Lots of great links apropos our discussion of the future of work.

Sent from my iPhone

Begin forwarded message:

> From: Social Capital <[email protected]>
> Date: December 11, 2016 at 14:01:52 PST
> To: <[email protected]>
> Subject: Snippets: Sunday, December 11, 2016. Direct to Consumer collective 
> bargaining
> Reply-To: Social Capital <[email protected]>
> 
> 
>                                
> Snippets - December 11, 2016
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> One theme we’ve returned to regularly in Snippets over this past year is the 
> idea of “Direct to Consumer” as a fundamental consequence of software and the 
> Internet. After the holiday break we’ll be releasing a more in-depth series 
> on how and why this happens. And we’ve just seen this transformation lay 
> waste to the American political campaign establishment, so likely no source 
> of inertia is too big or will stay safe for long. 
> 
> One of the major social and economic compacts that is increasingly at odds 
> (if not outright under threat) by modern technology is the grand bargain 
> between companies and workers - the employer-employee compact. This compact 
> served a very important role over the last century: if I work for your 
> company loyally, you take care of me with benefits, a pension, career 
> stability, and a long term source of worth. This week, two stories in the 
> news helped illustrate the problem at hand. First, the whole drama around 
> Carrier automating and outsourcing jobs from Indiana to Mexico, then maybe 
> not - and then their CEO frankly admitted the plain reality, which is that 
> automation will inevitably eliminate most of these jobs no matter what. 
> Second, and closer to the tech community, Amazon’s plans for their new 
> grab-and-go cashier-less supermarkets, aptly named Amazon Go. Although it was 
> more of a tech than a national story, and is not yet fully realized, it 
> reminded us that retail cashiers are the second most common occupation in the 
> United States - and may become another job that fades away in time. So it’s a 
> good a time as ever to talk about the job that the employer-employee compact 
> used to do - and what might possibly replace it. 
> 
> Thomas Kochan, from the MIT Institute for Work and Employment Research, had 
> this to say about the issue in a recent PBS Newshour around the future of 
> work:
> “In terms of a market failure, it’s the reality that it’s not in the 
> interests of any individual firm in the United States to try and solve the 
> jobs problem. So, we’ve got to figure out a way to deal with that… and the 
> only way you solve this is by getting people and institutions and 
> organizations to work together, to engage these issues collectively. It’s 
> about an institutional failure over the last thirty years. With the decline 
> of the labor movement, you’ve seen a lot of institutions go downhill 
> equivalently. We don’t see the kind of dialogue, we don’t see the enforcement 
> of our social norms and social policies that discipline corporations, and 
> that really provided the kind of collective spreading of wage patterns and 
> wage norms across the society. 
> We’ve got to rebuild those, but we can’t try to rebuild them in an 
> old-fashioned way. Now we’re in a more digital economy, a more 
> knowledge-based economy, and we need to invent the new institutions that will 
> cut across and aggregate these interests to address these challenges. We’ve 
> got to get the education community working with business and employers, 
> working with labor and civil society. I’m not a believer that technology is 
> going to naturally eliminate jobs and cut income, but if we don’t do anything 
> about it, if we just leave it, as we have, to individual market forces and to 
> individual corporate actions and to individual technology innovations, then 
> that’s probably where we are headed.”
> 
> The issue at hand, which Peter skates around but doesn’t quite hit directly, 
> is that the labor movement and workers in general are being disintermediated 
> from the interaction between providers and consumers. To be clear, not all of 
> these jobs are being lost to technology - a solid half of American 
> manufacturing job losses are more attributable to foreign competition than to 
> tech, for example. But overall it’s hard to imagine what might arrest this 
> trend in the long run, short of sweeping government action. So what’s to be 
> done here? In a generation, what might a “Direct-to-Consumer” equivalent of 
> the traditional union’s bundle economics look like? What do consumers have, 
> in aggregate and at meaningful scale, that can be valuable in collective 
> bargaining for our well-being, security and perhaps even our self-worth? 
> 
> One thing we can reject pretty much right off the bat is our attention - i.e. 
> advertising. It’s tempting to consider as a thought experiment, since 
> advertising is the original form of “Subsidize something the consumer wants 
> (the news; entertainment; Google search) in exchange for something the 
> consumer has (their attention; their intent).” But advertising revenues are 
> only 1 to 1.5 percent of GDP, and a truly attention-based economy rapidly 
> devolves into something horrifying. The “Fifteen Million Merits” episode of 
> Black Mirror comes to mind. 
> 
> What about consumer loyalty? That might be slightly more plausible. It’s the 
> basic promise behind Amazon Prime, or Costco, or even Walmart really - if you 
> pledge loyalty to Prime (as, let’s be honest, most of us probably have), 
> Amazon will fight relentlessly for you. It would be pretty cynical to suggest 
