WEBVTT - GE and the House That Jack Built

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<v Speaker 1>Welcome to tech Stuff, a production of I Heart Radios

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<v Speaker 1>How Stuff Works. Hey there, and welcome to tech Stuff.

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<v Speaker 1>I'm your host, Jonathan Strickland. I'm an executive producer with

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<v Speaker 1>How Stuff Works in iHeart Radio and I Love all

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<v Speaker 1>things tech. And we are continuing our journey through the

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<v Speaker 1>history of General Electric or GE, a company that has

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<v Speaker 1>encountered some pretty significant challenges over the last decade or so. Now.

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<v Speaker 1>In our first two episodes, I went through the founding

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<v Speaker 1>of GE and then made my way all the way

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<v Speaker 1>up through World War Two, and I talked about how

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<v Speaker 1>some of the top level executives of the company were

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<v Speaker 1>called upon by the US government to serve in wartime

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<v Speaker 1>government positions to help the US meet the needs of

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<v Speaker 1>supplying the military with the equipment necessary to fight the war.

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<v Speaker 1>I also talked about how g E continued to grow

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<v Speaker 1>as a company, building on new departments and divisions and

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<v Speaker 1>diversifying the company's businesses. And I ended the last episode

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<v Speaker 1>by talking about a court case that determined g E

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<v Speaker 1>was being anti competitive by leveraging patents in order to

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<v Speaker 1>act as an effective monopoly when it came to manufacturing

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<v Speaker 1>light bulbs. Now we're almost up to nineteen fifty and

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<v Speaker 1>it's time to get out of this world. The one

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<v Speaker 1>thing I want to mention before we get into the

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<v Speaker 1>nineteen fifties is that in nineteen forty six a scientist

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<v Speaker 1>at GE named Vincent Schaefer developed the process of cloud seating.

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<v Speaker 1>And the idea is pretty elegant but has long been

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<v Speaker 1>a subject of scientific dispute. So here's the process. It

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<v Speaker 1>involves distributing tiny particles into clouds in an effort to

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<v Speaker 1>make it rain. And the thought is that these particles

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<v Speaker 1>will act as nucleic sites for rain drops to form.

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<v Speaker 1>When the raindrops get large enough, they have enough weight

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<v Speaker 1>to fall to Earth. And so that is the general

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<v Speaker 1>thought behind cloud seating. It's been practiced ever since, but

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<v Speaker 1>there have been many questions over whether or not cloud

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<v Speaker 1>seating actually works. Sometimes it would rain, sometimes it wouldn't,

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<v Speaker 1>And if it did rain, is there any way to

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<v Speaker 1>be sure that it was the cloud seeding that actually

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<v Speaker 1>made the difference. I mean, you had to have a

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<v Speaker 1>cloud there in the first place. You couldn't just manufacture

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<v Speaker 1>a cloud. Experiments and labs suggested that it should work,

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<v Speaker 1>but the natural world is very different from the controlled

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<v Speaker 1>conditions of a lab environment. It didn't help that many

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<v Speaker 1>of our measuring instruments lacked the precision to detect very

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<v Speaker 1>small raindrops, so you couldn't really monitor to see if

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<v Speaker 1>it was actually doing what it was supposed to do.

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<v Speaker 1>An experiment in two thousand eighteen suggests that cloud seating

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<v Speaker 1>does in fact work, at least to some extent. But

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<v Speaker 1>there's another question that's still open, which is does cloud

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<v Speaker 1>seeding make economic sense? Does the amount of water produced

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<v Speaker 1>by rainfall justify the cost of flying aircraft up and

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<v Speaker 1>distributing the particles in the first place, Because it may

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<v Speaker 1>very well work, but it might not work well enough

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<v Speaker 1>to make sense from a financial perspective. I just find

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<v Speaker 1>it fascinating that we've essentially been doing this for seventy

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<v Speaker 1>years and we still don't know if we should be

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<v Speaker 1>doing it now. I can certainly see why cloud seating

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<v Speaker 1>companies feel we should be doing it. I mean, that's

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<v Speaker 1>their business. But the jury is still technically out over

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<v Speaker 1>whether or not it makes sense, and there's still a

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<v Speaker 1>little bit debate on whether or not it really truly works,

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<v Speaker 1>or if it works in enough conditions for it to

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<v Speaker 1>be reasonable. Now in Ge made the first two door

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<v Speaker 1>refrigerator freezer combo. And I only mentioned it here because

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<v Speaker 1>I think it's cool. That's a pun. Now we're up

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<v Speaker 1>to the nineteen fifties. So in nineteen fifty one g

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<v Speaker 1>E built a new jet engine called the J seven nine.

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<v Speaker 1>And here's an interesting historical note. When engineers tested the

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<v Speaker 1>J seven nine, which had variable statures, the efficiency ratings

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<v Speaker 1>were so high that the engineers thought their instruments were malfunctioning.

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<v Speaker 1>There's no way we're getting this level of energy efficiency

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<v Speaker 1>out of this thing. But then that raises a question

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<v Speaker 1>for a lot of people, what is a statter? What

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<v Speaker 1>does that actually mean? Well, the name gives you a hint. Statter, stationary,

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<v Speaker 1>that kind of thing. So in jet engines, you have

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<v Speaker 1>fan blades that rotate. Those are rotors, and you had

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<v Speaker 1>fan blades that hold in place. Those are called statters.

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<v Speaker 1>And the purpose of this combination is to both draw

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<v Speaker 1>air into the engine and to compress that air before

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<v Speaker 1>it enters into the combustion chamber. The adjustable status meant

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<v Speaker 1>that the engine could be finely tuned to produce higher

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<v Speaker 1>compressor pressures and to produce more usable energy as opposed

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<v Speaker 1>to waste heat. When you're actually burning fuel. In n

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<v Speaker 1>GE Research Laboratory, scientists named Tracy Hall announced that his

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<v Speaker 1>team had discovered a way to create synthetic diamond in

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<v Speaker 1>the lab. Halls team used a process involving high pressure

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<v Speaker 1>high temperature or hp HT. They were successful in producing

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<v Speaker 1>synthetic diamonds on December sixteenth, nineteen fifty four. Now, other

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<v Speaker 1>teams were using different methods to create diamonds of in

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<v Speaker 1>other companies as well, but it was Hall's efforts that

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<v Speaker 1>would receive the credit for designing the first reliable, reproducible

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<v Speaker 1>methodology to create commercially viable synthetic diamonds. So there are

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<v Speaker 1>a lot of qualifiers there because there were people who

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<v Speaker 1>were working on different methodologies and they were also producing diamonds,

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<v Speaker 1>but it wasn't considered to be as reliable nor as

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<v Speaker 1>viable for a commercial use. And these were not diamonds

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<v Speaker 1>meant to adorn engagement rings or other jewelry. For one,

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<v Speaker 1>they were brownish in color, so they weren't terribly attractive.

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<v Speaker 1>They also were very very tiny. The largest diamond they

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<v Speaker 1>produced in that early batch measured point one five millimeters across,

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<v Speaker 1>so these were not large stones. More importantly, this purpose

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<v Speaker 1>would be put to commercial uses. In fact, it wouldn't

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<v Speaker 1>be until the nineteen seventies that scientists would actually be

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<v Speaker 1>able to create diamonds of sufficient quality and clarity that

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<v Speaker 1>they could be used in the gem industry. And even

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<v Speaker 1>then the process was so labor intensive and so expensive

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<v Speaker 1>it was not economically feasible to create synthetic diamonds for

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<v Speaker 1>decorative purposes. The cost of the synthetic diamond would be

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<v Speaker 1>so high that would actually be cheaper for you to

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<v Speaker 1>go out and buy a ring with a natural diamond

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<v Speaker 1>on it. Also, the whole topic of diamonds is one

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<v Speaker 1>that I find particularly upsetting, But that's a that's a

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<v Speaker 1>topic for a totally different podcast. So how did they

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<v Speaker 1>make synthetic diamonds? Well, I'm sure most of you know,

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<v Speaker 1>diamonds are a form of carbon. It's a it's a

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<v Speaker 1>crystalline form of carbon. You've gotta crystalline structure where you

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<v Speaker 1>have a carbon atom that's surrounded by four other carbon

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<v Speaker 1>atoms and they're all connected to each other through strong

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<v Speaker 1>covalent bonds. And diamonds are incredibly hard. They are the

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<v Speaker 1>hardest natural substance we found so far. They also have

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<v Speaker 1>a lot of different industrial uses. They can operate at

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<v Speaker 1>high temperatures where they can hold stiff firm. At high temperatures,

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<v Speaker 1>they don't really operate at all. They're just minerals, but

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<v Speaker 1>they hold together well at high temperatures. So you put

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<v Speaker 1>it on something like a high speed cutting tool, and

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<v Speaker 1>the hardness combined with the fact that it's not going

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<v Speaker 1>to break down at high temperatures, means you can run

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<v Speaker 1>that very high RPMs and start cutting through stuff pretty well.

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<v Speaker 1>In nature, diamonds form as carbon is compressed at very

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<v Speaker 1>high temperatures over a very long time, and if it

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<v Speaker 1>weren't for stuff like volcanoes, we probably never would have

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<v Speaker 1>found the things because they tend to form in the

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<v Speaker 1>Earth's mantle, which is not easy to get to. They

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<v Speaker 1>they these zone where they form is about a hundred

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<v Speaker 1>miles beneath the surface of the Earth. That's far deeper

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<v Speaker 1>than we've ever drilled. Hall's lab used a belt press,

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<v Speaker 1>and this press could exert more than ten giga pascals

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<v Speaker 1>of pressure. A pascal is a unit of measurement for pressure,

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<v Speaker 1>and it equates to a Newton per square meter. Standard

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<v Speaker 1>atmospheric pressure is about one d one point three to

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<v Speaker 1>five kilo pascals, So a giga pascal is one billion pascals.

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<v Speaker 1>Ten giga pascals would be ten billion pascals, so that's

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<v Speaker 1>a lot of pressure. G would actually put it in

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<v Speaker 1>another way for those of us who don't use you know,

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<v Speaker 1>scientific notation for everything. They said, the press could exert

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<v Speaker 1>one point five million pounds per square inch of pressure,

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<v Speaker 1>So in other words, it's just a whole lot of pressure.

