Weekly reading – 10th December 2022

Business

Who will be Disney’s next CEO? Here are the top contenders to succeed Bob Iger. Disney is a textbook case of a company’s failure to make succession right. Bob Chapek was fired unceremoniously after a bit more than 2 years on the job. Bob Iger is back for what seems to be like the 100th time. None of the internal candidates mentioned in the article seem to have the skillset that emulates that of Bob Iger. The ones that do were passed over for the CEO job. If they weren’t picked then, why would they be this time around after 3 years away from the company?

TSMC to up Arizona investment to $40 billion with second semiconductor chip plant. This TSMC plant is the largest foreign investment in Arizona and one of the largest in the US history. Once completed, it will have enough capacity for chip demand in the US and produce the most cutting-edge chips (3 and 4 nanometers). In my view, this is a great move. TSMC can bring supply closer to the largest market in the world and reduce the geographical risk of being close to China. The US will house a strategic investment on its soil and also decrease its exposure to a take-over of Taiwan by China. Additionally, this will bring hundreds of jobs to Arizona and the US

In-store bakery is becoming a consumer magnet. “In-store bakery is becoming increasingly attractive to consumers, according to a new report. A whopping 95% of shoppers consume products from the department at least occasionally and 63% do so weekly, according to the “Power of In-Store Bakery 2022” report, published by the Food Marketing Institute (FMI). Among the shoppers who visit the in-store bakery weekly are Millennials (35%), urban dwellers (42%); large households of three or more persons (49%); and households with an income of at least $120,000, the report says.”

Disney’s CEO drama explained, with Julia Alexander. Julia Alexander is the Twitter account that I go to for anything media-related. This is a great interview and there are a lot of important nuances that media coverage on Disney and the Bobs missed

($) Former Apple Executive Says Company Blundered by Firing Him After TikTok Video. This should be a good case to be discussed in Ethics and Business Management classes. Apple was in a “I’ll be damned if I do, and I’ll be damned if I don’t” situation. Tony Blevins played an integral role in the Apple empire and to be frank, there was an argument to be made that his firing was too harsh. On the other hand, as he held a high-level position, the expectation on him was much higher. How would Apple maintain the culture if employees thought they were partial to Tony because he was higher up on the food chain?

Other stuff I find interesting

Why wind energy isn’t living up to its pollution-preventing potential. Wind energy has become increasingly important across the US, making up 10% of the country’s electricity mix today. A new research has proven that wind energy is linked to improved air quality, but such benefits are not the same to different communities. “Only 32 percent of those benefits reached low-income communities. And just 29 percent reached racial and ethnic minority populations. People of color are 3.6 times more likely to live in counties with multiple failing air pollution grades. Low-income communities in the US have also been consistently exposed to more particulate pollution than more affluent neighborhoods.”

($) Where Does All the Cardboard Come From? I Had to Know. A long interesting piece on the cardboard economy. “Cardboard manufacturers broke production records in 2021, and they’ve been breaking them basically every quarter since. By 2025, according to one estimate, the size of the international market for corrugated packaging will reach $205 billion, commensurate with the gross domestic product of New Zealand or Greece. In 2020, for example, the world’s paper and cardboard factories produced an estimated 400-million-plus metric tons of product; by 2032, analysts have predicted, that number will rocket to 1.6 billion metric tons, the weight of 16,000 aircraft carriers. Safe to say that never in human history have we relied on one kind of mass-produced packaging material for so much, and certainly not at such scale. “

A $100 Billion Lesson In Why Building Public Transportation Is So Expensive in the US. Pete Buttegig and The Department of Transportation should look at this article and take appropriate actions to address what I consider a national embarrassment.

Face to face with ancient Egyptians. Scientists use technologies to craft ancient Egyptians’ portraits based on mummies. Fascinating!

