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BBC says "tech's seedy side exposed" by Musk- Altman trial 2026. Let's face it there is a seedy side, and a much less benevolent side to Tech than it likes to show. The overspending on AI is a sign of misplaced priorities when so much of US infrastructure is dilapidated, much of it from before 1945, that badly needs to be rebuilt. Much of the promise of hardware from Tech that would change education is a failure so much so that Sweden is shifting on a nationwide effort in its schools to a program - "from screens to binders" that gives children binders with notebooks to write in and books to read, removing screens altogether, and for good reasons of the educators of Sweden. Tech in its grandiose style pretends it is about the technological revolution when it is simply the companies Amazon, Google, Apple, Microsoft, Nvidia, three of which are from the last 15 years. The technological revolution and the scientific revolution date back to Copernicus and Newton and the hundreds, thousands of scientists and pioneers of the industrial revolution of the last 250 years, and the men of vision and wisdom that gave us the British and American Constitution, the principles of self-government of civilized societies. ...

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WSJ Quiz on data centers- test your knowledge. Does China have the most data centers? No the US with 4000, followed by Britain with 515 and Germany with 500 showing that China is not in the AI craze the way the US is even though the idea of the US falling behind in AI is used to get trillions of dollars in AI funding. This only means infrastructure that is dilapidated and broken in the US will not be replaced, and that the US plan to reindustrialize to get jobs will lack funding as dollars are diverted from these essential and vital needs to AI. Eventually Asian countries with new infrastructure will find ways to get that US technology without having to pay for it. The American public will be paying for this AI craze. We at Lyrarc.com checked how many data centers China has built? The number is 250 data centers are operational and note this in the MIT Technology Review it says 80% of these data centers are not being used, there is 80% overcapacity in China. Because China's AI such as Deep Seek is designed so that it uses less computing power. What this means is that only the US will put over 3 times the combined data centers put in by China, UK and Germany for AI and US will put in 16 times the data centers China has put in. As China only needs or is using 20% of its 250 operational data centers or 50 data centers the US is putting in 80 times the data center capacity China is using in 2026. Why 80 times? Because China has a Plan and it can manage the supply to the need or demand. In the US each company is trying to put so many in so it can get the leadership position in the market. For example Amazon puts in $200 billion instead of the $100 billion it can afford simply to be in the leadership ranks. There is much wasteful spending in the US market system than China's coordinated effort in a new technology even though ideologues like to say the US system is superior, and a plan by the state is frowned upon in the US, costing the US dearly when it lost its entire manufacturing base to China while economists said everything was OK. Even the WSJ Quiz fails to ask the question we asked about China and how many data centers China has actually made operational, how much is overcapacity- 250 datacenters and 80% overcapacity. Showing how little the public knows and even WSJ has looked into, giving a few companies such as Google, Amazon, Apple, Microsoft and others the freedom to spend in a reckless way so that future infrastructure investments and reindustrialization investments will be crowded out in the US economy. And economists as usual will say its OK. ...

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In France 67% of young people 15-17 years in a Acadomia survey support ban on under 15 years children for social media. A bill is being introduced in French parliament to restrict children under 15 year from social media platforms supported by the governing party. A French parliamentary inquiry into “the psychological effects of TikTok on minors”, was set up in Spring 2025, and the results have set off an alarm about the negative effects on children. The new law would apply to children in high school lycee 15 years to 18 years, as it is already in place for children 11-15 years in college French middle school. The bill will be debated in parliament on Jan 19, 2026 and has support of EPR Ensemble Macron's party and of 121 members of parliament. It also restricts use from 10 pm to 8am to support better sleep patterns for young people and for studies.