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<v Speaker 1>And plus it would operate at a very high temperature.

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<v Speaker 1>It would be heated to a temperature of more than

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<v Speaker 1>three thousand six d fifty degrees fahrenheit or two thousand

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<v Speaker 1>ten degrees celsius. This press pushed against a mixture of graphite,

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<v Speaker 1>which is another form of carbon, and the graphite would

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<v Speaker 1>be dissolved in a catalyst metal and catalyst metals could

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<v Speaker 1>include stuff like nickel or iron. A catalyst in a

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<v Speaker 1>chemical reaction is something that facilitates and speeds up the

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<v Speaker 1>chemical reaction. So in this case, and meant that we

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<v Speaker 1>didn't have to wait millions of years for synthetic diamonds

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<v Speaker 1>to form, instead talk about twenty minutes. The largest of

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<v Speaker 1>those diamonds, like I said, was point one five millimeters across,

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<v Speaker 1>so pretty darn tiny. The following year, g E introduced

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<v Speaker 1>hermetically sealed relays. These are electronic components that could be

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<v Speaker 1>used in lots of different applications that otherwise might be

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<v Speaker 1>sensitive to their environments, particularly in stuff like high altitude

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<v Speaker 1>airplanes and aerospace applications, and variations of these components would

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<v Speaker 1>be used throughout the next few decades in those particular applications.

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<v Speaker 1>It's just one early example of how GE would become

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<v Speaker 1>an important part of the space race, which was just

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<v Speaker 1>heating up in the nineteen fifties between the United States

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<v Speaker 1>and the then Soviet Union. Meanwhile, the company continued to

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<v Speaker 1>expand its consumer product line. It had introduced a toaster

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<v Speaker 1>decades earlier, but in nineteen fifty six it introduced the

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<v Speaker 1>toaster oven. Specifically, it was one called the tree toast

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<v Speaker 1>our oven, and it's adorable. You should look up a

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<v Speaker 1>picture of it. That same year, GE built a commercial

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<v Speaker 1>jet engine based off the J seventy nine design, which

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<v Speaker 1>was intended for military aircraft that wasn't meant to be

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<v Speaker 1>for commercial aircraft. So this new engine, which had the

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<v Speaker 1>designation c J eight oh five, would mark General Electrics

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<v Speaker 1>entry into the commercial jet engine business. So now they

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<v Speaker 1>were building jet engines not just for the U. S. Military,

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<v Speaker 1>but also for companies like Boeing and other companies were

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<v Speaker 1>creating aircraft. Seven would be a really big year for GE.

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<v Speaker 1>The company secured a contract with the United States Air

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<v Speaker 1>Force to provide the engine for an experimental supersonic aircraft,

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<v Speaker 1>the x B seventy Valkyrie. Now the X in aircraft

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<v Speaker 1>names is a big tip off that that's an experimental prototype.

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<v Speaker 1>You'll often see X as part of the designation at

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<v Speaker 1>the beginning of various aircraft that usually means experimental. The engine,

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<v Speaker 1>called d J ninety three, was capable of producing enough

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<v Speaker 1>thrust to propel the experimental aircraft to three times the

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<v Speaker 1>speed of sound, and it would travel an altitude of

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<v Speaker 1>seventy thousand feet or about twenty one meters. Not the time,

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<v Speaker 1>the thinking was that the greatest threat to bombers were

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<v Speaker 1>intercept aircraft. So if you could fly high enough and

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<v Speaker 1>fast enough, you wouldn't have to worry about that. No

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<v Speaker 1>one would ever be able to get a bead on you.

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<v Speaker 1>They wouldn't be able to to track you and fire

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<v Speaker 1>on you at that speed and at that altitude. So

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<v Speaker 1>the Valkyrie would be safe against tip called defenses. However,

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<v Speaker 1>the Soviet Union was developing service to air missile technology

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<v Speaker 1>and that started to bring into question whether or not

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<v Speaker 1>the Valkyrie would be equally as effective against that sort

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<v Speaker 1>of defense system. And one of the ways to get

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<v Speaker 1>around that would be to fly the Valkyrie at lower altitudes,

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<v Speaker 1>where it could fly beneath radar. But if you did that,

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<v Speaker 1>you also had to fly slower. You couldn't fly at

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<v Speaker 1>the same mock three speed at lower altitudes. That meant

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<v Speaker 1>that the bomber would be flying lower and slower than

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<v Speaker 1>it was designed to do, and it would be no

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<v Speaker 1>more effective than other bombers that were already in use

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<v Speaker 1>at that time, and it was more expensive. So with

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<v Speaker 1>all of those considerations stacked against the Valkyrie, the ultimate

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<v Speaker 1>decision was not to go into production and build those

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<v Speaker 1>out as a production model, so it just remained an

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<v Speaker 1>experimental prototype. But it is super cool to look at.

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<v Speaker 1>If you ever want to look at a picture of

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<v Speaker 1>a x B said in the Valcrie, they're pretty neat looking.

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<v Speaker 1>Something else that happened in nineteen seven was that General

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<v Speaker 1>Electric constructed a nuclear power plant in Alameda County California,

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<v Speaker 1>and it was the first nuclear reactor to be connected

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<v Speaker 1>to a commercial electricity grid. In other words, General Electric

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<v Speaker 1>was able to produce electricity that would go to average

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<v Speaker 1>citizens over an Alameda County. And I've talked a little

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<v Speaker 1>bit about how nuclear power plants work, I'll just give

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<v Speaker 1>a very very high level rundown. So you have a

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<v Speaker 1>nuclear material that undergoes nuclear decay, and as part of

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<v Speaker 1>that process, it releases subatomic particles, typically neutrons, and those

0:13:40.000 --> 0:13:44.040
<v Speaker 1>neutrons collide with other atoms of that same nuclear material.

0:13:44.240 --> 0:13:47.280
<v Speaker 1>This is your fuel, and when they collide with those

0:13:47.280 --> 0:13:50.640
<v Speaker 1>other atoms, it initiates a chain reaction. Those atoms then

0:13:50.880 --> 0:13:54.199
<v Speaker 1>go undergo radioactive decay and they release neutrons and so

0:13:54.240 --> 0:13:57.199
<v Speaker 1>on and so forth. So if there's enough thistle material,

0:13:57.320 --> 0:14:00.240
<v Speaker 1>that is material that can split apart in the few will,

0:14:00.760 --> 0:14:03.840
<v Speaker 1>this reaction can be sustained until the amount of fuel

0:14:03.880 --> 0:14:07.080
<v Speaker 1>dips below critical levels, in which case you start to

0:14:07.280 --> 0:14:10.760
<v Speaker 1>have fewer and fewer reactions and you've spent the nuclear fuel.

0:14:10.760 --> 0:14:13.800
<v Speaker 1>Doesn't mean that all the nuclear radiation stuff is gone,

0:14:14.080 --> 0:14:17.480
<v Speaker 1>far from it, but it's no longer producing the reactions

0:14:17.480 --> 0:14:20.680
<v Speaker 1>at the level you need to sustain that reaction indefinitely.

0:14:21.240 --> 0:14:24.320
<v Speaker 1>This is a nuclear power plant. Now, the concentration of

0:14:24.400 --> 0:14:29.120
<v Speaker 1>nuclear material is really high where that reaction starts to

0:14:29.120 --> 0:14:31.520
<v Speaker 1>pick up speed over and over and over again, and

0:14:31.600 --> 0:14:34.680
<v Speaker 1>this happens in the blink of an eye. Then you

0:14:34.720 --> 0:14:37.560
<v Speaker 1>can set off a much more explosive chain reaction. In

0:14:37.560 --> 0:14:40.280
<v Speaker 1>that case you have a nuclear bomb rather than a

0:14:40.320 --> 0:14:44.240
<v Speaker 1>power plant, and that that concentration is key there. That's

0:14:44.280 --> 0:14:49.280
<v Speaker 1>why you'll hear stories about how how much UH uranium

0:14:49.440 --> 0:14:53.000
<v Speaker 1>you would need for a nuclear power plant versus one

0:14:53.160 --> 0:14:56.640
<v Speaker 1>for you know, refined uranium for a nuclear bomb. Now,

0:14:56.680 --> 0:15:00.200
<v Speaker 1>this reaction produces a lot of heat, and it's the

0:15:00.240 --> 0:15:03.520
<v Speaker 1>heat that's the key for these nuclear power plants. That heat,

0:15:03.720 --> 0:15:09.000
<v Speaker 1>usually through a paired system of pipes, transfers to a boiler,

0:15:09.440 --> 0:15:12.240
<v Speaker 1>and the water in the boiler boils into steam, and

0:15:12.280 --> 0:15:16.000
<v Speaker 1>that steam then turns turbines which generate electricity. So a

0:15:16.080 --> 0:15:19.720
<v Speaker 1>nuclear power plant is, if you think about it, really

0:15:19.800 --> 0:15:23.960
<v Speaker 1>just a way to boil water, really fast and really efficiently.

0:15:24.400 --> 0:15:27.960
<v Speaker 1>Cold power plants also boil water, but obviously they do

0:15:28.000 --> 0:15:31.920
<v Speaker 1>it through combustion rather than through a nuclear reaction. So

0:15:32.800 --> 0:15:37.080
<v Speaker 1>the interesting thing to me is that the the part

0:15:37.160 --> 0:15:40.000
<v Speaker 1>that generates the heat is different, but the end result

0:15:40.600 --> 0:15:43.000
<v Speaker 1>is very much the same in the sense that you're

0:15:43.080 --> 0:15:48.440
<v Speaker 1>boiling water to create steam to turn turbines to generate electricity. Now,

0:15:49.280 --> 0:15:52.240
<v Speaker 1>I'll not go down the nuclear power rabbit hole because

0:15:52.280 --> 0:15:55.600
<v Speaker 1>there's much more to talk about just with general electric

0:15:55.920 --> 0:15:58.400
<v Speaker 1>But if you want to learn more about nuclear power plants,

0:15:58.400 --> 0:16:01.160
<v Speaker 1>do a quick search over at text of podcast dot com.

