LyrArc Article Gist
Last week the skies over Sao Paulo, the largest city in Brazil, in the lunch hour suddenly turned dark as smoke mixed with rain clouds appeared and turned day into night. It was the result of fires blazing in the Amazon- 43,000 fires set this year alone illegally. It could be ranchers clearing land for pasture or farmers clearing land for planting. Illegal logging has also increased since the severe recession in Brazil. 

The cash strapped government is also cutting the funding of the agency that controls illegal activiites in the Amazon leading to fires and illegal logging. Brazil's president is defiant amid world criticism of his lack of concern for what is happening in the Amazon.

LyrArc Article Gist
Questions raised by experts about the usability and user friendly features of the Amazon Kindle Fire tablet.

LyrArc Article Gist
Peers says Amazon's strategy is flawed and the new Kindle Fire tablet will cut into Amazon's already low margins. He points to the analysis of components going into tablets by IHS iSuppli, which found materials costs alone come up to over $262. For companies making hardware such as Samsung and Sony the tablets have to be priced higher. By pricing the Kindle Fire at $199, Amazon CEO Bezos, may be counting on the tablet boosting Amazon's retail business, the digital music, and the streaming of videos, and bookstores. Surveys show the tablet being used mainly for web surfing or email, and less for watching video or reading books. Amazon has the Kindle e-reader which is a better option for readers because of the price. And video sources include other suppliers including YouTube and Netflix. Apple still has the edge in resources- $76 billion in cash and investments in mid 2011- to support lower prices on newer versions of the iPad with more capabilities and design features. Apple with its supply chain experience may be able to obtain better costs from component suppliers than Amazon for future price reductions. Sony and Samsung also bring the manufacturing knowhow and expertise to do this, with Sony's added capabilities in designing devices. The H-P tablet experience shows how quickly a tablet can become obsolete in this market....

LyrArc Article Gist
Amazon's revenue for 4th quarter 2011 increased 35% to $17.4 billon. Profit for the 4th quarter 2011 declined by 57% over prior year quarter, as Amazon increased hiring, and invested in warehouses, technology and in Kindle electronic promotional sales. Operating expenses were up 38% from the prior year quarter. Operating margin was 1.5%, declining from 3.8% in the prior year quarter, but up from 0.7% in third quarter 2011. Analysts estimate that Amazon sells the Kindle at a loss of $15 per unit. Kindle Fire sales were up to an estimated 6 million units for the 4th quarter 2011. Hiring jumped and employee count was up 67% for 2011 over the prior year, up to 56,200 employees. Forrester Research estimates that overall internet sales growth for 2011 was 10%, showing that Amazon sales growth was much faster.

LyrArc Article Gist
Google introduces the Nexus 7 tablet for $199. It has a 7 inch screen and is designed to show books and media available on Google's Play service. It was developed with Asustek Computer and is intended for reading books similiar to the Kindle Fire tablet made by Amazon.

LyrArc Article Gist
This comes as both president Biden and Republicans under Trump are increasingly wary about the lack of oversight and inability to limit the monopolistic behaviour of tech firms. The investigation of Joshua Wright who defended Facebook, Google and Amazon. After learning about the investigations Amazon acted immediately. Google and Facebook waited before finally acting says this report in WSJ. Joshua Wright, a George Mason University law professor was appointed to the FTC where he had other commissioners dilute the powers of the FTC so that it would benefit Google, Facebook and Amazon from weaker oversight by the FTC. During this period the three companies acquired immense power with monopoly behavior and lack of the necessary oversight from Congress or the FTC. Related to this is the story in this WSJ report of the relations of a GMU law professor with his female students that led to GMU and the tech companies distancing themselves from Joshua Wright as each new story emerged.  ...