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Berkshire new CEO Greg Abel 2026, Berkshire 2026 stock positions- Apple $60 billion American Express $55 billion Bank of America $25 billion, Coca Cola $25 billion, Chevron $20 billion, Chubb $10 billion. In addition GEICO wholly owned by Berkshire generates about $42 billion yearly in cash from premiums which can be used to invest in companies. By pursuing an affluent demographic American Express gets operating profit margins of 16% and return on equity of about 30%.  Apple has about 27% in net profit margin and 151% in return on equity in 2025. Because of the high affluence demographic of these two companies it offers a strong base for performance for Berkshire. The insurance company GEICO and its reinsurance operations offer a steady stream of cash. This  is the base on which Berkshire has done well over the last two decades. The efficient markets hypothesis moderate form for investors says that publicy available information is reflected in stock prices to a great extent except for anomalies and behavioural aspects. When investors use a basket of 1000 stocks reflecting the economy as Vanguard core index funds, the anomalies and behavioural aspects are less prevalent or cancel each other out creating a strong form of the efficient markets hypothesis in practice for investing discipline. Benjamin Graham, the mentor for all investment leaders would accept this as a way of securing investment gains without the vagaries and uncertainty in selecting stock positions. In 2025 the Berkshire funds achieved 10% gains vs the S&P 500 index which gained 17%, proof that the average investor can do just as well as the so called sage of Omaha, Warren Buffett. ...

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Behind the deal Apple made to buy 100 million chips from TSMC's $165 billion plant near Phoenix is, yes, DJT Tariff exemptions. Yes, it took tariffs to get Apple and TSMC to invest in the US after much if not all of chip manufacturing was sent by Apple to China and Taiwan's TSMC. Was the Biden administration successful in getting Apple to invest in the US on a the scale that was needed? The answer is no. Even when TSMC agreed to invest in plants in the US under Biden it's management described the US as a difficult place to attract talent and build plants as reported in the WSJ at that time. There is a real element of truth in saying that it took a real effort such as the DJT tariffs move to change a situation in which most manufacturing was shipped out by US business to China. The Taiwanese had a condescending attitude that the US could not build advanced technology plants as evidenced in statements by head of TSMC, who was himself educated in the US technology institutions in the 1960's and 1970's. The US business shipped out its industrial and technological knowhow to Asia in a mistaken theory only found in textbooks that this was not going to affect US leadership and US dominance in the world. And with it the dominance of the scientific and industrial revolution culture of Europe and the US that enabled its free institutions of government and ideas of liberty of man. It is an astounding story of our times that this has actually been allowed to happen under previous administrations, technology elites, by economists, and governing elites, with some still clinging on to these ideas found only in textbook economic theory, when something entirely different has happened to neighborhoods, communities and factories now abandoned in the US. ...

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Apple, Caterpillar, and Microsoft, Amex pushed the Dow higher to get to 50,000 from 25,000 in 2018 in just 9 years when it took decades to get to 25,000. Sales Force, because of AI threat, Boeing because of its engineering and quality issues acted as laggard. Exxon was removed, Chevron stayed on. Intel was taken out and Nvidia took its place. The PE ratio in 2026 for Dow is 22 times earnings. Companies with higher stock price Goldman $929 a share as an example have a bigger impact in moves of the Dow just because of the higher price per share. Compared to Apple at $249 a share. The calculation is to take the price s of 30 stocks add them together and divide by a factor that adds effect of stock splits and new index entrants. That factor was 0.162 in 2025. Note that it took 76 years to 1972 to get to 1000 for the Dow Jones Average in 1972.

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Apple gets 19% of its sales in China with a manufacturing base that includes 1 million people employed in one Chinese city. In an effort to promote Make in China China is giving Huawei more room to compete with Apple. Huawei is bringing out a new 5G phone as an alternative and has banned use of Aplle iphones in government agencies. This means about 56 million people will have to turn to locally made products. China presents this move as an effort to protect data and cybersecurity. Yet Apple has a share price increase of 46% this year even in an environment in which US and China are restricting the export of key technologies (by US) or critical materials for electric cars (by China). Apple's responses to this have been slow preferring to keep its supply chain the way it is in a strategy based on the short run, with some minor shift to India and Vietnam.