Uruguay is plotting to poach Argentina’s tech sector. “As the infrastructure of cities from Bali to Mexico City creaks under the strain of new digital-nomad arrivals, Uruguay’s luring of Argentines is different. Uruguay, whose population hasn’t grown significantly in 30 years, has opted to leverage its own labor shortage — which, for years, has contributed to holding back its burgeoning tech scene — with the economic upheavals of neighboring Argentina. Between 2020 and 2021, more than 21,415 Argentines applied for permanent or temporary residency in Uruguay, six times more than the requests accumulated in the previous two years combined. Starting in mid-2020, Uruguay’s center-right government extended tax breaks for foreign earners living in the country, and lowered residency requirements. Software companies pay no income taxes. “

Nigeria limits ATM withdrawals to boost digital payments. “The central bank has sent out a circular to lenders cutting the daily cash machine withdrawal limit from 150,000 naira to 20,000 naira, according to Bloomberg. Weekly cash withdrawal limits of 100,000 naira for people and 500,000 naira for corporations have also been set. The limit is the latest effort by Nigeria to discourage cash usage. The country is set to redesign high-value notes and is giving people until January to switch out their old paper money.

Stats

US-based small businesses had $1 billion in sales on Amazon between Thanksgiving and Cyber Monday

According to an EU-funded survey, one in four 16-19-year-olds in Europe engaged in online trolling last year

In 2021, U.S. corn was worth over $86 billion

Source: Science.org

Weekly reading – 12th November 2022

What I wrote last week

My review of the US Bank Shopper Cash Rewards Visa Signature Credit Card

Business

($) What If Apple Made an E-Bike? On paper, the idea that Apple would change the e-bike/micromobility industry forever with its own product makes sense. The question is: how would an e-bike connect with the rest of the ecosystem? How would all devices complement one another? Apart from transporting a person from A to B, what utility would an e-bike provide?

The Russo Brothers Assemble: Inside AGBO, Their $1 Billion Studio, and When They Might Return to Marvel. Some insights into the entertainment industry

Why we’re leaving the cloud. I am not a fan of DHH, to say the least, but I appreciate his and his company’s perspective on this issue. Indeed, one of the biggest selling points of cloud providers is that you can save time and money renting their infrastructure. I am not saying that it’s impossible. But every buyer needs to do their homework and run a trial to see if that’s the case. My first-hand experience with our company’s transition to AWS is that we have a net positive, but you need to remember that most banks run on mainframes which are expensive to service in the first place.

($) Adobe Is Trying to Spend $20 Billion to Buy Back Its Swagger. I honestly don’t understand why people compared this to Facebook’s acquisition of Instagram. To me, because of the price tag, this deal looks similar to the $19 billion purchase of WhatsApp by Facebook. Nonetheless, I think there is a real chance that regulators would block this deal given the recent developments.

Stack Overflow CEO on how it became the world’s most popular programming site. A few stats on Stack Overflow: 50 million questions & answers, 100 million monthly visitors worldwide, 50 billion visits in the last 14 years, 15,000 organizations that use StackOverflow-for-Teams

Emergency SOS via satellite on iPhone 14 and iPhone 14 Pro lineups made possible by $450 million Apple investment in US infrastructure. There is innovation that doesn’t make headlines, yet improves lives. There is also innovation that grabs all sorts of attention, yet seems to be based on imagination than reality. Meterverse and this Emergency SOS, guess which one improves lives?

The global shipping industry is facing a new problem — too many containers. The demand for shipping dropped significantly, to the point that there are idle containers. I wonder if this is a sign that a recession is coming upon all of us.

Number One in Formula One. As much as I disliked Mercedes’ dominance in F1 the past decade, I have nothing but respect for their achievements because they were earned honestly. Toto Wolff is a magnificent team principal and his leadership lessons shared in this article are invaluable

Other stuff I find interesting

TSMC approaching 1 nm with 2D materials breakthrough. Any company or country still on chips bigger than 20nm is essentially years behind

US Traffic Safety Is Getting Worse, While Other Countries Improve. “The US underperformance in road safety is especially dramatical: 11.4 Americans per 100,000 died in crashes in 2020, a number that dwarfs countries including Spain (2.9), Israel (3.3) and New Zealand (6.3). And unlike most developed nations, US roadways have grown more deadly during the last two decades (including during the pandemic), especially for those outside of cars. Last year saw the most pedestrians killed in the US in 40 years, and deaths among those biking rose 44% from 2010 to 2020. That narrative is hogwash. For proof, look no further than Canada, an equally spacious and car-centric neighbor where the likelihood of dying in a crash is 60% lower.

