WEBVTT - The Big Tech Stories of 2022: Tech and Politics

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<v Speaker 1>Welcome to tex Stuff, a production from I Heart Radio.

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<v Speaker 1>Hey there, and welcome to tech Stuff. I'm your host,

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<v Speaker 1>Jonathan Strickland. I'm an executive producer with I Heart Radio

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<v Speaker 1>and how the tech are you now? I hope all

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<v Speaker 1>of you out there who observed the winter holidays had

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<v Speaker 1>a wonderful time with loved ones. Recently, we are back

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<v Speaker 1>to continue our wrap up on the big tech news

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<v Speaker 1>stories of twenty two. So last week we had a

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<v Speaker 1>ton of major stories from the Elon Musk slash Twitter

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<v Speaker 1>drama that's still playing out right now. That included some

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<v Speaker 1>of the fallout of how that has affected Tesla that's

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<v Speaker 1>also continuing. I think the last time I covered it,

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<v Speaker 1>the stock price for Tesla was somewhere around maybe one fifty,

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<v Speaker 1>maybe one thirty. Now it's like one twelve, So yeah,

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<v Speaker 1>Tesla's stock is still kind of well, seriously struggling. We

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<v Speaker 1>also talked about Meta's very bad twenty two. We also

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<v Speaker 1>talked about how regulators and governments around the world are

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<v Speaker 1>starting to push back against big tech. But believe it

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<v Speaker 1>or not, we still have some more important stories from

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<v Speaker 1>last year to look back on, including some that include

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<v Speaker 1>the most dreadful of all words politics. Now, for those

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<v Speaker 1>of y'all who listened to Tech Stuff regularly, you know

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<v Speaker 1>I don't exactly shy away from expressing my own opinion

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<v Speaker 1>in these episodes. But in this case, I'm really just

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<v Speaker 1>playing on reporting how politics and tech intersected or at

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<v Speaker 1>times came into conflict over the last year. So this

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<v Speaker 1>isn't so much about Jonathan showing his left leaning perspective.

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<v Speaker 1>It's really about talking about how politics and tech had

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<v Speaker 1>a big year in two. Before I really get into it,

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<v Speaker 1>I do want to say that I occasionally get messages

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<v Speaker 1>asking that I just focus on tech and leave all

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<v Speaker 1>the politics stuff out. And y'all, I understand we hear

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<v Speaker 1>a lot about politics in our daily lives. It can

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<v Speaker 1>get overwhelming and exhausting or at times infuriating or depressing,

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<v Speaker 1>or a mixture of all of these things. But the

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<v Speaker 1>problem is is that tech is shaping politics, and politics

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<v Speaker 1>in turn shapes technology. And if you ignore contextual factors

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<v Speaker 1>while you talk about technology, stuff quickly stops making any

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<v Speaker 1>sort of sense because you end up saying something like, well,

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<v Speaker 1>then company X stopped doing it that way, and you

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<v Speaker 1>can't really explain the reasons for any sort of changes.

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<v Speaker 1>That were made because those changes came from political pressures

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<v Speaker 1>or what have you, and you're leaving politics out of it.

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<v Speaker 1>If tech existed in a perfect vacuum, then we could

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<v Speaker 1>just talk about the tech itself. We could be objective,

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<v Speaker 1>just look at the tech, how it works, whether it

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<v Speaker 1>works well, all that kind of stuff. But that's not

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<v Speaker 1>the way the world works. If you have a space

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<v Speaker 1>that has two or more people in it, congratulations, you

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<v Speaker 1>got yourself some politics and going on. Now, I think

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<v Speaker 1>it would be crass of me to label any story

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<v Speaker 1>as being the biggest story in this category in two

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<v Speaker 1>because if you do that, then you're immediately suggesting that

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<v Speaker 1>people who were involved in other massive political text stories

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<v Speaker 1>in the year weren't as important, and that that just

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<v Speaker 1>seems wrong to me. But one story that has had

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<v Speaker 1>and continues to have a massive impact on the technology

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<v Speaker 1>sector as well as lots of other areas is the

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<v Speaker 1>War in Ukraine when Russia invaded Ukraine in late February

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<v Speaker 1>of this year. Now, to dive into what prompted this

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<v Speaker 1>invasion would require a thorough series of episodes from a

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<v Speaker 1>history podcast, not a tech show, and you know that's

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<v Speaker 1>not what you tune into tech stuff war, So I'm

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<v Speaker 1>not going to dive into the full backstory of how

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<v Speaker 1>we got into this, and to be clear, if I did,

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<v Speaker 1>I would need to do some very substantial research on

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<v Speaker 1>the matter myself, because I really only have a kind

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<v Speaker 1>of surface level understanding of it, and I would do

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<v Speaker 1>a terrible job at setting that story. So I can

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<v Speaker 1>talk about the war's effect on technology and text effect

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<v Speaker 1>on the war, there's a lot of ground to cover there.

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<v Speaker 1>So first off, Ukraine has a hefty software development industry

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<v Speaker 1>inside of it, and much of that work was able

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<v Speaker 1>to continue through at least the early months of the

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<v Speaker 1>war without too much interruption. In fact, in July of

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<v Speaker 1>this year, in Cube reported that only two percent of

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<v Speaker 1>I T companies in Ukraine had to discontinue operations and

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<v Speaker 1>around eight of I T companies were still closing new

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<v Speaker 1>deals while the war was going on. So that's pretty

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<v Speaker 1>impressive that the whole industry could continue largely uninterrupted, at

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<v Speaker 1>least in the early stages of the war. As for

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<v Speaker 1>where they are right now, that's a great question, and

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<v Speaker 1>I could not find reliable data while I was researching

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<v Speaker 1>this episode to see where things stand now, because clearly

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<v Speaker 1>you know that that conflict has continued over the following months,

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<v Speaker 1>but yeah, it was impressive to see that the software

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<v Speaker 1>industry managed to continue on in the face of Russia's invasion.

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<v Speaker 1>That work was made possible partly by Starlink. So this

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<v Speaker 1>is the division of SpaceX that's known for providing satellite

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<v Speaker 1>based Internet service. So you have ground stations or terminals

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<v Speaker 1>that have an antenna, and this antenna can track satellites

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<v Speaker 1>that are moving overhead and establish Internet communications. There's a

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<v Speaker 1>little bit of latency because the signals have to try

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<v Speaker 1>hold back and forth between the satellites and various ground stations,

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<v Speaker 1>but having this meant that many areas of Ukraine have

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<v Speaker 1>been able to maintain Internet connectivity and thus a communications

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<v Speaker 1>network in a time when Russian forces are consistently targeting

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<v Speaker 1>Ukrainian infrastructure. So it made a huge difference. And this

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<v Speaker 1>wasn't some spontaneous act of charity that Starlink had on

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<v Speaker 1>behalf of Ukraine. SpaceX had been in negotiations for almost

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<v Speaker 1>two months with Ukraine before the Russian invasion even happened.

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<v Speaker 1>Those negotiations were still unfolding when on February two, Russia

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<v Speaker 1>did in fact invade Ukraine. Two days later, Mikhailo Fedorov,

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<v Speaker 1>Ukraine's Minister of Digital Transformation, tweeted to Elon Musk, who

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<v Speaker 1>at that point was not yet publicly pursuing Twitter. He

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<v Speaker 1>had been buying up Twitter stock, but no one really

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<v Speaker 1>knew about it yet, and Federov asked Elon Musk if

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<v Speaker 1>Starlink could provide assistance and serve as sort of a

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<v Speaker 1>communication lifeline for Ukraine, And immediately Elon Musk said absolutely,

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<v Speaker 1>and the satellite network above Ukraine went into active service,

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<v Speaker 1>and SpaceX shipped thousands of terminals to Ukraine just a

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<v Speaker 1>couple of days later, so by the end of February

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<v Speaker 1>there were already these these SpaceX designed terminals heading to

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<v Speaker 1>Ukraine to establish communications. Now this also wasn't strictly a

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<v Speaker 1>show of solidarity and charity. According to reports, SpaceX has

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<v Speaker 1>been receiving money from the governments of Poland, the UK,

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<v Speaker 1>and the United States to provide these kinds of pieces

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<v Speaker 1>of equipment. The US government has said it has paid

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<v Speaker 1>to send terminals to Ukraine, but that SpaceX itself was

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<v Speaker 1>handling the service. In October, service for around thirteen hundred

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<v Speaker 1>terminals in Ukraine opt and the problem was not a

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<v Speaker 1>technical one. Apparently, instead it was a lack of funding. Now,

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<v Speaker 1>SpaceX had previously sent a message to the Pentagon here

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<v Speaker 1>in the United States asking the Department of Defense to

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<v Speaker 1>foot the internet bill for Ukraine. But you know, it's

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<v Speaker 1>a pretty bad pr move for a company to stop

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<v Speaker 1>providing service to people who are actively under siege from

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<v Speaker 1>an oppressive military force. And I suppose even Elon Musk

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<v Speaker 1>recognized that. So he refers to his company's position and

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<v Speaker 1>said SpaceX would provide the service while withdrawing its requests

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<v Speaker 1>for funding, though reportedly the company is still you know,

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<v Speaker 1>negotiating with the US government for funding. The Starlink story

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<v Speaker 1>illustrates the analogy of the double edged sword. So on

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<v Speaker 1>one side, you've got a vital communications service that has

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<v Speaker 1>allowed the people of Ukraine and the Ukrainian military to

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<v Speaker 1>maintain a communications network while finning off attacks from Russia.