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Fact checking Apple CEO Tim Cook's statements on the EU Commission ruling for $13 billion in back taxes, shows that CEO Tim Cook's statement that "we never asked for, nor did we receive any special deals," is not true. Ireland let Apple determine what it would pay in tax, and Apple had the benefit of loopholes in Irish tax laws, the fact check by experts shows here. Apple's Cook also says it would hurt investment and jobs in Ireland. Another NYT article showed that the entire healthcare budget of Ireland would be covered by the $13 billion, and 66% of its budget for social support services to the public. Apple has 22,000 employees in Europe and 6000 in Ireland in 2016. Based on the $13 billion owed in taxes, for every job in Ireland the cost to Ireland is 2.17 million euros, and for every job in the EU the cost is 590,000 euros. Apple could turn around and locate in some other place, other than Ireland, in which case Ireland does not get the 6000 jobs. This is Ireland's incentive to give Apple tax benefits. Only if all EU countries had common tax laws would it be possible to avoid this situation, and generate much needed tax revenues at a time of cuts in public spending in healthcare, education, and social services, and invest in infrastructure, worker retraining. The alternative is for the EU to look at other remedies. This is what the EU Commissioner Vestager did when she announced that this was a state subsidy and illegal under EU rules. Because the appeal by Apple goes to the EU Courts the appeal is difficult say legal experts. The EU courts look at the legal aspects of the ruling, was it justified, not at the overall aspect of the ruling by Vestager, as EU Competition Commissioner. This may be why there is so much outcry from Apple, and other digital companies.  ...

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A significant portion of Apple services business including Safari payments app revenues is now at risk with changes in 2025. Google payments for search alone make up 19% of Apple's operating profit, says this report in WSJ.

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Washington Post calls a Netherlands unrealized capital gains tax of 36% unfair. The legislation was passed in lower house of parliament. Unrealized capital losses could be used to offset gains in future years under this legislation. The US only taxes capital gains after they are realized and at 15% or 20% for long term gains and a 4% added tax for high income persons. The 36% tax would apply to all who own stocks or bonds not just the wealthy.

In Netherlands the average take of the ogvernment is 3%% compared to 30% in US. Healthcare costs are split 65% 45% between the government and average worker, and mostly all (84% of workers) get additional coverage. The value added tax rate VAT is 21% in Netherlands about 3 times the US sales tax of 6-7%. And the Netherlands is in the EU a relatively moderate tax country compared to France and UK.

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This Washington Post article by Henry Farrell explains the implications of the 2016 EU ruling on Apple asking it to pay 13 billion euros in back taxes. Other countries in the European Union are upset that Ireland is taking away business and siphoning away tax revenues from their country, and giving most of it back to Apple. Normally the European Union Commission does not have authority over taxes in the member states. However considering the social and political implications at a time of deep recession and political upheaval in the EU and the U.S., the European Union Commission under Margarethe Vestager has seen it proper to look at arrangements in which companies come up with tax arrangements that deprive member states unfairly of tax revenues- revenues that could support social welfare and basic education, healthcare services at a time of painful cuts. A tax rate of .005% in 2013 for Apple is cited by Vestager as she points out that Apple's taxable profit does not correspond to economic reality, as most operations are conducted outside Ireland. Ireland is just on paper the tax location for EU operations. Vestager has thus come up with a legal approach based on Ireland's tax arrangements being a form of illegal state subsidy, which is not allowed under EU rules, and gives the EU Commission authority to require that it be reversed by paying the back taxes of 13 billion euros. Farrell answers the question why the U.S. Treasury is saying that Apple should not have to pay these taxes, as the U.S. also hopes to get some of these taxes at some future date with Apple repatriating profits to the U.S. under a still to be set tax arrangement. ...

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Apple reports a slowdown in iPhone sales, with a less than 1 percent in increase in sales, for fiscal first quarter ending Dec. 26, 2015, over the prior year quarter. Revenue is expected to decline by 11% for the quarter ending in March 2016, over the prior year, first such decline in 13 years. Analysts say Apple will have to reduce gross margins of about 40% to increase sales. Apple CFO Maestri says Apple increased prices in some markets because of the strong dollar. When the stronger dollar is excluded from results for the quarter ending Dec. 26, 2015, sales revenue increased by 8% over prior year quarter, according to Apple. As Apple slows down its shares financial performance is stalled at about $100. Apple tried to present a different picture now that China sales are slowing down- it said that users had "engaged" with 1 billion Apple devices whether iPhone, iPad, Mac, or Apple TV, in the last 90 days, by downloading an app, song or movie. These services geneated $5.5 billion in revenues for the quarter ending in December, a 15% increase over prior year quarter....

