Quotulatiousness

June 6, 2019

iTunes is dead – “There will be no funeral, because it had no friends”

Filed under: Business, Technology — Tags: , , , — Nicholas @ 03:00

I use iTunes because I have to, not because I particularly want to. Apparently that’s not uncommon among iPhone users:

iTunes, Apple’s Frankenstein’s monster of an MP3-player-cum-record store-cum-video-store-cum-iPhone-updater-cum-random-task-performer, a piece of software which opens on your computer whenever it wants and which seems to require you to download an updated version every eight hours, was pronounced dead on Monday. It was 19 years old. There will be no funeral, because it had no friends.

Apple CEO Tim Cook announced that in its future operating systems, iTunes will be replaced by three separate programs: One for music (Apple Music), one for podcasts (Apple Podcasts) and one for video (Apple TV). Updating your phone — which never had anything to do with music, podcasts or video — will now be a function of the operating system. This sounds promising. It sounds normal.

But the mystery remains how Apple, of all companies, found itself sullying its machines for so long with iTunes’ wretched presence. By the end iTunes wasn’t just bad, it was fascinatingly bad — a “toxic hellstew,” as programmer Marco Arment put it in 2015. It was a master class in bad user experience from a company whose brand is excellent user experience: Put your trust in Apple’s machines and its native apps and everything will just work. There are no viruses, no blue screens of death, no pre-installed junkware popping up all over your brand-new desktop. Things just show up where they’re supposed to be. Mac’s user interface is so vastly superior to Windows’ that it seems ridiculous even to compare them. They’re both operating systems in the sense that the stick-shift on a Yugo and the flappy paddles on a Ferrari are both transmissions. Yet by 2015 one of Apple’s essential apps wasn’t just horrid to look at and baffling to use — it couldn’t even store and play people’s MP3s properly.

I never experienced the horror stories myself; [lucky bastard!] the idea of buying music from Apple and, because of its aggressive digital rights management, not even getting an MP3 file with which I could do what I liked always struck me as daft. But the Internet is full of tales of woe from people who entrusted their music collections to Apple and got royally screwed. iTunes would make curatorial decisions all by itself: If you bought Neil Young’s 1977 compilation album Decade, but already had On the Beach in your library, it might just decide not to include Walk On and Tired Eyes on your version of Decade. Or it might delete them from On the Beach, depending on its mood.

This was presumptuous and annoying, but at least somewhat explicable: iTunes consumers were far more singles-focused than album-focused. (Indeed the app is widely credited with ending the “age of the album.”) Less explicable were reports of Apple Music replacing people’s legacy music collections — songs they had ripped from CDs and entrusted to iTunes — with new downloads. People spoke of entire collections being corrupted or lost overnight. People reported that their libraries looked nothing alike on their various Apple devices. At one point, apparently under the impression that not many people loathe U2, Apple famously went ahead and beamed one of the band’s new snorefests onto everyone’s iTunes without asking.

My experiences with iTunes have been mostly of the minor irritant variety: disappearing songs, paid-for tracks that refused to play on certain devices, and songs showing up in playlists that they don’t belong to, for example. But at least — most of the time — the non-Apple songs were not randomly deleted from my library. Not too often, anyway.

June 8, 2018

QotD: The cult of Steve Jobs

Filed under: Business, Quotations, Technology — Tags: , , , — Nicholas @ 01:00

Have you noticed how programs and apps and websites have taken to “improving” by taking away functions you liked and used every day?

Now, everybody thinks they know what you want better than you do. With the extra added side benefit of “molding” your actions to conform to what they think is preferable.

Again, Jobs was very, very good at actually determining what people really wanted, versus what they held onto simply because it was familiar. He killed the floppy disk drive. He veered away from power-on buttons. He got lots of changes through that seemed huge at the time, but in hindsight are natural.

And because of his precedent, in addition to (at least) fifty-plus years of marketing “wisdom” that treats customers as mindless sheep, everybody now treats you, the user, as a “moist robot” who does not think, but merely needs the proper stimulus to behave the way they want you to.

Steve Jobs was the outlyingest outlier there is: He was a jerk, but he actually was a genius, and he actually did want to change the world, and he actually was very good at figuring out what people would want before they even knew they wanted it.