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<v Speaker 1>That is clearly a vital service for the people of Ukraine.

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<v Speaker 1>On the other side, the other edge, we see a

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<v Speaker 1>shift of countries depending not upon allies as much as

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<v Speaker 1>they are on large businesses. In fact, Starlink's involvement has

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<v Speaker 1>been one part of a larger picture in which we've

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<v Speaker 1>seen for profit companies playing a vital part in how

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<v Speaker 1>a conflict unfolds. These companies are effectively taking sides, where

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<v Speaker 1>in the past companies at least attempted to maintain a

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<v Speaker 1>kind of neutral stance because they figured that that was

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<v Speaker 1>probably the best thing for business. Now we're starting to

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<v Speaker 1>see that shift where companies will take a side. That's

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<v Speaker 1>making some folks a little nervous because these companies might

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<v Speaker 1>not answer to anyone while making these decisions. Now, obviously

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<v Speaker 1>there are notable exceptions, like if a country or group

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<v Speaker 1>of kind trees level sanctions against another nation, then even

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<v Speaker 1>large companies aren't likely to violate that, at least not yet.

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<v Speaker 1>So it's not in every case where these companies are

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<v Speaker 1>just acting totally on their own, lone wolf style, but

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<v Speaker 1>they are able to make these kind of decisions, you know,

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<v Speaker 1>on their own without the direction of governments. And that's

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<v Speaker 1>made a few people nervous because we've had plenty of, say,

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<v Speaker 1>science fiction stories that suggests that in the future of

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<v Speaker 1>the world is going to be run not by governments,

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<v Speaker 1>whether those are authoritarian or democratically elected or whatever, but

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<v Speaker 1>rather by corporations. In fact, it is a trope in

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<v Speaker 1>certain types of science fiction. At this point, you can

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<v Speaker 1>see stuff like Blade Runner, Snow Crash, Jennifer Government, Broken Angels,

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<v Speaker 1>the Space Merchants. There's a huge list of science fiction

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<v Speaker 1>movies and novels and stories that follow this kind of storytelling.

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<v Speaker 1>Generally speaking, businesses first and sometimes only concern is delivering

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<v Speaker 1>value to stakeholders, whether that's a private business or a

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<v Speaker 1>publicly traded one. And yeah, delivering value might mean putting

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<v Speaker 1>out a really good service or product, but that's almost secondary, right, Like,

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<v Speaker 1>that's the way you get value for your stakeholders. It's

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<v Speaker 1>not that you're really really dedicated to making the world's

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<v Speaker 1>best thing of a jig. It's that by making the

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<v Speaker 1>world's best thing of a jig, you end up providing

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<v Speaker 1>an incredible value to your stakeholders. That's sort of the

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<v Speaker 1>fear here, and and to be fair, that is like

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<v Speaker 1>oversimplifying matters dramatically. And there are plenty of companies out

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<v Speaker 1>there that really do take serious pride in providing the

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<v Speaker 1>best of the best that they can, right, and not

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<v Speaker 1>just a cynical approach of here's how we make our

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<v Speaker 1>stakeholders richer. Anyway, corporate value you it's not necessarily equate

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<v Speaker 1>to societal value, and that's where there's some unease around this. Also,

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<v Speaker 1>the fact that Starlink shut off service even temporarily for

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<v Speaker 1>those terminals in Ukraine painted a pretty scary picture for

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<v Speaker 1>a company just to decide to stop service for whatever

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<v Speaker 1>reason that could lead to life or death situations in

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<v Speaker 1>certain parts of the world. Now, we've seen this sort

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<v Speaker 1>of thing happen due to government's cracking down on services

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<v Speaker 1>in an effort to stop citizens from being able to organize. Like,

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<v Speaker 1>that's something we've seen for a while. Right If government says, oh,

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<v Speaker 1>we see a danger here because people are starting to

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<v Speaker 1>use Twitter to organize resistance, then they'll crack down on Twitter.

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<v Speaker 1>That's something we've seen in the past. But to see

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<v Speaker 1>it from the corporate end, where a company could just say,

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<v Speaker 1>you know what, we're just gonna turn off service here, uh,

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<v Speaker 1>that is a little different. Anyway, Starlink continues to provide

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<v Speaker 1>EID services in Ukraine, and numerous Ukrainian officials have praised

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<v Speaker 1>Starlink and the service, pointing out that the country would

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<v Speaker 1>have significantly more struggles without that lifeline, and that connectivity

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<v Speaker 1>has contributed to important Ukrainian military operations, including drone missions.

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<v Speaker 1>So I don't want to dismiss Starlink's important role in

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<v Speaker 1>this ongoing conflict, but rather, you know, taking the big picture, look,

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<v Speaker 1>other stuff that happened created a sort of secondary struggle.

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<v Speaker 1>I almost said a war, but I don't want in

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<v Speaker 1>any way to diminish the horrors of the actual war

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<v Speaker 1>going on in Eastern Europe. But for example, social networks

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<v Speaker 1>began to shift a bit in favor of Ukraine. So Facebook, TikTok,

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<v Speaker 1>and YouTube began blocking Russia's government connected communication accounts. This

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<v Speaker 1>followed a move in the EU to ban those Russian

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<v Speaker 1>media and news organizations in an effort to shut down

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<v Speaker 1>propaganda and misinformation efforts. Meta also began to take down

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<v Speaker 1>networks of accounts that the company said we're part of

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<v Speaker 1>such misinformation campaigns. In addition, Meta allowed posts that were

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<v Speaker 1>calling for violence against Russia itself on Facebook. That was

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<v Speaker 1>quite unusual, right. That was one of those things where

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<v Speaker 1>this was a controversial call because normally the policy is

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<v Speaker 1>you can't call for violence, that is just that's against

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<v Speaker 1>the rules. But in this case where people were saying, no,

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<v Speaker 1>we're trying to organize resistance to an invasion, that's threatening

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<v Speaker 1>people's lives. Meta made the call of allowing those posts

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<v Speaker 1>to stay up on Facebook. Russia's response was to start

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<v Speaker 1>to ban various services within the country. They labeled Facebook

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<v Speaker 1>and then later Instagram as extremist corporations, and so this

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<v Speaker 1>was a back and forth issue. Okay, we've got some

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<v Speaker 1>more to talk about with the Ukraine War and then

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<v Speaker 1>some other issues around the world where tech politics came

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<v Speaker 1>into conflict with one another. But first let's take a

0:15:05.840 --> 0:15:20.160
<v Speaker 1>quick break. Okay, we're back. So we were talking about

0:15:20.200 --> 0:15:23.120
<v Speaker 1>Starlink and a little bit about social networks like Meta

0:15:23.280 --> 0:15:27.480
<v Speaker 1>and their role within the conflict between Ukraine and Russia.

0:15:27.920 --> 0:15:32.240
<v Speaker 1>There were other parts of tech that were active in

0:15:32.360 --> 0:15:36.920
<v Speaker 1>an effort to help Ukrainians. So, for example, Google shut

0:15:36.960 --> 0:15:41.480
<v Speaker 1>down live services and Google Maps in parts of Ukraine. Now,

0:15:41.520 --> 0:15:45.720
<v Speaker 1>at first that might sound like Google was acting against Ukraine,

0:15:45.760 --> 0:15:48.960
<v Speaker 1>but that wasn't the case. Instead, they were removing real

0:15:49.040 --> 0:15:52.200
<v Speaker 1>time traffic information so that Russian forces wouldn't be able

0:15:52.240 --> 0:15:56.560
<v Speaker 1>to use services to identify where Ukrainian resistance happened to

0:15:56.560 --> 0:15:59.960
<v Speaker 1>be at any given time. So really this was Google's

0:16:00.120 --> 0:16:03.920
<v Speaker 1>a chance to help provide a little smoke cover for

0:16:04.080 --> 0:16:10.760
<v Speaker 1>Ukrainian forces essentially in a digital way. Companies like Microsoft, Oracle, Apple,

0:16:11.400 --> 0:16:14.760
<v Speaker 1>uh and Nvidia, Samsung and lots of others in the

0:16:14.800 --> 0:16:19.400
<v Speaker 1>tech space effectively pulled out of Russia, shutting down their offices,

0:16:19.640 --> 0:16:22.800
<v Speaker 1>some of which Russian authorities ended up seizing and then

0:16:22.880 --> 0:16:26.080
<v Speaker 1>handing over to people to to create, you know, a

0:16:26.160 --> 0:16:29.920
<v Speaker 1>Russian company using whatever assets were left behind. The departure

0:16:30.000 --> 0:16:32.400
<v Speaker 1>of so many tech companies dealt a major blow to

0:16:32.440 --> 0:16:37.720
<v Speaker 1>Russia's efforts to continue to develop AI solutions their speculation

0:16:37.800 --> 0:16:40.360
<v Speaker 1>that that is going to have a lasting impact on

0:16:40.400 --> 0:16:43.160
<v Speaker 1>the country for the mid to long term. On top

0:16:43.200 --> 0:16:45.800
<v Speaker 1>of that, many countries, including the United States, have placed

0:16:46.480 --> 0:16:49.400
<v Speaker 1>tons of sanctions on Russia that really limit the types

0:16:49.440 --> 0:16:53.320
<v Speaker 1>of technologies that companies are allowed to export to Russia.