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Apple may have peaked in pricing and market share. Apple is not increasing US prices on the new iPhone 15 as it sees a decline in its 19% market share in China. With newer smartphones from competitors Apple wants to avoid an erosion of its share in the US market. One drawback in the 2015 iPhone is the switch to USB ports which means ordering a converter for the lightning cables which Apple prices at $29. New European Union rules have led to the change. 

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David Barboza of NYT describes the hidden subsidies China gives to Foxconn for its plant in Zhengzhou, in a poor region of China. The factory there makes about half a million iPhones a day. These subsidies include incentive packages, infrastructure building, local government help of about $1.5 billion. As a result Apple has high margins. For a 32 gigabyte iPhone 7 that costs $400 to make, the retail price is about $649 in the U.S.  The hidden subsidies is why Apple can maintain dominance as profits are reinvested. And the result is that with only 12% of the smartphone market Apple can take in 90% of the profit, according to Strategy Analytics. Barboza looks back at Apple before co-founder Steve Jobs left in 1985 as focussing on manufacturing at plants in Colorado and California. By 2001 with iPod sales soaring the move to China under Cook, who previously worked for Compaq, was underway. With the introduction of the iPhone in 2007, the move to China for manufacturing accelerated. The reason: only China offered the kind of subsidies, the speed of approval and building of infrastructure facilities, the local government support, the hundreds of thousands of workers, and the best tooling engineers, to produce in huge volumes with speed, and maintaining quality levels. Earlier plants including one in Colorado Springs that this Lyrarc editor was invited to visit just prior to Jobs rejoining Apple had many quality problems, so much so that Apple had a large part of the manufactured personal computers set aside for rework. The quality levels were dismal, defects were unbelievably high. This is the Apple manufacturing process and plant that Jobs must have seen when he returned, and which he hired Cook to fix. Not only were costs higher in the U.S., (subsidies in China came later) when Jobs looked at the manufacturing quality and the inability to get the quality he needed from American workers and engineers at that time in the 1990's, only then did he turn to China- and the more he saw what was possible to accomplish there he sensed an unusual opportunity to finally put the ghosts of memories from competition with Microsoft at rest, and to surpass everything that had been done in Silicon Valley. The result one of the most ingenious and large manufacturing networks in the world, huge profits for an American company, except for one thing- it would not do much for American workers. ...

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With the decline of its hardware business making iPhones Apple is looking at other fields. It is launching cheap online TV subscriptions in streaming wars in competition with Netflix and others. Apple is launching a new TV streaming service Apple TV+ in 100 countries for 4.99 British pounds a month undercutting Netflix's price of 5.99 pounds. The new service will be started November 1, 2019. Disney plans a streaming service for 7 pounds a month starting November 12. This service is alongside iPhone 11 launch and anew iPad, a new iWatch. Buy any new Apple device and you get a 1 year streaming service free.  Sales of iPhones fell 14% in the April to June 2019 quarter to 39 million units. Samsung's business is growing by 4% to 75 million units and Huawei by 16% to 58 million units. Apple sees the need to increases its services business with a target of $50 billion in 2020. Apple sees itself more as a media and cloud services company as it makes this change. In markets such as India Apple's growth is limited by its failure to lower prices on new iPhones. In China it faces strong competition from Huawei. The trade tensions are increasing the strength of Chinese brands in the Chinese market. The market in U.S. and Europe is saturated after years of expansion. New iPhone models are costly and bring peripheral advantages such as more and better cameras and features such as screens that are not breakable- for the iPhone 11- not dimensions that are critical for making a costly purchase. After years of growth tech companies such as Apple, Google, Alibaba, Amazon are reaching a point where incremental growth is not what it used to be and most of the rapid growth behind them. Trade tensions are also limiting the outlook in the Chinese market, and pricing remains a major factor in the Indian market. Western markets are saturated. There are fewer and fewer substantial new ideas from these tech companies. ...