0:16:01.440 --> 0:16:03.080
<v Speaker 1>That's where we have an archive of all of our

0:16:03.120 --> 0:16:06.040
<v Speaker 1>past episodes. You can also learn the difference between fission

0:16:06.320 --> 0:16:10.280
<v Speaker 1>nuclear reactors, which are what we use today, and fusion

0:16:10.520 --> 0:16:13.760
<v Speaker 1>nuclear reactors, which we hope we can make feasible in

0:16:13.800 --> 0:16:17.960
<v Speaker 1>the near future. We have done fusion reactions already, but

0:16:18.320 --> 0:16:21.840
<v Speaker 1>the question is can you make that sustainable? Can you

0:16:21.880 --> 0:16:24.600
<v Speaker 1>make it economically feasible. That's a question that we have

0:16:24.720 --> 0:16:27.200
<v Speaker 1>not yet answered, but if we are able to do it,

0:16:27.200 --> 0:16:31.520
<v Speaker 1>it could transform the world anyway. The ge facility, which

0:16:31.560 --> 0:16:35.680
<v Speaker 1>was called the Valacitos Nuclear Center, it still exists, uh.

0:16:35.720 --> 0:16:39.440
<v Speaker 1>It was only an active power plant until nineteen sixty three.

0:16:39.680 --> 0:16:42.640
<v Speaker 1>At that point, the federal government told g E to

0:16:42.640 --> 0:16:45.920
<v Speaker 1>shut it down, So the boiler reactor was shut down

0:16:46.000 --> 0:16:49.720
<v Speaker 1>in nineteen sixty three, but GE maintains the facility mainly

0:16:49.760 --> 0:16:54.320
<v Speaker 1>for the purposes of testing an analysis, particularly testing radiated

0:16:54.440 --> 0:16:59.440
<v Speaker 1>materials to see how long they remain at dangerous levels

0:16:59.480 --> 0:17:03.800
<v Speaker 1>of radiation. For example, So if you have instruments or suits,

0:17:04.000 --> 0:17:06.919
<v Speaker 1>things like that that would exist in a radiation radiation

0:17:07.280 --> 0:17:10.280
<v Speaker 1>UH filled area, you want to know how long is

0:17:10.280 --> 0:17:13.120
<v Speaker 1>that stuff going to be dangerous UM. That's just part

0:17:13.200 --> 0:17:16.359
<v Speaker 1>of what they do now. A major part of that facility.

0:17:16.440 --> 0:17:19.520
<v Speaker 1>UH One of the largest of the reactors on that

0:17:19.600 --> 0:17:22.600
<v Speaker 1>site got shut down in ninety seven. It was still

0:17:22.640 --> 0:17:25.640
<v Speaker 1>being used for research purposes, but not to generate electricity.

0:17:26.160 --> 0:17:28.920
<v Speaker 1>Why was it shut down, Well, it was discovered that

0:17:29.080 --> 0:17:32.679
<v Speaker 1>it had the unfortunate distinction of sitting nearly directly on

0:17:32.800 --> 0:17:35.840
<v Speaker 1>top of a fault line. There was a legitimate concern

0:17:35.960 --> 0:17:39.520
<v Speaker 1>over what might happen should an earthquake hit while the

0:17:39.560 --> 0:17:43.160
<v Speaker 1>reactor was an operation. There is still a smaller reactor

0:17:43.320 --> 0:17:46.040
<v Speaker 1>on the site that operates in the one kilowatt range,

0:17:46.320 --> 0:17:49.919
<v Speaker 1>but that's the only one as far as I can tell. Otherwise,

0:17:50.000 --> 0:17:53.720
<v Speaker 1>all the other reactors have been completely decommissioned to shut down.

0:17:54.760 --> 0:17:57.080
<v Speaker 1>We've got a lot more to say about general electric

0:17:57.240 --> 0:17:59.800
<v Speaker 1>but before I get into that. Let's take a quick break.

0:18:07.440 --> 0:18:10.960
<v Speaker 1>The work out of GEES research Lab was pretty incredible.

0:18:11.040 --> 0:18:14.480
<v Speaker 1>In the nineteen fifties. You had the nuclear scientists building

0:18:14.560 --> 0:18:17.840
<v Speaker 1>that first licensed power plant to provide electricity to a grid.

0:18:18.440 --> 0:18:22.200
<v Speaker 1>You had synthetic diamonds, and you had Robert H. Windorf

0:18:22.280 --> 0:18:25.480
<v Speaker 1>who created a substance called borazon in the lab. Borizon

0:18:25.640 --> 0:18:27.840
<v Speaker 1>is is a man made substance. You don't find it

0:18:27.880 --> 0:18:32.760
<v Speaker 1>in nature, but it's almost as hard as diamond and

0:18:32.840 --> 0:18:35.560
<v Speaker 1>it can be used in temperatures much higher than even

0:18:35.640 --> 0:18:37.960
<v Speaker 1>diamonds can be used in. Like diamonds will break down

0:18:37.960 --> 0:18:40.600
<v Speaker 1>once you get over a certain temperature, but borazon can

0:18:40.600 --> 0:18:43.239
<v Speaker 1>hold together longer. So it would also become a very

0:18:43.320 --> 0:18:47.040
<v Speaker 1>useful component in industrial cutting tools for example. Now around

0:18:47.040 --> 0:18:49.959
<v Speaker 1>the same time, a different group of engineers were building

0:18:49.960 --> 0:18:55.320
<v Speaker 1>something perhaps a bit less lofty in the grand scheme

0:18:55.359 --> 0:18:58.800
<v Speaker 1>of things, but that would be the humble electric can opener.

0:18:59.240 --> 0:19:02.119
<v Speaker 1>G introduce is the first consumer electric can opener in

0:19:02.240 --> 0:19:05.600
<v Speaker 1>nineteen fifty eight, and pet ownership has never been the

0:19:05.640 --> 0:19:10.000
<v Speaker 1>same since. In nineteen fifty nine, g E introduced the

0:19:10.040 --> 0:19:13.320
<v Speaker 1>halogen lamp. These work in a way very similar to

0:19:13.440 --> 0:19:18.439
<v Speaker 1>incandescent lamps. There's a tungsten filament inside a very small bulb,

0:19:18.880 --> 0:19:23.399
<v Speaker 1>and encasing the filament is a quartz envelope. Inside the

0:19:23.480 --> 0:19:26.920
<v Speaker 1>envelope is a gas from the halogen group of gases.

0:19:26.920 --> 0:19:29.320
<v Speaker 1>So this is different from what the kind of gas

0:19:29.320 --> 0:19:32.880
<v Speaker 1>you would find in your typical incandescent bulb. The benefit

0:19:33.160 --> 0:19:37.480
<v Speaker 1>of halogen gas is that it can combine with tungsten vapor.

0:19:37.920 --> 0:19:41.000
<v Speaker 1>So when the tungsten filament heats up and it starts

0:19:41.040 --> 0:19:44.080
<v Speaker 1>to give off light, it's also giving off tungsten vapor.

0:19:44.320 --> 0:19:47.160
<v Speaker 1>You know, tungsten is essentially burning off of the filament.

0:19:47.560 --> 0:19:50.600
<v Speaker 1>That vapor combines with the halogen gas and then it

0:19:50.640 --> 0:19:54.840
<v Speaker 1>gets deposited back onto the tungsten filament, at least some

0:19:54.960 --> 0:19:58.679
<v Speaker 1>of it does, so some of that vaporized tungsten gets returned.

0:19:58.920 --> 0:20:01.359
<v Speaker 1>That actually helps ex in the useful life of the

0:20:01.400 --> 0:20:05.080
<v Speaker 1>halogen lamp. Halogen lamps can produce a lot more light

0:20:05.240 --> 0:20:08.840
<v Speaker 1>per unit of energy compared to an incandescent bulb. They

0:20:08.880 --> 0:20:11.760
<v Speaker 1>also produce a lot more heat, and as someone who

0:20:11.840 --> 0:20:16.200
<v Speaker 1>has sadly a few halogen lamp fixtures in his house,

0:20:16.640 --> 0:20:20.840
<v Speaker 1>I can speak from experiences. Those things get real hot.

0:20:20.880 --> 0:20:24.399
<v Speaker 1>Guys like you will burn your fingers. I know I

0:20:24.480 --> 0:20:28.320
<v Speaker 1>have anyway. In nineteen sixty a device built by g

0:20:28.520 --> 0:20:31.320
<v Speaker 1>E became the first man made object to be recovered

0:20:31.400 --> 0:20:34.920
<v Speaker 1>after going into orbit around the Earth. It was code

0:20:34.960 --> 0:20:37.520
<v Speaker 1>named by g E the r v X to a

0:20:37.800 --> 0:20:42.119
<v Speaker 1>re entry vehicle that was part of the Discoverer thirteen satellite.

0:20:42.720 --> 0:20:45.280
<v Speaker 1>The discovered thirteen satellite kind of set the stage for

0:20:45.440 --> 0:20:49.520
<v Speaker 1>space based reconnaissance and spy missions. Now, granted, that was

0:20:49.560 --> 0:20:54.160
<v Speaker 1>not the public facing part of the mission. Obviously, letting

0:20:54.200 --> 0:20:57.320
<v Speaker 1>everyone know, hey, this is a spy satellite is not

0:20:57.480 --> 0:20:59.879
<v Speaker 1>the best plan if you want to use it for

0:21:00.040 --> 0:21:03.280
<v Speaker 1>you know, spy stuff. So there was a cover story,

0:21:03.320 --> 0:21:05.040
<v Speaker 1>and the cover story was essentially that it was a

0:21:05.080 --> 0:21:08.959
<v Speaker 1>science experiment, but in reality it was a classified mission

0:21:09.000 --> 0:21:11.840
<v Speaker 1>that was overseen by both the Air Force and the

0:21:11.880 --> 0:21:14.879
<v Speaker 1>c I A. G would go on to open up

0:21:14.880 --> 0:21:18.800
<v Speaker 1>a space center in Valley Forge, Pennsylvania in nineteen sixty

0:21:18.840 --> 0:21:21.919
<v Speaker 1>one because they were getting more and more involved in

0:21:22.000 --> 0:21:26.680
<v Speaker 1>building components for the space race. Also in nineteen sixty

0:21:26.920 --> 0:21:29.879
<v Speaker 1>there was a guy named Jack Welch who joined g

0:21:30.080 --> 0:21:34.040
<v Speaker 1>E as a chemical engineer. He'll be really important later,

0:21:34.320 --> 0:21:37.720
<v Speaker 1>So remember that name, Jack Welch. We'll get back to it.