0:16:53.360 --> 0:16:56.720
<v Speaker 1>So now Russia's getting a real shortage of some of

0:16:56.720 --> 0:17:02.400
<v Speaker 1>these high tech components. Russi also experienced an outflow of

0:17:02.560 --> 0:17:07.680
<v Speaker 1>skill and expertise and knowledge. Reportedly, thousands of tech professionals

0:17:08.119 --> 0:17:10.960
<v Speaker 1>left Russia to go work in other parts of the world.

0:17:11.080 --> 0:17:16.640
<v Speaker 1>Russia has since attempted to create incentives to inspire tech

0:17:16.760 --> 0:17:19.960
<v Speaker 1>professionals to stay in the country. Also, reportedly, a few

0:17:20.280 --> 0:17:23.920
<v Speaker 1>of them have returned to Russia, possibly because they were

0:17:23.960 --> 0:17:27.240
<v Speaker 1>failing to find gainful employment elsewhere, so they really had

0:17:27.280 --> 0:17:31.119
<v Speaker 1>no other options. But yeah, that's another part of this

0:17:31.200 --> 0:17:36.960
<v Speaker 1>story where Russia is potentially doing long term damage to

0:17:37.080 --> 0:17:42.840
<v Speaker 1>its technological innovation and evolution through these actions in Ukraine.

0:17:44.240 --> 0:17:48.000
<v Speaker 1>It has become clear that the future of conflict, the

0:17:48.040 --> 0:17:52.040
<v Speaker 1>future of war will likely involve tech companies making decisions

0:17:52.080 --> 0:17:56.800
<v Speaker 1>that impact outcomes. As we continue to see with the

0:17:56.920 --> 0:18:01.520
<v Speaker 1>Ukraine war, tech companies can have and a real influence

0:18:01.600 --> 0:18:04.600
<v Speaker 1>on how day to day operations progress. Now we're not

0:18:04.800 --> 0:18:10.159
<v Speaker 1>at the point where some company somewhere, like some boardroom

0:18:10.240 --> 0:18:13.280
<v Speaker 1>executive decides who wins or who loses an a war.

0:18:13.520 --> 0:18:16.920
<v Speaker 1>It's not like that. But we're certainly seeing how companies

0:18:16.960 --> 0:18:20.960
<v Speaker 1>can provide or deny aid in meaningful ways and make

0:18:21.040 --> 0:18:24.920
<v Speaker 1>decisions to side with one side over another. And again

0:18:24.960 --> 0:18:27.840
<v Speaker 1>it shows how tech companies are playing a role that

0:18:27.960 --> 0:18:31.240
<v Speaker 1>traditionally we would just think of as kind of the

0:18:31.240 --> 0:18:34.480
<v Speaker 1>the purview of governments. Right that we would think of

0:18:34.520 --> 0:18:39.399
<v Speaker 1>governments either leveling sanctions or having some other form of

0:18:40.040 --> 0:18:44.720
<v Speaker 1>um punishment for a country that appears to have violated

0:18:44.760 --> 0:18:47.800
<v Speaker 1>international law. That kind of stuff. Now we're seeing tech

0:18:47.840 --> 0:18:50.240
<v Speaker 1>companies take it upon themselves to make some of these

0:18:50.280 --> 0:18:54.720
<v Speaker 1>moves without necessarily being directed by any kind of government authority,

0:18:55.000 --> 0:18:58.840
<v Speaker 1>and that I think is the overall theme that we

0:18:58.880 --> 0:19:02.160
<v Speaker 1>saw in two. That's starting to make some people nervous

0:19:02.520 --> 0:19:04.960
<v Speaker 1>because while that is good, while we can see or

0:19:05.000 --> 0:19:07.600
<v Speaker 1>it potentially is good. It's potentially good that a company

0:19:07.640 --> 0:19:12.920
<v Speaker 1>can step in and perhaps provide help when a government

0:19:13.200 --> 0:19:16.600
<v Speaker 1>either is too slow or unable to do so. That

0:19:16.640 --> 0:19:20.919
<v Speaker 1>could be inspiring. But then you flip that situation and

0:19:20.960 --> 0:19:24.600
<v Speaker 1>you could quickly get to a scenario where a company

0:19:24.680 --> 0:19:28.880
<v Speaker 1>is effectively holding a country hostage, right kind of like

0:19:28.960 --> 0:19:32.480
<v Speaker 1>with the starlink example when those uh, those terminals went

0:19:32.600 --> 0:19:37.359
<v Speaker 1>dead for a little while. That is another possibility, and

0:19:37.359 --> 0:19:40.840
<v Speaker 1>it's made some people really start to question things again,

0:19:40.920 --> 0:19:45.200
<v Speaker 1>mostly questioning how big is big text grasp and should

0:19:45.280 --> 0:19:50.360
<v Speaker 1>it be restricted. We've seen some governments respond to this.

0:19:50.480 --> 0:19:53.240
<v Speaker 1>I mentioned in an earlier episode that Russia has really

0:19:53.280 --> 0:19:58.000
<v Speaker 1>cracked down on VPN services for its citizens in a

0:19:58.040 --> 0:20:00.440
<v Speaker 1>way to kind of strike back or at least to

0:20:00.680 --> 0:20:03.320
<v Speaker 1>keep a lid on things. So a VPN, in case

0:20:03.320 --> 0:20:06.399
<v Speaker 1>you're not familiar, is a virtual private network and for

0:20:06.440 --> 0:20:08.280
<v Speaker 1>those of you all who haven't really used one or

0:20:08.320 --> 0:20:10.879
<v Speaker 1>no much about them, I'll give you a very simple

0:20:11.160 --> 0:20:14.359
<v Speaker 1>explanation of what they are. So when you use your

0:20:14.400 --> 0:20:18.240
<v Speaker 1>computer and you log into a VPN, the VPN essentially

0:20:18.280 --> 0:20:22.240
<v Speaker 1>becomes a data channel for you. Anything that you access online.

0:20:22.280 --> 0:20:24.200
<v Speaker 1>Let's say you're on a browser and you want to

0:20:24.200 --> 0:20:27.600
<v Speaker 1>go to a website, Well ends up being masked because

0:20:27.640 --> 0:20:30.480
<v Speaker 1>it's actually the VPN that does all the visiting of

0:20:30.480 --> 0:20:33.320
<v Speaker 1>the site and then funnels the information to you. So

0:20:33.600 --> 0:20:37.919
<v Speaker 1>let's say you're logged into vpn X and vpn X

0:20:38.000 --> 0:20:40.600
<v Speaker 1>is based in some other country, it's not where you are,

0:20:41.240 --> 0:20:43.600
<v Speaker 1>and you choose to visit a news website. Well, the

0:20:43.600 --> 0:20:45.920
<v Speaker 1>news website will see that the request is coming from

0:20:46.080 --> 0:20:50.720
<v Speaker 1>vpn X. They won't see that ultimately that request comes

0:20:50.760 --> 0:20:53.040
<v Speaker 1>from you. They just see that, oh, vpn X is

0:20:53.119 --> 0:20:55.720
<v Speaker 1>asking for this web page, let's send it to them.

0:20:56.119 --> 0:20:58.439
<v Speaker 1>So it sends the data to vpn X, and vpn

0:20:58.560 --> 0:21:01.880
<v Speaker 1>X then sends that data to you. So VPNs can

0:21:01.920 --> 0:21:04.520
<v Speaker 1>have a lot of valuable benefits. At one is that

0:21:04.600 --> 0:21:08.120
<v Speaker 1>they can help you maintain privacy. So if someone snooping

0:21:08.200 --> 0:21:12.399
<v Speaker 1>on your connection, they would see that you were communicating

0:21:12.560 --> 0:21:15.520
<v Speaker 1>with a VPN, but they wouldn't see where you were going.

