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The Next Wave Of Cyber Attacks Will See Data Carefully Changed Instead Of Stolen Or Destroyed

The biggest threat of cyber attacks faced by the United States is not stolen data but rather data that has been manipulated according to the Director of National Intelligence James Clapper.

In written testimony to the House Subcommittee on Intelligence today Clapper said “Most of the public discussion regarding cyber threats has focused on the confidentiality and availability of information; cyber espionage undermines confidentiality, whereas denial of service operations and data deletion attacks undermine availability,” he wrote.

“In the future, however, we might also see more cyber operations that will change or manipulate electronic information in order to compromise its integrity (i.e., accuracy and reliability) instead of deleting it or disrupting access,”

“Decision making by senior government officials (civilian and military), corporate executives, investors, or others will be impaired if they cannot trust the information they are receiving.”

Clapper told the committee Russia’s Ministry of Defense is establishing a cyber command, “which according to senior Russian military officials will be responsible for conducting offensive cyber activities.”

Clapper’s concerns were backed up by NSA Director Admiral Michael Rogers, who also testified, when he said “the use of cyber for manipulative, destructive purposes” is an increasing and unacceptable threat.

Cyber security experts say the largest cyber attacks so far this year have involved data theft, with 21 million personnel records hacked from the Office of Personnel Management. China was found to be behind the attack.

Another attack saw 4,000 records containing “sensitive” information being stolen from U.S. Joint Chiefs civilian email system, which was traced back to Russia.

Records obtained under the Freedom of Information Act also show that, between 2010 and 2015, hackers managed to enter Department Of Energy networks 159 times.

Experts say that information about critical infrastructure, such as that contained in the hacked Energy Department data, would be most attractive to hackers wanting to manipulate data.

They say the long awaited and much debated Cybersecurity Information Sharing Act of 2015, currently before the Senate Intelligence Committee, is meant to help prevent cyber attacks by encouraging companies to supply information on data theft, network attacks, data manipulation and loss to The Department of Homeland Security (DHS) which will coordinate the information before passing it on to the NSA, FBI and other security agencies.

But at today’s hearing, Committee Chairman David Nunes, questioned if the DHS was capable of doing it’s part effectively, noting the department’s Protected Critical Infrastructure Information Program hadn’t been audited since 2006.

“This raises serious questions about an Agency that many government representatives believe should be at the heart of our cyber security strategy” said Nunes.

In 2014 over 800 pages of sensitive information related to critical infrastructure was released accidentally by DHS under a bungled Freedom of Information request.

New Pentagon Report Finds That Iran Killed Over 500 U.S. Soldiers During The Iraq War

The U.S. military has affirmed that 500 American soldiers were killed during the war in Iraq by Iranian involvement as was widely proclaimed by the Republicans. The revelation, coming weeks after President Barack Obama concluded a nuclear peace deal with Iran, will complicate relations between the two states.

On Thursday, CENTCOM revealed that the speculated 500 number of Americans killed was not entirely inaccurate. The military said that more than 300 U.S. soldiers were killed by Iranian devices while another 196 died specifically due to Iranian made explosively formed penetrators.

A majority of the estimated 500 deaths occurred after then President George W. Bush sanctioned an influx of more than ten thousand troops to confront an imminent sectarian civil war.

Many of the deaths reported were attributed to improvised rocket assisted munitions (IRAM). The devices were described in a recent Joint IED Defeat Organization paper as “a rocket-fired improvised explosive device made from a large metal canister — such as a propane gas tank — filled with explosives, scrap metal and ball bearings and propelled by rockets.”

The IRAM, essentially an airborne roadside bomb, was “the signature weapon used by Iranian-backed militias that operate with the aid of Iran’s Islamic Revolutionary Guards Group.”

Prior to the report the U.S. military had capped the Iran attributed death toll to 196. It was not until July when the first military confirmation of the high death toll would be affirmed by Marine Corps Gen. Joseph Dunford. Dunford told a confirmation hearing, “I know the total number of soldiers, sailors, airmen and Marines that were killed by Iranian activities, and the number has been recently quoted as about 500. We weren’t always able to attribute the casualties we had to Iranian activity, although many times we suspected it was Iranian activity even though we didn’t necessarily have the forensics to support that.”

However, skeptical military analysts have said the number may be higher than the 500, given the nature of devices involved.

David Bolgiano, a retired Army Special Forces officer who served in Iraq in both 2006 and 2007 with the Joint improvised Explosive Device Defeat Organization, said, “It’s very difficult to quantify because, when you have an IED explosion that occurs in theater, you’d have to connect the dots and say, ‘Well, we have three U.S. casualties tied to that IED,’ and then that IED is tied to a specific copper-plated EFP from Iran. Often times, those forensics are missing.”

Iranian improvised explosives were the cause of death for hundreds of Americans in Iraq. The recently signed peace deal that will see decades of sanctions lifted on the Middle East country may have been concluded but it will be a long while before Americans can reconcile with Tehran.

Russia Is Building A Massive New Military Base Next To The Area It Stole From Ukraine

News that Russia is building a military base near the Ukrainian border shows the President Putin led Kremlin is preparing for a prolonged standoff with its Ukrainian counterpart according to experts.

According to documents obtained by the media, the base will contain barracks for 3,500 soldiers; ammunition depots for artillery, rockets, and other munitions; a 50 bed infirmary capable of being expanded in case of a “massive influx of wounded”; and even a barber shop, swimming pool and skating rink.

Local resident Alexander Panchenko, whose home overlooks the construction site said “They are building a military town.”

Reporters who approached the site earlier this week were told by workmen erecting a fence to mark off the construction area, which is only 15 miles from the Ukrainian border, to leave the area, and accused them of being spies.

The Russian Defense Ministry has not commented on media questions about the base and whether it had any connection with the Ukraine conflict.

