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17 Apr 17:42

Vonage Announces Vee – the Virtual Assistant Chatbot

by Ian Taylor
Vonage Vee Chatbot

VonageVonage Vee Chatbot, a business cloud communications leader, has announced the launch of its chatbot, Vee in beta. The first virtual customer assistant integrated with a cloud-based unified communications solution, Vee enhances the customer experience on Vonage’s next-generation, cloud-native platform, Vonage Business Cloud (VBC). Vee enables Vonage customers to streamline managing their account services with fast and easy access to support via simple, natural language text commands.

With Vee, Vonage Business Cloud users can set up and manage their accounts, using natural language commands to ask Vee questions and receive assistance in troubleshooting issues in real time. Live chat with Vee suggests a variety of relevant options to meet a customer’s needs based on the context of the questions asked.

Vee can be used by both end users and account administrators that have the VBC mobile app, which comes standard with the VBC service. Vonage began testing Vee with customers in March, and has already successfully addressed more than 25,000 customer questions posted by approximately 5,000 users, saving Vonage customers valuable time. Frequent use cases include setting up a device, such as a desk phone; adding features like a Call Group or Virtual Receptionist; instructions for how to use features such as Call Recording and Document Sharing; and basic customer service questions.

“Vonage purpose-built the Vee chatbot to complement Vonage Business Cloud’s unique and robust set of features and functionality,” said Ron Mayaan, vice president of Product Management for Vonage.

“With Vee, we are enhancing the customer journey to empower businesses to more easily take charge of the vast capabilities their Vonage service provides, and to easily access customer support when they have questions or need guidance in managing their accounts. And, for customers who prefer a more personal touch, Vonage’s 24/7 customer care team is always available to answer questions and lend a helping hand.”

Vonage Business Cloud provides customers with access to a robust portfolio of unified communications capabilities, including industry-leading mobile and desktop applications, as well as the ability to integrate seamlessly with mission-critical business applications and CRM to enhance productivity, including Salesforce, G Suite, Zoho, Clio, ConnectWise, Microsoft Office 365, Microsoft Dynamics and more.

Vonage Business Cloud enables businesses to empower employees to collaborate with their colleagues more efficiently via voice, video, text and media sharing. Vee will augment these capabilities, helping customers get the most out of their service.

About Vonage
Vonage (NYSE:VG) is redefining business communications. True to our roots as a technology disruptor, we’ve embraced technology to transform how companies communicate to create better business outcomes. Our unique cloud communications platform brings together a robust unified communications solution with the agility of embedded, contextual communications APIs. This powerful combination enables businesses to collaborate more productively and engage their customers more effectively across messaging, chat, social media, video and voice.

 

17 Apr 17:35

Sprint and Google Voice integration is ending on June 1st

by Chaim Gartenberg

Sprint has announced that on June 1st, it’ll be ending its long-offered Google Voice integration, which let users use their regular Sprint number on their phone as a Google Voice number, via Android Police.

The partnership with Google dates back to 2011, when the two companies teamed up to integrate Sprint numbers with Google’s then-nascent Voice service, letting you use your existing number through Sprint with Google Voice, complete with call and message forwarding, the Google Voice online interface, and transcribed voicemails, which were revolutionary features back in 2011.

Despite Google’s oftentimes neglectful management of Google Voice (the app went years without updates until 2017), Sprint has still dutifully supported the...

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17 Apr 13:25

Russia’s Telegram ban is a big, convoluted mess

by Vlad Savov

If you want to know the reason I’m not on WhatsApp with its other 1.5 billion users, the answer is Telegram. To people unfamiliar with it, I like to describe Telegram as simply WhatsApp without any of the icky data sharing with Facebook. It has been my favorite, most reliable messaging client, and its platform-agnostic design means I can access my messages across iPhones, Android devices, and desktop browsers. I’m a big fan of Telegram, which is part of why its present ban in its native Russia troubles me.

Telegram got its start, and its initial funding, under the premise of providing a messaging tool that was shielded from the inquisitive glare of Russian spy agencies. Its effectiveness in pursuing that original goal has been...

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16 Apr 23:38

Broadband advisor picked by FCC Chairman Ajit Pai arrested on fraud charges

by Nick Statt

A broadband advisor selected by Federal Communications Commission Chairman Ajit Pai to run a federal advisory committee was arrested last week on claims she tricked investors into pouring money into a multi-million dollar investment fraud scheme, according to The Wall Street Journal.

The advisor, Elizabeth Pierce, is the former chief executive of Quintillion, an Alaska-based fiber optic cable provider operating out of Anchorage. In her capacity as CEO, Pierce allegedly raised more than $250 million from two New York-based investment companies using forged contracts with other companies guaranteeing hundreds of millions of dollars in future revenue. Pierce resigned from Quintillion in August of last year, and she stepped down from her...

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16 Apr 23:33

Google’s updated DIY Vision and Voice kits include a Raspberry Pi Zero

by Paul Miller

Google’s AIY Projects (a clever play on “DIY” and “AI” that makes no sense when you actually think about it) pair a Raspberry Pi with the accessories, software, and requisite cardboard to make your own Google Assistant smart speaker or object-recognizing smart camera. They only launched last year, but Google is already back with new and improved versions of both the AIY Vision Kit and AIY Voice Kit (as spotted by 9to5 Google).

The new kits now include a fresh Raspberry Pi Zero in the box and a preloaded SD card to make it easier to get started. Google is also now providing an AIY companion app for Android (and soon iOS and Chrome) to help with wireless setup and configuration of your new DIY smart speaker or camera — though you can still...

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16 Apr 21:22

This Pokémon incoming call tweak is the best argument for jailbreaking an iPhone in years

by Chaim Gartenberg

Jailbreaking iPhones has fallen out of vogue in recent years, but this upcoming PokéCall jailbreak tweak developed by Reddit user FrozenPenguinToaster might be the best argument for jailbreaking in years. The hack transforms the dull incoming call screen on iOS into a battle from the classic Pokémon Game Boy games, right down to the iconic music.

It’s surprisingly functional, too, with contacts showing up as trainers, and presenting the options to answer the call (fight) or hang up (run away). Strictly speaking, you can’t actually run away from a trainer battle in the Pokémon RPGs, but we’ll give FrozenPenguinToaster a pass for accuracy in the name of giving users an actual way to avoid calls.

The tweak is still in development, but...

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16 Apr 21:14

T-Mobile owes the FCC $40 million for playing fake ringtones in unconnected calls

by Shannon Liao

T-Mobile has to pay $40 million as part of a settlement after the FCC ruled that it violated the law by adding fake ringtones to hundreds of millions of calls over several years. It will also have to act within 90 days and send a compliance report to the FCC once a year for the next three years.

The carrier admitted to adding fake ringtones to make customers mistakenly believe the party they called was hearing their phones ring, when in fact the call might not have been connected yet. The FCC noted in a document, “A caller may then hang up, thinking no one is available to receive the call ... False ring tones are a problem on calls to rural areas and are a symptom of the problems of impaired quality and completion of calls to rural...

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16 Apr 18:52

Gmail is going 'confidential' to prevent unintended data sharing

The redesign of the platform will address companies' concerns over employee email habits.

15 Apr 20:15

America's first lynching memorial is about to open in the 'Cradle of the Confederacy' — here's what it looks like

by Leanna Garfield

national lynching memorial 2

For over 150 years, the city of Montgomery, Alabama has been known as the "Cradle of the Confederacy." In 1861, the city played a central role in the formation of the Confederate States of America, made up of 11 US states that sought to secede and maintain slavery.

But now, in 2018, Montgomery wants to reflect on the horrifying history of American slavery and racism. On April 26, the city will open the nation's first memorial and museum devoted to the history of lynchings in the US.

The project, spearheaded by a local nonprofit called the Equal Justice Initiative (EJI), will pay tribute to lynching victims as well as chronicle the dark parts of the African-American experience — from slavery to today's national epidemic of mass incarceration.

Take a look at the National Memorial for Peace and Justice and Legacy Museum below.

SEE ALSO: One map shows how much more money men make than women in every US state

The national memorial and museum will explore the history of lynchings, slavery, and racism in the US since the country's founding.



The six-acre site overlooks Montgomery.



The museum and memorial seek to create a dialogue around America's long history of racial injustice, EJI's founder, Bryan Stevenson, told Business Insider.

In the early 1860s, the US was at a turning point in its history. Following the election of Abraham Lincoln — a staunch opponent to slavery — 11 states led by the Confederacy announced they would secede.

Serving as the Confederate capital, Montgomery invited delegates from the Deep-South states to draft a constitution for a new nation in 1861. The Confederacy lost this fight, but Montgomery gained a nickname: the "Cradle of the Confederacy."



See the rest of the story at Business Insider
15 Apr 20:13

It’s time to give Firefox a fresh chance

by Vlad Savov

Ever since it was first released almost a decade ago, Google’s Chrome browser has been the most consistent piece of technology in my life. I’ve gone through a legion of phones, laptops, and headphones, I’ve jumped around between Android, iOS, Windows Phone, macOS, and Windows, but I’ve rarely had reason to doubt my browser choice. Things have changed in recent times, however, and those changes have been sufficient to make me reconsider. After so many years away, I’m returning to Firefox, in equal measure pushed by Chrome’s downsides as I am pulled by Firefox’s latest upgrades.