0:21:15.560 --> 0:21:18.639
<v Speaker 1>Beyond that, assuming that everything is encrypted, they would not

0:21:18.840 --> 0:21:21.920
<v Speaker 1>see that you were trying to use VPN to visit

0:21:22.000 --> 0:21:24.399
<v Speaker 1>that news site, for example. They would just see that

0:21:24.440 --> 0:21:28.200
<v Speaker 1>you were connected to the VPN. Conversely, if they were

0:21:28.200 --> 0:21:31.040
<v Speaker 1>looking at the VPN and the traffic that the VPN

0:21:31.160 --> 0:21:33.720
<v Speaker 1>or the sites of the VPN was visiting, they would

0:21:33.760 --> 0:21:36.040
<v Speaker 1>see that all the different sites of VPN was visiting,

0:21:36.080 --> 0:21:37.760
<v Speaker 1>but they wouldn't be able to say who went to

0:21:37.800 --> 0:21:42.159
<v Speaker 1>what site. So it helps mask your pri or it

0:21:42.200 --> 0:21:44.280
<v Speaker 1>helps keep things private for you. That's one of the

0:21:44.280 --> 0:21:48.080
<v Speaker 1>big benefits right now. Using a VPN can slow stuff

0:21:48.080 --> 0:21:50.840
<v Speaker 1>down a little bit, but that's a trade off if

0:21:50.880 --> 0:21:53.520
<v Speaker 1>you want to have your communications better protected. By the way,

0:21:53.560 --> 0:21:56.240
<v Speaker 1>if you ever do use any kind of public WiFi,

0:21:56.760 --> 0:22:00.080
<v Speaker 1>I highly recommend that you subscribe to a vp in

0:22:00.320 --> 0:22:03.880
<v Speaker 1>and you use a vp N. It's not a perfect,

0:22:03.920 --> 0:22:08.000
<v Speaker 1>bulletproof type of protection for you, but it goes a

0:22:08.040 --> 0:22:12.840
<v Speaker 1>long way to helping keep your data safe. Um again,

0:22:13.440 --> 0:22:18.640
<v Speaker 1>not a perfect solution, but every little layer of protection

0:22:18.720 --> 0:22:22.359
<v Speaker 1>is is a good one. So another benefit for the

0:22:22.680 --> 0:22:25.240
<v Speaker 1>VPNs is that if you log into a VPN that's

0:22:25.280 --> 0:22:29.400
<v Speaker 1>in another country, you can sometimes access stuff that otherwise

0:22:29.400 --> 0:22:33.320
<v Speaker 1>would be off limits to you. So, for example, let's

0:22:33.320 --> 0:22:37.359
<v Speaker 1>say that you were a UK citizen and you moved

0:22:37.520 --> 0:22:40.080
<v Speaker 1>to the United States, but you would still like to

0:22:40.080 --> 0:22:42.560
<v Speaker 1>be able to watch some UK programming that's just not

0:22:42.640 --> 0:22:47.080
<v Speaker 1>available here in the States. Uh, maybe the platform carrying

0:22:47.119 --> 0:22:49.720
<v Speaker 1>that programming has region locks on it. So let's say

0:22:49.720 --> 0:22:51.919
<v Speaker 1>that you know, you go to a website, let's say

0:22:51.960 --> 0:22:54.000
<v Speaker 1>it's one of the BBC websites. You go to a

0:22:54.040 --> 0:22:56.600
<v Speaker 1>BBC website, and you want to watch this one program

0:22:56.640 --> 0:22:59.880
<v Speaker 1>that runs on BBC. But when you try and play

0:22:59.880 --> 0:23:01.879
<v Speaker 1>it here in the States, you get a message that

0:23:01.920 --> 0:23:03.960
<v Speaker 1>says something along the lines of we're sorry, but the

0:23:03.960 --> 0:23:07.119
<v Speaker 1>programming you're trying to access isn't available in your area

0:23:07.400 --> 0:23:12.760
<v Speaker 1>or your region. Well, logging into a VPN that is

0:23:12.840 --> 0:23:17.080
<v Speaker 1>located within the UK can potentially help you sidestep this

0:23:17.480 --> 0:23:24.040
<v Speaker 1>region lock. Now, generally speaking, I'm against doing this personally

0:23:24.359 --> 0:23:26.920
<v Speaker 1>here in the United States. I am not in favor

0:23:27.280 --> 0:23:31.119
<v Speaker 1>of doing it for myself. For one thing, we have

0:23:31.200 --> 0:23:34.720
<v Speaker 1>access to so much stuff that it starts to feel

0:23:34.760 --> 0:23:38.719
<v Speaker 1>a bit selfish to ask for even more. But there

0:23:38.760 --> 0:23:41.160
<v Speaker 1>are parts of the world where governments restrict a lot

0:23:41.160 --> 0:23:44.639
<v Speaker 1>of what citizens can see, and there I think VPNs

0:23:44.680 --> 0:23:48.040
<v Speaker 1>provide a critical service. It gives people a chance to

0:23:48.600 --> 0:23:52.479
<v Speaker 1>get past those government restrictions and see what's going on

0:23:52.520 --> 0:23:56.320
<v Speaker 1>in the world. Well, that's exactly why the Russian government

0:23:56.320 --> 0:23:58.640
<v Speaker 1>really started to crack down on VPNs and has been

0:23:58.680 --> 0:24:01.840
<v Speaker 1>for a couple of years now. So Russian citizens could

0:24:01.880 --> 0:24:04.520
<v Speaker 1>subscribe to VPN services for a while and they could

0:24:04.520 --> 0:24:07.639
<v Speaker 1>get access to information that the Russian government objected to.

0:24:08.160 --> 0:24:12.879
<v Speaker 1>It did not go in line with the official Russian communications.

0:24:12.920 --> 0:24:16.000
<v Speaker 1>So over the last couple of years, many VPN services

0:24:16.040 --> 0:24:20.480
<v Speaker 1>have been banned within Russia. Even Russia's own Kaspersky Labs

0:24:20.560 --> 0:24:22.760
<v Speaker 1>has announced that it is no longer going to offer

0:24:22.840 --> 0:24:27.439
<v Speaker 1>VPN services within Russia, presumably because government pressure is so

0:24:27.520 --> 0:24:29.919
<v Speaker 1>great that it just doesn't make sense to try and

0:24:30.000 --> 0:24:34.520
<v Speaker 1>operate VPN as a business there. Russia is not the

0:24:34.600 --> 0:24:39.840
<v Speaker 1>only country to have cracked down on VPNs. In two Iran, India,

0:24:39.920 --> 0:24:44.400
<v Speaker 1>and Myanmar similarly have tried to restrict access to these

0:24:44.480 --> 0:24:47.320
<v Speaker 1>kinds of services in an effort to control the information

0:24:47.400 --> 0:24:51.119
<v Speaker 1>that citizens can access. In some of these countries, it

0:24:51.240 --> 0:24:55.360
<v Speaker 1>is illegal to post or share any messaging that criticizes

0:24:55.400 --> 0:24:59.240
<v Speaker 1>the government or contradicts the government's official stance on any

0:24:59.280 --> 0:25:05.200
<v Speaker 1>given top. So again we see this ongoing battle between governments,

0:25:05.240 --> 0:25:10.880
<v Speaker 1>particularly more authoritarian governments, and tech companies. Now, often these

0:25:10.920 --> 0:25:15.760
<v Speaker 1>crackdowns on tech coincide with authoritarian governments doing authoritarian things

0:25:15.800 --> 0:25:20.760
<v Speaker 1>go figure, you know, like ignoring or manipulating elections, or

0:25:20.800 --> 0:25:24.560
<v Speaker 1>removing or restricting citizen rights, that kind of thing. One

0:25:24.560 --> 0:25:27.440
<v Speaker 1>of the truly powerful things tech has ever done over

0:25:27.480 --> 0:25:31.320
<v Speaker 1>the years is given people more accessibility to information and

0:25:31.359 --> 0:25:35.359
<v Speaker 1>for the chance to communicate, and thus potentially leading to

0:25:35.480 --> 0:25:41.000
<v Speaker 1>things like organization, like citizens banding together to oppose an

0:25:41.000 --> 0:25:43.760
<v Speaker 1>oppressive government. That's the kind of thing that is very

0:25:43.840 --> 0:25:47.520
<v Speaker 1>dangerous for authoritarian regimes, which depend heavily on controlling people,

0:25:48.240 --> 0:25:51.359
<v Speaker 1>and that comes hand in hand with controlling information and

0:25:51.440 --> 0:25:56.640
<v Speaker 1>access to various services. Now, sometimes tech companies will still

0:25:56.640 --> 0:26:00.600
<v Speaker 1>try to operate in these regions. They might say that

0:26:00.840 --> 0:26:03.359
<v Speaker 1>they do so in an effort to provide resources to

0:26:03.440 --> 0:26:06.280
<v Speaker 1>people who desperately need them, And I'm sure that's at

0:26:06.359 --> 0:26:09.000
<v Speaker 1>least part of the reason, and it's a valuable one

0:26:09.080 --> 0:26:12.760
<v Speaker 1>Like that is a valuable goal is to to let

0:26:12.840 --> 0:26:16.960
<v Speaker 1>people have access to these tools that could potentially help

0:26:17.000 --> 0:26:22.399
<v Speaker 1>them have a better existence. It also could be true

0:26:22.440 --> 0:26:26.200
<v Speaker 1>that these companies depend upon expanding to more customers every year,

0:26:26.520 --> 0:26:31.520
<v Speaker 1>so you know, expanding into countries where things are dicey

0:26:31.760 --> 0:26:34.919
<v Speaker 1>can still align with company goals from a business standpoint,

0:26:34.960 --> 0:26:37.000
<v Speaker 1>and I guess there's an argument for that as well,

0:26:37.040 --> 0:26:39.239
<v Speaker 1>Like we don't live in a world where we can