Russia has been accused by NATO in the past of using temporary bases to send soldiers and munitions to support pro-Russian separatists into Ukraine, a charge which Russia denies.

Documents published on the Russian government website zakupki.gov.ru, show the military base is being built on a 300-hectare site near the town of Valuyki, with the initial construction phase being completed in April, 2016.

A representative of the Federal Agency for Special Construction which manages Russian defense installation projects, would not answer reporters questions about the work at the site, saying only that it was “a secret facility.”

Experts say that because Russia is no longer a member of the treaty on Conventional Forces in Europe, which limits the deployment of troops in Europe, it is able to move any amount of troops and weapons to its Western border.

Although fighting between Ukraine forces and Russia has died down and there is a truce in affect, its longevity is under threat as both sides have not reached an agreement on the withdrawal of troops and weapons from disputed areas.

New Survey Finds Americans Get A ‘D’ Grade In Science

Americans average a D when it comes to science, says a new study. Though the U.S. is known for a host of scientific breakthroughs in nuclear weaponry and space technology, very few Americans can score an above average in a science quiz.

According new research by Pew Research Center released Thursday, most Americans score just a “D” in basic science. The researchers quizzed 3200 adults on basic scientific questions. The questions ranged from high school physics to biology, geology and astronomy.

Results indicated that from the 12 questions, those who took the test averaged 7.9, just 66 percent.

A majority of those polled could identify the earth’s core as its hottest part (86 per cent) and also identify uranium as the chief element used in the making of nuclear weapons (82 per cent).

However, only 35 per cent could identify amplitude as the factor chiefly responsible for determining the loudness of sound. A lesser 34 per cent correctly figured that water boiled faster at higher altitudes than at sea level.

More shocking was that one in five Americans confused astronomy with astrology. More than 22 per cent defined astronomy as “the study of how the positions of stars and planets can influence human behavior.”

According to American Association for the Advancement of Science chief executive Rush Holt, “It may not be important to know that the core of the Earth is hotter, but it is important to know the difference between astronomy and astrology. It is important to know that science is based on evidence and that their daily decisions on daily life can also be based on evidence.”

Holt said what he found truly troubling was the demographic performance breakdown. Men scored higher than women, people with college degrees scored two points higher than those with only a high school education. Whites fared better than blacks and Hispanics, people aged between 30 and 49 scored the highest while those below 65 scored lowest.

Westerners performed the best while Southerners were the worst performing. On average, Republicans scored half a correct answer more than Democrats. Not a single group got 12 or even 11 questions correct.

Americans have failed in basic science even though the nation prides itself in being one of the top technological hubs on the planet. What is clear is that more emphasis on science is needed to make more Americans involved in the field.

The Amazon Of China Just Entered The Business Of Sports And Nobody Knows What To Expect

Chinese ecommerce giant Alibaba’s foray into sports has sent tongues wagging across the globe. The owner of Asia’s largest marketplace has expressed interest in dominating multiple spheres of online industries, with sports being its latest conquest.

Investors are now wondering whether the company is biting too much too soon and whether its expansion will result in loss of consumer confidence in the quality of their services.

Alibaba’s announcement on Wednesday that they would be entering the sports business through a new company, Ali Sports, sent ripples across the business world. The new company has a diverse ownership with Alibaba owning 55 percent, Yufeng Capital and Sina each control 12.5 percent while the new company’s management wraps up the board with a 20 percent stake.

Jack Ma, Alibaba founder and chair, recently said the company sought to invest in happiness and health going forward. According to the billionaire, sports is where the two meet. Ma said the company aimed at transforming China’s sports industry via modern internet enabled technologies.

The company did not reveal in detail the specific sports business they would be following.

However, a statement by the company said, “Alibaba Sports Group expects to integrate e-commerce, media, marketing, video, home entertainment, cloud computing and other Internet-enabled technologies to form a sports platform that will participate in different aspects of the professional sports industry, including sports copyrights, sports media, events, ticketing, etc.”

Sports in China has been a major focus for a majority of sports clubs, personalities and companies. Something Alibaba may want to cash in on. The company owns 50 percent of Guangzhou Evergrande, one of mainland China’s largest soccer clubs. Alibaba also has signed partnerships with sports clubs Bayern Munich and Real Madrid where it sets up online stores for retailers. Last month, the company partnered with NBA star Kobe Bryant to distribute his feature length documentary “Kobe Bryant’s Muse” and also to market several branded products.

Alibaba has been in an aggressive investment mode that has seen the company develop more ventures under its wing beside sports. Only a few weeks ago the company launched its video streaming service a la Netflix while simultaneously taking up a stake in the latest “Mission Impossible” film.

Alibaba did so through a partnership with Paramount where the company will distribute the movie in China and supervise its online ticketing and promotional work. Investors are now wondering whether the NYSE listed company is taking in more than it can chew.

According to Bloomberg analyst Adam Minter, “For now, this is a China play. This is all part of the massive content grab that the big Chinese Internet companies are in the midst of.”

Alibaba is growing leaps and bounds. Through venturing into China’s sports industry, the company seeks a share of the country’s growing sports market while netting in tidy revenues for the company. Investors may either reap big from the new venture or fall flat.

Apple Faces Backlash Over Role Of Women In Its Yearly Product Unveiling

By “fixing” the smile of a woman in its yearly product unveiling earlier this week, technology behemoth Apple has been accused of sexism. The act occurred while demonstrating the new iPad Pro, when Adobe’s director of mobile design, Eric Snowden, edited an image of a woman in order to digitally manipulate, or “fix”, her mouth so that the woman appeared to be smiling.

Snowden said to the crowd at hand that he wished the woman had “more of a smile” before proceeding with the image manipulation.

While the audience applauded at the time, it was not long before accusations of sexism began quickly rolling in.