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Rappaport of the NYT asks how it is possible that the U.S. Treasury is critical of the EU Commission's ruling that Apple pay back $13 billion in taxes because of its low tax rate of .005% in Europe, when Treasury is strongly critical of tax avoidance. The negligible tax by Ireland, base of Apple operations, is seen as a state subsidy not available to competitors. It also, as the EU Commission says, does not correspond to economic reality because the revenues are mostly made outside Ireland. An arrangement that is basically a strategy of tax avoidance. Today the leading candidates for president, Trump and Clinton, the major parties, and Congress, all are critical of tax avoidance strategies which deprive Treasury of much needed revenues. Restoring upward mobility is a priority today and programs to provide tution free access to public colleges, healthcare access, and infrastructure development, require public funding. Then why is the U.S.Treasury critical of the EU ruling? It is because Treasury sees this as money that should be coming to Treasury not the EU. However Treasury has failed to make this clear. The Financial Accountability and Corporate Transparency Coalition's Clark Gascoigne, calls it very ironic. And other experts say the money would not be coming to the U.S. anyway unless a low tax rate induces Apple to repatriate profits to the U.S. One expert calls it hypocritical. Senator Schumer says he agrees with Paul Ryan that tax legislation for a low tax rate for repatriation of profits back to the U.S. should be the next step, so that an infrastructure fund can be setup. Senator Levin and transparency advocates sees the EU action as normal and to be expected, as the anti-establishment sentiment today comes from such dealings that create the impression that the system is rigged in favor of some corporations. ...

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Not a cash sinkhole- Apple generates 25% of its revenue of 383 billion from the EU. A $13 bill tax bill is for taxes due and a $1.4 billion fine insignificant fine for Apple's size. Apple is not just device maker. Also an apps platform taking a percentage of revenues on its Apps store.

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The overall user and expert assessment is that Apple maps on the iPhone 5, even though it lacks the accuracy of Google maps, will improve in the next year and that its new turn by turn voice feature is convenient.

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David Segal takes a detailed look inside Apple's retail stores in the U.S. and talks with employees at different stores to find out what its like working as an hourly employee at an Apple store. World wide Apple's 327 global stores sold $16 billion in Apple products. Per employee the sales are about $473,000, but at an hourly rate of about $12 the average employee makes about $25,000 per year. After recent wage raises this could be up to about $36,000. The National Retail Federation says electronics stores have about an average of $206,000 in sales per employee. Contrary to what most people may think most of Apple's employees are not engineers and other professionals, about 30,000 of the 43,000 Apple employees in the U.S. work as hourly employees in the retail stores. Most are young people in the early 20's, single, with health insurance provided by Apple not costing as much for that age group. There is no career path and most leave after a couple of years. Because of the Apple mystique and the drive to create new user friendly products there are many young people looking for this kind of temporary work, especially now with high unemployment. ...

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Apple makes most of its products in China. This exposes Apple to high risk with the Chinese tariff set at 46% on April 2, 2025. If it passes on the tariff to customers it faces a loss in sales, if it does not pass onto customers the higher tariff price and cuts margins it will affect Apple profits. Apple's high margin strategy by making in China is now at risk. Apple had been given a warning to shift from over concentrating manufacturing in China. It did not heed the warning since 2016 and only made small shifts of manufacturing to India and Vietnam.

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Global smartphone shipment sales are dropping with sticker shock over new smartphone prices, dropping 7% worldwide, and 15% in China in third quarter 2018, according to Canalys. Apple sales have stagnated in China at 8% market share, and shipments volumes have declined by 11% in 2018. Apple gets 20% of its sales revenue from China. Apple is now in fifth place behind Huawei, Oppo, Vivo, Xiaomi in China. Each of the Chinese brands gained from 2 to 5% increase in market share while Apple with its high pricing has stagnated. Apple had high hopes for the Apple XR priced at $945 and ordered large volume of the phone for sale in China. It now has excess unsold inventory of that phone as Chinese competitors with prices at little over half the Apple price the Huawei Mate 20 are proving to be strong competitors. The fact that the Chinese market has declined by 15% in smartphone shipments hurts Apple, even though trade tensions have not created anti-Apple sentiment.   ...