0:26:39.240 --> 0:26:42.680
<v Speaker 1>all just be altruistic. But one thing we have seen

0:26:42.680 --> 0:26:45.960
<v Speaker 1>over the year the past year is that more and

0:26:46.000 --> 0:26:49.800
<v Speaker 1>more companies are are either reluctant to do business in

0:26:50.080 --> 0:26:52.960
<v Speaker 1>or they're actively pulling out of one of the largest

0:26:53.000 --> 0:26:58.160
<v Speaker 1>markets in the world, and that being China. As for why, well,

0:26:58.240 --> 0:27:01.560
<v Speaker 1>there are a lot of potential reasons. One might be

0:27:01.760 --> 0:27:05.560
<v Speaker 1>a fundamental disagreement with the Chinese Communist Party the c

0:27:05.720 --> 0:27:09.640
<v Speaker 1>c P, that's the ruling party in China. In fact,

0:27:09.640 --> 0:27:13.199
<v Speaker 1>a lot of people just equated with Chinese government. Then

0:27:13.240 --> 0:27:17.120
<v Speaker 1>you could understand why. And the CCP has a very

0:27:17.119 --> 0:27:20.760
<v Speaker 1>long history of human rights violations, um terrible ones. You

0:27:20.760 --> 0:27:22.520
<v Speaker 1>can read all about it if you like to, but

0:27:22.680 --> 0:27:27.359
<v Speaker 1>trust me, there's an incredibly long history of truly dreadful

0:27:27.400 --> 0:27:30.320
<v Speaker 1>things going on on an official basis, but not a

0:27:30.320 --> 0:27:34.800
<v Speaker 1>public one official, but denied is the way it works.

0:27:35.680 --> 0:27:39.000
<v Speaker 1>Another reason that companies might be reluctant to work in

0:27:39.119 --> 0:27:41.360
<v Speaker 1>China is how the Chinese government has taken a more

0:27:41.400 --> 0:27:45.120
<v Speaker 1>active and restrictive role in how companies, particularly tech companies,

0:27:45.520 --> 0:27:48.880
<v Speaker 1>are allowed to do business within the country. This past year,

0:27:48.920 --> 0:27:51.760
<v Speaker 1>we saw the Chinese government past restrictive laws that affected

0:27:51.760 --> 0:27:54.679
<v Speaker 1>the video games industry. For example, this has actually been

0:27:54.720 --> 0:27:56.960
<v Speaker 1>an ongoing story for more than a year. It began

0:27:57.040 --> 0:28:01.080
<v Speaker 1>before two but this year we saw the Chinese government

0:28:01.080 --> 0:28:05.040
<v Speaker 1>take a more firm stance on certain types of video

0:28:05.080 --> 0:28:10.119
<v Speaker 1>game businesses. For example, China's government issued a ban on

0:28:10.320 --> 0:28:14.320
<v Speaker 1>licensing games for the first several months of two so

0:28:14.480 --> 0:28:18.080
<v Speaker 1>in China, video game companies have to apply for a

0:28:18.119 --> 0:28:22.040
<v Speaker 1>license before they are allowed to sell a specific game

0:28:22.200 --> 0:28:27.600
<v Speaker 1>to Chinese citizens. Even Chinese companies video game companies have

0:28:27.680 --> 0:28:30.880
<v Speaker 1>to do this. It's not just foreign companies that are

0:28:30.920 --> 0:28:35.680
<v Speaker 1>wanting to sell their titles within China, and in fact,

0:28:35.720 --> 0:28:38.800
<v Speaker 1>back in two thousand eighteen, ten Cent famously had to

0:28:38.800 --> 0:28:42.560
<v Speaker 1>pull Monster Hunter World from Chinese markets after failing to

0:28:42.600 --> 0:28:46.640
<v Speaker 1>secure a license first. Intencent is a huge Chinese company,

0:28:47.080 --> 0:28:51.040
<v Speaker 1>so the government has been issuing fewer licenses in recent years,

0:28:51.120 --> 0:28:54.320
<v Speaker 1>and by the summer of one they essentially just stopped

0:28:54.680 --> 0:28:58.920
<v Speaker 1>issuing game licenses. That pretty much was the case until

0:28:59.320 --> 0:29:03.240
<v Speaker 1>the spring of this year. Somewhere around April of two,

0:29:03.640 --> 0:29:07.720
<v Speaker 1>we started to finally see the government licensed new titles

0:29:07.760 --> 0:29:10.640
<v Speaker 1>for sale in China. As for a while that was

0:29:10.680 --> 0:29:12.520
<v Speaker 1>going on. It was part of a larger effort to

0:29:12.560 --> 0:29:16.280
<v Speaker 1>combat what the government was referring to as video game addiction,

0:29:16.760 --> 0:29:20.760
<v Speaker 1>particularly for younger citizens, as well as just the standard

0:29:21.120 --> 0:29:23.880
<v Speaker 1>They don't want any content in any video games that

0:29:23.920 --> 0:29:29.520
<v Speaker 1>could potentially contradict the official Chinese government line on any

0:29:29.640 --> 0:29:34.920
<v Speaker 1>given topic. The restrictions this year also included a ban

0:29:35.640 --> 0:29:40.400
<v Speaker 1>on live streaming certain games, so China warned platforms against

0:29:40.480 --> 0:29:44.560
<v Speaker 1>the live streaming of titles that are unapproved and unlicensed. Further,

0:29:44.920 --> 0:29:47.960
<v Speaker 1>if you wanted to live stream overseas games within China,

0:29:48.560 --> 0:29:51.560
<v Speaker 1>you first had to secure approval in order to do so,

0:29:51.800 --> 0:29:54.680
<v Speaker 1>and live streamers were also told to avoid quote unquote

0:29:55.160 --> 0:29:59.560
<v Speaker 1>abnormal esthetics. Now you might wonder what was an abnormal

0:30:00.280 --> 0:30:03.160
<v Speaker 1>I think mostly they were trying to tell streamers that

0:30:03.200 --> 0:30:06.600
<v Speaker 1>they need to dress modestly and not play up their

0:30:06.640 --> 0:30:09.840
<v Speaker 1>sex appeal the way you see a lot of Western

0:30:09.880 --> 0:30:17.200
<v Speaker 1>streamers do so kind of a crackdown on people being

0:30:17.240 --> 0:30:19.680
<v Speaker 1>able to express themselves in a way that they wanted

0:30:19.880 --> 0:30:23.480
<v Speaker 1>and that would be popular. So yeah, the Chinese government says,

0:30:23.520 --> 0:30:26.360
<v Speaker 1>don't do that. They also said, don't foster the kind

0:30:26.360 --> 0:30:28.680
<v Speaker 1>of para social relationships you see in other parts of

0:30:28.680 --> 0:30:31.880
<v Speaker 1>the world with online gaming culture, to avoid you know,

0:30:32.040 --> 0:30:36.880
<v Speaker 1>so called harmful celebrity uh interactions, that kind of thing, which, honestly,

0:30:37.280 --> 0:30:40.280
<v Speaker 1>I mean, if we can do stuff to help discourage

0:30:40.680 --> 0:30:43.520
<v Speaker 1>the development of para social relationships, that might be a

0:30:43.600 --> 0:30:47.760
<v Speaker 1>really good thing, because I've seen a lot of heartache

0:30:48.280 --> 0:30:52.160
<v Speaker 1>pop up because of people developing these sorts of relationships,

0:30:52.200 --> 0:30:58.800
<v Speaker 1>and that's that's unfortunate. Sometimes doing business in China maybe

0:30:59.040 --> 0:31:02.320
<v Speaker 1>more work than what it's worth, or the revenue will

0:31:02.360 --> 0:31:05.880
<v Speaker 1>be reduced due to government interference, and that's one of

0:31:05.880 --> 0:31:10.840
<v Speaker 1>the reasons why some companies have been dialing back or

0:31:10.880 --> 0:31:13.840
<v Speaker 1>even pulling out of China. So when we come back,

0:31:14.000 --> 0:31:15.920
<v Speaker 1>we'll talk a little bit more about that. We'll also

0:31:15.960 --> 0:31:20.520
<v Speaker 1>talk about a company that has Chinese heritage and how

0:31:20.600 --> 0:31:24.640
<v Speaker 1>that has run into some issues with the US government.

0:31:25.240 --> 0:31:27.160
<v Speaker 1>And I'm sure most of you have already guessed what

0:31:27.280 --> 0:31:31.440
<v Speaker 1>it is. If you haven't, Hey, that clock it's ticking

0:31:32.520 --> 0:31:45.800
<v Speaker 1>and also talking, We'll be back. Okay. We were talking

0:31:45.840 --> 0:31:49.440
<v Speaker 1>about reasons why companies were looking to potentially pull out

0:31:49.440 --> 0:31:52.640
<v Speaker 1>of China. There's another big one, and that is there

0:31:52.640 --> 0:31:57.000
<v Speaker 1>are a lot of state run or state owned Chinese firms,

0:31:57.440 --> 0:32:01.040
<v Speaker 1>more than a hundred fifty companies in China ultimately owned

0:32:01.200 --> 0:32:04.400
<v Speaker 1>by the state by the Chinese government, and as you

0:32:04.440 --> 0:32:09.120
<v Speaker 1>might imagine, these companies typically enjoy competitive advantages over outsiders

0:32:09.120 --> 0:32:12.600
<v Speaker 1>that are providing goods and services within the same space.