One twitter user wrote, “Now Adobe can literally “Fix” pouty women for you. Way to go guys!”

Other users critiqued both Apple and Adobe for not thinking through the situation better.

Many people believed that the situation was reminiscent of men asking women to smile. This demand is often considered to be demeaning and rude by women. Founder and CEO of Women in Technology International, Carolyn Leighton, said that while she doubts anything malicious was intended, she believes that the photo subject was a poor choice.

Leighton said, “It just triggers this feeling that so many people have. It’s just like when these companies put men in front of the camera instead of women. People are out of touch with the fact that women are equal partners in the field.”

The criticism continued to pour in from there.

Spectators soon brought up the fact that only three women were featured in the presentation but only one of the three women was an employee of Apple.

Meanwhile, more than ten men were included in the demonstration.

Critics also complained that the woman that was present talked about shipping, a relatively unglamorous and low-level role. It’s also worth mentioning that at an Apple even in June of 2014, no women presented.

Vice President of Government Relations at the American Association of University Women (AAUW) Lisa Maatz was also disappointed by the lack of female representation. She stated, “We need role models. To have Apple’s big launch only featuring a few women, doesn’t give girls an encouraging message about technology being a future career.”

Apple CEO Tim Cook said in an interview earlier this year that the failure to reach out to women lies with the tech industry as a whole. However, he admitted that greater diversity was required.

A report from the AAUM indicated that only 26% of jobs related to science, technology, engineering, and mathematics are held by women. In 1990, women held 35% of such jobs. Meanwhile, a report from last year showed that seven out of every ten Apple employees were male. But Apple is taking steps to improve the situation, as the company says that it has hired 11,00 women over the past year, which is a 65% increase from the year prior.

Goldman Calls For $20 A Barrel Oil Due To Weak Demand And Global Oversupply

Due to the consistent decline in oil prices week after week, Wall Street heavyweight Goldman Sachs has had to modify its price forecasts for the commodity as it does not appear that price support is anywhere in sight.

While the decline in oil prices is good for consumers, in the form of lower gas prices, lower airfares, reduced home heating costs, it is not necessarily good for the global economy as a whole.

The problem is simply a case of supply and demand. With respect to oil, there is a major oversupply and increasingly less demand. Essentially, the world’s surplus of oil is even greater than Goldman Sachs initially thought and the trend could lead to a major drop in oil prices to just $20 per barrel.

In a statement the company said that, “The oil market is even more oversupplied than we had expected and we now forecast this surplus to persist in 2016 on further [Organization of Petroleum Exporting Countries (“OPEC”)] production growth, resilient non-OPEC supply and slowing demand growth, with risks skewed to even weaker demand given China’s slowdown and its negative emerging market feedback loop.”

The company further stated that, “We now believe the market requires non-OPEC production to shift from our prior expectation of modest growth to large declines in 2016. The uncertainty on how and where that adjustment will take place has increased.”

The sources of stress on the industry include an abundance of oil coupled with a lack of storage space. Goldman estimates that the oil industry added approximately 240 million barrels of petroleum to available storage tanks between January and August of this year.

The company projects that available storage capacity (outside China) is about 375 million barrels coupled with an inventory build of about 240 million barrels.

Goldman further elaborated that “In the event that storage fills faster than we forecast or capacity is lower than we model, the potential downside to our oil price forecast from hitting storage capacity is significant.”

Given the current situation, Goldman modified its one-month, three-month, six-month and 12-month oil price forecasts to $38, $42, $40 and $45 per barrel. Those figures are down from its previous predictions of $45, $49, $54 and $60.

Additionally, the company modified its 2016 average price forecast from $57 down to $45 per barrel.

Study Finds Humans Keep Dying From Bad Habits Despite Knowing The Risks

Despite advances in both awareness and medical science, people of the world are behaving badly and engaging in risky activities. So much so, in fact, that the rate of deaths related to avoidable health risks has increased by 23% since 1990.

According to a recent study, more people are dying from preventable causes such as high blood pressure and smoking than ever before.

Scientists reached the conclusion that a range of 79 various health dangers led to 30.8 million deaths in 2013. This is a stark increase of more than 5.7 million deaths from 1990, and that even takes population growth and ageing into consideration.

The study’s coauthor at the University of Washington, Ali Mokdad, said “To put it in plain English, we are behaving badly. I mean we know very well that smoking kills and that blood pressure is another killer. Nobody risks not changing the oil in their car, but nobody pays the same attention to their own body.”

High blood pressure was the leading cause of preventable deaths, with 10.4 million deaths in 2013. Smoking was good for second place, and obesity was the third leading cause of death. High blood sugar levels and heavy sodium intake rounded out the top five.

Diet choices were found to be a big reason as to why more people are dying in such a manner. The study discovered that diets high in red meat and sugary drinks while being low in fruits and vegetables represented 21% of deaths in 2013.

Meanwhile, malnutrition in children and dirty drinking water were no longer in the top 10 most lethal risks. That being said, having a lack of food still resulted in 1.3 million deaths of children, and it was the leading cause of mortality for children under the age of five. Sub-Saharan African countries such as Chad, South Sudan, Democratic Republic of Congo, and Somalia were particularly plagued by this issue. For poorer countries, childhood malnutrition remains a major concern.

Gender was also found to play a role in an individual’s likely cause of death. Smoking was discovered to the second most likely preventable death in males, with 4.4 million deaths in 2013. However, the number for females was roughly two-thirds lower.

Alcohol was a top ten risk for men, but this was not the case for women. Consuming foods high in salt content was found to be a greater concern for females than it was for males.

Causes of death also varied by region. The Middle East and Latin America struggled with obesity. India had problems with unclean water and childhood hunger. Russia showed concerns with alcoholism. Wealthier countries such as Great Britain often featured a smoking epidemic. Africa had an array of issues including childhood malnutrition, dirty water, unprotected sexual intercourse, and alcohol.