0:21:38.240 --> 0:21:41.800
<v Speaker 1>Nineteen sixty two, scientists from GE would develop one of

0:21:41.840 --> 0:21:47.280
<v Speaker 1>the first solid state lasers using semiconductors. Interestingly, scientists at

0:21:47.320 --> 0:21:50.639
<v Speaker 1>IBM and over at M I T were independently doing

0:21:50.840 --> 0:21:53.560
<v Speaker 1>the exact same thing, and all the parties pretty much

0:21:53.640 --> 0:21:57.359
<v Speaker 1>cracked the problem right around the same time. This set

0:21:57.400 --> 0:21:59.919
<v Speaker 1>off a bit of a patent rush, with GE beating

0:22:00.080 --> 0:22:02.200
<v Speaker 1>IBM to the punch by a little more than a week.

0:22:02.800 --> 0:22:05.800
<v Speaker 1>I just find it fascinating that the solid state laser

0:22:06.160 --> 0:22:09.160
<v Speaker 1>was one of those things that multiple parties invented at

0:22:09.200 --> 0:22:13.560
<v Speaker 1>around the same time, independently of each other. But to

0:22:13.600 --> 0:22:16.119
<v Speaker 1>be fair, the stage had already been set with early

0:22:16.200 --> 0:22:19.320
<v Speaker 1>work in masers and lasers, so these were not the

0:22:19.359 --> 0:22:23.520
<v Speaker 1>first lasers. They were the first solid state ones. Solid

0:22:23.560 --> 0:22:26.720
<v Speaker 1>state lasers would then find their way into numerous technologies

0:22:26.720 --> 0:22:29.960
<v Speaker 1>and applications. Early on, scientists theorized that they could be

0:22:29.960 --> 0:22:34.240
<v Speaker 1>incredibly useful in communications, but they would become so commonplace

0:22:34.560 --> 0:22:36.880
<v Speaker 1>that we'd rely on them to play our tunes for us.

0:22:36.960 --> 0:22:40.199
<v Speaker 1>Because the laser and stuff like CD players, DVD players,

0:22:40.200 --> 0:22:43.080
<v Speaker 1>Blu ray players, those are all solid state lasers. So

0:22:43.119 --> 0:22:46.359
<v Speaker 1>what was truly cutting edge technology in nineteen sixty two.

0:22:46.400 --> 0:22:48.639
<v Speaker 1>Is now so commonplace that you can go out and

0:22:48.680 --> 0:22:51.480
<v Speaker 1>buy one and use it to frustrate your pets. You know,

0:22:51.520 --> 0:22:53.240
<v Speaker 1>you can just go get a little key chain with

0:22:53.280 --> 0:22:56.439
<v Speaker 1>a solid state laser on it. Um. But I'm pretty

0:22:56.440 --> 0:22:58.560
<v Speaker 1>sure back in nineteen sixty two, no one thought that

0:22:58.560 --> 0:23:01.720
<v Speaker 1>that was going to be a few future possibility. D

0:23:01.840 --> 0:23:06.480
<v Speaker 1>E scientists were also working with superconductors and magnetism. Now,

0:23:06.480 --> 0:23:09.359
<v Speaker 1>a conductor is a material that allows electrons to pass

0:23:09.400 --> 0:23:13.480
<v Speaker 1>through it. You know, it conducts electricity. A superconductor is

0:23:13.480 --> 0:23:16.280
<v Speaker 1>a material that does this with no resistance to the

0:23:16.320 --> 0:23:20.639
<v Speaker 1>flow of electricity. So, under normal conditions, conductors have a

0:23:20.680 --> 0:23:23.600
<v Speaker 1>bit of resistance to electricity, and the amount of resistance

0:23:23.640 --> 0:23:27.560
<v Speaker 1>is dependent upon several factors, like how what what the

0:23:27.600 --> 0:23:31.000
<v Speaker 1>actual material is, You know, what is the conductive material. Also,

0:23:31.320 --> 0:23:35.560
<v Speaker 1>it's thickness or gauge. So a thin copper wire, for example,

0:23:35.840 --> 0:23:39.560
<v Speaker 1>has higher resistance than a thick copper cable. They're both

0:23:39.640 --> 0:23:42.560
<v Speaker 1>made of the same thing, but the physical structure is

0:23:42.600 --> 0:23:46.040
<v Speaker 1>different and that changes the resistance of the material. G

0:23:46.480 --> 0:23:49.520
<v Speaker 1>S super conducting magnet was the first to break through

0:23:49.560 --> 0:23:53.199
<v Speaker 1>the one hundred thousand gass limit. The gass is a

0:23:53.280 --> 0:23:57.760
<v Speaker 1>unit of measurement for magnetic flux density. I'll give you

0:23:57.760 --> 0:24:00.800
<v Speaker 1>the technical definition of a gass as laid out by

0:24:00.840 --> 0:24:06.040
<v Speaker 1>the Encyclopedia Britannica. So here we go. One goss quote

0:24:06.680 --> 0:24:10.480
<v Speaker 1>corresponds to the magnetic flux density that will induce an

0:24:10.560 --> 0:24:15.480
<v Speaker 1>electromotive force of one ab volt in each linear centimeter

0:24:15.640 --> 0:24:18.639
<v Speaker 1>of a wire moving laterally at one cimeter per second

0:24:18.600 --> 0:24:23.080
<v Speaker 1>at right angles to a magnetic flux end quote. Okay,

0:24:23.080 --> 0:24:25.360
<v Speaker 1>so that's a bit of a mouthful. Anyway, we rate

0:24:25.480 --> 0:24:28.919
<v Speaker 1>magnets in goss. That's how we measure their strength. So

0:24:29.080 --> 0:24:33.440
<v Speaker 1>g S super conducting magnet was incredibly powerful. It would

0:24:33.480 --> 0:24:36.960
<v Speaker 1>also lay the foundation for practical applications of that type

0:24:37.000 --> 0:24:40.520
<v Speaker 1>of a magnet, particularly in the creation of magnetic resonance

0:24:40.560 --> 0:24:43.840
<v Speaker 1>imaging technologies, and GE would play a very important role

0:24:43.880 --> 0:24:46.880
<v Speaker 1>in developing that technology, or the m r I as

0:24:46.920 --> 0:24:50.640
<v Speaker 1>we would say, um very important part of g S business.

0:24:51.280 --> 0:24:54.000
<v Speaker 1>One of the fun facts I discovered while researching these

0:24:54.000 --> 0:24:58.520
<v Speaker 1>episodes is that the footprints that the Apollo eleven astronauts

0:24:58.640 --> 0:25:02.439
<v Speaker 1>left on the Moon are there in thanks to GE. Specifically,

0:25:02.480 --> 0:25:05.560
<v Speaker 1>the boots worn by the astronauts had silicone rubber in

0:25:05.600 --> 0:25:08.920
<v Speaker 1>them that had been manufactured by g E. So that's

0:25:08.920 --> 0:25:11.760
<v Speaker 1>a g E footprint up there in a way. But

0:25:11.840 --> 0:25:14.000
<v Speaker 1>that was just one of the contributions g E made

0:25:14.000 --> 0:25:16.919
<v Speaker 1>to the Apollo program. I don't want to discount or

0:25:16.960 --> 0:25:19.520
<v Speaker 1>dismiss any of the other ones that the company made.

0:25:19.800 --> 0:25:23.520
<v Speaker 1>They actually provided a lot of technology to the space program.

0:25:23.800 --> 0:25:28.200
<v Speaker 1>General Electric was involved in designing or manufacturing several systems

0:25:28.240 --> 0:25:31.040
<v Speaker 1>related to the space race, including the ship to satellite

0:25:31.040 --> 0:25:34.120
<v Speaker 1>communication system that allowed the Apollo crew to send TV

0:25:34.280 --> 0:25:37.480
<v Speaker 1>images from the capsule to satellites orbiting the Earth, which

0:25:37.520 --> 0:25:41.000
<v Speaker 1>in turn beamed those images down to terrestrial stations. In

0:25:41.119 --> 0:25:46.520
<v Speaker 1>nineteen seventy three, another ge researcher, dr Ivar Giev, would

0:25:46.560 --> 0:25:50.200
<v Speaker 1>get a Nobel prize. He had back in nineteen sixty

0:25:50.240 --> 0:25:54.800
<v Speaker 1>discovered the truly odd behavior of super conductive tunneling. So

0:25:54.880 --> 0:25:57.080
<v Speaker 1>what the heck is tunneling? What it all has to

0:25:57.119 --> 0:26:00.639
<v Speaker 1>do with the weird weird world of quantum mechanics and

0:26:00.800 --> 0:26:04.959
<v Speaker 1>quantum physics. So when I was in school, we learned

0:26:05.160 --> 0:26:08.240
<v Speaker 1>that electrons orbit the nucleus of atoms in a certain

0:26:08.359 --> 0:26:12.119
<v Speaker 1>energy state, and electrons would quote unquote want to occupy

0:26:12.359 --> 0:26:16.399
<v Speaker 1>the lowest energy state available. Once that energy state was

0:26:16.440 --> 0:26:19.639
<v Speaker 1>full of electrons, then the next electrons would fill up

0:26:19.680 --> 0:26:22.600
<v Speaker 1>the next available state further out from the nucleus, and

0:26:22.640 --> 0:26:25.040
<v Speaker 1>so on and so on, until you had all the

0:26:25.040 --> 0:26:28.600
<v Speaker 1>electrons that that particular atom would have, whether it was

0:26:28.960 --> 0:26:31.320
<v Speaker 1>a base version of the atom or an eon or whatever.