LyrArc Article Gist
Clearing the land by burning dense forest vegetation is a long standing practice in the Amazon rain forest. In an effort to open up the Amazon for settlement and agricultural use the Brazilian government has encouraged people to settle there. Squatters can get title to the land at a discount if they clear the land and use it for economic activity. In 2017 pressure from the agricultural lobby resulted in a law for privatization of large portions of land. 90,000 titles were issued by the Ministry of Agriculture in 2018. Deforested land that has been converted to pasture can be very profitable. It can be sold at upto 6 times what the settler pays for the land to the government. The fines imposed by Brazil's environment agency Ibama are small in comparison to what farmers can make by deforestation.  During the election campaign Mr. Bolsonaro said he would rein in Inama and "not let it issue fines left and right." As a result about 30% fewer fines for violations, illegal burning and deforestation were issued since Bolsonaro became president in January 2019. During this period upto July 2019  deforestation is up 40%, according to Brazil's Institute for Space Research. Ibama employees  say the agency's budget was cut by 45% from 2010 to 2019. Bolsonaro's statements were used by rural leaders in the Amazon state of Para, allegedly organizing the fires along a highway across the rainforest to show support. Brazilian farmers say the problem is not with them because they realize it is hard to control fires once they are started. That it is the work of inexperienced settlers who do not understand the risks. The skies over Sao Paulo were darkened one day at noon as a result of the smoke from the fires moving south from the Amazon, causing the whole nation to take notice. International outcry has also caused alarm. Europeans are planning boycott of agricultural products from Brazil, with Finland calling for action banning beef imports. Fashion labels Vans, Kipling, Timberland, say they will not import Brazilian leather.  Now the agricultural lobby is waking up to a bigger problem that of international pressure in Brazil's export markets for agricultural products.  Even though Bolsonaro is taking action, and has said farmers and loggers would no longer be allowed to use fires to clear land, its hard to make the changes. Ibama and Brazilian authorites are unable to effectively patrol a rainforest this large covering 60% of Brazil's territory. Governors of Amazon states are saying land ownership laws have to be rewritten so that people can be held accountable for breaking the law. Experts at the Federal University of Minas Gerais say that the underlying problem is the government incentives to settlers, loggers and farmers to clear more land, and the environmental management agencies working to limit the damage from illegally set fires.  By setting a Wild West logic without realizing what he was doing the Brazilian president is now facing a problem controlling the fires. Bolsonaro is now calling for a 60 day halt to all fires in the Amazon. Long standing traditions, laws, practices, his own rhetoric are now in the way. Few people in Brazil realized that the fires out of control would eventually darken the skies over Sao Paulo one day at noon, causing an international outcry.     ...

LyrArc Article Gist
Latin America has made a huge turnaround through successful vaccination drives. Today more people are vaccinated as a percentage of the population in Latin America at 62% than in the US at 56% or Europe at 60%, according to Our World in Data project at Oxford University. There is little resistance to vaccines in Latin America after successful vaccine campaigns against yellow fever and other diseases. During the first year of the pandemic Latin America had one third of the deaths in the world with 8% of the population. Deaths after vaccination drives have dropped to 8%.  Brazil with 617,000 deaths from coronavirus was second only to the US with 800,000 deaths. Brazil is now back to normal after a successful vaccination drive that has 66% of the population fully vaccinated, and 80% with one dose, some of the highest rates in the world, according to Our World in Data at Oxford University. In Colombia with 50 million population about 50% of people are fully vaccinated. Cases have dropped from 30,000 in June to 2000 a day and deaths from 700 daily that month to 50 a day in December 2021. In Buenos Aires, Argentina's capital, 83% of three million population are fully vaccinated, 14% have received a booster. Buenos Aires city health minister says Argentine society has an affinity for vaccination campaigns. "They rapidly accepted receiving them," he says. Yet from the point of view of new variants emerging there is a different situation in rural areas. In industrial states such as Sao Paulo 78% are fully vaccinated, yet less than 40% are fully vaccinated in poor Amazon state of Roraima.   We make it a point to honor the brave reporters in these countries who provide the reports in the WSJ, as we did earlier for NYT Stephanie Nolan's reports from South Africa and Zambia about frontline workers against Omicron in Africa.  Luciana Magalhaes in Sao Paulo, Jenny Carolina Gonzalez in Bogota, and Sylvina Frydlewsky in Buenos Aires and Kejal Vyas writing this report from San Salvador. ...