The foundation on which the Cult of Jobs was built was, wonder of wonders, actually pretty solid.

I would bet that not one single emulator of his has the same solid basis on which to stand. They all learned how to imitate him, to give the impression of integrity as it is currently misunderstood, thanks in part to Jobs’s antics. But I would be surprised if any copied his substance. Because genius cannot be faked. Only the appearance of it can.

D. Jason Fleming, “The Steve Jobs Myth”, According to Hoyt, 2016-09-12.

February 5, 2018

The Apple iPhone … productivity killer

Filed under: Economics, Humour — Tags: , — Nicholas @ 03:00

Tim Harford explains why the first world’s productivity gains have stalled and even gone into reverse since the Apple iPhone was introduced:

A few weeks before Christmas, an impish chart appeared on the Bank of England’s unofficial blog. It compared plunging productivity with the soaring shipments of smartphones. Typical productivity growth in advanced economies had hovered steadily around 1 per cent a year for several decades, but has on average been negative since 2007. That was the year the iPhone started to ship.

Nobody really believes that the iPhone caused the productivity slowdown — a more obvious culprit would be the global financial crisis — but it is hard to find people who think that their phones are an unalloyed blessing. If in 1968 an economist or computer scientist had been told that 50 years later we would all be carrying wirelessly networked supercomputers in our pockets, he or she would have been staggered at the potential. I doubt they would have realised quite how much time we would spend liking Instagram posts, playing Pokémon Go and sending each other digital interruptions.

The costs of this distraction are starting to become apparent. I wrote recently about the research of Gloria Mark of the University of California, Irvine. Prof Mark argues that reorientating yourself after an interruption tends to take between 20 and 25 minutes. We all know how a moment’s inattention can turn into a clickhole of distractions. She also points out that once we get used to being interrupted by others, we start interrupting ourselves, twitchily checking email or social media in the hope something interesting might turn up.

November 4, 2017

QotD: The ultimate Steve Jobs device

Filed under: Business, Quotations, Technology — Tags: , , — Nicholas @ 01:00

The iPad is the ultimate Steve Jobs device – so hypnotic that not only do people buy one without knowing what it’s good for, they keep feeling like they ought to use it even when they have better alternatives for everything it does. It’s a triumph of style over substance, cool over utility, form over actual function. The viral YouTube videos of cats and two-years-olds playing with it speak truth in their unsurpassable combination of draw-you-in cuteness with utter pointlessness. It’s the perfect lust object of postmodern consumerism, irresistibly attractive but empty – you know you’ve been played by the marketing and design but you don’t care because your complicity in the game is part of the point.

This has to be Steve Jobs’s last hurrah. I predict this not because he is aging and deathly ill, but because he can’t possibly top this. It is the ne plus ultra of where he has been going ever since the Mac in 1984, with his ever-more obsessive focus on the signifiers of product-design attractiveness. And it’s going to make Apple a huge crapload of money, no question.

[…]

Fast-forward this a couple years and I can see Apple in hell, committed to sexy overpriced products that nobody actually needs, undercut by Android from all directions, and subsisting on a decaying aura of pop-cultural cool. Because that’s what tends to happen when you put yourself in the fashion business and you’re past your peak; those who live by hipness get to die by it too.

Eric S. Raymond, “Apple, postmodern consumerism and the iPad”, Armed and Dangerous, 2010-04-22.

September 26, 2017

Steve Chapman – “The Unabomber had a point”

Filed under: History, Technology — Tags: , , , — Nicholas @ 03:00

In his Chicago Tribune column, Steve Chapman does his very best “grumpy old man yelling at a cloud” imitation, while the headline writer goes one step further:

The iPhone X proves the Unabomber was right

The introduction of the new iPhone X — which features wireless charging, facial recognition and a price tag of $999 — appears to be a minor event in the advance of technology. But it’s an excellent illustration of something that has long gone unrecognized: The Unabomber had a point.

Not about blowing people up in an effort to advance his social goals. Ted Kaczynski’s campaign to kill and maim chosen victims with explosives was horrific in the extreme and beyond forgiveness. But his 35,000-word manifesto, published in 1995, provided a glimpse of the future we inhabit, and his foresight is a bit unsettling.

“The Industrial Revolution and its consequences have been a disaster for the human race,” it begins. Among the ills he attributes to advances in technology are that they promise to improve our lives but end up imposing burdens we would not have chosen.