0:32:13.200 --> 0:32:17.160
<v Speaker 1>So while China does have a huge population and theoretically

0:32:17.240 --> 0:32:20.800
<v Speaker 1>represents a healthy source of revenue for a company, the

0:32:20.880 --> 0:32:24.400
<v Speaker 1>reality is that some tech companies from other parts of

0:32:24.400 --> 0:32:27.640
<v Speaker 1>the world might find themselves at a disadvantage rail the

0:32:27.640 --> 0:32:33.680
<v Speaker 1>gate because they're jumping into uh an industry where state

0:32:33.760 --> 0:32:39.080
<v Speaker 1>run companies already have an existing presence, and so they're

0:32:39.120 --> 0:32:41.440
<v Speaker 1>just going to run into more and more adversity as

0:32:41.480 --> 0:32:45.040
<v Speaker 1>they try to establish their own base of operations within China.

0:32:45.120 --> 0:32:48.280
<v Speaker 1>So that's another reason why some companies have decided to

0:32:48.320 --> 0:32:51.520
<v Speaker 1>pull out. They just can't compete in a country where

0:32:51.520 --> 0:32:57.000
<v Speaker 1>state owned businesses get the edge over everybody else. Then,

0:32:57.080 --> 0:33:01.280
<v Speaker 1>of course there are sanctions. There are various sanctions within

0:33:01.440 --> 0:33:04.440
<v Speaker 1>say the semiconductor industry in particular, So the US government

0:33:04.520 --> 0:33:08.160
<v Speaker 1>essentially has put a strict limit on the types of

0:33:08.200 --> 0:33:12.480
<v Speaker 1>semiconductor chips that are allowed to be exported to China. Essentially,

0:33:12.720 --> 0:33:17.120
<v Speaker 1>only the older, less powerful chips are fair game. Anything

0:33:17.160 --> 0:33:21.959
<v Speaker 1>else that's more modern, more powerful, those are not allowed

0:33:22.000 --> 0:33:25.280
<v Speaker 1>to be exported to China. Then there was China's former

0:33:25.360 --> 0:33:30.200
<v Speaker 1>policy with regard to COVID nineteen. Until recently, it was

0:33:30.520 --> 0:33:33.960
<v Speaker 1>the official policy that if health officials detected a COVID

0:33:34.040 --> 0:33:37.800
<v Speaker 1>nineteen case within a given region, that whole region would

0:33:37.800 --> 0:33:40.920
<v Speaker 1>go on lockdown and a lot of businesses, particularly in

0:33:40.960 --> 0:33:44.320
<v Speaker 1>the manufacturing field, would either have to shut down or

0:33:44.360 --> 0:33:47.880
<v Speaker 1>they would have to arrange to have employees essentially live

0:33:48.360 --> 0:33:51.280
<v Speaker 1>at the manufacturing facility in order to stay in operation.

0:33:51.400 --> 0:33:54.080
<v Speaker 1>Tesla did that and got a lot of pushback on it.

0:33:54.680 --> 0:33:57.880
<v Speaker 1>Several companies have been exploring the option of migrating at

0:33:57.960 --> 0:34:02.240
<v Speaker 1>least some of their manufacturing to India instead of China.

0:34:02.560 --> 0:34:05.360
<v Speaker 1>This is also in response two issues we had with

0:34:05.400 --> 0:34:08.479
<v Speaker 1>supply chain problems, where you know, we started to see

0:34:08.520 --> 0:34:13.600
<v Speaker 1>a real shortage and semiconductors due to lots of different reasons.

0:34:13.840 --> 0:34:17.440
<v Speaker 1>It's actually very complicated, but one of the fears was

0:34:17.520 --> 0:34:21.520
<v Speaker 1>that will if it's in China and China shuts down operations,

0:34:22.080 --> 0:34:25.359
<v Speaker 1>then that stops everything for like two weeks, and that

0:34:25.400 --> 0:34:29.680
<v Speaker 1>can really start to put massive bottlenecks in the supply chain.

0:34:30.280 --> 0:34:33.719
<v Speaker 1>So companies have actively been looking at migrating some of

0:34:33.760 --> 0:34:39.280
<v Speaker 1>those operations to other countries to relieve that dependence upon China.

0:34:40.880 --> 0:34:44.520
<v Speaker 1>Companies that had already left China before two even got

0:34:44.560 --> 0:34:47.640
<v Speaker 1>started would include Yahoo and LinkedIn. Both of them pulled

0:34:47.640 --> 0:34:50.680
<v Speaker 1>out of China. They had encountered challenges relating to operating

0:34:50.680 --> 0:34:54.440
<v Speaker 1>within a country that has such a hands on government.

0:34:55.080 --> 0:34:58.600
<v Speaker 1>Amazon stopped selling Kindle devices in China this year. They

0:34:58.640 --> 0:35:02.399
<v Speaker 1>closed there did all Kindle bookstore in China. This year.

0:35:03.120 --> 0:35:07.600
<v Speaker 1>Airbnb started to shut down operations in China, sighting challenges

0:35:07.640 --> 0:35:10.400
<v Speaker 1>associated with the pandemic as well as the presence of

0:35:10.440 --> 0:35:15.280
<v Speaker 1>heavily established Chinese competitors within that space and um and yeah.

0:35:15.400 --> 0:35:18.480
<v Speaker 1>So that's why we're starting to see the tech sector

0:35:18.960 --> 0:35:24.840
<v Speaker 1>reconsider China as a market, at least the Western tech sector,

0:35:24.880 --> 0:35:28.799
<v Speaker 1>I should say. Now, speaking of China and tech it

0:35:28.960 --> 0:35:31.359
<v Speaker 1>is time for us to tackle another big story from

0:35:31.400 --> 0:35:35.120
<v Speaker 1>this past year, and that would be TikTok. So for

0:35:35.120 --> 0:35:38.759
<v Speaker 1>those who don't know, TikTok got its start as an

0:35:38.760 --> 0:35:43.399
<v Speaker 1>app called Musical dot Lee so Musically and it let

0:35:43.440 --> 0:35:46.239
<v Speaker 1>folks record short videos, typically of them lips sinking to

0:35:46.480 --> 0:35:50.400
<v Speaker 1>popular songs, and it got its start in China, but

0:35:50.520 --> 0:35:55.040
<v Speaker 1>it didn't really get much traction there. However, US users

0:35:55.080 --> 0:35:59.480
<v Speaker 1>were responding well to it, so Musically then established a

0:35:59.560 --> 0:36:04.759
<v Speaker 1>headquarters in California and really just focused almost exclusively on

0:36:04.880 --> 0:36:08.680
<v Speaker 1>developing its business in the United States. Then you had

0:36:08.680 --> 0:36:12.440
<v Speaker 1>this big company in China called Byte Dance, and it

0:36:12.520 --> 0:36:15.960
<v Speaker 1>had a different short form video app that it owned,

0:36:16.160 --> 0:36:18.960
<v Speaker 1>and it wanted to get access to the American market.

0:36:19.840 --> 0:36:22.719
<v Speaker 1>But just as it can be difficult for an American

0:36:22.760 --> 0:36:26.240
<v Speaker 1>company to gain traction in China, it can be really

0:36:26.280 --> 0:36:29.520
<v Speaker 1>hard for a Chinese company to gain traction in America.

0:36:29.719 --> 0:36:33.760
<v Speaker 1>So Byte Dance saw that Musically was already doing pretty

0:36:33.800 --> 0:36:38.040
<v Speaker 1>well and decided to essentially by their way in. They

0:36:38.080 --> 0:36:42.759
<v Speaker 1>bought Musically and then rebranded that into TikTok, and that

0:36:42.840 --> 0:36:47.359
<v Speaker 1>became a subsidiary company underneath Byte Dance, the Chinese company.

0:36:47.400 --> 0:36:51.840
<v Speaker 1>So TikTok is headquartered in America, but their parent company

0:36:51.920 --> 0:36:54.880
<v Speaker 1>is byte Dance, and that's in China. During the Trump

0:36:54.880 --> 0:36:58.439
<v Speaker 1>administration here in the United States, concerns were first brought

0:36:58.520 --> 0:37:01.800
<v Speaker 1>up about TikTok and it's really reationship with its parent company.

0:37:02.040 --> 0:37:05.880
<v Speaker 1>There were worries about where TikTok was storing user information,

0:37:06.360 --> 0:37:11.719
<v Speaker 1>like we're users data being stored on servers in China.