0:26:32.320 --> 0:26:35.520
<v Speaker 1>This was a pretty big simplification of what is actually

0:26:35.560 --> 0:26:38.919
<v Speaker 1>going on, and in my books, I remember seeing the

0:26:38.960 --> 0:26:41.719
<v Speaker 1>old illustrations. We had newer ones too, but I remember

0:26:41.720 --> 0:26:44.280
<v Speaker 1>those old illustrations made it look like an electron was

0:26:44.320 --> 0:26:48.280
<v Speaker 1>sort of like a planet orbiting around a sun like nucleus. So,

0:26:48.320 --> 0:26:51.399
<v Speaker 1>in other words, according to those illustrations, it would appear

0:26:51.440 --> 0:26:54.520
<v Speaker 1>that an electron has a specific position around the nucleus

0:26:54.560 --> 0:26:57.760
<v Speaker 1>that you could measure and detect and predict. But as

0:26:57.800 --> 0:27:01.600
<v Speaker 1>scientists would later learn, we could really only determined partial

0:27:01.720 --> 0:27:06.359
<v Speaker 1>information about a sub atomic particles velocity and location. The

0:27:06.400 --> 0:27:09.119
<v Speaker 1>more we knew about one of those two things, the

0:27:09.200 --> 0:27:11.200
<v Speaker 1>less we would know about the other. So the more

0:27:11.240 --> 0:27:13.439
<v Speaker 1>you know about a particle's velocity, the less you know

0:27:13.480 --> 0:27:15.479
<v Speaker 1>about its position. The more you know about its position,

0:27:15.520 --> 0:27:18.880
<v Speaker 1>the less you know about velocity. So really we don't

0:27:18.880 --> 0:27:23.880
<v Speaker 1>know whether an electron quote unquote is in a specific place,

0:27:23.920 --> 0:27:27.320
<v Speaker 1>but we we know where it can be, the various

0:27:27.359 --> 0:27:31.080
<v Speaker 1>positions where the electron could possibly be found, so you

0:27:31.119 --> 0:27:32.760
<v Speaker 1>can think of it as kind of a zone of

0:27:32.840 --> 0:27:37.040
<v Speaker 1>probability or a field of probability. There's a chance the

0:27:37.119 --> 0:27:41.280
<v Speaker 1>electron will be at any of those points within that field.

0:27:41.320 --> 0:27:43.959
<v Speaker 1>It has to be within that field unless you've poured

0:27:43.960 --> 0:27:47.200
<v Speaker 1>more energy into the atom and thus pushed the electron out.

0:27:47.840 --> 0:27:49.359
<v Speaker 1>But it has to be somewhere in that field. You

0:27:49.400 --> 0:27:52.040
<v Speaker 1>just don't know where it is. So it's kind of

0:27:52.040 --> 0:27:58.360
<v Speaker 1>this amorphous fog that the electron could inhabit. Now, if

0:27:58.359 --> 0:28:02.560
<v Speaker 1>you have a situation in which this field, this imaginary field,

0:28:02.560 --> 0:28:05.760
<v Speaker 1>because we don't actually have a fog here, but if

0:28:05.760 --> 0:28:09.480
<v Speaker 1>this field spans a barrier that normally you would have

0:28:09.520 --> 0:28:13.360
<v Speaker 1>to use energy to get across, it means that the

0:28:13.359 --> 0:28:16.479
<v Speaker 1>there's actually a possibility that the electron could appear on

0:28:16.520 --> 0:28:19.520
<v Speaker 1>the other side of that barrier. So imagine you have

0:28:19.560 --> 0:28:22.600
<v Speaker 1>a hallway and there's a door closed at the end

0:28:22.840 --> 0:28:27.480
<v Speaker 1>of the hallway, and you have this electron field, and

0:28:27.520 --> 0:28:31.119
<v Speaker 1>the electron field actually overlaps the door to the point

0:28:31.119 --> 0:28:34.159
<v Speaker 1>where part of the field extends to the other side

0:28:34.240 --> 0:28:37.320
<v Speaker 1>of the closed door. Now, you would expect the electron

0:28:37.359 --> 0:28:40.600
<v Speaker 1>to be in the hallway. You didn't open the door.

0:28:40.840 --> 0:28:43.040
<v Speaker 1>You saw the electron go into the hallway. You figure

0:28:43.080 --> 0:28:45.920
<v Speaker 1>that's where it's got to be. But because that field

0:28:46.040 --> 0:28:49.600
<v Speaker 1>overlaps the door, there is the possibility that the electron

0:28:49.640 --> 0:28:52.200
<v Speaker 1>could be on the other side. And because there's a possibility,

0:28:52.240 --> 0:28:55.360
<v Speaker 1>it means that sometimes there will be an electron on

0:28:55.400 --> 0:28:57.400
<v Speaker 1>the other side of that door, and it's as if

0:28:57.440 --> 0:29:01.120
<v Speaker 1>the electron has tunneled through or climbed over the door.

0:29:01.560 --> 0:29:03.960
<v Speaker 1>But at no time did it ever have to expend

0:29:04.040 --> 0:29:07.360
<v Speaker 1>energy to do that. It just appeared on the other side.

0:29:07.720 --> 0:29:10.280
<v Speaker 1>This is tunneling, and it doesn't make a whole lot

0:29:10.320 --> 0:29:12.479
<v Speaker 1>of sense to us because that's not how we observe

0:29:12.600 --> 0:29:15.440
<v Speaker 1>things in our normal world. You don't go down the

0:29:15.480 --> 0:29:17.920
<v Speaker 1>hallway and suddenly little Jimmy is just on the other

0:29:17.960 --> 0:29:19.640
<v Speaker 1>side of the door because there was a chance little

0:29:19.680 --> 0:29:22.320
<v Speaker 1>Jimmy was gonna be there. That doesn't happen in our

0:29:22.360 --> 0:29:25.600
<v Speaker 1>real world, but in quantum physics it's tots a thing.

0:29:26.200 --> 0:29:29.120
<v Speaker 1>It's also one of the reasons why developing microchips with

0:29:29.200 --> 0:29:33.920
<v Speaker 1>smaller and smaller components becomes a really huge challenge because

0:29:33.920 --> 0:29:37.120
<v Speaker 1>electron tunneling is a problem. If you're determined to channel

0:29:37.200 --> 0:29:41.400
<v Speaker 1>electrons down specific pathways, as is the case with a circuit,

0:29:41.960 --> 0:29:45.280
<v Speaker 1>then you run into an issue. If an electron can

0:29:45.400 --> 0:29:49.160
<v Speaker 1>encounter a gate, the gate is closed, but because of

0:29:49.160 --> 0:29:52.320
<v Speaker 1>electron tunneling, there's the possibility of the electron appearing on

0:29:52.360 --> 0:29:54.360
<v Speaker 1>the other side of the gate. It means that you

0:29:54.400 --> 0:29:57.560
<v Speaker 1>can create errors this way. Anyway, let's get back to

0:29:57.720 --> 0:30:02.720
<v Speaker 1>g E S timeline. In ninet g ES Medical Systems

0:30:02.760 --> 0:30:06.280
<v Speaker 1>Division developed an improved method for taking X ray cross

0:30:06.320 --> 0:30:09.720
<v Speaker 1>section pictures which reduced the scanning time down to less

0:30:09.760 --> 0:30:13.440
<v Speaker 1>than five seconds, which was an enormous improvement, a huge

0:30:13.520 --> 0:30:16.160
<v Speaker 1>leap forward. Ad meant that patients wouldn't have to sit

0:30:16.640 --> 0:30:19.360
<v Speaker 1>still for as long to get a cross section X

0:30:19.440 --> 0:30:22.120
<v Speaker 1>ray done. Now, I'm reminded of a time when I

0:30:22.200 --> 0:30:24.320
<v Speaker 1>had to get an X ray done and I was

0:30:24.760 --> 0:30:28.280
<v Speaker 1>having a kidney stone and that was painful. It was

0:30:28.360 --> 0:30:31.600
<v Speaker 1>so painful that just trying to stay still was a

0:30:31.720 --> 0:30:34.680
<v Speaker 1>huge challenge for me. And it was technology like this,

0:30:35.120 --> 0:30:37.720
<v Speaker 1>this breakthrough I was just talking about that made those

0:30:37.720 --> 0:30:40.760
<v Speaker 1>sort of X ray scans much faster, much more efficient

0:30:41.320 --> 0:30:44.280
<v Speaker 1>and reduced blurring, so that if the patient were moving

0:30:44.440 --> 0:30:47.880
<v Speaker 1>because the scanning took so so little time, there was

0:30:47.920 --> 0:30:49.400
<v Speaker 1>a better chance that you're going to get a nice

0:30:49.400 --> 0:30:52.200
<v Speaker 1>clear picture. Otherwise, obviously, if the patient moves while the

0:30:52.200 --> 0:30:55.280
<v Speaker 1>picture is being taken, you're gonna get blur. So I'm

0:30:55.400 --> 0:30:59.240
<v Speaker 1>very thankful that GE was able to make X rays

0:30:59.440 --> 0:31:03.840
<v Speaker 1>much more efficient and take less time. GE celebrated one

0:31:04.320 --> 0:31:07.200
<v Speaker 1>years of innovation in nineteen seventy eight, which might be

0:31:07.240 --> 0:31:09.840
<v Speaker 1>a little confusing at first because General Electric as a

0:31:09.920 --> 0:31:14.880
<v Speaker 1>company was founded in eighteen nine two, not eighteen seventy eight. However,

0:31:15.520 --> 0:31:19.520
<v Speaker 1>g also traces its historical roots back to an earlier company.