He cites the automobile, which offered every person the freedom to travel farther and faster than before. But as cars became more numerous, they became a necessity, requiring great expense, bigger roads and more regulations. Cities were designed for the convenience of drivers, not pedestrians. For most people, driving is no longer optional.

Smartphones have followed the same pattern. When cellphones first appeared, they gave people one more means of communication, which they could accept or reject. But before long, most of us began to feel naked and panicky anytime we left home without one

He also comes up with a non-Unabomber book that kinda-sorta supports the point he’s trying to make, I think:

The problem is hardly a new one. In his book Sapiens: A Brief History of Humankind, Yuval Noah Harari argues that the agricultural revolution that took place 10,000 years ago was “history’s biggest fraud.”

In the preceding 2.5 million years, when our ancestors lived as hunter-gatherers they worked less, “spent their time in more stimulating and varied ways, and were less in danger of starvation and disease” than afterward.

Farming boosted the population but chained humans to the land and demanded ceaseless drudgery to plant, tend, harvest and process food — while making us more vulnerable to famine, disease and war. People who had evolved over eons for one mode of life were pushed into a different mode at odds with many of their natural instincts.

Our distant pre-agricultural ancestors may have worked less than their post-agricultural descendants, but they hardly could be said to have lived lives of leisure and plenty. They lived in very small family groups because without advanced technology they were limited to what could be hunted or gathered in a small region and had very few portable possessions because they generally had to move frequently as the availability of food dictated. Once a group switched from a nomadic to a fixed lifestyle, “work” became how most members of that group would live the vast majority of their lives. Lives of hunter-gatherers were not stunted by the work that farmers had to put in, and hunter-gatherers had no fixed territory to defend, so they had no need of a warrior class or caste to help them protect the land they farmed, and no king or chief or overlord to “protect” them from other groups’ kings or chiefs or overlords. The advantage of the farmers over the nomads was that farmers could build up a surplus of food to tide them over when food was normally scarce – nomads would have to move on to find new hunting grounds.

November 13, 2016

QotD: Don’t call it software engineering

Filed under: Quotations, Technology — Tags: , , , — Nicholas @ 01:00

The #gotofail episode will become a text book example of not just poor attention to detail, but moreover, the importance of disciplined logic, rigor, elegance, and fundamental coding theory.

A still deeper lesson in all this is the fragility of software. Prof Arie van Deursen nicely describes the iOS7 routine as “brittle”. I want to suggest that all software is tragically fragile. It takes just one line of silly code to bring security to its knees. The sheer non-linearity of software — the ability for one line of software anywhere in a hundred million lines to have unbounded impact on the rest of the system — is what separates development from conventional engineering practice. Software doesn’t obey the laws of physics. No non-trivial software can ever be fully tested, and we have gone too far for the software we live with to be comprehensively proof read. We have yet to build the sorts of software tools and best practice and habits that would merit the title “engineering”.

I’d like to close with a philosophical musing that might have appealed to my old mentors at Telectronics. Post-modernists today can rejoice that the real world has come to pivot precariously on pure text. It is weird and wonderful that technicians are arguing about the layout of source code — as if they are poetry critics.

We have come to depend daily on great obscure texts, drafted not by people we can truthfully call “engineers” but by a largely anarchic community we would be better of calling playwrights.

Stephan Wilson, “gotofail and a defence of purists”, Lockstep, 2014-02-26.

September 9, 2016

Apple may learn the lesson of “option value” with the latest iPhone release

Filed under: Business, Economics, Technology — Tags: , , — Nicholas @ 03:00

Megan McArdle explains why some Apple fans are not overjoyed at the latest iPhones:

You’ve probably been thinking to yourself, “Gee, I wish I couldn’t charge my phone while also listening to music.” Or perhaps, “Gosh, if only my headphones were more expensive, easier to lose and required frequent charging.” If so, you’re in luck. Apple’s newest iPhone, unveiled on Wednesday, lacks the familiar 3.5-millimeter headphone jack. You can listen to music through the same lightning jack that you charge the phone with, or you can shell out for wireless headphones. The internets have been … unpleased with this news.