Chinese Internet Giant Tencent Just Released A Robot Reporter And Chinese Journalists Are Freaking Out

Journalists in China, who historically have had a difficult time doing their jobs because of heavy censorship and control by the Government, have now had another worry added to their plates – fears their jobs could be taken over by robots.

The fears arose as Tencent, the Chinese social media and gaming giant, announced a robot had written the company’s latest business story in a “flawless 916 word article” released via Tencent’s instant messaging service portal QQ.com.

Chinese reporter Li Wei, who is based in Shenzhen, said “The piece is very readable. I can’t even tell it wasn’t written by a person,”

The business report, written in Chinese, was produced by robot journalist Dreamwriter, and reportedly only took one minute to produce. Dreamwriter specializes in covering financial news with ease.

Although ‘robots’ in the form of computer software have been producing basic newspaper articles and reports in the U.S since 2012, the news of a robot reporter in China, which has very limited media freedom, has created waves of anxiety.

Chinese media experts reported that news of Dreamwriter’s achievement sent “local reporters scurrying to the bathroom as they envisaged the end of their careers.”

The reporters fear that because robots can be adapted to understand and produce Chinese-language reports, and because robot reporters have now been adopted by one of China’s most influential internet companies, it could signal the beginning of a new era in terms of what or who produces news.

“I’ve heard about robot reporters for a long time, but thought they only operated in the United States and Europe,” reporter Wei said. “I’m not ready to compete with them yet.”

A Chinese reporter from Guangzhou said “You know, many reporters working for government-run newspapers across the country usually copy and paste the statements and news press. They are not allowed to express doubt or really investigate reports against the authorities. So robot reporters could easily replace a lot of Chinese reporters like this nationwide.”

The First American F1 Team In 30 Years Is Already Shaking Things Up Across The Grid

New American Formula One racing team Haas F1 is already shaking things up after rival teams have expressed anger over its partnership with F1 legend Ferrari.

The partnership between the two is a thorny issue for many rival teams as F1 strictly prohibits the entry of “customer cars” into racing. Each team must create their own and cannot just buy a completed car from someone else.

For Haas and Ferrari, so similar are their cars and driving, the only visible difference between the two cars will be their body chassis.

Ralf Bach, on his website the F1 insider, said the two parties were collaborating efforts to skate as close as possible to the current rules forbidding “customer cars.” However, that the two are the same unit, could not be any more visible, even for a newcomer to F1.

American outfit Haas already has deep ties to Ferrari as it sponsors the team through machine tool company Haas automation.

Haas will be receiving basically everything that can be legally bought from the rival turned partner. The exchange comes after the two crafted a 2016 technical partnership and engine supply deal.

Haas team boss Gunther Steiner said through F1’s official website, “Of the teams that came into the sport in the last decade only one is left, so we thought it through and came up with some quite different ideas. You cannot do more of the same if the recent past has shown that more of the same doesn’t work.”

With the whole body borrowed from Ferrari, Haas embarked on a search for its 2016 driver and who better to do the job than someone as knowledgeable and experienced as a Ferrari driver.

Despite pressure to put an American at the wheel recent comments by owner Haas pointed to Ferrari reserve Esteban Gutierrez as the first man behind the wheel.

Asked about whether Haas was a Ferrari-B car, Steiner said, “It is difficult to say percentage-wise, but it is going in that direction. But don’t get me wrong, we still build our own chassis and bodywork.”
What the partnership shows is that owner Gene Haas, already a NASCAR legend, is deadly serious about being competitive in the pinnacle of motorsport. His strategy shows a deep understanding of both the technical and business side of motor racing and means that when the team launches next year American fans are going to have something to legitimately cheer for.

Move Over Rover, NASA’s Working On A Radical Space Exploring Hedgehog

Stanford’s Jet Propulsion Laboratory (JPL) in collaboration with MIT have conceived of a new means of asteroid exploration, modeled after a Hedgehog. The prototype robot does not need wheels, legs, or conventional means of locomotion. It instead relies on an internal series of flywheels that can be accelerated or decelerated to cause inertial reaction movements in order to get the robot where it needs to go.

Recent tests on the cube have involved its performance in a microgravity environment, which is similar to what it will encounter on its planned missions to asteroids, comets, and similar bodies.

Because the gravity on these objects is so small when in space, wheeled transport does not have sufficient traction, along with the constraint that the wheels must be facing downward in order to work.

The same problems apply to a design using legs, so the team behind the Hedgehog went with a cube-based design containing three “reaction wheels.” Because the cube is symmetrical, there is no right side up to maintain when landing on an asteroid, or comet. Again, due to the low gravity on its proposed missions, the internal reaction wheels will be able to generate enough torque on the Hedgehog to cause it to jump great distances, when needed.

It is easy to envision a scenario where the Hedgehog could land in a depression on the surface of a comet or asteroid, requiring it to launch itself to a more favorable position with sunlight exposure in order to power its solar panels.

Marco Pavone of Stanford commented on the progress of their design, “The general strategy is to make this ready for flight, at least in its most basic configuration, fairly soon, so that whenever a flight opportunity arises, we can raise our hands and say, ‘look, we have an option here with a secondary payload to dramatically increase your science with a minimal cost.’” With the modular design of the Hedgehog, it is a relatively simple matter to mix and match the desired instrumentation for a proposed mission.

Study Finds Pornography Viewers Are Actually More Respectful Towards Women

While many people in recent years have complained that watching pornography causes negative attitudes about women, a recent Canadian study has found that this is not actually the case.

In fact, typical viewers of adult entertainment might actually possess more favorable views toward women than non-viewers.

Researchers at London, Ontario’s Western University stated in a paper that pornography enthusiasts might even be “useful allies” in helping women fight for equality in work, income, and public office.

Predictably the paper is already receiving intense criticism.