0:31:19.720 --> 0:31:21.600
<v Speaker 1>If you listen to the first episode, you know about

0:31:21.600 --> 0:31:25.080
<v Speaker 1>that Edison Electric Light company, that one began in eighteen

0:31:25.120 --> 0:31:28.280
<v Speaker 1>seventy eight. According to a timeline on the GE website,

0:31:28.400 --> 0:31:32.640
<v Speaker 1>specifically a timeline that's on gees website in India, the

0:31:32.680 --> 0:31:36.320
<v Speaker 1>company states that nineteen became the first company to have

0:31:36.400 --> 0:31:41.760
<v Speaker 1>received fifty thousand patents. Wow. While the company continued to

0:31:41.800 --> 0:31:44.880
<v Speaker 1>diversify and work in various industries, a big change was

0:31:44.920 --> 0:31:47.840
<v Speaker 1>around the corner, and that change happened in nineteen eighty one,

0:31:48.120 --> 0:31:51.720
<v Speaker 1>when Jack Welch, that chemical engineer I mentioned earlier, would

0:31:51.720 --> 0:31:55.200
<v Speaker 1>become the company's youngest chairman and CEO. He replaced the

0:31:55.200 --> 0:31:58.600
<v Speaker 1>outgoing CEO, which was a guy named Reginald H. Jones.

0:31:59.240 --> 0:32:02.080
<v Speaker 1>Welch's ten year is an incredibly important one in the

0:32:02.160 --> 0:32:04.240
<v Speaker 1>history of GE, so I figured it'd be good to

0:32:04.280 --> 0:32:07.200
<v Speaker 1>get a little background on the man first. He was

0:32:07.240 --> 0:32:10.960
<v Speaker 1>born in Peabody, Massachusetts, in nineteen thirty five. His father

0:32:11.080 --> 0:32:15.680
<v Speaker 1>was a railroad conductor. Jack Welch would grow up in Salem, Massachusetts,

0:32:15.680 --> 0:32:18.960
<v Speaker 1>and as a kid he loved playing sports. He really

0:32:19.120 --> 0:32:22.760
<v Speaker 1>loved winning, and he despised losing. That would be a

0:32:22.760 --> 0:32:24.880
<v Speaker 1>fundamental part of his character that would carry over to

0:32:24.960 --> 0:32:27.920
<v Speaker 1>his work at GE. He received a bachelor's degree in

0:32:28.000 --> 0:32:31.360
<v Speaker 1>chemistry from the University of Massachusetts at Amherst, and he

0:32:31.520 --> 0:32:34.760
<v Speaker 1>received his masters and his pH d at the University

0:32:34.760 --> 0:32:38.000
<v Speaker 1>of Illinois Champagne. Upon graduating and got a job at

0:32:38.040 --> 0:32:40.920
<v Speaker 1>GE and he worked in their plastics division, and he

0:32:40.920 --> 0:32:43.440
<v Speaker 1>had nearly quit his job after just a short while.

0:32:43.520 --> 0:32:46.960
<v Speaker 1>He felt that gees organization was too cumbersome that was

0:32:47.000 --> 0:32:50.320
<v Speaker 1>filled with middle management positions, it was bloated, and he

0:32:50.360 --> 0:32:53.480
<v Speaker 1>felt his own work wasn't being valued properly, but an

0:32:53.480 --> 0:32:57.960
<v Speaker 1>executive named Ruben Gutoff convinced Welch to stay with the company.

0:32:58.000 --> 0:33:00.280
<v Speaker 1>So he did, and he would end up lee eating

0:33:00.360 --> 0:33:03.480
<v Speaker 1>the plastic division after working there for a while, then

0:33:03.480 --> 0:33:06.360
<v Speaker 1>he moved on to other executive roles. He oversaw the

0:33:06.440 --> 0:33:10.960
<v Speaker 1>Chemical and Metallurgical division, then he headed up GE strategic planning.

0:33:11.080 --> 0:33:14.320
<v Speaker 1>Then he became a sector executive for the consumer products division.

0:33:14.760 --> 0:33:17.920
<v Speaker 1>And despite all of that, he wasn't first and foremost

0:33:17.960 --> 0:33:20.400
<v Speaker 1>in the minds of the board of directors who are

0:33:20.400 --> 0:33:25.200
<v Speaker 1>looking to fill that position of CEO. When we come back,

0:33:25.240 --> 0:33:27.160
<v Speaker 1>I'll talk a little bit more about how he got

0:33:27.200 --> 0:33:29.280
<v Speaker 1>his position and what he did with it, but first

0:33:29.320 --> 0:33:40.080
<v Speaker 1>let's take another quick break. Welch was just one of

0:33:40.200 --> 0:33:43.760
<v Speaker 1>seven people under consideration for the role of g E

0:33:43.920 --> 0:33:47.720
<v Speaker 1>CEO in nine He didn't even have a formalized plan

0:33:47.880 --> 0:33:50.040
<v Speaker 1>for where he wanted the company to go, but he

0:33:50.080 --> 0:33:52.840
<v Speaker 1>did have the determination to lead GE to being the

0:33:52.960 --> 0:33:56.320
<v Speaker 1>number one company in every industry in which g E

0:33:56.520 --> 0:33:59.320
<v Speaker 1>had a presence. This was enough to commence the board

0:33:59.320 --> 0:34:03.480
<v Speaker 1>to name him CEO, and his first moves were really

0:34:03.560 --> 0:34:06.440
<v Speaker 1>to streamline g E. While he had risen through the

0:34:06.520 --> 0:34:09.640
<v Speaker 1>ranks in his decades at General Electric, he still felt

0:34:09.719 --> 0:34:13.800
<v Speaker 1>that the company was bloated. That opinion had not changed,

0:34:13.840 --> 0:34:16.880
<v Speaker 1>even though he had gone from being an engineer to

0:34:16.920 --> 0:34:20.440
<v Speaker 1>an executive. At the time he assumed the position of CEO,

0:34:20.920 --> 0:34:24.520
<v Speaker 1>g E was a mega giant, consisting of three hundred

0:34:24.760 --> 0:34:28.880
<v Speaker 1>different businesses, and Welch saw that as a problem, because

0:34:28.880 --> 0:34:31.920
<v Speaker 1>how could you focus and be the absolute best when

0:34:31.960 --> 0:34:36.040
<v Speaker 1>your presence is spread so thin across so many businesses.

0:34:36.400 --> 0:34:39.400
<v Speaker 1>And so Welch began to consolidate departments. He began to

0:34:39.440 --> 0:34:42.360
<v Speaker 1>sell off divisions. He was trimming the fat. Part of

0:34:42.360 --> 0:34:46.000
<v Speaker 1>that meant laying off employees, and Welch did that too.

0:34:46.280 --> 0:34:49.440
<v Speaker 1>He did that a lot. By the mid nineteen eighties,

0:34:49.560 --> 0:34:52.920
<v Speaker 1>just a few years after he had become CEO, GE

0:34:52.920 --> 0:34:58.200
<v Speaker 1>had laid off around one hundred twenty thousand employees. This

0:34:58.280 --> 0:35:01.319
<v Speaker 1>is hard for me to even imagine. The town I

0:35:01.400 --> 0:35:04.720
<v Speaker 1>grew up in has a population of around forty thousand

0:35:04.840 --> 0:35:08.120
<v Speaker 1>people today. G E laid off three times as many

0:35:08.160 --> 0:35:12.160
<v Speaker 1>people as were in my hometown. That's tough for me

0:35:12.200 --> 0:35:16.799
<v Speaker 1>to even imagine. The layoffs earned Welch a nickname neutron

0:35:17.000 --> 0:35:20.000
<v Speaker 1>Jack because he was like a neutron bomb going off

0:35:20.000 --> 0:35:22.920
<v Speaker 1>in the company, he would eliminate employees while leaving the

0:35:22.960 --> 0:35:26.839
<v Speaker 1>corporate assets intact. A neutron bomb is thought of as

0:35:26.880 --> 0:35:28.960
<v Speaker 1>the same thing. It's a sort of bomb that can

0:35:29.080 --> 0:35:34.960
<v Speaker 1>kill living stuff and leave physical infrastructure untouched. Welch hated

0:35:35.239 --> 0:35:41.080
<v Speaker 1>this nickname. It was a pretty cutthroat and brutal strategy,

0:35:41.080 --> 0:35:44.400
<v Speaker 1>but Welch was pretty much demanding that approach. He wanted

0:35:44.440 --> 0:35:47.480
<v Speaker 1>to get out of any business where GE did not

0:35:47.600 --> 0:35:51.040
<v Speaker 1>occupy the number one or number two spot in the industry.

0:35:51.160 --> 0:35:53.600
<v Speaker 1>If G were further behind them that he would rather

0:35:54.040 --> 0:35:57.279
<v Speaker 1>ditch that part of the business than to continue to

0:35:57.480 --> 0:36:00.439
<v Speaker 1>just sort of muddle along. It made little sense, he said,

0:36:00.680 --> 0:36:03.160
<v Speaker 1>to be in businesses where other companies could go to

0:36:03.239 --> 0:36:06.319
<v Speaker 1>market selling stuff cheaper than what it cost GE to

0:36:06.440 --> 0:36:09.719
<v Speaker 1>manufacture those same things in the first place. So he

0:36:09.760 --> 0:36:12.520
<v Speaker 1>gave an example of this. He's talked about television sets

0:36:13.040 --> 0:36:15.600
<v Speaker 1>and Schenecta in New York. They were still making television

0:36:15.640 --> 0:36:19.239
<v Speaker 1>sets when Jack Welch took over GE, but Welch said

0:36:19.239 --> 0:36:23.400
<v Speaker 1>that Japanese companies were selling TV sets for less money

0:36:23.440 --> 0:36:26.279
<v Speaker 1>to the final customer than it would cost GE to

0:36:26.360 --> 0:36:31.160
<v Speaker 1>manufacture a set. So Japanese television set might sell for

0:36:31.200 --> 0:36:33.600
<v Speaker 1>a hundred dollars and it might cost a hundred ten

0:36:33.680 --> 0:36:36.279
<v Speaker 1>dollars for g E to even make a TV set.