The Car Safety Feature That Kills the Other Guy. Owning a truck is a waste of space & fuel and it increases risks of collision. For the lift of me, I never get used to sitting in my car next to a truck that is twice as big. “After decades of decline, U.S. road deaths flattened and then began rising about 20 years ago. Some 42,915 people died in crashes during 2021, a 16-year high. Notably, it was also 20 years ago that the American flirtation with SUVs and trucks became an all-out obsession. These vehicles first outsold cars in the U.S. in 2002; they have been gobbling up the market share ever since. SUVs and trucks may leave their occupants feeling safer, but they create grave dangers for everyone else on the street. A 2015 federal study found that an SUV is two to three times more likely to kill a pedestrian than a car is, and economist Justin Tyndall has tied the ascent of SUVs to an increase in pedestrian deaths, which hit a 40-year high in 2021. Cyclist deaths, meanwhile, rose 44 percent from 2010 to 2020.”

India has lost 70 million hectares of farmland since 2015. Climate irregularities which are likely caused by our carbon emissions severely impact India’s agriculture and food security. It could be a global theme one day in the near future

Stats

In highly polluted areas, or if plastic pollution continues to rise in the future, the whales could be eating 150m pieces a day

SEC obtained record $6.4b in monetary sanctions in past fiscal year

90% of electric vehicles sold in France in 2021 were two-wheelers

90% of new vehicles sold in Norway in 2021 were either electric or hybrid

Decoupling – A Great Tool To Analyze Business Strategies & Disruption

What is Decoupling? In an insightful working paper, Thales Teixeira and Peter Jamieson described Decoupling as “the separation of two or more activities ordinarily done in conjunction by consumers”. The separation’s purpose is to increase value for consumers by focusing on the value-creating activity while reducing exposure to the value-capturing or value-destroying one.

Breaking down a business’ success or failure is not a straightforward exercise. There are so many factors at play. The same goes for disruption. However, I believe Decoupling offers a simply yet powerful tool to analyze business strategies and disruption.

Below are a few examples of how I use Decoupling to look at companies:

  • Uber: consumers have a transportation need to go from A to B. That’s the value-creating piece. However, before Uber, there were several non-value-creating activities. If someone wanted to drive themselves, they had to physically and mentally stay alert for some time and look for a parking slot. If riders used a taxi, they had to somehow manage to get a cab and in some cases, suffer from an unhygienic car/driver. Uber decoupled the act of going from A to B in a comfortable manner from all other noises by providing consumers a way to book a decent car with just a few taps on a phone and a driver that is already vetted.
  • Aldi: at grocery stores, consumers want to buy groceries that they deem worth their money & time. That’s the value consumers need. Some stores; however, sell many more items, stack different variations for one item (cereal, milk or ground coffee, for example) and, as a consequence, have bigger stores that take time for consumers to navigate. Aldi competes and, dare I say, wins over consumers by focusing on selling good groceries on the cheap by 1/ leveraging private labels which are cheaper than national brands; 2/ eliminating activities like market research, advertising or unnecessary expenses; 3/ keeping their stores small and just acceptably decorated. They decouple affordable groceries from everything that threatens to increase costs.
  • Venmo/CashApp/PayPal: Consumers always need to send money to and receive money from other folks as quickly, cheaply and seamlessly as possible. Before the likes of Venmo, CashApp or PayPal, it was either cash on hand which necessitated an actual time-consuming meet or a check which took some time to settle. These apps decoupled the money exchange activity from the time wasters. Consumers can exchange money in almost real time.
  • AWS: every company needs IT infrastructure to operate and compete in this day and age. What they don’t need is to go out, scrap all the components, stand up an IT stack and maintain it over time, including hardware replacement and software update. AWS decouples the use of IT resources from the act of acquiring and maintaining it. Because of AWS, startups can get going quickly without saddling themselves in high expenses while big companies can leverage the cloud and scale down IT workforce.
  • AirBnb: ordinary hosts that don’t operate a resort or hotel have three essential activities: hosting, finding guests and verifying that such guests are trustworthy enough to let into their homes. Guests, on the other hand, have to travel and find a place where they can feel safe. AirBnb functions as the decoupler that allows hosts to focus on hosting and guests to focus on traveling. The brand name of AirBnb and the network effect bring one party to the other. Their review mechanism fosters the trust in the ecosystem.
  • TSMC: the production of computer chips involves design, manufacturing and assembly of chips. Each step requires different expertise and cost structure. Semiconductor shops in the past used to do everything. Then, companies like TSMC decoupled from the value chain. The Taiwan-based firm focuses on building the best fabs in the world and manufacturing chips, leaving the design and assembly to somebody else. The result is that TSMC is now the market leader in the chip manufacturing market and the indispensable player in this industry.