> that the Prime bundle could one day become the direct-to-consumer version of 
> a labor union, but it makes a creepy amount of sense. 
> 
> What’s left? Well, we’re still taxpayers - but the idea of deliberately 
> expanding our governmental social safety net, agree or not, has been rejected 
> in the United States for the time being. Maybe that will inevitably change, 
> if “end of work” rhetoric intensifies and proposals such as Universal Basic 
> Income gain more traction. We’ll see. For now, as tech-driven 
> disintermediation intensifies, it’s never been a better time to be a consumer 
> - and that’s looking increasingly permanent. To be continued...
>  
> 
> On a happier note, apparently we found a dinosaur tail preserved in amber - 
> and it had feathers. That’s pretty neat. 
> 
> First dinosaur tail found preserved in amber | Kristen Romey, National 
> Geographic
> 
> 
> Automation and machine learning is everywhere, including medicine:
> 
> Translating artificial intelligence into clinical care: editorial | Andrew 
> Beam & Isaac Kohane, Journal of the American Medical Association
> 
> Adapting to artificial intelligence: radiologists and pathologists as 
> Information Specialists | Saurabh Jha & Eric Topol, Journal of the American 
> Medical Association
> 
> Vic Gundotra: in five years, machine learning will be a part of every 
> doctor’s job | Eric Johnson, Recode
> 
> Machine learning approach for skill evaluation in robotic-assisted surgery | 
> Fard et al., 2016 World Congress on Engineering and Computer Science
> 
> 
> Interviews and commentary:
> 
> Joi Ito of MIT Media Lab on technological whiplash, nonviolent resistance, 
> and the risk of Silicon Valley “floating away"
> 
> Wired founder Kevin Kelly on letting go of AI anxiety | Slack Blog
> 
> Michael Milken: Brexit, Trump events were years in making | Bloomberg
> 
> 
> And other reflections:
> 
> Fundamental truths | Rebekah Cox
> 
> Considering economic recovery | Kanyi Maqubela
> 
> General Pencil Company: a photo essay | This Built America
> 
> 
> Reading for the holidays:
> 
> My favorite books of 2016 | Bill Gates
> 
> YC’s winter reading list | Y Combinator
> 
> Announcing our second eBook: Understanding Social Platforms | Version One 
> Ventures
> 
> 
> Artistic expression, old and new:
> 
> Danny Barker: giving a great jazz storyteller his due | Gwen Thompkins, The 
> New Yorker
> 
> How the Internet unleashed a burst of cartooning creativity | The Economist
> 
> 
> Other reading from around the Internet:
> 
> How the Circle Line rogue train was caught with data | Daniel Sim, Singapore 
> Open Data Portal
> 
> Millions in US still living life in Internet slow lane | Jon Brodkin, Ars 
> Technica
> 
> The dividends of funding basic science | L Rafael Reif, WSJ
> 
> We’re set to reach 100% renewable energy - and it’s just the beginning | Urs 
> Hözle, Google Infrastructure
> 
> Functional versus unit organizations | Steven Sinofsky
> 
> The operating system fountain of youth: iOS | Jean-Louis Gassée
> 
> Keynes vs Hayek: who’s winning now? | Financial Times Alphaville podcast
> 
> The man who invented Libor: the world’s most important number | Gavin Finch & 
> Liam Vaughan, Bloomberg Markets
>  
> 
> In this week’s news from the Social Capital family, 
> 
> Flutterwave announced the official launch of their product, Moneywave - a 
> payments API tailored for Africa. As you can imagine, reality on the ground 
> for African customers and merchants is quite different from here in the 
> United States: one-size-fits-all solutions fall flat in a continent where all 
> parties are rapidly going mobile-first (or mobile-only) and many solutions 
> compete with each other within and across country lines. If you want to find 
> out more or to use Moneywave, you can find their API documentation here.
> 
> Flutterwave aims to unify Africa’s fragmented payment systems and empower 
> small businesses | Devin Coldewey, TechCrunch
> 
> Congratulations to Greenhouse for winning #1 for Best Places to Work in 
> Glassdoor’s annual Employee’s Choice awards! If you’re not already following 
> Greenhouse’s blog, please do. It’s regularly updated with great thinking and 
> leadership around the 21st century workplace, employee motivation, and 
> company culture, and shows why they’re a deserving winner. Greenhouse is 
> currently hiring for positions in New York and San Francisco, so please 
> forward along to anyone who might be interested. 
> 
> What being named a Glassdoor Best Place to Work means for Greenhouse | Maia 
> Josebachvili, Greenhouse
> 
> And finally, Intercom has launched another new product: Educate. Intercom is 
> leading the way when it comes to improving how companies can communicate with 
> their customers, and their newest product helps scale support for situations 
> where customer can find their own answers quickly and effectively. In 
> contrast to the automatic-chatbot concept that has permeated Silicon Valley 
> over the last year, Intercom offers a way for customers to address their own 
> questions and issues in an automated way that doesn’t dip into the ‘uncanny 
> valley’ of robotic near-assistance. To find out more, check out their video 
> on Educate and their vision for the future Knowledge Base.
> 
> Announcing Educate: what a knowledge base should be | Intercom Blog
> 
> Building robots to mimic human behaviour dissolves users’ trust. Intercom has 
> another solution | Cliff Kuang, Fast Co Design
> 
> Have a great week,
> 
> Alex & the team at Social Capital
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