0:37:12.200 --> 0:37:15.719
<v Speaker 1>This concern led TikTok to make some changes. They migrated

0:37:15.760 --> 0:37:19.400
<v Speaker 1>their services and data onto US based servers that were

0:37:19.400 --> 0:37:23.080
<v Speaker 1>administered by the company Oracle, so essentially saying, look, see

0:37:23.120 --> 0:37:26.080
<v Speaker 1>are our data is not on Chinese servers, It's on

0:37:26.120 --> 0:37:30.000
<v Speaker 1>American servers. This is not totally satisfied at least some

0:37:30.040 --> 0:37:33.560
<v Speaker 1>folks in the US government. There continued to be those

0:37:33.600 --> 0:37:36.680
<v Speaker 1>concerned that TikTok could be serving as a way to

0:37:36.719 --> 0:37:40.680
<v Speaker 1>collect US citizen information as well as just accessing other

0:37:40.760 --> 0:37:42.759
<v Speaker 1>kinds of info. I mean, if you've got someone who's

0:37:43.320 --> 0:37:46.200
<v Speaker 1>shooting a funny TikTok they happened to be and say,

0:37:46.680 --> 0:37:52.560
<v Speaker 1>you know, a fairly secretive company or government agency, then

0:37:52.719 --> 0:37:56.040
<v Speaker 1>that video might end up giving people some really valuable information,

0:37:56.120 --> 0:38:00.680
<v Speaker 1>even if it's not exclusively about that subject. Meanwhile, the

0:38:00.760 --> 0:38:04.080
<v Speaker 1>Chinese Communist Party has a history of establishing a presence

0:38:04.280 --> 0:38:08.719
<v Speaker 1>in private companies in China. Last year, China's government acquired

0:38:08.760 --> 0:38:12.719
<v Speaker 1>a one percent stake in part of byte Dance, specifically

0:38:12.760 --> 0:38:15.600
<v Speaker 1>in the part of the company that holds licenses that

0:38:15.680 --> 0:38:20.640
<v Speaker 1>are crucial to their video sharing platforms. So along with

0:38:20.719 --> 0:38:25.080
<v Speaker 1>that steak, the CCP also secured a seat on byte

0:38:25.160 --> 0:38:28.000
<v Speaker 1>dances board for this part of byte Dance. That's a

0:38:28.040 --> 0:38:31.520
<v Speaker 1>board that only has three seats on it, so one

0:38:31.640 --> 0:38:33.880
<v Speaker 1>third of the board of directors for this part of

0:38:33.880 --> 0:38:38.080
<v Speaker 1>byte Dance is occupied by a representative from the Chinese

0:38:38.120 --> 0:38:42.000
<v Speaker 1>Communist Party. Then you have to consider that China has

0:38:42.040 --> 0:38:45.799
<v Speaker 1>the National Intelligence Law of the People's Republic of China.

0:38:46.000 --> 0:38:48.200
<v Speaker 1>This is a law that China actually passed back in

0:38:48.200 --> 0:38:51.480
<v Speaker 1>two thousand seventeen. That law states it is the responsibility

0:38:51.520 --> 0:38:55.960
<v Speaker 1>of all Chinese companies and citizens to work to maintain

0:38:56.040 --> 0:38:59.000
<v Speaker 1>national security of China, and that as part of that,

0:38:59.280 --> 0:39:02.080
<v Speaker 1>all businesses as registered in China are required to hand

0:39:02.120 --> 0:39:07.200
<v Speaker 1>over information to Chinese intelligence agencies. That includes Chinese companies

0:39:07.200 --> 0:39:11.000
<v Speaker 1>that are operating in other countries like the United States.

0:39:11.440 --> 0:39:15.280
<v Speaker 1>So there's literally a law in China, that assuming TikTok

0:39:15.560 --> 0:39:20.080
<v Speaker 1>is obeying this law, means that TikTok is obligated to

0:39:20.239 --> 0:39:24.240
<v Speaker 1>share data back to the Chinese government because TikTok itself

0:39:24.360 --> 0:39:28.239
<v Speaker 1>is a subsidiary of byte Dance, a Chinese company. By

0:39:28.239 --> 0:39:30.120
<v Speaker 1>the way, the same policy as part of the reason

0:39:30.120 --> 0:39:34.520
<v Speaker 1>why the United States banned Huawei components in telecommunications networks

0:39:34.560 --> 0:39:39.040
<v Speaker 1>here in the States. Now. Back in former President Trump

0:39:39.120 --> 0:39:43.080
<v Speaker 1>issued an executive order aiming to ban TikTok, but this

0:39:43.120 --> 0:39:45.960
<v Speaker 1>band never actually went into effect, partly because there were

0:39:46.000 --> 0:39:48.600
<v Speaker 1>real questions over whether the US government actually had the

0:39:48.680 --> 0:39:52.759
<v Speaker 1>authority to ban TikTok just based on an executive order

0:39:52.800 --> 0:39:55.640
<v Speaker 1>in the first place. Then there were other factors at well,

0:39:55.640 --> 0:39:57.400
<v Speaker 1>but I'm not gonna get into it because that was

0:39:57.440 --> 0:40:01.120
<v Speaker 1>twenty two now, you don't need to rehash all that.

0:40:02.080 --> 0:40:08.200
<v Speaker 1>Biden revoked Trump's executive order. Instead, Biden proposed a process

0:40:08.239 --> 0:40:12.120
<v Speaker 1>by which the US government will evaluate apps and social

0:40:12.160 --> 0:40:15.719
<v Speaker 1>networks that are owned and operated by foreign companies, particularly

0:40:16.440 --> 0:40:20.040
<v Speaker 1>foreign uh foreign companies that are in countries that are

0:40:20.120 --> 0:40:24.200
<v Speaker 1>antagonistic toward the United States or that we are antagonistic

0:40:24.280 --> 0:40:28.800
<v Speaker 1>toward if you prefer. The process is meant to determine

0:40:28.840 --> 0:40:31.719
<v Speaker 1>if these apps or platforms represent a security risk to

0:40:31.920 --> 0:40:36.000
<v Speaker 1>the US or just two American citizens. So TikTok has

0:40:36.160 --> 0:40:41.160
<v Speaker 1>kind of been going through this process, but that's not

0:40:41.280 --> 0:40:45.040
<v Speaker 1>where this story ends, because various people in Congress have

0:40:45.160 --> 0:40:48.200
<v Speaker 1>brought up concerns about TikTok, ranging from fears that the

0:40:48.200 --> 0:40:52.919
<v Speaker 1>company is actively spying on behalf of China to other

0:40:52.960 --> 0:40:57.400
<v Speaker 1>worries that TikTok is promoting and perpetuating harmful material to

0:40:57.640 --> 0:41:02.239
<v Speaker 1>impressionable people, particularly to young people, because TikTok has a

0:41:02.239 --> 0:41:06.680
<v Speaker 1>strong appeal for younger users, so there are some pretty

0:41:06.680 --> 0:41:09.840
<v Speaker 1>well founded worries that messages that relate to say self

0:41:09.920 --> 0:41:14.280
<v Speaker 1>harm get amplified on TikTok. So there have been renewed

0:41:14.320 --> 0:41:18.239
<v Speaker 1>calls to ban the service outright, not necessarily because it

0:41:18.360 --> 0:41:22.880
<v Speaker 1>might be a spy, but because it could be doing

0:41:22.960 --> 0:41:28.920
<v Speaker 1>some serious harm to younger users. And ultimately, TikTok's recommendation

0:41:28.960 --> 0:41:32.960
<v Speaker 1>algorithm responds to whatever it is you're watching, So if

0:41:33.040 --> 0:41:36.160
<v Speaker 1>you watch a video in full and that video happens

0:41:36.200 --> 0:41:39.880
<v Speaker 1>to have harmful material in it, TikTok is more likely

0:41:39.960 --> 0:41:45.040
<v Speaker 1>to recommend similar videos, which does amplify that message. If

0:41:45.120 --> 0:41:49.400
<v Speaker 1>you happen to watch videos in full that are about

0:41:49.440 --> 0:41:51.920
<v Speaker 1>puppies playing, then you're probably going to see more videos

0:41:51.920 --> 0:41:56.399
<v Speaker 1>about puppies playing. So the platform, you could argue, is agnostic.

0:41:56.440 --> 0:41:59.959
<v Speaker 1>It doesn't care what the content is. It just wants

0:42:00.040 --> 0:42:02.920
<v Speaker 1>to serve more content that's going to keep you on TikTok.

0:42:03.280 --> 0:42:06.520
<v Speaker 1>The problem is if that content is negative, stuff that

0:42:06.640 --> 0:42:10.040
<v Speaker 1>is impacting your mental health, that's going to get amplified

0:42:10.200 --> 0:42:15.239
<v Speaker 1>and replicated and reiterated, and eventually that could have a

0:42:15.320 --> 0:42:19.480
<v Speaker 1>really negative impact on at least some people. So that's

0:42:19.480 --> 0:42:24.240
<v Speaker 1>one of the reasons why certain politicians want to ban TikTok.