Decoupling works because it reduces costs for both the decouplers and consumers. From the consumer perspective, the more activities, the more costs. And I am not merely talking about monetary costs. Time spent on non-creating activities is also a significant cost. From the decoupler perspective, focusing on one link in the value chain deepens expertise, reaches economies of scale and lowers unit economics. Aldi is still one of the most affordable and best grocers out there. Remember when Uber and AirBnb used to be cheap when they had their breakthrough?

Decoupling, in my opinion, is a useful concept and powerful tool to look at businesses. Thales’ book will have more details. If you are interested in learning more, I’d recommend that you read it.

Weekly reading – 30th April 2022

What I wrote last week

Thoughts on Buy With Prime

Business

Starbucks Is Having an Identity Crisis. Can Howard Schultz Fix It? 70% of Starbuck’s orders are to-go. The popularity of their mobile app is magnificent, yet it goes against the identity that Howard Schultz envisioned when he bought the brand. He wanted Starbucks to be the 3rd place that people frequent in addition to work and home. Starbucks needs to decide on its future identity and positioning. Because if most orders are picked up at drive-through, what the hell are the stores for?

Will Ford’s new truck finally make Americans buy electric? “Surveys, both by the company and independent analysts, have found that customers for the F-150 are typically younger, richer, more urban than the truck’s traditional mainstream buyer – and in many cases have never owned a truck before. Like the rest of the industry, the company is contending with shortages of key computer processing chips, batteries and other materials that have held back production – and challenged the company’s effort to keep the starting price at about $40,000 (£31,500)”. It doesn’t sound very easy, does it?

Netflix’s Battle for Asian Subscribers Pits It Against Rich Rivals, Hundreds of Local Upstarts. The challenge for Netflix in Asia is multiple-fold. First, it has to keep the subscription prices low while needing to spend millions of dollars on local original content. Second, its competition is nothing but fierce and they are willing to keep the prices low to retain customers. Some such as Disney or Amazon are willing to splash a big sum on sports such as IPL to woo local viewers in India. Netflix hasn’t shown interest in following suit so far. The company once thought invincible at least in the streaming world doesn’t look invincible, does it?

Kard, a fintech that helps credit card issuers build custom reward programs by brands. “The company works with roughly 30 issuers today, representing 10 million consumers, Mackinnon said. It helps process about 60 million transactions per month, and has seen revenue grow 10x over the past year, according to Mackinnon, though he declined to share a specific revenue figure. He describes the business as a two-sided marketplace for rewards, with merchant partnerships on the supply side and card issuers on the demand side. For issuers, the API is powerful because it “connects them to merchants, brands, retailers that essentially are the funding vehicle for any of their rewards,”

Netflix’s Big Wake-Up Call: The Power Clash Behind the Crash. Cindy Holland seems to be the one person who wants to steer Netflix to adopt Apple TV+’s strategy. Nobody can guarantee that if Cindy hadn’t left, Netflix wouldn’t be in where they are today. She could have stayed and Netflix could have been just as bad or worse. But it’s baffling to let go the relationship-building wizard that forged a bond with the studios and not find a replacement. I have to say, though, that when Netflix was dominating the streaming market and a darling of Wall Street, you didn’t get to read these pieces. You were served with articles on how great Netflix and its culture were. As soon as the company’s fortune plummeted, critical reporting show up like mushrooms after rain.

