use of NFTs as the new “trading cards.” How are NFTs like or unlike the iconic cards? Adam Goad: That one Read More ›

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Bank

Debanking… When Your Bank Acts Like a Political Party

In Canada, ordered by the government, banks began to act like the party in power. Panic, chaos, and bank runs ensued

Earlier this year, we looked at debanking, during the Convoy protests in Canada. The government ordered the banks to freeze the private bank accounts of protesters against the federal government’s contested COVID-19 policies. As we’ll see, debanking, in various forms — where the bank decides, for political reasons — to freeze or end accounts, is becoming a “thing” in the United States too. What really happens? An investigation uncovered some sobering findings: The government invoked the rarely used Emergencies Act on February 14, insisting that doing so was constitutional (“Charter compliant”) and that freezing individuals’ bank accounts “did not amount to a seizure” of them. What happened afterward might give pause for thought: The banks were essentially handed a list Read More ›

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Close up of stock market trader looking at graph

Not All False Prophets Are Promoting Religions…

False finance prophets’ credentials or charisma are much more impressive than their track records — but we need a way to tell

Recently, our authors Jeffrey Lee Funk and Gary Smith alerted MarketWatch readers to the problem of “false prophets” in the investment world: We could write a long book about false prophets on Wall Street. What is interesting is how easily people are enchanted by charismatic personalities — some who peddle advice, some who run companies. A decade ago, for example, Yahoo tried to save itself by paying almost $1 billion to five charismatic CEOs (Terry Semel, Jerry Yang, Carol Bartz, Scott Thompson, and Marissa Mayer), four of them outsiders, who were hired over a five-year period and arguably did more harm than good. Jeffrey Lee Funk and Gary N. Smith, “Sensible stock investors put their money on a company’s real Read More ›