The Comunicano for Monday December 16th 2024

Let’s dive into today’s big stories. First up, ridesharing’s disruptor on the block: Empower, a D.C.-based startup taking on Uber and Lyft. Its game-changing model lets drivers keep 100% of their fares by paying a subscription fee, offering rides that are cheaper for passengers and more lucrative for drivers. The catch? Empower's defiance of city regulations has racked up $100 million in fines. Like Uber in its early days, Empower is walking the tightrope between innovation and illegality, setting the stage for a high-stakes showdown with regulators.

Next, in the race for satellite supremacy Starlink better watch its orbit. As Europe doubles down on innovation and resilience, competition is bound to intensify in the space-tech sector…..Now, over to Amazon, where worker injuries take center stage. A Senate report slams the company for ignoring safety recommendations, prioritizing speed over safety. Injury rates at Amazon are nearly double the industry average, painting a grim picture of life inside its warehouses. Amazon’s defense? Denials and disputes, but the heat from Capitol Hill isn’t cooling off anytime soon.

Turning to Serbia, spyware scandal rocks the media. Amnesty International reveals government misuse of Cellebrite tech to infect activists’ phones with malware. It’s a chilling reminder of how surveillance tools can be weaponized against the very people fighting for transparency.

Over in crypto, a new report highlights a shift in developer dynamics. While overall numbers dropped, seasoned developers hit record highs, focusing on multi-chain solutions and driving innovation across borders, signaling crypto’s evolution is far from over.

On the social media front, Snapchat’s creator payout shake-up aims to compete with TikTok and YouTube. Stricter benchmarks mean fewer winners but bigger rewards, setting the tone for the monetization wars.

Finally, in the skies, Nimbus Aerospace’s successful test flight of a mini electric jet pushes sustainable aviation closer to reality. Meanwhile, mysterious drone sightings over New Jersey spark intrigue but leave questions unanswered.

Tech, regulation, and innovation are on a collision course—stay tuned as these stories unfold, all here, in THE COMUNICANO!!!

Andy Abramson

Ridesharing Watch

Uber Has a New Competitor—Empower, a Washington, D.C.-based ride-hailing startup, is challenging Uber and Lyft by allowing drivers to pay a monthly subscription fee, keep 100% of their fares, and set their own rates. This model offers rides 20% cheaper for passengers and 30% higher earnings for drivers. Despite its rapid growth to 100,000 weekly rides (10% market share), Empower operates without city registration, incurring $100 million in fines. The company faces lawsuits, fines, and regulatory pushback, with officials citing safety concerns. Empower's tactics echo Uber's early rule-flouting strategies, as it aims to expand into new markets. Founder Joshua Sear remains defiant despite mounting legal challenges.

Satellite Watch

Competition Is Coming to Starlink—The European Commission has formally approved Sweden's revised Recovery and Resilience Plan, increasing its grants to €3.9 billion. This adjustment reflects updated economic data, aligning with the EU's COVID-19 recovery strategy. Sweden’s plan focuses on accelerating the green and digital transitions, fostering economic resilience, and ensuring inclusivity. New measures, like initiatives for sustainable transport and enhanced cybersecurity, strengthen its climate ambitions. This is another example of the EU's coordinated efforts to drive member states’ growth while combating the broader impacts of global disruptions. Sweden’s updated blueprint highlights its commitment to innovation and sustainability under EU directives.

Amazon Watch

Workers Get Hurt—A Senate labor committee report led by Bernie Sanders has accused Amazon of disregarding internal safety recommendations to reduce injury rates linked to its strict productivity quotas. Internal studies—Projects Elderwand and Soteria—highlighted the risks of repetitive motions and fast-paced work, recommending measures like additional breaks and relaxed quotas. However, Amazon executives rejected these suggestions, prioritizing productivity and customer experience over worker safety. The investigation found Amazon’s injury rates nearly double the industry average and criticized its restrictive comparison metrics. Workers reported facing disciplinary actions for unmet targets and difficulty accessing proper medical care for injuries. Amazon disputes the report, defending its safety policies and methodologies.