Vietnam’s VinFast takes the EV battle to Tesla with U.S. push. The pace of development at Vinfast fits the culture of quick results and brand ambition at Vingroup. That’s how they always do things. That approach doesn’t necessarily come with the best quality of products or services. Hence, the question becomes: do they think up a thorough plan to penetrate and dominate the EV market in the US? Every car maker in the world wants to succeed in the US. It’s home to Tesla, which has an enormous scale advantage. It’s home to Ford, which is always a familiar brand in the mind of Americans. There are always Volswagen, Hyundai, Kia, Subaru, Toyota, Mazda etc…Such a list of world-famous brands indicate nothing but fierce competition. The first movers also have great scale advantage. List cars at too high a price and Vinfast won’t make enough sale. List them too low and the company wont have any profit. Whether Vinfast can weather the initial storm to reach critical mass remains a giant question mark.

Inside the first suburban Amazon Go store. I have a nagging feeling that Amazon is playing a really long game here and soon enough in the future they will become a major grocery chain

Other stuff I find interesting

Why didn’t our ancient ancestors get cavities? It is a very interesting theory that our transition to agriculture is the likely cause of our cavities

Women and girls have to pay for water with their body and dignity. The struggle people in poor countries around the world has to face makes it even more incredulous whenever folks in the US complain about trivial problems. I don’t know like having to wear a mask during Covid or taking life-saving vaccines.

Stats

According to the founder of TSMC, it costs 50% more to produce the same chips in the US than in Taiwan

80% of US consumers use BNPL to avoid credit cards, according to Experian

According to Mastercard, global first-party fraud which refers to a legitimate online purchase being disputed after the fact amounts to $50 billion

Online retail sales in India is estimated to reach $85.5 billion in 2025

Banks and credit unions pulled in more than $15 billion in overdraft and related fees in 2019 and $12 billion in late credit card fees in 2020

Google Pay has 150 million users across 40 countries, as of April 2022

Weekly reading – 27th November 2021

What I wrote last week

A helpful post on the new Covid-19 variant, Omicron

Good reads on Business

Uber introduced the new membership plan called Uber One. Perks include unlimited $0 delivery fees for qualified orders ($30+ for groceries and $15+ for other stuff), 5% off on eligible rides & deliveries, $5 refund if a delivery arrives after the Latest Estimate Time and other perks. It’s the same as DoorDash’s Dash Pass or Instacart’s subscription. The difference is that Uber’s plan also includes rides.

Incentives – How will Visa Amazon Play Out? If you are interested in fintech or payments, subscribe to Tom’s newsletter. It’s good.

More than Joe Rogan: Inside Spotify’s audio revolution. “The same could be said for Spotify, which over the last three years has transitioned from a groundbreaking music streaming service to one that also now offers 3.2 million podcasts on its platform. The expansion has been nothing short of meteoric when you consider that Apple, which has been offering podcasts since 2005, has just over 2 million audio shows. Spotify’s gains were highlighted in its third-quarter earnings report in late October, when it revealed that 3.2 million figure, as well as the fact that advertising revenue from podcasts helped drive total ad revenue up 75% year over year. Stockholm-based Spotify is now on track to pass 1 billion euros (more than $1 billion) in ad revenue for the first time this year.”

Apple taps TSMC to build custom iPhone 5G modem in 2023. A competitive advantage is what you do so much more efficiently and better than your competitors. In the case of Apple, it’s the integration of hardware and software. Within hardware, it’s a combination of so many things, including chip, industrial design and supply chain. Reliant on Qualcomm for the modem chip in the iPhone, Apple decided to be more independent and bring deeper integration by designing its own chip and outsourcing the production to TSMC. Think about it this way. Apple became the most valuable firm in the world while relying on others for parts of their products. Now they gained the capability to own most of the production process. What a company.