LyrArc Article Gist
The conflicting set of priorities sometimes unrealistic are leading to a lack of clear direction for the BBC. Internationally BBC and BBC News are viewed as a key information provider with a long history. This role conflicts with the idea of the BBC as a competitor of Netflix and Amazon for serials and other shows such as "The Crown" done by Netflix.  The Boris Johnson government supports BBC's international role. The role of competing with private firms like Netflix is unrealistic because the revenue stream is different. There is also the concern about the BBC News failing to properly reflect Leave voters. Boris Johnson has himself found the local BBC News presenting a very different picture. In the end the new head of the BBC was chosen from Tory circles and with the idea of not doing much. The priorities of tackling post Brexit Britain  the pandemic, the economy, the northeast of England lagging behind, infrastructure building, remain much larger for Boris Johnson. BBC will have to wait for now. ...

LyrArc Article Gist
WSJ looks at how businesses are coping and how the government and the financial institutions are trying to make handling the stress of coronavirus easier and recovery easier. Bedrock is one of the financial firms that is forgiving rent for small bookshops, retailers, restaurants, gyms and other stores in Detroit, Michigan. Bedrock owns 50% of the leasable commercial real estate space in Detroit's 1.4 square mile downtown business district. In all it covers about 40% of downtown Detroit and retail. A similar program is underway in Seattle with help from Amazon. This story shows how Mr. Cullen who is Bedrock's CEO is doing this. He reports to Mr. Gilbert, a billionaire, who is also owner of Quicken Loans lender, Cleveland Cavaliers sports team. Mr. Gilbert is recovering from a severe stroke he had this year. This makes the job harder for Cullen as he has to seek approval from Mr. Gilbert and show this is something that will also benefit Mr. Gilbert. This will make recovery in Detroit easier. He says Detroit suffered badly in the 2008 economic crisis, and he does not want to see this happen again. Fortunately Mr. Gilbert, who is in therapy, has approved the action of Mr. Cullen. Cullen has to show that out of work local people in Detroit and empty storefronts hurts Mr. Gilbert as well as Detroit. So both come out winners from forgiveness for rent for a couple of months.   ...

LyrArc Article Gist
Amazon's cash level of $9.6 billion in Jan 2012, and heavy discounting on the Kindle Fire Tablet device and on Prime shipping, is raising questions about dwindling margins.

LyrArc Article Gist
The decline in the U.S. television advertising market accelerates in 2015. Viacom Inc. (Nickeodeon and MTV) sees a decline in TV domestic advertising revenue of 9% for the 2nd quarter of 2015, as its TV ratings decline. CBS Corp and Disney (ESPN) see a 3% decline. 21st century Fox with FOX network and shows such as "American Idol" and "The Following," sees a large decline in its television ad revenue of 14%. In the week of August 4-6, 2015, the share prices of these media companies were hit hard. Viacom shares declined by 21%, Fox 13%, Disney 11%. Earlier gains for digital ad revenue were from print, now the gains are at the expense of television budgets. Companies such as Allstate, Mondelez, Wendy's, MasterCard, Honda, P&G, are shifting to digital from television to follow millenials. Experts at ad buying firms say advertisers are tracking young consumers and following them to digital platforms. Viacom's Nickelodeon and MTV are hit particularly hard by the growing shift to kids shows on Netflix and to You Tube, and Amazon Prime Instant Video. Linear TV and interruptions for advertising is also accelerating the move, when other ad free or less advertising options are now easily available. By 2018 the digital ad spending will overtake television ad spending, digital getting $83 billion and television dropping to $78.6 billion....