0:36:36.480 --> 0:36:40.120
<v Speaker 1>There was no way to compete in that space and

0:36:40.160 --> 0:36:42.760
<v Speaker 1>at all make a profit, so it made no sense

0:36:42.800 --> 0:36:46.120
<v Speaker 1>to keep the business. He preferred focusing the company's efforts

0:36:46.120 --> 0:36:49.120
<v Speaker 1>on industries where they could outperform their competitors, rather than

0:36:49.200 --> 0:36:51.200
<v Speaker 1>remain in a business just to have a foot in

0:36:51.239 --> 0:36:55.400
<v Speaker 1>the door. Through a limiting divisions, selling off businesses, and

0:36:55.560 --> 0:36:59.640
<v Speaker 1>through laying off thousands of employees, the company ended up

0:36:59.680 --> 0:37:02.560
<v Speaker 1>saving a lot of money, to the tune of billions

0:37:02.600 --> 0:37:05.880
<v Speaker 1>of dollars, and Welch wasn't just going to sit on

0:37:05.920 --> 0:37:09.359
<v Speaker 1>those savings. He looked to reinvest in the company, and

0:37:09.440 --> 0:37:12.200
<v Speaker 1>as part of that, he was looking for a possible acquisition,

0:37:12.640 --> 0:37:16.320
<v Speaker 1>and he decided upon an old, familiar name. That name

0:37:16.400 --> 0:37:18.719
<v Speaker 1>was r c A. Now, if you listen to the

0:37:18.760 --> 0:37:22.279
<v Speaker 1>earlier GE episodes, or if you listen to my r

0:37:22.360 --> 0:37:25.799
<v Speaker 1>c A episodes, you'll remember that General Electric was one

0:37:25.880 --> 0:37:28.600
<v Speaker 1>of the founding companies that created our CIA in the

0:37:28.640 --> 0:37:33.040
<v Speaker 1>first place. GE was also the majority shareholder until it

0:37:33.080 --> 0:37:36.160
<v Speaker 1>was compelled to sell off those shares of our CIA,

0:37:36.320 --> 0:37:39.120
<v Speaker 1>along with the other founders. This was because the United

0:37:39.160 --> 0:37:42.680
<v Speaker 1>States government at the time had antitrust concerns about the

0:37:42.760 --> 0:37:45.800
<v Speaker 1>radio industry. Well. The merger of g E and r

0:37:45.880 --> 0:37:48.759
<v Speaker 1>c A was a six point three billion dollar deal,

0:37:48.800 --> 0:37:51.920
<v Speaker 1>which was the largest in history at that point, and

0:37:51.920 --> 0:37:54.000
<v Speaker 1>Welch took the same approach to our c A as

0:37:54.000 --> 0:37:57.520
<v Speaker 1>he had to GE. Namely, he began hacking away at

0:37:57.520 --> 0:38:01.440
<v Speaker 1>businesses he viewed as being distractions. So within three years

0:38:01.640 --> 0:38:04.399
<v Speaker 1>of this deal, Welch had reduced the number of our

0:38:04.480 --> 0:38:08.200
<v Speaker 1>CIA employees to half of what they once were. He

0:38:08.280 --> 0:38:11.480
<v Speaker 1>oversaw r c A selling off almost all of its businesses.

0:38:11.800 --> 0:38:15.759
<v Speaker 1>Really only two remained. One was the defense business that

0:38:15.840 --> 0:38:18.040
<v Speaker 1>our ci A would do for the U. S Military

0:38:18.120 --> 0:38:22.840
<v Speaker 1>and also for NASA. The other was the NBC television network,

0:38:23.520 --> 0:38:26.800
<v Speaker 1>So this was the time when GE would own NBC.

0:38:26.920 --> 0:38:29.160
<v Speaker 1>This was a subject that become a frequent plot point

0:38:29.200 --> 0:38:32.239
<v Speaker 1>on the TV series thirty Rock. It's also when our

0:38:32.280 --> 0:38:36.560
<v Speaker 1>c A effectively just became a name. It was no

0:38:36.640 --> 0:38:38.839
<v Speaker 1>longer the company at once was, so if you listen

0:38:38.880 --> 0:38:41.440
<v Speaker 1>to the r c A episodes, this is pretty much

0:38:41.480 --> 0:38:43.800
<v Speaker 1>at the point where the r c A story ended

0:38:44.400 --> 0:38:47.920
<v Speaker 1>working for Welch was really tough. If you were really

0:38:47.960 --> 0:38:50.120
<v Speaker 1>good at your job and your job was in a

0:38:50.160 --> 0:38:53.280
<v Speaker 1>division that Welch viewed as being central to GS mission,

0:38:53.800 --> 0:38:57.399
<v Speaker 1>you had decent job security. Welch had employees go through

0:38:57.440 --> 0:39:00.840
<v Speaker 1>regular performance reviews, and the emloyees who were in the

0:39:00.880 --> 0:39:04.040
<v Speaker 1>top twenty would get bonuses. Those who were in the

0:39:04.120 --> 0:39:08.440
<v Speaker 1>bottom ten percent were likely to get fired, and holy

0:39:08.680 --> 0:39:12.400
<v Speaker 1>cats did. His strategy pushed GE to new heights. The

0:39:12.440 --> 0:39:16.200
<v Speaker 1>company became known as the House that Jack built. The

0:39:16.239 --> 0:39:21.400
<v Speaker 1>stock price for g E rose four thousand per cent. Meanwhile,

0:39:21.680 --> 0:39:25.000
<v Speaker 1>the company was still churning out innovations such as groundbreaking

0:39:25.000 --> 0:39:28.880
<v Speaker 1>work and fiber optics and magnetic residance imaging systems. The

0:39:28.920 --> 0:39:32.279
<v Speaker 1>company also launched the Consumer News and Business Channel or

0:39:32.440 --> 0:39:37.560
<v Speaker 1>c NBC in nine so it wasn't just a powerful

0:39:37.600 --> 0:39:40.680
<v Speaker 1>company in industry, it was now also becoming a powerful

0:39:40.719 --> 0:39:45.080
<v Speaker 1>media company. One other area Welch pushed g E into

0:39:45.200 --> 0:39:50.000
<v Speaker 1>was financial services. With GE Capital, Welch led acquisition efforts

0:39:50.000 --> 0:39:52.840
<v Speaker 1>to buy foreign banks, and GE also would become a

0:39:52.920 --> 0:39:59.319
<v Speaker 1>major insurance provider. These services were at the time remarkably profitable.

0:39:59.520 --> 0:40:02.720
<v Speaker 1>In fact, that an understatement when Welch took over GE,

0:40:03.160 --> 0:40:07.200
<v Speaker 1>the company's value was fourteen billion dollars. By the time

0:40:07.239 --> 0:40:10.280
<v Speaker 1>Welch would retire in two thousand one, the company's value

0:40:10.360 --> 0:40:14.360
<v Speaker 1>was an excess of four hundred ten billion dollars, and

0:40:14.360 --> 0:40:16.440
<v Speaker 1>a large part of that was due to the profitability

0:40:16.560 --> 0:40:21.120
<v Speaker 1>of the financial services during that time. Also, we have

0:40:21.200 --> 0:40:24.200
<v Speaker 1>to say that when this happened, it was a brilliant

0:40:24.200 --> 0:40:27.839
<v Speaker 1>move from a business perspective. It pushed GE to new heights,

0:40:27.880 --> 0:40:30.839
<v Speaker 1>and it made Welch a very wealthy man. It would

0:40:30.840 --> 0:40:33.760
<v Speaker 1>also end up being the major pain point for GE

0:40:33.920 --> 0:40:36.279
<v Speaker 1>several years later that I'm going to get to that

0:40:36.440 --> 0:40:39.000
<v Speaker 1>in our next episode as it begins to play into

0:40:39.080 --> 0:40:42.759
<v Speaker 1>the more recent allegations about g E and its accounting practices.

0:40:43.160 --> 0:40:45.560
<v Speaker 1>But before we get to those dark tidings, let's finish

0:40:45.640 --> 0:40:47.720
<v Speaker 1>up with some of the techie things that the company

0:40:47.760 --> 0:40:52.120
<v Speaker 1>was doing under Welch's command. In GE, through its r

0:40:52.160 --> 0:40:56.279
<v Speaker 1>c A Space division, delivered the Mars Observer to NASA.

0:40:56.680 --> 0:40:59.560
<v Speaker 1>It had been seventeen years since NASA had sent a

0:40:59.640 --> 0:41:02.759
<v Speaker 1>space craft to study Mars, so the intent was to

0:41:02.840 --> 0:41:05.960
<v Speaker 1>launch the Mars Observer and insert it into an orbit

0:41:06.000 --> 0:41:09.520
<v Speaker 1>around the Red planet. The Mars Observer had instruments meant

0:41:09.560 --> 0:41:13.000
<v Speaker 1>to study the climate, geophysics, and the geology of Mars.

0:41:13.480 --> 0:41:17.960
<v Speaker 1>The launch went off beautifully. On September n the orbiter

0:41:18.080 --> 0:41:21.360
<v Speaker 1>began its long journey to Mars that would take nearly

0:41:21.520 --> 0:41:26.040
<v Speaker 1>a full year, and on August twenty one nine, just

0:41:26.120 --> 0:41:28.400
<v Speaker 1>a couple of days before the orbiter was meant to

0:41:28.480 --> 0:41:33.080
<v Speaker 1>officially enter Mars's orbit, all communication was lost between the

0:41:33.120 --> 0:41:37.040
<v Speaker 1>spacecraft and Earth. NASA was unable to re establish contact,

0:41:37.440 --> 0:41:41.000
<v Speaker 1>so the mission was ultimately a failure, though NASA was

0:41:41.040 --> 0:41:43.560
<v Speaker 1>at least able to learn some things through the process

0:41:43.600 --> 0:41:45.680
<v Speaker 1>of sending the orbiter to Mars in the first place,

0:41:45.880 --> 0:41:50.440
<v Speaker 1>but none of the primary mission objectives were achieved. In nineteen,

0:41:51.360 --> 0:41:55.160
<v Speaker 1>in another move to dominate media, NBC and Microsoft partner

0:41:55.280 --> 0:41:59.120
<v Speaker 1>together to launch the twenty four hour news channel ms NBC.