The study unequivocally challenges the widely-held belief that watching pornography is damaging. The leader of the study and post-doctoral fellow in psychology Taylor Kohut said, “I’d rather not live in a culture where our government, lawmakers decide to regulate, outlaw behaviour or material because they assume it’s harmful. I’d rather they demonstrate it is, first.”

The study examined data that was obtained from 35 years of the General Social Survey. The survey interviewed roughly 24,000 men and women on a variety of issues on an annual basis.

The results showed that 23% of people who watched pornography in the last year were no more or less likely than abstainers of porn to identify as feminists or voice support for the traditional family.

Surprisingly, porn viewers expressed more positive attitudes towards women in positions of power on average. They also showed fewer negative perceptions about abortion and women in the workplace.

However, some anti-porn academics are challenging the study, claiming that it goes against the vast majority of research in the area. Sociology professor at Boston’s Wheelock College, Gail Dines, said, “The easy and free access to often-aggressive sexual clips on the Internet has spawned a ubiquitous new porn culture that is warping young men’s sexual behavior and attitudes as never before.”

Dines continued, “Maybe some of these guys do believe in abortion more, maybe they do believe women should hold office more, but they still want to ejaculate on the woman’s face and they still want threesomes and all that. Men have less interest in actual sex with a real woman; they want to act out the porn sex.”

Dines also questioned the validity of the study, since the average age of respondents, 45, is not representative of teenagers and young men.

Yet the era of the internet has shown an increase of indicators of male aggression, as instances of rape and domestic violence have become more commonplace, despite questions over whether it’s porn related or more a derivative of increased communication in society at large.

However, other individuals believe that the new study is congruent with the current literature which offers an unclear picture on the effects of pornography. While some studies focus on the negative impact of porn, others suggest that it can actually be positive.

Psychology professor at Texas A&M International University said, “Any tiny effect that porn is having is being washed out by a lot of other, more important things. I think if porn were going to ruin society, it’s already had 20 years to do it, and it’s not happened.”

Kohut mentions that the once widely-held view that pornography is a malignant force has been largely dismissed by society. But controversy is still present. The moralistic arguments of prior generations have been replaced by notions that porn promotes “women hating”, or a sense that women are objects of sexual exploitation for men. However Kohut argues that there exists almost no empirical data to support such a viewpoint.

According to Kohut, the study offered insights which go beyond just simply male attitudes. The study suggested that female porn viewers were equally egalitarian as others. This goes against the common belief that pornography trains women to simply accept subjugation.

Kohut also stated that the results might be somewhat explained by the fact that watchers of pornography are typically more liberal individuals, and non-watchers are usually more likely to be socially conservative or religious.

Careful What You Crowdfund: Large Companies Are Lurking To Steal Your Hot Idea

Corporate behemoths are resorting to stealing ideas from Kickstarter successes as they try to find the next big thing. The popular crowdfunding website allows small-time innovators to bring their creations into the world and potentially challenge large corporations in the marketplace.

However, large corporations aren’t sitting still and are instead taking advantage of this by creating their own products that are strikingly similar to successful products on the crowdfunding website.

A good example of this phenomenon can be found in the Pebble Time Smartwatch. It became the most heavily funded Kickstarter campaign in history when it raised $20.3 million. An earlier version also raised $10.3 million in 2012. The Pebble was an incredibly innovative product. It features a long battery life, music controls, and functionality with both Android and iOS.

After its release, big technology companies such as Samsung and Apple quickly got into the game by releasing their own wearable devices.

While the underdogs from Kickstarter have a slight edge by getting into the market first, analysts remain skeptical that these small crowdfunded companies and their innovative ideas can defeat industry giants.

Chief analyst at Jackdaw Research Jan Dawson says, “It’s extremely tough for a product that starts on Kickstarter to compete in a meaningful way with the big established tech companies in categories they are interested in once they start to really invest. Apple spent $20 million in research and development per day last quarter, so even the biggest Kickstarter projects are tiny in comparison and should be seen in that context.”

While these small businesses are not dominating the market, they are paving the way for larger companies to release similar products. The small businesses do not steal market share, but rather they establish new markets. This can be seen in the sales figures. It took Pebble 18 months to sell 1 million watches; Apple did this in less than one day.

It can be surprising that large technology corporations fail to move into new innovations quicker. According to Stanford University business professor Charles O’Reilly, big companies are often unwilling to risk revenues in order to establish unproven ventures. O’Reilly says, “Leaders are focused on the short term and, even as they pay lip service to the long term, they are unwilling or unable to be ambidextrous. This gives startups a window to scale up, and this often means that by the time the mature organization responds, it may be too late.”

Scale of production is another factor contributing to this phenomenon. Kickstarter campaigns don’t need to worry about selling millions of units. Since Kickstarter users able to accurately estimate the demand of their products based on the success of their campaign, they can have production runs that are sized accordingly. Meanwhile, a big company such as Apple or Google is forced to produce millions of units and hope that they all sell. Thus, there is more risk for a larger company to be “innovative”. Instead, they are letting smaller companies take the initial risk, and once they realize that a product is a hit, they simply create their own version.

Lead for technology and design projects at Kickstarter John Dimatos says, “This approach really cuts down on the risk involved in trying something new. Ideas come to life that wouldn’t have a chance inside of a big corporation, and sometimes those ideas catch on with a much wider audience.”

Regardless of whether or not small Kickstarter companies have the ability to steal market share, these indie innovators are increasing the scope of what can be achieved with a little innovation. However, it might end up being the larger companies that ultimately profit due to their financial power and widespread name recognition.

Honda Becomes The Latest Car Manufacturer To Obtain Self Driving Car Permits In California

California is gearing up for self-driving cars to hit the road. Most recently, Japanese auto manufacturer Honda has received permission from the state to drive its upcoming line of autonomous vehicles on public streets. Honda joins other companies including Google and Volkswagen in being allowed to test the exciting new technology.