If a friend were to ask me what the best web browser is, I’d answer “Chrome” in a heartbeat, so don’t mistake this as a screed against Google’s browser. I still...

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14 Apr 23:54

Mark Zuckerberg's Congressional testimony showed that a bedrock principle of online privacy is a complete and utter fraud (FB)

by Troy Wolverton

facebook zuckerberg privacy hearing GETTY

  • Companies have been relying for years on the notion of informed consent, the idea that they can dictate the terms of their interactions with customers and do what they want with customers' information as long as they disclose what they're doing.
  • But that notion came into serious question at Facebook CEO Mark Zuckerberg's hearings on Capitol Hill this week.
  • Lawmakers noted that Facebook's terms of service are long and filled with legalese, and got Zuckerberg to acknowledge that few users likely read them completely.
  • The interactions exposed just what a fiction the notion of informed consent is.
  • The frustrations raised by the lawmakers could result in regulatory changes.


If Mark Zuckerberg's appearances before Congress this week did nothing else, they should have made absolutely clear to policymakers of all stripes that one of the bedrock assumptions long made in privacy law and contracts is a complete and utter fraud.

For years now, web services, app makers, and other companies have been operating on the notion of informed consent. That's the idea that such companies can do whatever they want to with consumer data, or structure their interactions with consumers just about any way they want, as long as they disclose those practices and conditions first.

If consumers click a box saying they agree to those terms, or continue to use a service after seeing a notice about its privacy policy, companies and the the law alike treat them as having been informed about such policies and to have consented to them.

But as several members of Congress illustrated in their interactions with Facebook's CEO, when it comes to the social network, that notion is a joke. Facebook's terms of service document is more than 3,200 words long and includes 30 links to supplemental documents, noted Sen. Brian Schatz, D-Hawaii. Its data policy is another 2,700 words and includes more than 20 links.

I think the point has been well made that people really have no earthly idea of what they're signing up for

As Schatz put it: "I think the point has been well made that people really have no earthly idea of what they're signing up for."

In an earlier interaction, Zuckerberg essentially acknowledged the point, saying he thought the average user didn't read Facebook's entire terms of service document. Sen. John Cornyn, R-Texas, pounced on that concession, striking right at the assumption of informed consent by name.

Given that not everybody reads or understands the terms of services, "is that to suggest that the consent that people give subject to that terms of service is not informed consent? In other words, they may not read it, and even if they read it, they may not understand it?" he asked.

Zuckerberg didn't answer Cornyn's question. But to ask it is to answer it.

Facebook users almost certainly don't understand its terms of service

The vast majority of Facebook users almost certainly haven't fully read the company's various terms of service. And even among those that have read the terms, most likely don't understand what they mean or imply, particularly when it comes to how the company uses their personal information.

Now, Zuckerberg would and has argued that Facebook follows the law and even goes beyond what the law requires. It has a new privacy tool that's intended to make it easier for users to understand what data it collects and how it uses it. The tool also allows users to more easily adjust their privacy settings.

facebook zuckerberg hearing senator John CornynBut even so, it's often difficult even for people trying to keep up with these things to be completely aware of or control the kinds of data Facebook has and what it does with it.

Many Facebook users were surprised to find out that the developer of an app they'd never heard of, much less installed, was able to get access to their personal information from the site — even though the company disclosed that in a previous version of its terms of service. It likely wasn't apparent to many Facebook users that the company can view the conversations they have with their Facebook friends over its Messenger chat service — until Zuckerberg publicly acknowledged that recently.

I wasn't aware until I started going through my personal ad preferences page on Facebook how many companies and organizations had gleaned information about me and were able to link that information to my Facebook profile to potentially target me with ads. The number was in the hundreds, and included many with whom I'd never had any direct interaction.

But just about every product or service you deal with relies on the notion of informed consent

But the problem with the notion of informed consent goes way beyond Facebook. Every website you use, every app or piece of software you install, every service you sign up for, and pretty much every device you buy relies on the notion of informed consent.

Worse, companies can change their terms of service at any time, so even if you're aware of and understand the basis of your interactions with a particular website or service at one point, it doesn't mean you'll fully comprehend it going forward. Companies only need to give notice of the change — typically via an email or a written letter or a notice on their site. It's your tough luck if you miss the note.

facebook zuckerberg trial senator lindsey grahamLike Zuckerberg, though, the people behind the sites, services, devices, and apps you use have to know how false the notion of informed consent really is. People generally don't pay attention to this stuff. When setting up a device or a service, people want to start using it as soon as possible, and ignore the details.

As Rep. Michael Burgess, R-Texas, put it when questioning Zuckerberg: "Look, I'm as bad as anyone else. I see an app, I want it, I download it, I breeze through the stuff. Just take me […] to the good stuff in the app."

But there's a reason why companies don't make it clearer what their terms are, and really make an effort to make sure consumers understand and are OK with how they interact with their services and products. In many cases, they'd be surprised — even outraged — at those terms if they actually understood them.

Among the things that are often buried in those documents, or obscured by legalese, are items such as waiving your right to file a lawsuit if you are harmed by their product, or limiting the damages you can collect and giving the company the right to sell or hand over your personal data to whomever the company pleases.

Lawmakers are finally focusing on the fine print

Unfortunately, this kind of fine print has been the foundation of our legal interactions with companies for a long time. In the absence of a federal law that guarantees basic privacy standard, for example, informed consent about the privacy policies of the companies we interact with is what's supposed to help us safeguard our personal information.

Look, I'm as bad as anyone else. I see an app, I want it, I download it, I breeze through the stuff.

The Zuckerberg hearings laid bare the fiction that is informed consent. They also highlighted the dangers of companies relying on that notion to protect themselves.

When people start to understand what's in the fine print that they've supposedly consented to, they often aren't happy about it. And when the people who are unhappy are members of Congress, that can spell bad news for the company involved.

Here's hoping that Congress' ire at Facebook leads to us getting rid of this whole notion of informed consent, and starting to provide some real protections for consumers instead of notional ones.

SEE ALSO: Facebook, Google, Apple, and Amazon have too much power — so it's time for regulators to take on tech's titans

SEE ALSO: The Facebook-Cambridge Analytica scandal is the textbook case for why we need new privacy protections

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NOW WATCH: Facebook's recent struggles have investors in a panic — and looming regulation could forever change how it does business

14 Apr 23:53

We tried McDonald's and Starbucks' newest weapon to win over customers — and the winner is clear (MCD, SBUX)

by Kate Taylor

McDonald's Kiosk


 

As foot traffic falls flat, chains are turning to mobile ordering in an attempt to boost sales. 

The number of orders being placed via mobile apps skyrocketed by 50% in US restaurants in 2017, according to data from the NPD Group. And, Business Insider Intelligence predicts that by 2020, mobile order-ahead will account for 10.7% of all quick-service restaurant (QSR) sales.

So far, Starbucks has led the way in mobile order and pay. Mobile and other digital payments make up nearly a third of all of the coffee chain's sales, and they account for even more of the company's sales growth. 

"Almost all of our same-store sales growth is from those customers that we have digital relationships with and those that are in our Starbucks Rewards program," Starbucks CFO Scott Maw said at a JPMorgan forum in March. 

Seeing Starbucks' success, other chains are trying to cash in on mobile ordering. In 2017, McDonald's announced plans to roll out mobile ordering at all US locations. 

However, while mobile orders are intended to make ordering more convenient for customers, they can also create new issues. Starbucks has faced problems with overcrowding and bottlenecks in the past, though these seem to have been resolved with some behind-the-scenes changes. 

With McDonald's building out its more gourmet coffee offerings and Starbucks working to improve its food selection, the two biggest chains in the US by sales are competing more and more. So, we decided to see how their mobile-ordering apps measure up. 

Here's how the Starbucks and McDonald's mobile ordering experiences compare:

SEE ALSO: Starbucks just quietly made a change that reveals the future of the company — here's how it works

Starbucks has spent the last few years perfecting its mobile order-and-pay system.

Starbucks' most recent app update made it possible for all customers to order using its mobile apps. Previously, only Starbucks Rewards members with money preloaded into their accounts could use the chain's mobile order-and-pay system.



The app interface is sleek and easy to use.

With most sales growth coming from its app, Starbucks needs to make it an enjoyable experience. The company's current CEO, Kevin Johnson, actually came from the tech industry and spent 16 years at Microsoft.



One of the major perks of mobile ordering is customization.

Fewer pumps of flavored syrup? Soy milk instead of two-percent? Extra sugar that you'd be embarrassed to order out loud? Starbucks' app makes it easy to customize, and it helps customers avoid yelling out nitpicky clarifications in a crowded coffee shop. 



See the rest of the story at Business Insider
13 Apr 21:02

Starbucks sent some customers a 'drunk-texting' push notification late Thursday night — and people aren't happy (SBUX)

by Kate Taylor

starbucks customer

  • Starbucks customers received late-night notifications for the chain's Happy Hour deal — which starts at 3 p.m — on Thursday.
  • One customer compared the experience to "drunk-texting." 
  • Mobile ordering and tech are a crucial part of Starbucks' future as the chain has struggled to grow traffic.