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The European Union Commission says Ireland must recover 13 billion euros in back taxes for giving tax preferences to Apple that are against EU rules. The EU Commission says Ireland allowed Apple to pay a corporate tax rate of 1% on its European profits in 2003, and .005% in 2014. The EU Commissioner says the use of Ireland as the place where Apple pays taxes on operations in Europe has no base in reality, as most profits are earned in other countries outside Ireland. Taxable profits of Apple "did not correspond to economic reality," according to Ms. Vestager, the EU Commissioner.  In the current environment where political upheaval is unsettling the democratic process in the U.S., Britain, Spain, France and Italy, as well as in Brazil and other countries in the developing world- because of deep recessions, and efforts to cut the deficits with deep cuts in state spending including in education and healthcare, basic services- the moves by companies to reduce taxes to these absurdly low levels such as .005% when other companies in the EU are paying 12.5%, is becoming increasingly unpopular. As pointed out in this BBC News article this sounds like the way Carnegie, Rockefeller and Vanderbilt operated during the late 19th century, and were seen as operating in a manner that was above the law. Janet Yellen pointed out at a Boston Fed Conference on inequality in Oct 2014 that the bottom half of the distribution or 62 million households in the U.S. in 2013, had a net worth of about $10,000, One quarter of these households had a net worth of zero dollars. The working class and blue collar workers in the U.S. provide much of the support at Trump rallies. Younger college educated people support Sanders, because of the situation of the working and middle class in the U.S., and a similar situation exists in Europe. It is for the sake of the democratic process and delivering services in education, healthcare, and other basic areas to all, that companies small and large need to pay their fair share of taxes, regardless of size, influence, or technological advantages. Today this is is seen by most leaders who draw public support as the right way forward for the U.S., Latin America, Europe and Asian countries, including proper allocation of resources to best serve the needs of working people. For example the 13 billion euros is equal to all of Ireland's healthcare budget, and 66% of its social welfare budget.    ...

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Apple offers a new way to buy iPhones directly from Apple with financing in September 2015. This will change the way iPhones are sold, giving more control over the sale of iPhones to Apple. It will enable Apple to stabilize core sales for iPhones by encouraging upgrades every year. The monthly payments are $32.41 for 2 years for the cheapest iPhone. Apple is taking aim at the average upgrade time which is increasing- it went up to 26.3 months in 2015 from 18.2 months in 2010, according to a telecom consultant. With the iPhone 6 and iPhone 6 Plus sales surged for Apple in the first 3 quarters of 2015 by 50% from the prior year period. It will be harder for Apple to generate this kind of sales increase as the new iPhones introduced in September 2015- the iPhone 6s and 6s Plus have better cameras and "3-D Touch," only incrementally different. A 16 gigabyte iPhone 6s would cost $778, about the same as the $649 price and Apple Care coverage of $129. The way iPhones were sold through wireless carriers kept the price hidden with higher wireless service charges- 2 years of a Verizon wireless 3 gigabye data plan ended up costing users twice the amount of the $649 price of the iPhone. Now the competition among wireless carriers will shift to pricing cuts and changing their pricing strategies. The result of the changes is likely to be increasing shifts from one carrier to another as Apple allows direct buyers to choose the carrier they want....

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Bernie Sanders who won in 23 states running for president says the American system is broken and this is why DJT won in 2026. He says Biden genuinely wanted to bring the changes to help workers. Other Democrats simply wanted to patch the system, a little here a little there. This he tells Reid Epstein of the NYT is not working and Bernie Sanders says DJT is right that the system is broken. Sanders excoriated billionaires in his speeches. Yet the tech billionaires at Apple, Google, Microsoft, and Amazon have over the last two decades supported Democrats and yet paid a lower tax rate than firemen, police, teachers. Apple paid less than 15%, Google less than 16%, Microsoft less than 18% and Amazon less than 9%. This also constitutes an oligarchy similar to the oil companies and pharmaceutical companies. This makes it difficult to have a fair system of taxes that can fund the Nation's crumbling infrastructure, its manufacturing, its chips and advanced technologies, health and education of children. Sanders is focusing his efforts or 2025 to 15 Congressional districts where Republicans won by very thin margins. And he is on his way to Iowa City and Omaha, Nebraska, where the margins were so thin to get his message to workers.  This interview also provides a hint of how DJT has approached the issues with a willingness to try unconventional approaches and people who did not fit the mold. RFK Jr. at Health, Tulsi Gabbard at Intelligence, Lori Chavez at Labor. Something that Democrats have failed to do to look at different ideas and find solutions to intractable problems in unconventional ways. Epstein asks why Tulsi Gabbard who supported Sanders bid for president is now in the DJT cabinet.    ...