Honda is the most recent company to receive a permit from the California Department of Motor Vehicles to make use of self-driving vehicles. Other companies listed on the California DMV website include Mercedes Benz, Tesla, Nissan, and BMW.

Honda has already been incorporating advanced driver-assistance systems into its models of Hondas and Acuras. The company is one of many carmakers that is investing heavily into self-driving technology while some companies, such as Tesla and BMW, already offer semi-autonomous features in their vehicles.

A spokesperson for Honda stated that the company has already obtained an autonomous vehicle testing facility northeast of San Francisco in the city of Concord, CA. At this location, cars can be privately tested before on-road testing takes place.

A handful of states have already passed legislation that allows the testing of self-driving cars on public roads. Other states include Michigan, Florida, and Nevada. Automotive manufacturers have stated that the technology to produce self-driving cars is expected to be available by 2020.

Three Charged In Multi Billion Dollar Global Money Laundering Operation

U.S. authorities have charged three Colombian nationals in connection with a large scale money laundering operation connected to drug trafficking. The three were charged for their involvement in the laundering of billions of drug proceeds.

The news comes as authorities are urging banks to have stricter controls to ensure dirty money is not deposited in their accounts, benefitting criminals and compromising the safety of the American people.

The three Colombians accused were charged with coordinating the running of a multi billion dollar money laundering network that cleaned billions in drug money through bank accounts in Hong Kong and China.

The Guangzhou, China, organization brought in a minimum of $5 billion of drug money into the U.S., Colombia, Mexico, Panama, Canada and Guatemala. Also included in the transfers were parts of Africa and Europe.

One of the three accused, Henry Poveda, appeared before a Brooklyn federal court on Thursday. The other two accused, John Jairo Hincapie-Ramirez and Christian Duque-Aristizabal, are both in custody in the state of Panama, awaiting extradition proceedings.

The three are facing a single charge of conspiracy to launder money.

The indictment reports that the three used Chinese casinos, export companies, currency exchanges and factories to receive billions in drug money. The money then travelled through accounts in Hong Kong and China before ultimately being used to buy goods in the western hemisphere.

Poveda’s lawyer, Mia Eisner-Grynberg, appointed by the court, declined to issue a statement on the case.

A fourth defendant in the case, Yuing Luo from Hong Kong, already pleaded guilty to conspiring to money launder in April. Arrested in September 2014 at Newark Liberty International Airport, New Jersey, Luo could face up to 20 years in jail for her crime.

Authorities have increasingly been urging banks to tighten their controls and ensure no laundered money passes through their ranks. In 2012, HSBC holdings was compelled to pay $1.9 billion to resolve accusations it allowed money laundering in Colombia and Mexico.

Money laundering activity contaminates bank records with illicit activity and cleans dirty money from illegal source. Through banks upgrading their detection and reaction systems, they will be able to stop further laundering activities.

Heavyweight Space Contractors Team Up With Blue Origin To Fight Threat Posed By SpaceX

The U.S. military’s largest supplier of rockets, United Launch Alliance (ULA), announced on Thursday the acceleration of their work with Amazon CEO Jeff Bezos’ space firm Blue Origin.

The two companies had previously agreed to develop a liquid natural gas rocket as a replacement for the Russian-made RD-180, which currently power the Atlas 5 rocket made by ULA. Following a ban on importation of the RD-180 in response to the Russian invasion of Ukraine, development of a domestically built booster for the Atlas 5 began.

Concerns about the progress of the ULA-Blue Origin partnership’s timeline for production of a replacement booster have been raised due to the fact that Blue Origin’s proposed design uses liquid natural gas, whereas the RD-180 uses kerosene.

Known as the BE-4, the new engine’s fuel of liquid natural gas has lower density than kerosene, and will require larger fuel tanks than the RD-180. Although this will require changes to the current Atlas 5 design, current estimates specify a completion date by 2019.

The BE-4 is based off Blue Origin’s BE-3, which powers its vertical takeoff and landing vehicle known as New Shepard.

Competing firm Aerojet is at work on its AR-1 engine as an alternate to the BE-4 for use in ULA’s future rocket design, the Vulcan. Aerojet is estimated to be 16 months further behind in their design process than Blue Origin is with the BE-4. They have also made a buyout offer of $2 billion to ULA, in a move that would guarantee its AR-1 contract.

Aerojet’s extensive experience supplying ULA with engines have led some to call the offer a sensible one.

The current model has joint ownership of ULA by Lockheed Martin and Boeing , a partnership that has been associated with cost overruns for the duration of its nine-year life.

The Pentagon granted launch authority for spy and military satellite to SpaceX earlier this year as a cost-saving measure. If ULA were to accept Aerojet’s buyout offer, further cost savings might be had by replacing ULA’s current dual owners with a company dedicated to the rocket business, and with a proven track record.

Hungary Latest European Country To Fight Migrants As It Accelerates Construction Of Razor Wire Fence

Hungary has reached its tolerance for fleeing refugees related to the crisis in Syria, after announcements that a razor wire fence spanning the Serbian border to its south would be completed by October.

The fence was originally planned for an October 31 completion, but has recently been expedited for completion within weeks. The number of refugees fleeing to European countries has been rising ever since the Arab Spring in 2011, which in Syria was followed by a crackdown from al-Assad’s security forces.

Around four million refugees have been fleeing the brutal campaign of Syria’s Bashar al-Assad, in some cases clinging to the underside of vehicles or overloading life rafts as they try to find a place to stay while war rages at home. Many have been living in camps in Turkey and other countries, with no options to better their situation for months or years.

Fed up with the situation, they have made the choice to flee to Europe in many cases, putting them on a path through Hungary if they go by land, and by sea to Greece.