Many Starbucks customers got a late-night message from the coffee giant last night — and they aren't too pleased. 

Dozens of customers took to social media to complain about a notification for Starbucks Happy Hour — which starts at 3 p.m. — that they say they received late in the evening, long after they wanted to visit the coffee chain. 

"I just got a pop-up notification from the Starbucks app telling me that happy hour is at 3PM today," one person commented on Starbucks' Facebook page. "It's currently 9:30pm. So is the app inviting me to something I already missed 6 hours ago or is it 17 1/2 hours early for tomorrow?" 

Customers said that they recieved the notification as late as 1 a.m. in a situation one customer compared to "drunk-texting." Business Insider's Hayley Peterson, for example, recieved a text at 12:26 a.m. ET. 

"As part of yesterday’s Happy Hour offer, some customers may have received a notification later in the day than intended," a Starbucks spokesperson told Business Insider. "We've identified and resolved the cause and apologize to our customers for any confusion. "

In late March, Starbucks announced plans to bring back its popular Happy Hour deal.

The revamped deal includes beverages beyond Frappuccinos and has a greater emphasis on mobile deals, as customers are notified of updated events and offers via their mobile apps or email. In a statement, the company said that the evolution of the promotion "is part of the company's ongoing strategy to strengthen digitally enabled customer relationships."

That makes it a bigger problem when Starbucks' app malfunctions — as it seems to have done on Thursday night. 

Starbucks has long maintained that tech is crucial to its future. While the chain has struggled to increase traffic over the last year, most of its same-store sales growth has been from customers ordering via mobile as part of the Starbucks Rewards program.

SEE ALSO: Costco offers some of the best deals in the retail industry — here are 7 ways the store keeps prices dirt cheap

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13 Apr 21:00

Public Attention Forces Facebook To Retreat From Anti-Privacy Alliance With ISPs In California

by Karl Bode

Silicon Valley companies have historically not seen eye to eye with giant ISPs, as we saw during the early years of the net neutrality debate. But Google and Facebook recently put aside their differences and joined forces with Comcast, AT&T and Verizon to successfully kill an attempt to impose some fairly-modest privacy standards in California. California's proposal closely mirrored the FCC privacy rules ISPs lobbied the GOP and Trump administration to kill last year. Those rules simply required that companies clearly outline what data is collected and sold, and provide working opt out tools.

As the EFF noted at the time, sidelining this proposed law required a lot of lying on the behalf of Facebook and Comcast, including claims that the modest protections would harm children, prevent law enforcement from doing its job (not true), reduce consumer security, increase internet popups (what?) and even somehow "embolden extremism." It's pretty clear lobbyists didn't have much problem exploiting the (then) recent tragedy in Charlottesville to their tactical advantage, notes the EFF:

"One of the most offensive aspects of the misinformation campaign was the claim that pretending to restore our privacy rights, which have been on the books for communications providers for years, would help extremism. Here is the excerpt from an anonymous and fact-free document the industry put directly into the hands of state senators to stall the bill:

The bill would bar ISPs from sharing potentially identifiable information with law enforcement in many circumstances. For example, a threat to conduct a terror attack could not be shared (unless it was to protect the ISP, its users, or other ISPs from fraudulent, abusive, or unlawful use of the ISP's service). AND the bill instructs that all such exceptions are to be construed narrowly.

In addition to national security scaremongering, the industry put out a second document that attempted to play off fears emerging from the recent Charlottesville attack by white supremacists:

"This would mean that ISPs who inadvertently learned of a rightwing extremist or other violent threat to the public at large could not share that information with law enforcement without customer approval. Even IP address of bad actor [sic] could not be shared."

While ISPs, Google and Facebook successfully managed to stall that bill, a new citizen petition has emerged in its shadow. Dubbed the California Privacy Act, the proposal again focuses largely on transparency, requiring that ISPs and content companies alike disclose precisely what data is being collected and sold, while providing working opt out tools. This new proposal should show up as a ballot initiative in November. In some ways it goes further than the earlier proposal, but in other ways it's less comprehensive ("The ISP privacy bill regulates use, sale, and disclosure of cable and telephone. The initiative goes at sale and disclosure of everyone (tech and ISP) but leaves use untouched," the EFF tells me).

Needless to say, with everybody suddenly at least pretending to care about privacy for a little while in the wake of the Cambridge Analytica scandal and Zuckerberg's testimony before Congress, Facebook was forced to quietly retreat from its opposition to the measure:

Except again, Facebook has consistently fought reasonable privacy measures in California. Backers of the proposal were quick to issue a statement applauding Facebook's retreat, while noting that AT&T, Verizon, Comcast and Google continue to battle the proposal:

"We believe that all consumers deserve the basic rights outlined in our initiative. We call on the remaining corporations who have contributed to the Super PAC opposing this common-sense measure to drop their opposition. Google, AT&T, Verizon & Comcast: if you are not selling our personal information, why are you spending a million dollars to oppose us? Voters overwhelmingly support this measure, and protecting consumers is not only a good business decision, but the right thing to do. It’s time to stop business as usual and to step up and do the right thing."

Of course we'll see if Facebook's opposition persists once the spotlight fades. Facebook had already donated $200,000 to the "Committee to Protect California Jobs" in the hopes of keeping the initiative off the ballot, with matching support from AT&T, Google, Comcast and Verizon. That committee remains very much active in its opposition:

"Steven Maviglio, the spokesperson for the Committee to Protect California Jobs, contends that Facebook still considers the proposed bill to be “flawed.” In an emailed statement, he told Gizmodo, “It is unsurprising that proponents of the so-called ‘California Consumer Privacy Act’ are looking to distract from their deeply flawed initiative that will do enormous harm to the California economy while not protecting anyone’s privacy."

Obviously legislation will play at least some role in addressing the deep well of privacy dysfunction that ranges from your broadband connection to your IOT gadgets. It should be fairly apparent these industry giants aren't likely to support even the most modest of proposals without a fight. An informed and empowered consumer is simply more likely to opt out of data monetization schemes, reducing overall revenues. And as we stumble forward, many of these companies are already proposing their own bogus legislative "solutions" that could make things worse.

People spent much of this week pearl clutching over privacy, but it's a very small fraction of those folks that actually pay attention to the nuts and bolts policy efforts to actually do something about it, especially on the state level. That's going to need to change. Privacy legislation is coming, and the public can either choose to be a part of its construction, or cede that responsibility to industry giants intent on crafting incomplete or potentially harmful "solutions."



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13 Apr 17:43

People are using the messaging app Telegram to share pirated movies and stolen Netflix and Spotify accounts

by Zoë Bernard

Telegram CEO Pavel Durov

  • Popular messaging app Telegram has become a new haven for people sharing pirated movies and shows, in addition to stolen login credentials for services like Netflix and Spotify, according to an investigation by The Outline.
  • The Outline explored some of the groups and channels created for the purpose of sharing pirated content, and, in some instances, even managed to obtain stolen login details for streaming sites.
  • Telegram has also been in the news this week following a court-ordered ban in Russia.

 

Popular messaging app Telegram has become a haven for people sharing pirated movies and shows, in addition to stolen login credentials for services like Netflix and Spotify, according to a recent investigation by The Outline.

The Outline explored some of the groups and channels created for the purpose of sharing pirated content, and, in some instances, even managed to obtain stolen login details for streaming sites.

They also interviewed more than a dozen creators of those channels and groups. The takeaway? Those using Telegram for illicit purposes say they view Telegram as a platform that offers increased anonymity compared to other alternatives, and one that isn't as heavily policed when it comes to removing groups and channels focused on sharing pirated or illegal material.

The main selling point of Telegram has always been privacy, so it's not entirely unexpected that those looking to share copyrighted or illegal material (stolen account details) would gravitate toward it. To be clear, using Telegram to share pirated or stolen material violates the app's terms and service, which clearly states the company has a "zero tolerance" policy.

In a statement to The Outline, a Telegram spokesman acknowledged that the app has experienced "new challenges" as it has grown. In May, the site tallied its user-base at 200 million monthly active users. 

While its privacy-focused features have also drawn journalists, politicians, and privacy enthusiasts to the app, the company has also faced criticism when groups such as ISIS began using it. In September, The New York Times reported that Telegram was widely used among terrorist groups like ISIS, and the service was faced with the task of trying to scrub its channels clean of terrorist-related activity following a June attack in Paris.

Telegram has also been in the news this week following a court-ordered ban in Russia. On Friday, a Moscow court ruled in an 18-minute hearing to block the popular cloud-based messaging service following an extensive dispute around government access to messages. The court had demanded access to Telegram's encryption keys and messages, which they say they need in order to investigate crime and terrorist attacks. Telegram refused, and pointed out that what the court is asking for is impossible due to the way the service is built.

As The New York Times points out, this puts the Russian governement in an unusual position, as the  messaging app has been known to be used by Russian government officials, including President Vladimir Putin's press office.

You can read The Outline's full investigation into Telegram here.

Join the conversation about this story »

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12 Apr 18:11

6 weeks to GDPR, and 1/3 of companies won't be compliant

Ignorance of a partner's noncompliance will not save a company from the 4% fines of global annual turnover.