Starbucks has opened a store with Amazon Go.At this store, customers that have ordered ahead of time via the Starbucks app can walk in, look to see if their order is ready via the large digital Order Status sign, pick up their drink and walk out. They can also use their Amazon app or credit card to scan into the store and pick up a Dominique Ansel pastry (or a number of other New York City-specific items Ess-a-Bagel), Amazon Kitchen sandwich or sushi roll from the marketplace and just walk out. Once they exit the store with the item, they’ll be charged via their Amazon account via the Amazon Just Walk Out Technology as seen in the Amazon Go stores.” The more Amazon tests this technology, the better it will become. A few years from now, they’ll be miles ahead of others in reimagining the retail experience

AmEx Pitched Business Customers a Tax Break That Doesn’t Add Up. Another shady exercise by a major financial institution.

An interesting write-up on Visa from Greenskeeper Asset Management

Other stuff I found interesting

The ER charged him $6,589.77 for 6 stitches, a cost that led his wife to avoid the ER. The healthcare system in the U.S is really broken and quite frankly just disgraceful.

Workers in Vietnam lived inside factories to keep Samsung’s products on shelves during the pandemic. Poorer countries should band together to pressure tech companies and their suppliers into increasing workers’ pay. Divided, they will be taken advantage of. The economic output is reflected on the paper, but the price that workers have to pay and the longer term sustainability is also damaged

The Humble Brilliance of Italy’s Moka Coffee Pot. “The various species of Coffea, the seeds of which are dried, roasted, and ground to make coffee, are native to east Africa, particularly Ethiopia. Coffee as a beverage first shows up in the historical record—which is not necessarily to say that it wasn’t consumed in its native Ethiopia first—in what is now Yemen. It spread quickly throughout the Middle East, North Africa, and firmly established itself as part of the culture in what are now Turkey and Iran. Italians began coming up with their own gadgets for brewing coffee in the 19th century, but the biggest by far was the idea of applying pressure to coffee in order to create a strong, and more importantly fast, drink. This is the age of steam, a miraculous source of power that can unlock the world, and though it’s not entirely clear who originated the idea of using steam to brew coffee, certainly it was in Italy that it was popularized. The first known patent for a machine we might now recognize as an espresso machine was registered by Angelo Moriondo, who created a giant complicated steam-driven machine in 1884, but who never bothered to manufacture it. Luigi Bezzera, from Milan, modified the Moriondo patent, and hisdesign was further modified (though less so than Bezzera’s) by Desidiero Pavoni, whose La Pavoni introduced the world to espresso in 1906, at a world’s fair held in Milan.”

Stats

JP Morgan estimates that a Prime Membership of $120/year brings more than $1,000 in value to subscribers

63% of U.S Gen Z used TikTok in the last two years

Weekly reading – 23rd October 2021

What I wrote last week

PayPal in talks to buy Pinterest

Book review: Richer, Wiser Happier: How The World’s Greatest Investors Win In Markets & Life

Good reads on Business

Jokr and Personalized Instant Commerce. The article lays out useful data and information on Instant Commerce, especially Jokr. However, I am still a bit unsure about the unit economics of these delivery services. Last-mile delivery is hard and expensive, especially at scale. The consumer stickiness is naturally low and requires constant incentives to nurture. Competitors are everywhere. Plus, the good-old brick-and-mortar alternatives generally offer sufficient value and people, like myself, like to go out once in a while for some fresh air.

Netflix Loses Its Glow as Critics Target Chappelle Special. Netflix has started to encounter what the likes of Facebook and Twitter have for years: content moderation. The company can’t please everyone; so in this case, it’s natural that one or two stakeholders are disappointed with the Dave Chappelle show. The management team believes that the show brings net benefits to Netflix and acted accordingly. Agree with them or not, you should see where they are coming from. On the other hand, some employees reserve their right to disagree with that decision and be disappointed. That happens to even within families, let alone strangers that merely work at the same place. What remains to be seen to me are 1/ how would this affect staff turnover and talent management at Netflix; 2/ how would Netflix users think about the show?