0:42:24.320 --> 0:42:27.520
<v Speaker 1>So there are multiple points of view that have a

0:42:27.600 --> 0:42:31.880
<v Speaker 1>similar goal, but for different reasons. We have seen the

0:42:31.920 --> 0:42:34.719
<v Speaker 1>federal government here in the US proposed policies that make

0:42:34.760 --> 0:42:37.680
<v Speaker 1>it against the rules for federal employees to install TikTok

0:42:37.800 --> 0:42:40.920
<v Speaker 1>on their work devices. Uh, they even work that language

0:42:40.920 --> 0:42:44.640
<v Speaker 1>into spending bills, And to me, that just kind of

0:42:45.000 --> 0:42:48.919
<v Speaker 1>makes sense, the banning them on work devices, not the

0:42:49.280 --> 0:42:52.839
<v Speaker 1>burying something in a larger spending bill. I hate that

0:42:52.920 --> 0:42:56.759
<v Speaker 1>kind of stuff, like the idea that politicians sneak their

0:42:56.800 --> 0:43:02.000
<v Speaker 1>pet projects in on really necessary pieces of legislation has

0:43:02.040 --> 0:43:06.000
<v Speaker 1>always bothered me. I hate that, like, oh, well, no

0:43:06.040 --> 0:43:08.120
<v Speaker 1>one's going to vote against this because everyone needs to

0:43:08.160 --> 0:43:10.640
<v Speaker 1>get paid. So I'm gonna put my pet project that

0:43:10.719 --> 0:43:13.880
<v Speaker 1>gets my buddy back home in Mississippi a huge amount

0:43:13.880 --> 0:43:16.279
<v Speaker 1>of business, and no one's gonna object because we need

0:43:16.320 --> 0:43:18.239
<v Speaker 1>to get paid. I'm just gonna put that in here.

0:43:18.440 --> 0:43:23.279
<v Speaker 1>I hate that stuff anyway. I think banning TikTok from

0:43:23.320 --> 0:43:26.600
<v Speaker 1>federal devices makes total sense if I were issued a

0:43:26.600 --> 0:43:30.040
<v Speaker 1>phone by my office, which is not a government office,

0:43:30.080 --> 0:43:33.240
<v Speaker 1>but if if my bosses gave me a work phone

0:43:33.280 --> 0:43:36.400
<v Speaker 1>to use with work, they would be fully justified in

0:43:36.440 --> 0:43:39.960
<v Speaker 1>my opinion, of pulling me aside. If I've had installed

0:43:40.000 --> 0:43:43.640
<v Speaker 1>TikTok on my work phone, you know, they could say, hey, Jonathan,

0:43:43.719 --> 0:43:46.200
<v Speaker 1>you know this is for work, right, that kind of thing.

0:43:46.320 --> 0:43:50.160
<v Speaker 1>I think that would be totally justifiable. I personally don't

0:43:50.239 --> 0:43:53.200
<v Speaker 1>have any real issue with a ban on TikTok for

0:43:53.520 --> 0:43:57.720
<v Speaker 1>government owned property. We've seen similar bands and several states

0:43:57.719 --> 0:44:00.359
<v Speaker 1>here in the United States for state owned property as well,

0:44:00.400 --> 0:44:03.080
<v Speaker 1>so both on the federal level and in some state

0:44:03.120 --> 0:44:06.160
<v Speaker 1>government levels. And again I don't think there's anything really

0:44:06.200 --> 0:44:10.000
<v Speaker 1>scandalous about that, and I think it's totally you know,

0:44:10.120 --> 0:44:14.560
<v Speaker 1>fair for a government or even a company to say,

0:44:14.840 --> 0:44:19.040
<v Speaker 1>don't put this stuff on the devices we assigned to you,

0:44:19.160 --> 0:44:25.279
<v Speaker 1>because ultimately those devices don't belong to the employee. They

0:44:25.320 --> 0:44:30.200
<v Speaker 1>belong to, you know, either the government or a company. Now,

0:44:30.880 --> 0:44:34.120
<v Speaker 1>when you start moving toward a more general ban that

0:44:34.160 --> 0:44:38.080
<v Speaker 1>would affect private citizens, then things get way more complicated.

0:44:38.120 --> 0:44:41.160
<v Speaker 1>And honestly, most of the analysts I've followed feel that

0:44:41.680 --> 0:44:46.400
<v Speaker 1>a nationwide ban for personal devices seems unlikely, but we

0:44:46.520 --> 0:44:49.760
<v Speaker 1>might see more state governments and perhaps even companies issue

0:44:49.800 --> 0:44:52.760
<v Speaker 1>bans on work devices out of concern that TikTok could

0:44:52.840 --> 0:44:56.239
<v Speaker 1>actually be sharing info back to China. Like, if you

0:44:56.360 --> 0:45:01.839
<v Speaker 1>have a work device and you do critical work on

0:45:01.880 --> 0:45:06.840
<v Speaker 1>that device, Like if there's like stuff that is proprietary

0:45:06.960 --> 0:45:10.080
<v Speaker 1>in nature that you access on that device, or anything

0:45:10.080 --> 0:45:13.400
<v Speaker 1>else that is kind of a secret stuff of your company,

0:45:14.000 --> 0:45:17.840
<v Speaker 1>it makes sense that you don't want someone putting TikTok

0:45:18.040 --> 0:45:21.400
<v Speaker 1>on that machine. Really don't want any kind of social

0:45:21.440 --> 0:45:24.680
<v Speaker 1>network based app on that device if that is not

0:45:24.800 --> 0:45:28.279
<v Speaker 1>necessary for your work. If you're a social influencer, then yeah,

0:45:28.360 --> 0:45:32.960
<v Speaker 1>that's one thing. But if you're doing you know, important

0:45:33.000 --> 0:45:36.359
<v Speaker 1>work for say the CIA. You don't want to have

0:45:36.680 --> 0:45:40.640
<v Speaker 1>all these different apps that are basically designed to gather

0:45:40.719 --> 0:45:43.160
<v Speaker 1>as much information about the user as possible in order

0:45:43.200 --> 0:45:47.279
<v Speaker 1>to exploit it. I mean, I know we've all seen

0:45:47.280 --> 0:45:51.239
<v Speaker 1>the James Bond movies and that idiot goes around introducing

0:45:51.320 --> 0:45:54.400
<v Speaker 1>himself by name all the time, proving that he is

0:45:54.440 --> 0:45:57.319
<v Speaker 1>the worst spy in the world. But don't be like

0:45:57.440 --> 0:46:01.240
<v Speaker 1>James Bond. Okay, be like, I don't know Jason Bourne.

0:46:01.280 --> 0:46:04.600
<v Speaker 1>He he he knows how to keep a low profile. It's

0:46:04.640 --> 0:46:09.560
<v Speaker 1>just that people are really looking for him. Okay, that's

0:46:09.600 --> 0:46:13.640
<v Speaker 1>it for this goofy episode. As I look back on

0:46:13.719 --> 0:46:18.319
<v Speaker 1>the tech News of two, I've got at least one

0:46:18.360 --> 0:46:21.040
<v Speaker 1>more of these, but it should be really focused on

0:46:21.080 --> 0:46:25.440
<v Speaker 1>things like cool scientific discoveries and developments and that kind

0:46:25.480 --> 0:46:28.520
<v Speaker 1>of stuff. That's my plan for that, and that will

0:46:28.600 --> 0:46:32.439
<v Speaker 1>probably be the last one of these, unless who knows,

0:46:32.480 --> 0:46:36.200
<v Speaker 1>something major happens between now and Wednesday. We'll see um

0:46:36.320 --> 0:46:38.319
<v Speaker 1>or now on Thursday, I should say, we'll see I

0:46:38.360 --> 0:46:42.560
<v Speaker 1>forgot Today's not Monday, is it. So? I hope you've

0:46:42.760 --> 0:46:46.600
<v Speaker 1>enjoyed this look back on two. We're gonna do at

0:46:46.640 --> 0:46:49.640
<v Speaker 1>least one more of them, and already starting to look

0:46:49.640 --> 0:46:52.480
<v Speaker 1>ahead at three. If you've got suggestions for topics I

0:46:52.520 --> 0:46:55.720
<v Speaker 1>should cover in future episodes of tech Stuff, please reach

0:46:55.719 --> 0:46:57.560
<v Speaker 1>out and let me know. You can do that either

0:46:57.640 --> 0:47:00.400
<v Speaker 1>by downloading the I Heart Radio app. It's free to download,

0:47:00.400 --> 0:47:02.560
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0:47:02.560 --> 0:47:05.200
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0:47:05.200 --> 0:47:07.839
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0:47:07.840 --> 0:47:09.960
<v Speaker 1>a little microphone icon there. If you click on that,

0:47:10.000 --> 0:47:11.880
<v Speaker 1>you can leave me a voice message up to thirty

0:47:11.920 --> 0:47:14.640
<v Speaker 1>seconds in length and uh, I would love to hear

0:47:14.680 --> 0:47:17.120
<v Speaker 1>from you, or if you would prefer, you can send

0:47:17.160 --> 0:47:19.479
<v Speaker 1>me a message on Twitter. The handle for the show

0:47:19.560 --> 0:47:22.799
<v Speaker 1>is tech Stuff H s W and I'll talk to

0:47:22.840 --> 0:47:32.040
<v Speaker 1>you again really soon. Tech Stuff is an I Heart

0:47:32.120 --> 0:47:36.040
<v Speaker 1>Radio production. For more podcasts from I Heart Radio, visit

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