0:42:00.040 --> 0:42:04.240
<v Speaker 1>In g E began to adhere to a quality control

0:42:04.320 --> 0:42:07.840
<v Speaker 1>strategy called six Sigma, which calls for fewer than three

0:42:07.920 --> 0:42:12.040
<v Speaker 1>defects per million opportunities now. To achieve that goal, g

0:42:12.239 --> 0:42:15.600
<v Speaker 1>E would spend millions of dollars on training and new

0:42:15.640 --> 0:42:19.360
<v Speaker 1>production processes, so it was a very expensive and time

0:42:19.400 --> 0:42:22.800
<v Speaker 1>consuming effort, but Welch's view was that it would ultimately

0:42:22.880 --> 0:42:27.760
<v Speaker 1>benefit the company and result in massive savings. Fewer defects

0:42:27.800 --> 0:42:30.880
<v Speaker 1>would mean less waste. The first product from GE to

0:42:30.920 --> 0:42:34.080
<v Speaker 1>go through this process was a medical scanner called the

0:42:34.239 --> 0:42:40.000
<v Speaker 1>light Speed q X slash i CT system. In GE

0:42:40.120 --> 0:42:43.200
<v Speaker 1>secured a contract with Boeing to build massive, powerful jet

0:42:43.280 --> 0:42:46.560
<v Speaker 1>engines for Boeing seven seventy seven line of jets. The

0:42:46.560 --> 0:42:49.600
<v Speaker 1>company produced the g E nine D family. Now this

0:42:49.680 --> 0:42:52.120
<v Speaker 1>is not the only type of engine used on a

0:42:52.160 --> 0:42:55.600
<v Speaker 1>seven seventy seven. There's a whole bunch of different variations

0:42:55.600 --> 0:42:58.560
<v Speaker 1>of the seven seventy seven, and some of them use

0:42:58.640 --> 0:43:01.040
<v Speaker 1>engines from other companies, So it all depends upon the

0:43:01.160 --> 0:43:03.600
<v Speaker 1>version of the seven seventy seven you're looking at, but

0:43:03.719 --> 0:43:06.920
<v Speaker 1>it is the largest and most powerful jet engine produced

0:43:07.000 --> 0:43:11.759
<v Speaker 1>to date. In g E opened a new research lab.

0:43:11.840 --> 0:43:16.040
<v Speaker 1>This one is called GE Global Research. It's located in Bangalore, India,

0:43:16.160 --> 0:43:18.000
<v Speaker 1>and this marked an effort for g E to not

0:43:18.080 --> 0:43:21.600
<v Speaker 1>just expand its overseas markets, which it ha been doing

0:43:21.640 --> 0:43:24.880
<v Speaker 1>for the previous decades, but also to attract new talent

0:43:24.920 --> 0:43:27.640
<v Speaker 1>in the field of technology, talent that wasn't just located

0:43:28.040 --> 0:43:31.360
<v Speaker 1>in Europe or the United States. In two thousand, the

0:43:31.360 --> 0:43:35.200
<v Speaker 1>company unveiled the tm DRED, which is a power plant

0:43:35.280 --> 0:43:38.640
<v Speaker 1>on wheels. It's a gas turbine generator that can supply

0:43:38.760 --> 0:43:42.239
<v Speaker 1>twenty two point eight megawatts of electricity. Takes a couple

0:43:42.280 --> 0:43:44.440
<v Speaker 1>of days to set up once it's on location, and

0:43:44.440 --> 0:43:46.960
<v Speaker 1>it's used for lots of different purposes, including as a

0:43:47.000 --> 0:43:49.560
<v Speaker 1>way to supply electricity to areas that have been affected

0:43:49.560 --> 0:43:53.239
<v Speaker 1>by natural disasters. Gas turbines, by the way, work in

0:43:53.280 --> 0:43:55.759
<v Speaker 1>a very similar way to jet engines. You've got a

0:43:55.760 --> 0:43:59.960
<v Speaker 1>compressor that draws air into the engine. The air gets compressed,

0:44:00.000 --> 0:44:02.400
<v Speaker 1>and that's what a compressor does, and then it enters

0:44:02.480 --> 0:44:05.799
<v Speaker 1>into the combustion chamber where it combines with fuel from

0:44:05.800 --> 0:44:09.680
<v Speaker 1>fuel injectors. This mixture gets ignited and then it burns

0:44:09.719 --> 0:44:12.359
<v Speaker 1>at a very high temperature. It generates high temperature, high

0:44:12.400 --> 0:44:15.360
<v Speaker 1>pressure gas. The gas moves out of the combustion chamber

0:44:15.440 --> 0:44:18.719
<v Speaker 1>into a turbine section. That's where the gas can expand

0:44:18.880 --> 0:44:21.319
<v Speaker 1>and escape, and as it does so, the force of

0:44:21.360 --> 0:44:25.359
<v Speaker 1>that escaping expanding gas turns a turbine. The turbine does

0:44:25.400 --> 0:44:28.560
<v Speaker 1>two things. One, it drives the compressor, so it pulls

0:44:28.560 --> 0:44:31.000
<v Speaker 1>in more air and thus keeps the process going as

0:44:31.040 --> 0:44:33.120
<v Speaker 1>long as you have fuel to burn, and it also

0:44:33.239 --> 0:44:37.279
<v Speaker 1>spends a generator to create electricity. Jack Welch planned to

0:44:37.320 --> 0:44:40.440
<v Speaker 1>retire from GE and two thousand but one thing kept

0:44:40.520 --> 0:44:43.839
<v Speaker 1>him around a little bit longer. That thing was a

0:44:43.880 --> 0:44:47.480
<v Speaker 1>prize Welch really wanted for GE. There's a company called

0:44:47.520 --> 0:44:52.920
<v Speaker 1>Honeywell International. Now. Honeywell makes advanced electronics for the aviation industry,

0:44:52.960 --> 0:44:56.600
<v Speaker 1>among other things, and Welch led a forty billion dollar

0:44:56.719 --> 0:45:00.800
<v Speaker 1>plus acquisition effort to get this company. He that Honeywell

0:45:00.840 --> 0:45:05.160
<v Speaker 1>had another suitor, that of United Technologies Corporation, and he

0:45:05.320 --> 0:45:07.719
<v Speaker 1>added a promise to Honeywell that he would stay on

0:45:07.760 --> 0:45:10.840
<v Speaker 1>with GE until this acquisition was complete. He would delay

0:45:10.960 --> 0:45:15.080
<v Speaker 1>his retirement until two thousand one. So they decided they

0:45:15.120 --> 0:45:18.839
<v Speaker 1>would pursue this acquisition deal and things were going pretty well.

0:45:18.880 --> 0:45:21.560
<v Speaker 1>The United States seemed fully on board, but then you

0:45:21.600 --> 0:45:23.879
<v Speaker 1>get to the summer of two thousand one, and that's

0:45:23.880 --> 0:45:28.000
<v Speaker 1>when European regulators expressed concern that this merger would stifle

0:45:28.040 --> 0:45:31.839
<v Speaker 1>competition in the industry. Welch reportedly reached out to US

0:45:31.920 --> 0:45:34.360
<v Speaker 1>government officials to see if anything could be done to

0:45:34.440 --> 0:45:37.480
<v Speaker 1>smooth things out and get the deal approved. This had

0:45:37.520 --> 0:45:42.120
<v Speaker 1>the effect of royally taking off those regulators, and ultimately

0:45:42.440 --> 0:45:46.200
<v Speaker 1>the European Union denied authorization for this merger and the

0:45:46.280 --> 0:45:50.879
<v Speaker 1>deal fell apart. Welch, who hated losing, lost this one.

0:45:51.400 --> 0:45:55.160
<v Speaker 1>The CEO of Honeywell, Michael Bunt Sire, was shown the

0:45:55.280 --> 0:45:58.280
<v Speaker 1>door not long after the deal was scrapped, and Welch

0:45:58.320 --> 0:46:01.920
<v Speaker 1>would continue on towards his retire Ermont Jack Welch stepped

0:46:01.920 --> 0:46:05.359
<v Speaker 1>down as CEO of g E on September seven, two

0:46:05.400 --> 0:46:09.880
<v Speaker 1>thousand one. His replacement would be Jeffrey R. Emilt, and

0:46:10.040 --> 0:46:13.560
<v Speaker 1>just four days after Emilt would take the helm of

0:46:13.680 --> 0:46:17.440
<v Speaker 1>ge the terrorist attacks on the United States on September

0:46:17.520 --> 0:46:22.080
<v Speaker 1>eleven would change the company's course. We'll talk about how

0:46:22.120 --> 0:46:25.600
<v Speaker 1>that happened in our next episode. In the meantime, if

0:46:25.640 --> 0:46:28.280
<v Speaker 1>you have a suggestion for a future episode of tech Stuff,

0:46:28.280 --> 0:46:31.959
<v Speaker 1>whether it's a company, a technology, just a concept in tech,

0:46:32.080 --> 0:46:34.200
<v Speaker 1>anything like that, let me know. You can send me

0:46:34.200 --> 0:46:37.920
<v Speaker 1>an email the addresses tech Stuff at how stuff works

0:46:38.080 --> 0:46:41.160
<v Speaker 1>dot com or pop on over to tech Stuff podcast

0:46:41.280 --> 0:46:43.480
<v Speaker 1>dot com. That's where're gonna find the archive of all

0:46:43.520 --> 0:46:48.120
<v Speaker 1>of our past episodes, all one thousand, one sixty plus

0:46:48.120 --> 0:46:50.680
<v Speaker 1>of them, and you'll also find links to where we

0:46:50.719 --> 0:46:52.880
<v Speaker 1>are on social media, as well as a link to

0:46:52.920 --> 0:46:56.000
<v Speaker 1>our online store, where every purchase you make goes to

0:46:56.040 --> 0:46:58.680
<v Speaker 1>help the show. We greatly appreciate it, and I'll talk

0:46:58.719 --> 0:47:05.880
<v Speaker 1>to you again really soon. Y Text Stuff is a

0:47:05.880 --> 0:47:08.560
<v Speaker 1>production of I heart Radio's How Stuff Works. For more

0:47:08.680 --> 0:47:12.080
<v Speaker 1>podcasts from I heart Radio, visit the I heart Radio app,

0:47:12.200 --> 0:47:15.360
<v Speaker 1>Apple Podcasts, or wherever you listen to your favorite shows.