12 Apr 18:10

Miami could cease to exist in our children's lifetime — here's how the city is trying to save itself

by Kevin Loria

Miami 2x1

  • Miami and Miami Beach already struggle with serious flooding related to sea-level rise — even when there is no rain
  • The ground under the cities of South Florida is largely porous limestone, which means water will eventually rise up through it.
  • The cities are taking flood control measures like installing pumps, raising roads, and restoring wetlands.
  • Coastal cities around the world face similar problems.

When the flooding is really bad, water doesn’t just fill the streets outside Manolo Pedraza’s house. It bubbles up through a shower drain.

Pedraza lives in Shorecrest, a northern Miami neighborhood that faces flooding so regularly it happens even when it hasn’t rained. All it takes to fill the streets to knee-high depth on those days is a full moon. The flood comes up through storm drains, making it impossible to navigate without encountering the water, which is mixed with sewage and whatever else it picked up along the way.

During a visit to Pedraza’s neighborhood, I walk only where the water, likely filled with fecal bacteria, won’t rise above my waterproof boots. I’m lucky that day. Pools cover parts of the streets, but at least I can walk the area without soaking my feet.

“This is nothing,” Pedraza said in Spanish. “Sometimes it comes all the way up to the house.”

manolo pedraza

The “sunny day flooding,” as it’s known, is consistent enough that you can look at a calendar and a tide chart to plan a trip around it. High tides, caused by interactions between the sun, moon, Earth, and oceans, are behind the flooding. I visited during what are often the highest tides of the year, known as king tides.

Miami “is kind of the poster child for a major city in big trouble,” said Jeff Goodell, author of " The Water Will Come: Rising Seas, Sinking Cities, and the Remaking of the Civilized World."

Beyond the damage to homes, roads, or other infrastructure, the flooding also threatens drinking water and plant life. Ultimately, of course, it means large parts of the city could become permanently uninhabitable.

That means the rest of the US should be paying close attention to how Miami handles its struggle against sea-level rise in the coming years. It could provide a window into the future for other large coastal urban areas.

The Netherlands has been holding back the oceans for decades and is exporting its knowledge to cities such as New Orleans. But the Dutch have been building on land reclaimed from the sea. In Miami it's a different situation.

When low-lying neighborhoods in Miami and nearby Miami Beach were built up decades ago, they weren’t developed with the assumption that seas would rise over time. In some places, buildings and roads are being raised or moved; in others, natural features like mangroves, reefs, and wetlands are being restored.

Those are the kinds of changes that might be enough to keep much of Miami above water for at least a few decades. Planning longer term is trickier.

miami landscape

Water is coming for Miami from all sides

You can break the major water challenges that the region is facing into three parts, or “whammies,” Jayantha Obeysekera, a scientist with the South Florida Water Management District said.

The first is sea-level rise. Because of ocean currents and Miami's location, sea levels are rising in and around the city and Miami Beach faster than in most of the world.

The second problem facing South Florida is a vexing geological one. “Our underlying geology is like Swiss cheese,” said Obeysekera.

The solid ground under South Florida — Miami, Miami Beach, the Keys, and much of the rest of the peninsula — is mostly limestone made of compressed ancient reefs that are full of tiny holes. That means salty water is rising up through the ground itself, not just in the waters surrounding Florida.

The water could start intruding on drinking-water reservoirs (it already has in some areas) and killing off non-salt-tolerant vegetation, including shade-providing palm trees. It’s impossible to wall South Florida’s water out with levees or giant gates — as other cities have done — if the water rises up through the ground. When I asked one architect what the solution might be, she threw her hands up in the air.

Obeysekera said the third whammy, the effect of future storms, is still an unknown. The consequences of a warmer world on hurricane season are uncertain, but many scientists agree that we can expect storms to be more intense, which could mean higher storm surges and more rainfall.

flooding miami

The worst-case scenario drowns the peninsula

It’s only possible to plan so far ahead, said Jane Gilbert, the chief resilience officer for the City of Miami. Resilience officers in different cities face a variety of challenges, but for Gilbert in Miami, sea-level rise and the other challenges that come with it — like hurricane surges, housing affordability, and transportation through flooding neighborhoods — are top priorities.

Predictions for sea-level rise over the next 40 years  show significant increases in sea level by 2060, likely between 13 and 34 inches. But beyond 40 years from now, the level of uncertainty is too high to know how much rise to expect, Gilbert said.

When geologists look back at the history of the Earth, they observe that sea-level rise often comes in “pulses” associated with the melting of ice sheets, which bring dramatic amounts of water in a very short time frame. If one of those pulses were to kick in, geologist Harold Wanless thinks it’s possible Florida could see between 10 and 30 feet of sea-level rise by the end of this century.

“Miami as we know it today — there’s virtually no scenario under which you can imagine it existing at the end of the century,” Goodell said. “It may be some smaller version of Miami that incorporates platform houses and floating structures.”

miami water pumps

Miami is engineering to keep the water out

On one of Bruce Mowry’s first visits to Miami Beach, he saw an elderly couple holding hands and making their way through the floods, wearing black stovepipe boots with the water creeping up. He was shocked by the seriousness of the situation.

“They’re spending the end of their lives standing in water,” he said.

Mowry, now the city engineer for Miami Beach, agreed in 2013 to help Mayor Philip Levine — who paddled the floods in a kayak in campaign ads and is now running for governor in Florida — deal with tidal flooding.

Mowry and his team immediately started installing pumps that force water back into Biscayne Bay in parts of the city known to flood, shoring up at least some of the seawalls and putting valves in pipes to prevent water from flowing back up.

There are about 30 pumps installed so far, with up to 90 planned in total.

Along with pumps, Miami Beach added water-treatment stations so that the water being pumped into the bay is cleaner than the stuff that pools in the streets when storm drains get backed up.

The pumps work (most of the time, at least). Levine was able to stand in Sunset Harbor, a neighborhood known for flooding, the next year during king tides and celebrate dry land.

“I told the mayor later, you’re damn lucky. If it had rained that day you would have been standing in water,” Mowry said.

Going from serious flooding one year to dry streets the next is impressive and shows it’s possible to do something about flooding, according to Mowry. But there are limits to technology in such a low-lying and vulnerable area.

Pumps may work for Miami Beach, a city that covers only 8 square miles. It would be impossible to use them throughout the whole peninsula. At a certain point, expending all the energy required to keep pumps running and to engineer water out from all sides might do more global harm than good in terms of fossil-fuel emissions, which trigger further climate change.

“I do think that the solution in the near term in Miami is to build their way out of things. … But at a certain point, it becomes economically not feasible,” said Goodell.

miami sea level map

For now, Miami Beach has raised roads, with some several feet higher than the buildings they run past — meaning cars can get around safely even if sidewalks flood.

Revamping building codes to allow developers to build higher is another way to deal with the effects of sea-level rise. In a place like Miami Beach, there’s resistance to elevating structures and blocking views since everyone wants to see the beach, but that resistance is incompatible with making the adaptations needed.

As Susanne Torriente, the chief resilience officer for Miami Beach, explained, the city prioritizes certain actions with the knowledge that more changes will be needed in the future. It’s possible to raise roads and structures up to a point that might get the city to 2050 or 2060. By then, she said, “The data will hopefully be better and hopefully technology is better and solutions are better.”

When I drove into Sunset Harbor, pulling into a street parking spot behind a white Rolls Royce, flood-control measures seemed to still be working. I was a few hours away from high tide, but I found the first pump stations that had been installed in the city, and the ground was mostly dry.

Still, I was visiting during a remarkably “low” king tide — “nada,” as Pedraza had said about the same king tide in Shorecrest.

Miami Beach is working hard to confront its problem with sea-level rise head-on. But as many of the people working in South Florida acknowledge, it’s one thing to try to keep water off a small, well-funded island like Miami Beach; it’s quite another to keep it off an entire peninsula populated by millions.

Resilience needs to be incentivized

The City of Miami and its surrounding areas may try to implement some of the same engineering solutions that Miami Beach is using.

Pumps and elevated roads can be built in parts of the city and nearby counties as well. Zoning rules could encourage construction and land modification with the knowledge that future flooding is on the way. Those same rules could discourage development in places that are hard to protect.

When it comes to development, resilience needs to be incentivized, said Tiffany Troxler, the director at the Florida International University Sea Level Solutions Center.

“We can continue to build not accounting for what we expect in the future or we can work with cities and private investors and developers to change the way that we develop,” she said.

Miami Beach has allocated money for this sort of thing for some time now. On my last day in town, the City of Miami voted for a $400 million bond deal — at least half of which is supposed to be dedicated to protection from sea-level rise. Jim Murley, the resilience officer for Miami-Dade County, said the county is using projections to estimate just how high every structure should be and then renovating when possible.

As Miami works to upgrade infrastructure, it prioritizes based on how vulnerable and critical something is. Water and sewer plants need to come back online sooner than parks, which means that they are built up in different ways. If the city wants to build something like a nuclear plant — and two new reactors are being added to the Turkey Point nuclear power station south of Miami — extra protection is necessary.

According to Troxler, the engineering-heavy fixes are just one component of the tool kit that will be necessary to keep South Florida habitable.

everglades

Wetlands, mangroves, and reefs could help protect the rest of South Florida

Green solutions, like restoring the wetlands that used to make up most of the peninsula, could help prevent storm surge from swamping cities and keep saltwater intrusion away. Mangrove forests on coasts are also effective at keeping storm surge out.