To be fair, there are design reasons for doing this. As David Pogue writes, the old-fashioned jack is an ancient piece of technology. It’s been around for more than 50 years. “As a result,” says Pogue, “it’s bulky — and in a phone, bulk = death.”

Getting rid of this ancient titan will make for a thinner phone or leave room for a bigger battery. Taking a hole out of the phone also makes it easier to waterproof. And getting rid of the jack removes a possible point of failure, since friction isn’t good for parts.

For people who place a high value on a thin phone, this is probably a good move; they’ll switch to wireless earbuds or use the lightning jack. But there are those of us who have never dropped our phones in the sink. We replace our iPhones when the battery dies, an event that tends to occur long before the headphone jack breaks. There are people in the world who take their phones on long trips, requiring them to charge them while making work calls, and they won’t want to fumble around for splitters or adapters. Some of us do not care whether our phone is merely fashionably slender or outright anorexic. For these groups, Apple’s move represents a trivial gain for a large loss: the vital commodity that economists call option value.

Option value is basically what it sounds like. The option to do something is worth having, even if you never actually do it. That’s because it increases the range of possibility, and some of those possibilities may be better than your current alternatives. My favorite example of option value is the famous economist who told me that he had tried to argue his wife into always ordering an extra entree, one they hadn’t tried before, when they got Chinese takeout. Sure, that extra entree cost them money. And sure, they might not like it. But that entree had option value embedded in it: they might discover that they like the new entree even better than the things they usually ordered, and thereby move the whole family up to a higher valued use of their Chinese food dollars.

May 9, 2016

Coming all-too-soon: your own data as a (paid) service

Filed under: Business, Media, Technology — Tags: , — Nicholas @ 02:00

James Pinkstone talks about the time he discovered that Apple Music had helpfully deleted over 100 Gb of his music files on his local hard drive:

What Amber explained was exactly what I’d feared: through the Apple Music subscription, which I had, Apple now deletes files from its users’ computers. When I signed up for Apple Music, iTunes evaluated my massive collection of Mp3s and WAV files, scanned Apple’s database for what it considered matches, then removed the original files from my internal hard drive. REMOVED them. Deleted. If Apple Music saw a file it didn’t recognize — which came up often, since I’m a freelance composer and have many music files that I created myself — it would then download it to Apple’s database, delete it from my hard drive, and serve it back to me when I wanted to listen, just like it would with my other music files it had deleted.

This led to four immediate problems:

1. If Apple serves me my music, that means that when I don’t have wifi access, I can’t listen to it. When I say “my music,” I don’t just mean the music that, over twenty years (since before iTunes existed), I painstakingly imported from thousands of CDs and saved to my computer’s internal hard drive. I also mean original music that I recorded and saved to my computer. Apple and wifi access now decide if I can hear it, and where, and when.

2. What Apple considers a “match” often isn’t. That rare, early version of Fountains of Wayne’s “I’ll Do The Driving,” labeled as such? Still had its same label, but was instead replaced by the later-released, more widely available version of the song. The piano demo of “Sister Jack” that I downloaded directly from Spoon’s website ten years ago? Replaced with the alternate, more common demo version of the song. What this means, then, is that Apple is engineering a future in which rare, or varying, mixes and versions of songs won’t exist unless Apple decides they do. Said alternate versions will be replaced by the most mainstream version, despite their original, at-one-time correct, titles, labels, and file contents.

3. Although I could click the little cloud icon next to each song title and “get it back” from Apple, their servers aren’t fast enough to make it an easy task. It would take around thirty hours to get my music back. And even then…

4. Should I choose to reclaim my songs via download, the files I would get back would not necessarily be the same as my original files. As a freelance composer, I save WAV files of my own compositions rather than Mp3s. WAV files have about ten times the number of samples, so they just sound better. Since Apple Music does not support WAV files, as they stole my compositions and stored them in their servers, they also converted them to Mp3s or AACs. So not only do I need to keep paying Apple Music just to access my own files, but I have to hear an inferior version of each recording instead of the one I created.

I didn’t sign up for the free Apple Music trial when it was introduced because I have a data cap on my internet connection: just a few hours of listening to my own music might well make a big dent in my internet usage for the month. That would be ridiculously wasteful. Even so, every now and again, iTunes cheerfully lets me know that this or that song from my collection can no longer be played (and has deleted it) with no chance to fix it on my part. When it’s a song I recorded from the original CD (and I still have the CD), it’s merely an inconvenience. When it’s a song I paid Apple to download, it’s much more than that. It implies that everything I’ve downloaded from Apple is actually just a rental with an indeterminate-length rental period.