Inside TSMC, the Taiwanese chipmaking giant that’s building a new plant in Phoenix. “TSMC makes key components for everything from cellphones to F-35 fighter jets to NASA’s Perseverance Rover mission to Mars. Earlier this month, it announced plans for a new factory in Japan, where it will produce chips with older technologies, for things like household devices and certain car components. TSMC is also Apple’s exclusive provider of the most advanced chips inside every iPhone currently on the market and most Mac computers. TSMC alone was responsible for 24% of the world’s semiconductor output in 2020, up from 21% in 2019, according to the company. When it comes to the most advanced chips used in the latest iPhones, supercomputers and automotive AI, TSMC is responsible for 92% of production while Samsung is responsible for the other 8%, according to research group Capital Economics. ”

How YouTube Makes Sure Its Hitmakers Don’t Stumble. YouTube spends tens of thousands of dollars on the top YouTubers to grow their content and ecosystem. Their in-house digital agency also offers guidance and consulting services to these personalities so that they can sustain attractive videos and high viewership. This kind of support, along with YouTube or its parent company’s resources, makes it difficult for other competitors to match.

Squid Game’ success shines a light on how cheap it is to make TV shows outside the U.S. “The total cost of making “Squid Game” was just $21.4 million. Episodes of Disney+’s Marvel shows, such as “WandaVision” or “The Falcon,” cost Disney $25 million per episode — more than all nine episodes of “Squid Game”“. I’d also prefer local characters being played by true locals to by Americans.

Is Best Buy undermining its storybook turnaround? I don’t think it’s a good idea to mess with a formula that works. Especially, that formula is around customer services and satisfaction. If I were a Best Buy shareholder, I’d send the CEO and the Management Team this article with a lot of questions.

Business Breakdown episode on Uber. If you are interested in gig economy and especially Uber as a business, have a listen. Whether you are a bull or a bear, I think it’ll be worth your time

How Many Users Does Facebook Have? The Company Struggles to Figure It Out. “A separate memo from May said that the number of U.S. Facebook users who are in their 20s and active at least once a month often exceeds the total population of Americans their age. “This brings out an elephant in the room: SUMA,” the memo’s author wrote, using an internal abbreviation for “Single User Multiple Accounts.” The author added that the issue could render Facebook’s ratio of users active each day “less trustable. Facebook said in its most recent quarterly securities filings that it estimates 11% of its monthly active users world-wide—which totaled 2.9 billion for its flagship platform in the second quarter—are duplicate accounts, with developing markets accounting for a higher proportion of them than developed ones.”

Other interesting stuff

Your Guide to the Third-Party Cookie. A very useful primer on the key factor in the digital advertising world. I have been on both sides of this issue. As a marketer, I can see why companies want to get as much data as possible to hone their targeting and make the best use of their ads dollars. On the other hand, as a consumer, I absolutely hate the feeling that somebody follows me everywhere across the Web. Privacy has been on the rise and will continue to be. iOS users now have a choice to voice their opinion on the matter with ATT. I don’t know how this all will shake out, but I would think that marketers would do well if they pivoted from 3rd party tracking.

Belgium’s shift from nuclear under fire as gas price surge strains Europe. It is baffling to me that countries are moving away from nuclear energy for gas-based power.

The Greek region too remote for maps

New Viking artifacts may mean that Christopher Columbus might not be the first one to discover the America continent. I guess it’s time to keep the holiday yet change the freaking name

Stats

Gas bills this winter can be at least 30% higher than last year

Weekly reading – 26th June 2021

What I wrote last week

A great podcast episode on Formula One as a business

Business

The World Relies on One Chip Maker in Taiwan, Leaving Everyone Vulnerable. The whole tech industry relies so much on TSMC and the story is likely to continue in the near future. It’s expensive and time-consuming for other countries to build anything that can compete with TSMC. On the other hand, this puts TSMC in an awkward position where it has to deftly navigate the complex political conflicts between superpowers.