A barb wire fence seems rather tame compared to previous efforts by the U.S. and European countries to stem the flow of refugees by paying former Libyan leader Muammar Gaddafi’s government to intercept and return migrants that were fleeing to Europe in the years before the Arab Spring.

Following Gadhafi’s fall in 2011, the flow of migrants began to climb, reaching its highest levels this year with the addition of refugees from Syria.

Most European nations are unwelcoming to migrants, but Germany is one exception, allowing asylum to any refugees as long as the country of origin is deemed “unsafe.” In an announcement on Tuesday, the nation stated that it can harbor 500,000 refugees per year for several years.

Countries in the region will look to employ their own security measures as the situation in the Middle East continues to escalate. The rising conflict between Sunni and Shia Islam was most recently illustrated with the pledge by majority Sunni nations Egypt, the United Arab Emirates, and Qatar to send more troops to Yemen, where Saudi Arabia is battling Iranian-backed Houthi rebels.

Get Ready For A Flood Of Instagram Ads As Facebook Approves Cluttering Of Once Ad Free App

Instagram just launched its revamped advertising program that will see more ads with longer airtime flood the social site. Instagram, wholly owned by Facebook, is seeking more revenues through ads going forward. Users are now wondering whether the new system will complicate the site’s usage or dilute its appearance, much as it did with Facebook.

Instagram announced on Wednesday that it would make ads ‘available’ in more than 30 countries including Mexico, India, South Korea, Italy and Spain. Initially, ads were only available in the U.S. and for specific companies after been launched in 2013. Soon, the service was stretched to Britain and only last November did Canadian users see ads on their Instagram screens.

After users remained active despite the ads, Instagram execs decided to ramp up its ads service across its 300 million worldwide users.

The new service will introduce three aspects to the site. One, ads will be available in more than 30 countries by end of September this year. They will not only be targeting big industries, as they were before, but also small markets.

Two, the ads will be longer. Before, only 15 second ads were allowed, similar to the maximum video length on posts. Now, ad length has been stretched to a maximum of 30 seconds, meaning television advertisers will have more standardized formats and larger buying options. Businesses will be able to easily port their TV commercials on the social media site.

Third, Instagram will see more advertisers from a larger sphere after recent updates involved call to action prompts such as “Shop Now”, “Sign Up”, “Install Now” and “Learn More”. These will be able to link users outside of Instagram for their services.

To boost ad postings, parent company Facebook reiterated a Nielsen research report that indicated the 457 ad campaigns it hosted were 2.9 per cent more successful than online ads.

The introduction of ads by parent company Facebook shows the listed company’s aggressive push for increased revenues. Currently, Facebook’s mobile ad income has been rising fast in the last few years. They totaled $7.4 billion in 2014, up 135.7 per cent from 2013. The incomes, including those from Instagram ads, accounted for 17.4 per cent of the world mobile ads, placing Facebook as second to Google with 38.2 per cent.

The ads are not Facebook’s only venture to increase ads. After a similar ramp up to its 1.5 billion users, Facebook recently launched a news feature, Instant Articles, that will bring news directly to its platform. The company will nudging users to spend less time outside Facebook and more time accessing news on its servers while viewing and clicking on their ads.

Facebook is seeking to increase its global footprint in the ads market. By being available to close to a third of the world’s population, the site will be pushing more ads up smart phone screens to push revenues up. Ultimately, the focus on ads could kill the user experience and the company afterwards.

Zimbabwe Bans Cereal, The Key Ingredient In Moonshine, In Boarding Schools To Curb Underage Drinking

Boarding schools in Zimbabwe are banning cereals after it was discovered students used the food stuff to make potent alcohol. Alcoholism in Zimbabwe is growing with more youth being reported to be struggling to kick the dangerous habit. Through banning cereals, the country’s educationalists seek to contain exposure of the youth to the harmful drug.

Three schools in Zimbabwe warned parents against providing their students with cereal. The schools, predominantly in the south of the African state, told parents that any oats or sorghum meals would be confiscated when their new terms began after it was discovered students used the meals to make alcohol.

The warning paper to parents read, “Pupils reportedly mix the cereals with brown sugar and yeast and leave the mixture to ferment in the sun, creating a potent alcoholic mixture which the pupils drink right under the noses of school authorities.”

Tennyson Hlabangana High School in Zimbabwe’s Bulawayo town, sent a message to parents instructing them specifically against bringing Morvite powdered cereal or oatmeal porridge to school.

One of the parents reported receiving a text message specifically warning her against buying Morvite when purchasing groceries for her children. She said the ban was enacted “after conducting our investigations we established that the cereal was being fermented into alcohol.”

Local chemist Michael Dube said the manufactured oatmeal alcohol was dangerous as it had unsafe levels of alcohol that exposed the underage drinkers to excessive toxins. Dube said, “The danger of doing this is that there is no method to control the alcohol content. Their beer might have high alcohol levels, which may be a threat to their health.”

Underage drinking in Zimbabwe has risen to become a national crisis. Just recently, youths in Bulawayo, some as young as 13, were arrested after being found drinking alcohol at a local “vuzu” party in the outskirts of the city.

Underage drinking is destroying the futures of many young people in Africa and across the world. In some cases, where the drinking is coupled with harmful substance abuse such as smoking marijuana or inhaling cocaine, more severe consequences in the form of health complications emerge.

Al Qaeda Leader’s New Statement Exposes Deep Rift With Rival ISIS

Al Qaeda leader Ayman al Zawahiri has issued a statement denouncing ISIS leader Abu Bakr al-Baghdadi’s claims to the title of fourth caliph, as part of a recorded message that was released on Wednesday. The title would designate Baghdadi as a successor to the prophet Muhammad, and leader of the Muslim community.