It is, however, a sign of the future:

For about ten years, I’ve been warning people, “hang onto your media. One day, you won’t buy a movie. You’ll buy the right to watch a movie, and that movie will be served to you. If the companies serving the movie don’t want you to see it, or they want to change something, they will have the power to do so. They can alter history, and they can make you keep paying for things that you formerly could have bought. Information will be a utility rather than a possession. Even information that you yourself have created will require unending, recurring payments just to access.”

When giving the above warning, however, even in my most Orwellian paranoia I never could have dreamed that the content holders, like Apple, would also reach into your computer and take away what you already owned. If Taxi Driver is on Netflix, Netflix doesn’t come to your house and steal your Taxi Driver DVD. But that’s where we’re headed. When it comes to music, Apple is already there.

March 29, 2016

Why did Apple suddenly grow a pair over consumer privacy and (some) civil rights?

Filed under: Business, Technology, USA — Tags: , , , , , — Nicholas @ 03:00

Charles Stross has a theory:

A lot of people are watching the spectacle of Apple vs. the FBI and the Homeland Security Theatre and rubbing their eyes, wondering why Apple (in the person of CEO Tim Cook) is suddenly the knight in shining armour on the side of consumer privacy and civil rights. Apple, after all, is a goliath-sized corporate behemoth with the second largest market cap in US stock market history — what’s in it for them?

As is always the case, to understand why Apple has become so fanatical about customer privacy over the past five years that they’re taking on the US government, you need to follow the money.

[…]

Apple see their long term future as including a global secure payments infrastructure that takes over the role of Visa and Mastercard’s networks — and ultimately of spawning a retail banking subsidiary to provide financial services directly, backed by some of their cash stockpile.

The FBI thought they were asking for a way to unlock a mobile phone, because the FBI is myopically focussed on past criminal investigations, not the future of the technology industry, and the FBI did not understand that they were actually asking for a way to tracelessly unlock and mess with every ATM and credit card on the planet circa 2030 (if not via Apple, then via the other phone OSs, once the festering security fleapit that is Android wakes up and smells the money).

If the FBI get what they want, then the back door will be installed and the next-generation payments infrastructure will be just as prone to fraud as the last-generation card infrastructure, with its card skimmers and identity theft.

And this is why Tim Cook is willing to go to the mattresses with the US department of justice over iOS security: if nobody trusts their iPhone, nobody will be willing to trust the next-generation Apple Bank, and Apple is going to lose their best option for securing their cash pile as it climbs towards the stratosphere.

March 20, 2016

Apple software engineers threaten to quit rather than crack encryption for the government

Filed under: Business, Government, Liberty, Technology, USA — Tags: , , , , — Nicholas @ 02:00

It’s only a rumour rather than a definite stand, but it is a hopeful one for civil liberties:

The spirit of anarchy and anti-establishment still runs strong at Apple. Rather than comply with the government’s requests to develop a so-called “GovtOS” to unlock the iPhone 5c of San Bernardino shooter Syed Rizwan Farook, The New York Times‘ half-dozen sources say that some software engineers may quit instead. “It’s an independent culture and a rebellious one,” former Apple engineering manager Jean-Louis Gassée tells NYT. “If the government tries to compel testimony or action from these engineers, good luck with that.”

Former senior product manager for Apple’s security and privacy division Window Snyder agrees. “If someone attempts to force them to work on something that’s outside their personal values, they can expect to find a position that’s a better fit somewhere else.”

In another instance of Apple’s company culture clashing with what the federal government demands, the development teams are apparently relatively siloed off from one another. It isn’t until a product gets closer to release that disparate teams like hardware and software engineers come together for finalizing a given gizmo. NYT notes that the team of six to 10 engineers needed to develop the back door doesn’t currently exist and that forcing any sort of collaboration would be incredibly difficult, again, due to how Apple works internally.