Reef restoration could play a role too. A few days after I left Miami, a researcher in the Florida Keys told me — with piles of rubble from the devastation of Hurricane Irma in sight — that the area was in some ways lucky. A storm surge of up to 6 feet there destroyed or damaged almost everything that wasn’t elevated. But without the coral-reef barriers that took the brunt of the storm, the Keys could have been hit by 20-foot waves.

The Everglades, the massive wetlands area in South Florida that was partially drained for cities to be built in the region, are an essential part of any solution in the area. They provide the drinking water for much of South Florida and help absorb the waves and rain from storms that drench the region. If more of the Everglades is drained and developed, or if the system becomes more damaged, both the protection and the drinking water are lost.

"There are a lot of natural systems between the built environment and the water below us and around us," Troxler said. "That service is tremendous."

rotterdam gate

Learning from cities around the world

While many of the protections that work in places like New Orleans and New York City won’t work in Florida — with its porous limestone underground — there are examples of cities taking action against sea-level rise around the world.

Take the planned “Big U” wall that’s designed to circle around lower Manhattan. It provides park space and natural features that will help restore habitat and buffer against the kind of storm surge that flooded the city during Hurricane Sandy.

The Dutch are experts in dealing with sea-level rise, with much of the Netherlands close to or below sea level. Rotterdam is protected by a number of measures. Seawalls 30 miles from the city protect against water coming in from storm surge across the North Sea.

big u

Public spaces like the Eendragtspolder are filled with bike paths and areas for water sports, but they’re also designed to function as reservoirs that fill with water in case of a flood. And the Maeslant storm-surge barrier, the largest mobile flood barrier in the world, can swing closed like a gate to block the surge from a 1-in-10,000-year storm from the North Sea.

The Dutch worked with the New Orleans government to design protections for that city after Hurricane Katrina, according to Jeff Herbert, the chief resilience officer for New Orleans. There are similarities between the cities. Both are in river deltas, largely below sea level, with similar soil. New Orleans is also working on parks that function as water reservoirs in case of flooding. A $14.5 billion storm-surge barrier was built up about 20 miles outside New Orleans after Katrina.

Herbert said the New Orleans surge barrier is high enough to protect against 1-in-100-year storms like Katrina now, though as sea levels rise, that may not be enough. Louisiana’s Coastal Master Plan calls for a barrier that can protect against a 1-in-500-year storm.

And while there is much that Florida can learn from these other places, no one has answers to looming threats like water rising through the ground underneath. “The solutions that are going to be used to save cities like Miami Beach probably haven’t been developed yet,” Mowry said.

Future cities need to rise with the water

Many experts told me that it was important for coastal dwellers to rethink their relationship with water. At a certain point, it’s impossible to keep all the water out.

The most vulnerable neighborhoods in coastal cities around the globe might be uninhabitable in three or four decades. It fits into the 30-year-mortgage window someone should consider if they’re buying a house now.

Not every New Yorker lives in a low-lying area, but the subways that the city depends on are vulnerable to rising waters. If the ports of Norfolk, Virginia, become inaccessible because rising tides have washed out infrastructure, the largest naval base in the world — and all the jobs and money that come with it — will need to move.

That’s not to say all hope is lost. New types of urban areas — places that coexist with rising seas — could prosper. But coastal cities like Miami are finished if they don’t adapt.

“I don’t see any reason why there won’t be cities that emerge,” Goodell said. “Sea-level rise is going to bring in a whole new level of creativity.”

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NOW WATCH: What living on Earth would be like without the moon

12 Apr 15:39

This is the new Gmail design

by Tom Warren
Google’s new Gmail design

Google revealed yesterday that it’s planning to launch a new Gmail design in the coming weeks. The refreshed design will appear for Gmail users on the web, bringing it closer to the company’s tweaks for Gmail on mobile devices. The Verge has obtained screenshots of the new Gmail design, currently being tested inside Google and with trusted partners. The new design includes some subtle elements of Google’s Material Design, and a number of new features that were originally introduced for Google’s Inbox overhaul of Gmail.

Google is implementing smart replies for Gmail on the web, the same feature from mobile Gmail that provides suggestions to quickly reply to emails. A new snooze feature also lets you temporarily remove emails from your...

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12 Apr 15:38

Amazon drops first-gen Ring doorbell price to $100 after closing acquisition

by Jacob Kastrenakes
Ring’s Video Doorbell 2, which looks almost identical to the cheaper original model

As of today, Amazon officially owns Ring, the smart home company that was famously rejected on Shark Tank and went on to popularize the smart doorbells with built-in security cameras. Amazon purchased Ring in February for more than $1 billion, and the deal officially closed today.

Now, Amazon is already taking action in a very typically Amazon fashion: lowering prices. It’s starting with Ring’s standard video doorbell, which is dropping in price from $180 to $100. Amazon did a similar thing when it closed the acquisition of Whole Foods, dropping prices on avocados and other staples like bananas and ground beef.

Amazon has been making some big moves in the smart home space lately. There’s Alexa, of course, which is slowly invading more...

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11 Apr 22:46

One of the US's biggest cannabis companies just laid out its plans to trade publicly

by Jeremy Berke

marijuana

  • MedMen, a cannabis retail company that operates a chain of slick, high-end marijuana dispensaries, announced it is going public through a reverse takeover.
  • MedMen's agreement is with OutdoorPartner Media Corporation, an unlisted Canadian Public Company.
  • The company will trade over the Canadian Securities Exchange.

One of the highest-valued US cannabis companies is going public.

MedMen, a cannabis retail company based in Los Angeles that operates a chain of slick, high-end marijuana dispensaries, announced it is going public through a reverse takeover of OutdoorPartner Media Corporation. 

OutdoorPartner Media Corporation is an unlisted Canadian public company, meaning MedMen will likely trade over the counter in the US. The company will trade on the Canadian Securities Exchange (CSE) in Canada. 

Cormark Securities Inc. and Canaccord Genuity Corp will underwrite the deal. 

"This is an important milestone in the evolution of MedMen and the increasingly global cannabis industry. A major U.S. cannabis company is set to be publicly traded on a bona fide stock exchange," MedMen CEO Adam Bierman said.

"For nearly a decade we have been at the leading edge of the modern cannabis industry, putting ourselves in a dominant position in the most significant cannabis markets in the U.S.; California, Nevada and New York," he added. 

MedMen is opening a flagship store on Manhattan's ritzy Fifth Avenue on April 20. While the store is geared towards the medical market, Daniel Yi, a senior vice president at MedMen told Business Insider earlier this month the company hopes to turn the store into a more "retail-oriented" experience, if New York legalizes marijuana for adult use. 

Another marijuana company, Lift, also announced on Wednesday it has entered a letter of intent with MJ Opportunity Corp, to list on the TSX Venture Exchange (TSXV). Lift hosts North America's largest cannabis business expo in Toronto, and the company had revenues of $1,233,088 in 2017 and incurred a net loss of $2,047,095 as the company ramped up hiring for future growth.

Check out more of our cannabis industry coverage:

SEE ALSO: A $1 billion dollar marijuana dispensary chain is opening a store on New York City's fanciest shopping street — and it could signal a huge shift in the industry

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NOW WATCH: Wall Street's biggest bull explains why trade war fears are way overblown

11 Apr 18:38

Google to launch new Gmail design in the coming weeks

by Tom Warren
Gmail for Android

Google is planning to launch a new design for its Gmail web interface soon. In an email to G Suite administrators, obtained by The Verge, the company says the new design will include “several new features” that will also be made available to regular Gmail accounts. Google promises a “fresh, clean look for Gmail on the web,” with features like Smart Reply, the ability to snooze emails, and offline support.

Google isn’t revealing exactly what the new design for Gmail looks like, but the company did recently launch a new design for Google Calendar. The calendar was updated with modern icons, colors, and cleaner event boxes. Overall the design looked a lot more like the mobile app, and it’s reasonable to assume that Gmail itself will be...

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11 Apr 18:38

An officer who dragged a United passenger off a flight last year is suing the airline (UAL)

by Mark Matousek

United Airlines Boeing 777

  • A former aviation police officer who dragged a United Airlines passenger off an oversold flight in April 2017 is suing the airline and the Chicago Department of Aviation, ABC 7 reports.
  • In the lawsuit, the former officer, James Long, claims he wasn't properly trained to handle passengers who misbehaved.
  • Long also claims he was fired on unfair terms and subject to slander after videos of him and other officers dragging David Dao off a United flight went viral. 


A former aviation police officer who dragged a United Airlines passenger off an oversold flight in April 2017 is suing the airline and his former employer, the Chicago Department of Aviation, ABC 7 reports.

In the lawsuit, the former officer, James Long, claims he wasn't properly trained to handle passengers who misbehaved. He also claims that United knew or should have known that calling the Aviation police to "remove a passenger who was refusing to leave their plane would require the use of physical force."

In addition, Long claims he was fired on unfair terms and subject to slander after videos of him and other officers dragging David Dao off a United flight went viral. 

Before the incident, Chicago aviation police officers were making an effort to be able to carry guns while working. Ginger Evans, Chicago's aviation department commissioner, later said in a tweet that aviation officers were not armed "for good reasons."