Shop Pay available to all businesses on Facebook and Google. I think Shopify is trying to do two things here with this move: 1/ it’s trying to use Shop Pay as an acquisition tool. By making the checkout option available to even non-Shopify merchants on Facebook and Google, it is hoping that the tool can lure these merchants into selling on their platform. 2/ Obviously, this is going to also help Shopify increase revenue. Even though Shopify’s GMV has grown seriously in the last few years, GMV of non-Shopify merchants should be a lot bigger. Taking a slice of every non-Shopify transaction can be a lucrative business

Amazon labels millions of unsold products for destruction, new investigation finds. Lately there have been way too many articles that shed light on distasteful aspects of Amazon, from unbearable waste to unacceptable treatment of its worker. I have to admit that even though I am a fan of the business as I learned a lot from its story and I am a shareholder, I am strongly considering selling it as it’s just not comfortable any more.

A timeline of Google’s attempts at building a messaging app. The fact that you may be more familiar with Zoom, Teams or Slack should tell you a lot about how successful these attempts have been. Nonetheless, it doesn’t mean that they won’t succeed, ever.

Facebook officially launched audio rooms and podcasts in the U.S. Facebook is an extremely fast follower that is quite often deadly and effective at scaling what others made known. How they are going to make these new features will be interesting. I mean I am not an active Facebook user and neither are most of the people in my circle. Who will use these features to create content? Will celebrities and people that have a following choose to host their content on Facebook? Especially given that they should already have a home on either Twitter or Clubhouse? One big advantage that Facebook has over Twitter and especially Clubhouse is that it is much more famous and the network effect is easier to scale.

This one email explains Apple. The article does a good job of fleshing out a very interesting email exchange that could well be the foundation of the App Store

What I found interesting

Incredible 15th-Century Japanese Technique for Growing Ultra-Straight Cedar Trees. I love Japan and its culture. This is just one of the many many reasons.

Adobe launched tools to create 3D

Marc Andreessen just had a very interesting interview recently. In response to the question of what advice he would give to a 23-year-old, here is what he had to say

Don’t follow your passion. Seriously. Don’t follow your passion. Your passion is likely more dumb and useless than anything else. Your passion should be your hobby, not your work. Do it in your spare time.

Instead, at work, seek to contribute. Find the hottest, most vibrant part of the economy you can and figure out how you can contribute best and most. Make yourself of value to the people around you, to your customers and coworkers, and try to increase that value every day.

It can sometimes feel that all the exciting things have already happened, that the frontier is closed, that we’re at the end of technological history and there’s nothing left to do but maintain what already exists. This is just a failure of imagination. In fact, the opposite is true. We’re surrounding by rotting incumbents that will all need to be replaced by new technologies. Let’s get on it.

Source: Interview with Marc Andreessen by Noah Opinion

Stats that may interest you

The average age of vehicles in the U.S was 12.1 years in 2020

Shops, Facebook’s equivalent to Shopify, has 300 million monthly visitors and over 1.2 million monthly active Shops

DuckDuckGo has been downloaded 50 million times over the last 12 months and it has been profitable since 2014

Today I learned – 8th January 2020

I came across this video about technology in Taiwan and it was enlightning. I didn’t know much about TSMC and the marvellous autonomous factory that it runs. Such a magnificent feat of engineering!

I also knew little about Gogoro. Admittedly, I think I heard briefly about it in passing, but the clip touched upon the startup even more, bringing my interest in Gogoro to a new height. It made me wonder how such a concept could be applied in Saigon, the biggest city in Vietnam and where I am from. Saigon is helplessly overcrowded. The streets built decades ago are poorly equipped to handle over 10 million citizens. The toll on people’s health is a serious threat. A concept like Gogoro could benefit the city as a whole.

Lastly, I found it interesting the presenter used the word “disgusting” in the clip. I am not a native speaker, but I do think there are many better alternatives than the used adjective. Scooters are a part of life in Asia. What’s so disgusting about it? And why?