March 30, 2015

Apple’s cultural significance, as illustrated by reactions to the Apple Watch

Filed under: Business, Media, Technology — Tags: , , , — Nicholas @ 04:00

James Lileks points out that Apple does not get the media attention for being innovative (at least, not just for innovations):

What’s that, you say? You don’t want an Apple Watch?

Let’s talk about that.

People seem obliged to offer substantial, reasoned arguments why they don’t want one — and that seems proof that Apple’s cultural position is enormous. I mean, imagine it’s 1956, and Kelvinator just brought out the new Fido-Matic Fridge that automatically extrudes moist dog food into a bowl at preset intervals. The press wouldn’t say boo. The Today show wouldn’t do a live report from people queued up at the Kelvinator store. There wouldn’t be bitter battles in the letters-to-the-editor section about Kelvinator fanboys falling for the latest gimmick, and besides Frigidaire did that last year.

But Apple invents something, and the world is riven into two camps. Those who desire, and those who decline. The former group is regarded with less interest than the latter, since those who want the Watch are assumed to be devotees of Apple who would pay $199 for a white plastic brick used to prop open doors.

The people who don’t want them — ah, they’re the ones who make for good copy. They’re the rebels now. If I were a New York Times editor, the day the Watch was released I’d run a lifestyle-section story about men in Brooklyn with carefully curated beards who repair 1950s watches, and how this attention to the craft — nay, the art — of timepieces stands as a Contrast, and perhaps a Rebuke, to the overcomplicated Watch the sheep are lining up to get.

“It’s just an honest thing,” the watch-repair guy (Josh, I’m guessing) would say. “You hold it to your ear, you hear it tick. It manifests time in a real way. The delicacy of the movement — it’s almost intimate, to have a machine on your wrist with such precise detail, devoted to just one thing. The time.”

Yeah yeah. Go have a sarsaparilla, hipster. Look: You don’t want an Apple Watch, you don’t. But reject it for the right reasons — and that’s not because it’s another screen that takes you away from dealing with humanity, because that’s not what it is.

March 7, 2015

Browser cosplay day

Filed under: Humour, Media, Technology — Tags: , , , — Nicholas @ 02:00

Joey deVilla posted an image which requires no further explanation:

browser-cosplay

January 15, 2015

Why the EFF can’t do an iPhone version of their mobile app

Filed under: Business, Law, Liberty, Media, Technology — Tags: , , — Nicholas @ 04:00

Last week, the Electronic Frontier Foundation‘s Corynne McSherry had to break the sad news to Apple iPhone users that due to Apple’s incredibly restrictive developer rules, the EFF cannot produce an iPhone version of their mobile app:

As we have been saying for years now, the [Apple] Developer Agreement is bad for developers and users alike. Here are a few of the terms that we are worried about:

Ban on Public Statements: Section 10.4 prohibits developers from making any “public statements” about the terms of the Agreement. This is particularly strange, since the Agreement itself is not “Apple Confidential Information” as defined in Section 10.1. So the terms are not confidential, but developers are contractually forbidden from speaking “publicly” about them.

Ban on Reverse Engineering: Section 2.6 prohibits any reverse engineering (including the kinds of reverse engineering for interoperability that courts have recognized as a fair use under copyright law), as well as anything that would “enable others” to reverse engineer, the software development kit (SDK) or iPhone OS.

App Store Only: Section 7.3 makes it clear that any applications developed using Apple’s SDK may only be publicly distributed through the App Store, and that Apple can reject an app for any reason, even if it meets all the formal requirements disclosed by Apple. So if you use the SDK and your app is rejected by Apple, you’re prohibited from distributing it through competing app stores like Cydia.

No Tinkering with Any Apple Products: Section 3.2(e) is the “ban on jailbreaking” provision that appears to prohibit developers from tinkering with any Apple software or technology, not just the iPhone, or “enabling others to do so.”

Apple Owns Your Security: Section 6.1 explains that Apple has to approve any bug fixes or security releases. If Apple does not approve such updates very quickly, this requirement could put many people in jeopardy.

Kill Your App Any Time: Section 8 makes it clear that Apple can “revoke the digital certificate of any of Your Applications at any time.” Steve Jobs once confirmed that Apple can remotely disable apps, even after they have been installed by users. This contract provision would appear to allow that.

We have some other concerns as well, but these top the list.