The lawsuit claims Long suffered "mental anguish" after his termination, as well. 

"We have not been served with this suit and are unable to comment," a United spokesperson told Business Insider. 

United was widely criticized for how it handled the incident. 

United CEO Oscar Munoz was criticized for his initial response to the incident, in which he called Dao "disruptive and belligerent." Munoz later issued a second apology in which he expressed regret at how the incident unfolded.

"I deeply apologize to the customer forcibly removed and to all the customers aboard. No one should ever be mistreated this way," he said.

Dao lost two front teeth, broke his nose, and suffered a concussion as a result of the incident. His family threatened to sue the airline, but the two parties settled before a case went to court. 

Since then, United has been unable to avoid controversy, much of which has focused on the airline's treatment of pets. The airline has had multiple animals die on or shortly after flights or be sent to incorrect destinations. In March, United Airlines said it would temporarily stop transporting pets in the cargo holds of its aircraft as it reviewed its pet transport program following three dog-related incidents in one week. 

SEE ALSO: United Airlines has a long history of infuriating customers — here are its worst customer service incidents

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NOW WATCH: The chief economist at a $163 billion firm dispels one of investing's biggest myths

11 Apr 15:23

Here’s how much Facebook donated to every lawmaker questioning Mark Zuckerberg this week

by Sarah Jeong

Facebook founder and CEO Mark Zuckerberg is testifying before the House Committee on Energy and Commerce today, fresh off the heels of a grueling five-hour joint session before the Senate Judiciary and Commerce committees yesterday. In total, Zuckerberg will face questions from nearly 100 legislators, and many of those legislators have received thousands of dollars from the company Zuckerberg runs.

Over the last 12 years, Facebook has spent $7 million in campaign contributions. Historically, Facebook has donated slightly more to Democrats than Republicans, but overall, the platform’s political footprint is small in Washington, DC relative to its market cap, which is currently calculated at about $400 billion. That’s not unusual for...

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11 Apr 15:22

HP is jumping into the legal marijuana industry with a technology that could change the way people buy weed — and it's a first for Silicon Valley

by Melia Robinson

marijuana store 3 dispensary

  • HP will start making registers for stores where marijuana is sold. It's the first major tech company to produce hardware for the marijuana industry.
  • The computer industry pioneer is partnering with the marijuana startup Flowhub to sell registers with marijuana-specific software preinstalled.
  • The goal of this technology is to make it easy for marijuana stores, called dispensaries, to comply with state law and federal guidelines.

Hewlett-Packard, a computer industry pioneer, is cashing in on the marijuana "green rush."

In a first for the fledgling marijuana industry, HP will start providing registers preinstalled with software made for marijuana businesses.

The $35 billion enterprise company, which sells and installs complex tech products for other companies, is partnering with the marijuana startup Flowhub on the first-of-its-kind retail offering. HP will manufacture the hardware, while Flowhub will handle the software side and sell the machines.

These new registers are designed for marijuana dispensaries, and their software aims to help licensed business owners track sales and inventory, create reports, and comply with state regulatory agencies by sending reports to them automatically.

Times are changing

There was a time not too long ago when a person using medical marijuana could buy their legal cannabis with only cash, as federal law prohibits banks and credit unions from taking money for marijuana. Even when dispensaries started accepting debit and credit cards, some people still paid with cash or refused receipts because they didn't want to create a paper trail.

But times are changing. Nine states and Washington, DC, have legalized marijuana, and more than one in five Americans now live where they can legally use the drug recreationally. Legal marijuana sales hit $9.7 billion last year, a 33% increase over 2016.

As legal marijuana becomes increasingly prevalent and the stigma against the drug decreases, tech companies have set out to solve one of the biggest problems facing the industry: compliance.

HP saw the legitimacy of the marijuana industry

In addition to making laptops and printers, HP is one of the world's leading providers of point-of-sale systems, whose global market size reached nearly $48 billion in 2016.

The marijuana industry opens up a new revenue stream for the PC giant.

hp flowhub marijuana point of sale 3

Kyle Sherman, who founded Flowhub in Denver the year after legal marijuana sales began, said HP approached his company about working together last year.

"They read about us," Sherman told Business Insider. "Obviously, we knew about them."

In December, Flowhub welcomed representatives from HP's retail solutions department to Denver for a tour of some large-scale marijuana dispensaries. Sherman said that the experience showed HP employees how regulated and "really legit" the marijuana industry had become.

Earlier this year, HP started manufacturing the hardware for these point-of-sale systems. Flowhub installs its software and sells the machines to marijuana business owners. A few of HP's systems have been in beta testing at select dispensaries since the start of the year.

Aaron Weiss, HP's vice president and general manager for retail solutions, said in a statement: "HP is delighted to be a key part of the solution in this exciting new regulated industry."

hp flowhub marijuana point of sale 4

The machine is metal and built to last, according to Sherman. His hope is that the system could someday replace iPads and computers that some marijuana businesses use as registers.

While iPads and computers might be cheaper than some point-of-sale systems, "you're getting a device that's going to break after six months or a year," Sherman said.

"These machines are doing a big job — an important job — so you want quality," he added.

How Flowhub works

Founded in 2015, Flowhub makes software for marijuana growers and sellers that allows them to monitor marijuana from "seed to sale." It collects and crunches data to ensure every leafy bud and marijuana product is handled in compliance with state law and federal guidelines.

In practical terms, Flowhub helps marijuana businesses show the government that products aren't coming in from illegal cultivation sites or disappearing into the black market.

During a typical transaction at a dispensary that uses Flowhub's software, customers order with an employee and pay using cash, credit, or debit at the register. The point-of-sale system logs the transaction and tracks what inventory comes in and leaves the store.

If there's a discrepancy between the recorded inventory and what's actually in the store — known as shrinkage — a business owner can search the seed-to-sale platform to figure out a product's last known position in the supply chain and which employees handled it.

Flowhub creates a sort of audit trail for all the product managed — something a business owner can provide if authorities seek proof of compliance.

When business owners sync their registers to the cloud, the Flowhub platform sends sales reports automatically to Metrc, a database company that works with government agencies that regulate legalized marijuana.

Flowhub serves marijuana businesses in Colorado, Oregon, Alaska, California, Michigan, Maryland, Massachusetts, and Nevada, which all use Metrc.

BI Graphics_legal marijuana map 2018

Flowhub says it processes over 1 million transactions every month. With help from California's recreational marijuana market, Flowhub projects that its revenue will top $5 million this year.

Big tech is taking the leap into legal marijuana

HP is the first major tech company to produce hardware for the marijuana industry, and it joins another computer industry pioneer in tapping into the "green rush."

In June 2016, Microsoft said it would start making seed-to-sale software from the marijuana startup Kind Financial available through a cloud-based software suite that it distributes to state, county, and municipal governments.

Kind's software helps regulatory agencies keep tabs on sales and commerce and gives entrepreneurs the comfort that comes with compliance.

David Dinenberg, the founder and CEO of Kind, told Business Insider that it wasn't easy persuading Microsoft, a 43-year-old company, to foray into marijuana.

Kind appealed to Microsoft because it doesn't "touch the plant" or have direct ties to growing or selling marijuana, Dinenberg said. There's less risk involved for companies that provide ancillary products and services, even when the customer ends up using marijuana.

"At the end of the day, we are a technology company that provides services," Dinenberg said. "We happen to cater to the marijuana industry, but we don't grow marijuana."

The same thinking applies to HP's deal with Flowhub. Though the hulking enterprise company is getting involved with the marijuana industry in a tangential way, it still marks a major milestone for the technology and marijuana industries.

SEE ALSO: California's cannabis market is expected to soar to $5.1 billion — and it's going to be bigger than beer

Join the conversation about this story »

NOW WATCH: RICHARD BRANSON: The war on drugs should’ve been shut down 49 years ago

09 Apr 22:05

Microsoft’s smart mat project could blend Lego and Minecraft together

by Tom Warren

Microsoft has unveiled its latest research project today, Project Zanzibar. It’s a smart mat that’s designed to blend the digital and physical worlds by sensing touch, gestures, and objects. A team of researchers, with a love of toys, created the project at Microsoft’s research labs in the UK. The mat folds and combines sensing, near field communication (NFC), and multi-touch to imagine a future where you could place objects on this smart mat and play games.

Microsoft’s video (above) demonstrates a number of different games that track the position, movement, and orientation of objects — all thanks to NFC stickers. The smart mat, that reminds me of the Surface Music Cover, can even detect inputs like button presses, and works with...

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08 Apr 22:01

Salesforce is working on a blockchain product

by Ron Miller

Salesforce has always been a company that is looking ahead to the next big technology, whether that was mobile, social, internet of things or artificial intelligence. In an interview with Business Insider’s Julie Bort at the end of March, Salesforce co-founders Marc Benioff and Parker Harris talked about a range of subjects including how the company came to be working on one of the next hot technologies, a blockchain product.

Benioff told a story of being at the World Economic Forum in Switzerland where a bit of serendipity led him to start thinking about blockchain and how it could be used as part of the Salesforce family of products.

As it turned out, there was a crypto conference going on at the same time as the WEF and the two worlds collided at a Salesforce event at the Intercontinental Hotel. While there, one of the crypto conference attendees engaged Benioff in a conversation and it was the start of something.