Security Watch

Hacking the Media—Amnesty International has exposed how Serbian authorities misused Cellebrite tools to access and infect mobile phones with spyware. These tools, originally designed to unlock and extract phone data, were used to plant malware, targeting activists and journalists, including Slaviša Milanov, who covers corruption. Over 1.6 GB of sensitive data was extracted, breaching privacy and journalistic integrity. Amnesty and Google identified a vulnerability in Android devices exploited by Cellebrite, now patched by Qualcomm. Google has since remotely removed the spyware. This case underscores the risks of surveillance technology being weaponized beyond its intended scope, raising concerns about legal and ethical abuses.

Crypto Watch

Where Are All The Devs—The 2023 Crypto Developer Report from Electric Capital highlights key trends in open-source crypto development:

1. Developer Growth: Despite an overall 24% drop, experienced crypto developers (2+ years) grew steadily, reaching an all-time high. However, new developers decreased by 52%.

2. Multi-Chain Expansion: Developers engaging with multiple blockchains increased, reflecting a 10x growth since 2015. Multi-chain support signals developers' focus on projects with real utility.

3. Globalization: 72% of developers are outside North America, with regions like South Asia, Latin America, and Eastern Europe gaining traction, while the U.S. share declined by 14% since 2018.

The report underscores crypto’s global, multi-chain evolution amidst shifting developer dynamics.

Snapchat Watch

Influencers To Get Paid—Snapchat is revamping its creator monetization approach with a unified program covering Stories and Spotlight content. Creators will now earn ad revenue for eligible content across these formats, replacing the previous fragmented system. The program, set to launch widely on February 1, 2025, requires creators to meet strict benchmarks: 50,000 followers, 10 million Snap views or 1 million Spotlight views, and consistent posting—25 times monthly and on 10 different days. The updated requirements are more stringent than before, signaling a competitive shift similar to TikTok and YouTube, which have also refined their creator revenue models to attract and retain top talent.

AI Watch

Agents Explained-Constellation Research outlines three key themes to watch for in 2025 as "Agentic AI" accelerates. Major players like Google Cloud, Salesforce, and AWS are rapidly deploying AI agent platforms such as Agentspace, Agentforce 2.0, and Amazon Bedrock. These tools aim to streamline operations, but raise concerns about vendor lock-in and compatibility.

1. Horizontal vs. Platform-Specific Agents: Companies face growing complexities managing AI agents across diverse platforms, raising integration challenges.

2. Enterprise-Oriented Designs: Agent solutions must align with business needs without causing sprawl.

3. Regulatory and Ethical Considerations: Organizations must navigate data security and compliance as AI agents expand in enterprise ecosystems.

Grok2 Goes Free To X—Elon Musk's xAI announced that its upgraded Grok-2 AI chatbot is now available for free to all users of X (formerly Twitter). Premium and Premium+ subscribers will benefit from higher usage limits and early access to new features. The company has been quietly testing Grok-2 in recent weeks, aiming to expand its functionality. This move aligns with Musk’s strategy to integrate advanced AI tools into the X ecosystem, enhancing user engagement while offering tiered benefits for paying subscribers. The release showcases xAI’s ambition to compete with other generative AI platforms by making cutting-edge technology widely accessible.

Flight Watch

New Jet Takes Flight—Seattle-based Nimbus Aerospace successfully completed a proof-of-concept flight for its planned electric-powered business jet. The flight, conducted in Phoenix, utilized a tenth-scale model of the aircraft, which features an over-the-wing distributed ducted fan propulsion system. The startup aims to develop jets seating 6-8 passengers with a range of up to 1,100 miles. Nimbus plans to scale up testing in 2025 with a quarter-scale model and targets Federal Aviation Administration certification by 2032. The company, which has raised over $170,000 from investors, is part of a growing sustainable aviation sector tackling the challenge of decarbonizing air travel through innovative technologies.

Drones In New Jersey—Mystery drone sightings across New Jersey and the US Northeast since November have puzzled residents and officials. Observations include drones near sensitive locations like Picatinny Arsenal and Trump’s Bedminster golf course. Homeland Security confirmed drones, along with misidentified aircraft, but found no foreign involvement or public safety threats. While some officials speculate foreign connections, like an "Iranian mothership," US agencies have denied such links. Federal and state responses include temporary flight restrictions, drone detection systems, and fines for dangerous operations. Public frustration mounts over unclear origins and federal constraints preventing states from stronger enforcement or direct action, like shooting drones down.