December 12, 2014

QotD: Apple isn’t worth the same as Switzerland

Filed under: Business, Economics, Quotations — Tags: , , , — Nicholas @ 00:01

It is true that Switzerland’s GDP is around $700 billion. But GDP is a measure of value added in a country in one year. That is, it’s the income of the place. Apple’s $700 billion valuation is the total value of the company: this is akin to wealth, not income. And of course the value of a stock is the net present value of all of the future income from it. So, that $700 billion for Apple is the current value (as the market estimates it) of everything that Apple will ever do in the future. The valuation of Switzerland, that $700 billion, is what the place made this year alone. Two very different numbers.

To get to something comparable for Apple we need to work out this year’s added value. A rough and ready definition of that is profits plus wages paid (this is approximately equal to the labour and profit shares in GDP which don’t quite equal total GDP but good enough for rough comparisons). Apple’s profits are around $40 billion, it employs a little under 100,000 people directly. Say each of those is paid $100,000 a year (obviously, some get very much more but when we add in the Genius Bar folks that might be reasonable enough as an average) which gives us another $10 billion. Not entirely accurate but reasonable enough to say that Apple’s value add, the equivalent of GDP, is some $50 billion.

When we go looking for a country at around that we find The Sudan and Luxembourg jointly on some $55 billion. And Luxembourg is some 400,000 people, and roughly half of the people in a country work (take out the kiddies, pensioners, housewives etc, roughly correct) giving us a Luxembourgois workforce of 200,000 people. 100,000 people in one of the most profitable companies on the planet produce about the same value as 200,000 rich world people in a country. OK, that’s impressive for Apple but it’s a much better indication of the company’s economic size than any other measure. It is, around and about, fair to say that Apple produces the same economic value as Luxembourg. […]

And to repeat the point at the top, we’re never going to really understand corporate power or the size of the corporate sector (or corporations) until we start to understand what these different numbers being bandied about as valuations and value of production etc really mean. Corporations really are very much smaller than countries: even the largest and most valuable of corporations is really only comparable to a city sized country. To give you a much better idea of the size of Apple relative to economic output of an area then Apple’s about the size of Raleigh, North Carolina, Omaha Nebraska, maybe, just maybe as large as Forth Worth, Texas, or Charlotte, North Carolina. Somewhere in that range at least. Or to use States, perhaps around Rhode Island or Maine.

Corporations just aren’t as large and economically powerful as some seem to think.

Tim Worstall, “Apple Isn’t Worth Switzerland But It Is Worth All The World’s Airlines”, Forbes, 2014-11-22.

November 12, 2014

An honest, unbiased review of the iPhone 6+ by a guy who owns Apple stock

Filed under: Humour, Technology — Tags: , , , — Nicholas @ 00:02

Scott Adams relates his quasi-religious experience with the latest iPhone:

The experience of getting the iPhone 6 Plus was like getting a puppy. From my first touch of the sleek, sexy miracle of technology I was hooked. I loved it before I even charged it up.

It was large in my hand, and slippery to hold, but I didn’t mind. That would be like complaining that my newborn baby was too heavy. This phone is pure art and emotion frozen in a design genius so subtle that competitors probably can’t even duplicate it. It was pure beauty. Sometimes I found myself just staring at it on the desk because I loved it so. Oh, and it works well too.

But I needed a case. I tried to imagine my anguish if I accidentally dropped this new member of my family and cracked it. I needed protection.

So I went to the Verizon store and bought the only cover they had left that doesn’t look like a six-year old girl’s bedroom wall. The color of my new case could best be described as Colonoscopy Brown. It is deeply disturbing. But because I love my iPhone 6 Plus, and want to keep it safe, I put it on.

Now my phone is not so much a marvel of modern design. Nor would I say it is nourishing my soul with beauty and truth the way it did when naked.

Now it just looks like a Picasso that three hundred homeless people pooped on. You know there’s something good under there but it is hard to care. Now when I see my hideous phone on my desk I sometimes think I can hear Siri beg me “Look away! Look away!”

[…]

Beauty needs to be temporary to be appreciated. I think those magnificent bastards at Apple know that. I think they made the case slippery by design. They want you to know that if you keep your phone selfishly naked, and try to hoard the beauty that is designed to be temporary, that phone will respond by slipping out of your hand and flying to its crackly death on a sidewalk.

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