“I had been thinking a lot about what is Salesforce’s strategy around blockchain, and what is Salesforce’s strategies around cryptocurrencies and how will we relate to all of these things,” Benioff said. He is actually a big believer in the power of serendipity, and he said just by having that conversation, it started him down the road to thinking more seriously about Salesforce’s role in this developing technology.

He said the more he thought about it, the more he believed that Salesforce could make use of Blockchain. Then suddenly something clicked for him and he saw a way to put blockchain and cryptocurrencies to work in Salesforce. “That’s kind of how it works and I hope by Dreamforce we will have a blockchain and cryptocurrency solution.”

Benioff is clearly a visionary and says a lot of that comes from simply paying attention as he did when he talked to this person in Davos, and recognizing an opportunity to expand Salesforce in a meaningful way. “A lot [these ideas] comes from paying attention, listening. There’s new ideas coming all the time,” he said. He recognizes that there are more ideas out there than they can possibly execute, but part of his job is understanding which ones are the most important for Salesforce customers.

Blockchain is the electronic ledger used to track Bitcoin or other digital currencies, but it also has a more general business role. As an irrefutable and immutable record, it can track just about anything of value.

Dreamforce is Salesforce’s enormous annual customer conference. It will be held this year from September 25-28 in San Francisco, and if it all works as planned, they could be announcing a blockchain product this year.

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Check out the whole interview between Salesforce founders Parker Harris and Marc Benioff and Julie Bort from Business Insider:

08 Apr 20:48

Pharmaceutical giants are sidestepping US marijuana restrictions to research cannabis-based drugs

by Erin Brodwin

cannabis

  • Federal policies restricting marijuana research have made it difficult to study marijuana and produce cannabis-based drugs — but that isn't stopping pharmaceutical companies from doing it.
  • Some are researching and developing drugs made with marijuana compounds in labs just north of the border. Others are growing the raw materials for their products in South America.
  • Although only a single cannabis-based drug is currently approved for use in the US, others are likely on their way.
  • Some will appear first in marijuana dispensaries in states where marijuana has been legalized; others will await approval from the US Food and Drug Administration (FDA).


Getting marijuana-based drugs approved in America is no easy task.

According to the US Drug Enforcement Administration, cannabis has no medical use. Until two years ago, all domestic research on the drug had to rely on rotting samples from a single, well-secured weed facility at the University of Mississippi. Today, researchers who want to grow marijuana have to apply for a license in a convoluted process that can take years. Only a single cannabis-based drug has been approved by the Food and Drug Administration to date — and it contains CBD, a non-psychoactive compound in marijuana that is not responsible for its characteristic high.

But as researchers are only beginning to uncover, marijuana — with its roughly 400 compounds, each of which is potentially responsible for a distinct effect — has a wide variety of potential medical applications, from relieving pain and nausea to reducing the symptoms of rare diseases like childhood epilepsy. And these benefits are emerging just as scientists are uncovering huge downsides to traditional medications like opioids.

Some are lending their support to Canadian marijuana startups growing their products in countries like Colombia; others are applying for permits to import marijuana extracts like CBD and THC; still others are obtaining approval in Europe first and hoping that validation gives them an edge during the difficult FDA approval process.

Cannabis startups are among a handful of 'resident' startups at the Johnson & Johnson incubator in Canada

jjlabs_torontoAt Johnson & Johnson's JLabs in Toronto, scientists and entrepreneurs follow a gleaming steel road towards shared workspaces separated only by clear glass walls. Pops of bright blue honeycomb print and creative lighting imbue the center with a sense that change is right around the corner.

It was here, roughly a year ago, that the pharmaceutical giant welcomed the first marijuana startup into its JLabs Innovation network, an ecosystem designed to give budding companies access to the resources and leadership they need to get off the ground. JLabs accepted a second cannabis company, Vapium Medical, as a resident about three months later.

The first was Avicanna, a Toronto-based biotech company focused on medical cannabis.

As part of the JLabs ecosystem, Avicanna gets access to lab space, a Johnson & Johnson mentor, and the recognition they need to recruit top-notch scientists and researchers. In exchange, Johnson & Johnson get a chance to work with an innovative company and invest if and when they see fit.

"Partnering with JLabs allowed us to obtain a lot of credibility," Aras Azadian, Avicanna's CEO, told Business Insider. "It's also a great atmosphere to work in and to bring others in."

avicanna product lineupBefore getting accepted as a JLabs resident (after applying for the third time), Avicanna was a fledgling startup, Azadian said. But that changed when the company joined JLabs.

In just over a year, the company went from a staff of five to 17 in Canada and 30 in Colombia, where the company grows and harvests the marijuana that goes into its products — which thus far include a series of patches, creams, and sprays that will be sold under the Pura Elements brand. Azadian said he expects a selection of those products to be available in dispensaries in California, where marijuana is legal, by the end of this year.

Azadian says that while Johnson & Johnson isn't yet invested financially in Avicanna, just being in the space significantly raises the chances that the pharmaceutical giant might eventually take that leap.

"Since we're part of their ecosystem it's much more convenient to cooperate and collaborate — a lot more so than to start working with new company," Azadian said. "I think we've positioned ourselves well to be a good fit for them."

Avicanna's initial product lineup will go to US dispensaries in states where marijuana is legal, like California.

But Azadian is hopeful that the company's research with scientists at the University of Toronto, including tests in cells and mice and eventual clinical trials in humans, will bolster their next line of products, which are geared towards treating medical conditions like eczema. Avicanna also hopes to eventually launch sustained-release capsule formulations aimed at pain relief.

"I think with our approach — strictly looking at this from a medical perspective with a team of some of the best scientists on board — I'm excited to see where this goes," Azadian said.

Other pharma companies are looking to study cannabis by importing extracts

marijuana plant lab research

Instead of going the incubator route, several small pharmaceutical companies are applying for federal permits to import cannabis extracts like CBD and THC.

Those companies include Virginia-based research group Sanyal Biotechnology, a contract-based drugmaker that focuses on liver diseases and was spun out of Virginia Commonwealth University in 2015; and Noramco, a Delaware-based drugmaker that focuses on medications used to treat illnesses including ADHD and addiction as well as pain.

Both companies filed reports in March with the DEA's federal register to import cannabis extracts; Noramco also applied for a permit to import whole plant material.

Sanyal's decision to import cannabis extracts comes from a recent partnership with Ontario-based cannabis drug company Revive Therapeutics. Last year, Revive reached out to Sanyal to inquire about testing CBD for its potential effects on autoimmune hepatitis, a chronic disease in which the body's immune system attacks the liver.

Around that time, Sanyal applied for a permit with the DEA to study CBD; but the company has yet to be cleared to import the extracts.

Rebecca Caffrey, Sanyal's CEO, told Business Insider that while she understands the need for approval, the application and permitting process has seemed excessive at times. If they don't recieve the required permits by this summer, Sanyal may need to refer Revive back to Canada where another lab will take over the research.

"We've just been going through all these hoops," Caffrey said. "I understand why they have to have these restrictions, but it does make it hard to do business."

Only one cannabis-based drug has the FDA's stamp of approval

marinol dronabinol abbvie

So far, only one cannabis-based drug has been approved via the traditional drug-approval route, which involves working closely with multiple regulatory agencies including the DEA and FDA.

That drug, known by its generic name dronabinol, is designed to treat some of the negative side-effects of chemotherapy and AIDS, such as nausea, loss of appetite, and weight loss. It is made using lab-produced versions of THC, the main psychoactive ingredient in marijuana.

Chicago-based Abbott Pharmaceuticals spinoff AbbVie got approval for its dronabinol formulation, which is in pill form and called Marinol, by making the case that it offered advances where no other adequate therapies existed. Arizona-based drug company Insys Therapeutics also recently received approval for a liquid version of dronabinol that treats the same conditions.

The next company to secure FDA approval for a cannabis-derived drug will likely be the UK-based pharmaceutical company GW Pharmaceuticals, which recently got a green light from an outside panel of scientists in favor of its efficacy and safety. On Thursday during a unanimous 13-0 vote in favor of the drug, panel member John Mendelson, a senior scientist at the Friends Research Institute, said, "This is clearly a breakthrough drug for an awful disease."

The final decision on Epidiolex is currently slated for June 27. Notably, the drug contains only CBD, so there is no chance of getting users high.

"There's certainly demand for these products," Avicanna's Azadian said, "but we're still dealing with a strictly stigmatized industry."

SEE ALSO: Ketamine could be the new drug for depression that researchers have been looking for

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08 Apr 20:47

Bitcoin holds steady above $7,000 as 2 Wall Street legends reportedly eye the crypto market

by Frank Chaparro

John d Rockefeller

  • Bitcoin was trading in the green, above $7,000 a coin, during Sunday's trade.
  • This comes after it was reported that two traditional Wall Street firms are entering the market for cryptocurrencies.

Major cryptocurrencies were trading in the green Sunday morning following reports that two traditional Wall Street firms are eyeing the market for digital currencies.

Bitcoin, the largest cryptocurrency by market capitalization, was trading up 2.1% at $7,047 a coin, according to Markets Insider data.

It's been a rough start to the year for bitcoin, which saw its price soar by more than 1,300% in 2017, but has not fared as well in 2018.

Reports of a crackdown on cryptocurrency advertisements by tech giants such as Google and Facebook as well as regulatory uncertainty in Asia and the US have weighed on the coin for much of March and April. The coin is down 50% since the beginning of the year.

But investors appeared to be more bullish during Sunday's trade following reports that two Wall Street icons were looking to get into the market for cryptos.

More notably, the investment fund founded by billionaire George Soros is preparing to dive into cryptocurrency trading, even though Soros himself previously described them as a "bubble."

Adam Fisher, who oversees global macroeconomic investing for Soros Fund Management, has gained internal approval to invest in and trade cryptocurrencies, according to a Bloomberg News report.

Also, Venrock — a venture capital firm founded by descendants of famed capitalist John D. Rockefeller — announced it was partnering with a cryptocurrency investment firm based in Brooklyn. Fortune first reported on the partnership.

Anthony Pompliano, whose crypto-focused VC firm Full Tilt was recently acquired by a traditional hedge fund Morgan Creek, told Business Insider these reports are "encouraging" for the nascent bitcoin market.

"It is encouraging to see institutions with the historical track record of Soros and Rockefeller beginning to gain exposure to blockchain and cryptocurrencies," he said.

"I anticipate more and more institutional capital will begin to pour in, hopefully leading to a more mature and sophisticated market."

SEE ALSO: A $250 million money manager wants to unleash Chinese crypto companies onto US investors

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08 Apr 20:46

In a Slack world, Microsoft bets on Teams and Yammer

by Alex Wilhelm

The growth of Windows has slowed as Microsoft’s mobile platform goals have faded and the PC market matured. As a result, Microsoft has had to seek new revenue outside of its operating system.

In 2017, as part of that effort to grow, Microsoft announced a new subscription product called Microsoft 365, bringing together Windows, the company’s cloud-centered productivity suite Office 365 and enterprise tooling into a single package.

The introduction of Microsoft 365 presaged the company’s re-organization which, to quote CNBC, “rebuilt the company around the cloud instead of Windows.” This seems reasonable; if Windows isn’t going to return to growth, other services have to keep adding top line revenue. Microsoft’s evolution to a cloud-powered, services-focused company is therefore set to continue.

In the pursuit of new, non-Windows top line, Microsoft wagered that it could expand its “commercial cloud” revenue to a $20 billion run rate by the end of its fiscal 2018. It beat the goal, reaching the $20 billion mark far ahead of the calendar-equivalent date of mid-Summer of this year.

One of those products, Teams, is a component to Office 365 and part of what Microsoft CEO Satya Nadella called a “growth opportunity” that is “a lot bigger than anything [his company has] achieved.”

Today we’re going to explore Microsoft’s current actions in one part of the cloud productivity space through the lens of Teams.

Microsoft Teams

Microsoft’s Teams product is a communications tool often compared to Slack . TechCrunch, for example, recently called the software service “Microsoft’s Slack competitor.” ComputerWorld, in a news item earlier this year, wrote that “Microsoft turn[ed] up [the] heat on Slack” when it announced new Teams features.

It goes on and on, allowing us to comfortably hold up Microsoft Teams as Redmond’s answer to Slack, a company famous for its quick growth, impressive mind share and its independent status from any major tech company. That last fact remains true despite rumored acquisition interest from Microsoft itself, along with pretty much every big company in the sector you can name.

To see Microsoft invest in its own tool that competes with Slack isn’t surprising. There is a large market for the product, and Redmond is loath to let any rival service cut in on its productivity revenue.

Therefore, if there is a hot productivity tool in the market and Microsoft isn’t going to buy it, it might as well build one of its own. Unsurprisingly, the company has been hard at work doing just that.

Joining a big company when you are a comparatively small company can be arduous.

News that Teams could release a free version made headlines. Teams also picked up guest access in February, its introduction of Cortana integration made it into mainstream tech publications and this week Microsoft announced new “retention policies” for Teams.

All that and Microsoft bought Teams a friend this year in the form of Chalkup, a collaboration company focused on the education world.

In short, Teams is adding new features while building its org chart and expanding access. All good things, certainly. However, it was not too long ago Microsoft spent quite a lot of money to buy a different, distinct collaboration tool. What happened to it?

Yammer

Microsoft bought Yammer in 2012 for $1.2 billion, building out what TechCrunch called, at the time, its “Social Enterprise Strategy.” And while the Yammer-Microsoft deal was “great news” for the company and its investors, it also marked the beginning of the “tough part” for the newly acquired startup.

Joining a big company when you are a comparatively small company can be arduous. And if you do so when the larger company is undergoing a massive change in leadership (Microsoft hired a new CEO two years after the Yammer deal) and a business model change-up (Microsoft bought Nokia in 2014, also two years after the Yammer deal, before closing that strategic idea out years later), it’s probably even harder to integrate.

Externally, that difficulty showed. Following the Microsoft deal, Yammer search volume grew before stagnating and later slipping. The product was eventually switched on for free for Office 365 customers in early 2016, four years after it was purchased. Office 365 itself launched a half-decade before, making the moment a bit long in the works.

But all that is the past, and, notably, Microsoft is putting more emphasis on Yammer today than it has in recent years. That may feel odd, given what we just went over concerning Teams.

To dig into that, Crunchbase News got Microsoft’s Seth Patton on the phone, who explained the company’s thinking. According to the 15-year company veteran who now works on Office 365, Microsoft has two separate views for Teams and Yammer. Teams is built for what Patton calls inner-loop communication: stuff for teams, smaller companies and the like; Yammer, in contrast, is better for outer-loop communication: less tactical decisions and more company-wide communications.

The split between Slack and Teams products and the Yammers and Convos of the world isn’t hokum or mere corporate-speak. I’ve worked in newsrooms that used the mix of tools to allow for simple direct messaging between individuals (Slack) and team-wide threaded communications (Yammer). It takes a little getting used to, but it can flow well if you need that level of inter-party discussion.

Even more interesting than the fact that Yammer is not dead is that Microsoft is actively investing in it. According to Patton, Microsoft’s chiefs “doubled down” on Yammer while Teams was being brought into the market in late 2016. This gave Yammer about a year of redoubled investment and attention.

Taking all that together, Microsoft is investing in two communications products at the same time, both of which are baked into its productivity suite. So why the huge push now?

Slack: Software’s favorite rocket ship

You are no doubt familiar with Slack’s growth arc. It’s been a nearly chronic narrative in tech for the past few years. And I don’t mean that in a pejorative sense. (I’m as guilty as anyone else.)

But, in case you have a life, here are some highlights: Slack reached ARR of $50 million in December of 2015. In October of 2016, Slack hit the $100 million ARR mark. Then the company bested $200 million last September. That’s darn quick, and investors took notice, showering the company with cash and ever-rising valuations.

One way to get acquired, after all, is to stick out by worrying the biggest companies in the market through growth.

Fueling Slack’s continued growth is a push into the realm of bigger companies. The firm launched Slack Enterprise Grid last January, bringing enterprise-grade management tools to Slack’s product. With Enterprise Grid, Slack can keep going after bigger accounts. (To that point, IBM has more than 200,000 active users on Slack that use Enterprise Grid.)

That quick growth has made Slack an acquisition target. One way to get acquired, after all, is to stick out by worrying the biggest companies in the market through growth. It’s just hard as heck to do, as incumbent revenue numbers are so large that, well, you have to grow fast to become interesting.

An even bigger scrap

As we know, Slack has rebuffed acquisition offers. As a result, we’re seeing Microsoft, the dominant player in the world of productivity, attempt to slow down Slack in an effort to not lose future users and future dollars. Hell, even Google is in on the race. Its Slack competitor launched for early users in February. Facebook is also tinkering around the edges. It’s fun to watch.

But productivity is Microsoft’s cash cow. For Google, it’s a big side project, but nothing compared to its advertising revenue. That puts Microsoft and Slack more up against one another in the enterprise chat fight.

(In mid-March, Microsoft announced that 200,000 organizations now use Teams, up from 125,000 in September of 2017. That’s 60 percent growth in a half-year or so — a quick growth pace, too.)

What we’ll learn over the next few years is if Microsoft’s enormous enterprise channel can be leveraged enough to slow Slack’s growth, or if Slack’s momentum can actually capture a piece of the productivity market and hold onto it.

It’s a startup against a platform company, a classic enough battle. But with big tech bigger, richer and more powerful than ever, it’s a more relevant business case than we might think at first blush. More when one draws blood or Slack goes public.

08 Apr 05:34

I miss Windows Phone

by Tom Warren
Windows Phone

I first gave up on Windows Phone back in December 2014. Microsoft’s mobile platform was being left behind, and I was tired of not getting access to the apps everyone else was using. It took Microsoft a few years to finally admit Windows Phone is dead, and the company is no longer planning to release any new hardware running its mobile OS or update it with any features. I recently switched on an old Windows Phone to create a silly April Fools’ joke about returning to using it as my daily device, and then it hit me: I really miss Windows Phone.

Windows Phone debuted in 2010 with Microsoft’s Metro design philosophy, and a focus on glancing at your phone for information instead of digging in and out of apps. Two obvious features I miss from...

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