Zawahiri moderated his message by also stating that al Qaeda would fight alongside ISIS if the option presented itself, but such claims contradict the battles that have been taking place between the two groups in Syria. The announcement was still a welcome development to defense officials, who until now could not confirm the extent of the division between the two terrorist groups.

National Counterterrorism Center Director Matthew Olson has stated that this division could be driven wider by the U.S. and its allies with the use of misinformation campaigns. Previous battles between the two groups have included the reported killing of one of Zawahiri’s top representatives by ISIS in February 2014, which occurred during an attempted peace agreement.

Al-Zawahiri’s proclamation is an attempt to delegitimize ISIS, but also to take back some of the prestige that al Qaeda possessed prior to ISIS’ split from the group two years ago in Iraq.

Zawahiri explained his rationale, “We preferred to respond with as little as possible, out of our concern to extinguish the fire of sedition, but Abu Bakr al-Baghdadi and his brothers did not leave us a choice, for they have demanded that all the mujahideen reject their confirmed pledges of allegiance, and to pledge allegiance to them for what they claim of a caliphate.”

Other Muslim governments may also be able to exploit this rift between the two terrorist groups, as stated by Nicholas Palarino, a former counterterrorism adviser to the U.S. Congress, “The leaders of Jordan, Kuwait, Saudi Arabia, and Egypt can explain the differences between these two groups to the world’s Muslims.”

Marine Corps Trials Find Mixed Gender Combat Units Significantly Underperform All Male Units

A recent study by the Marine Corps found that units consisting exclusively of males were quicker and more lethal than mixed-gender units. Squads that were entirely male performed more efficiently in 69% of the tasks that were evaluated.

The study was conducted using a battalion of 100 female and 300 male volunteers. These volunteers trained in North Carolina and California by participating in realistic combat activities. The all-male units performed better than mixed-gender units. They were more accurate, faster, and less likely to be injured.

The main focus of the Marine study was to find ways to achieve maximum combat effectiveness. By achieving maximum combat effectiveness, injuries and casualties can be reduced, and tasks can be completed more efficiently.

Despite the results of the study, many people remain hopeful that women can participate in combat roles for the Marines. Defense Secretary Ash Carter says that he hopes to eventually open all combat jobs to women. The Pentagon removed a ban which prohibited women from serving in combat roles in January of 2013. However, many question how the military can open certain jobs to women without lowering combat standards.

This news comes after two female soldiers graduated from the United States Army’s Ranger School in Fort Benning, GA. The school is a grueling course which emphasizes physical strength and endurance.

This study is the first study of gender integration on ground combat units conducted by the United States government since 1992. The previous study concluded, “Unnecessary distraction or any dilution of the combat effectiveness puts the mission and lives in jeopardy. Risking the lives of a military unit in combat to provide career opportunities or accommodate the personal desires or interests of an individual, or group of individuals, is more than bad military judgment. It is morally wrong.”

New DEA Chief Perfectly Happy To Double Down On Wasteful ‘War On Drugs’ Strategy

The country’s new DEA chief has staunchly defended the agency’s ill-fated war on drugs after he emphatically criticized the legalization of marijuana. Lawyers, doctors and the population in general were looking for the new head to take a softer stand on the plant as increasingly more cities and states in the U.S. adopt more lenient laws on the drug.

Instead Chuck Rosenberg said he would not support the legalization of marijuana during an interview with Fox News. The discussion was centered on the rising heroin epidemic in the U.S. and when the topic of marijuana came up, Rosenberg said he did not think marijuana was as dangerous or harmful as heroin but still said he found the drug dangerous.

Rosenberg said “Marijuana is dangerous. It certainly is not as dangerous as other Schedule I controlled substances; it’s not as dangerous as heroin, clearly, but it’s still dangerous. It’s not good for you. I wouldn’t want my children smoking it. I wouldn’t recommend that anyone do it. So I don’t frankly see a reason to remove it.”

Rosenberg further expressed the DEA’s stance on tougher marijuana laws by saying the department would enforce federal laws on marijuana even for states and cities that had legalized the drug.

The department’s head said, “I’ve been very clear to my special agents in charge: If you have a big marijuana case, if that, in your jurisdiction, is one of your biggest problems, then bring it.”

While it is the DEA’s job to enforce federal laws, regardless of how ill-conceived, the comments raise troubling questions about the level of knowledge on the issue held by Mr. Rosenberg.

Marijuana has been found in countless academic studies to be safer than almost any other drug, including alcohol. Drinking is responsible for more violent deaths and injuries than any other drug type combined.

American states and cities are increasingly waking up to this reality and adopting more smoker-friendly laws on the drug.

Between 2012 and 2014, both Colorado and Washington passed regulations decriminalizing and legalizing the drug. Both have even gone ahead to open the first legal retail markets for the drug in the U.S. In 2014 alone, Alaska, Oregon and Washington DC legalized the drug.

Reformists have been advocating for the drug’s legalization by mere dint of its medical benefits based on the fact that many studies have indeed found cannabis to be medically beneficial. The plant is a powerful anti-inflammatory, it assists in the prevention of Alzheimer’s and even helps in killing harmful cancer cells. Recently, the government backed National Cancer Institute admitted to its anticancer properties.

Many legalization advocates are wondering why the DEA would take such a strong anti-legalization position while ignoring all the plant’s benefits. It seems the tide has turned and the DEA risks being swept out to sea.

Britain Is Now The Go To Place For ISIS Recruiters And No Easy Solutions Are In Sight

The Islamic State is well known for its savvy use of social media to attract naive young recruits but the terror network is particularly successful at recruiting young Brits. The phenomenon has torn apart families and caused extreme terror in Great Britain where cases of people leaving their friends and families to join ISIS have been regularly plaguing the British media.

In February, two teenage girls fled Great Britain to marry men approved by ISIS authorities. In June, three women along with nine children traveled to Syria in order to join the terrorist group. And just last week, a mother of four children was arrested upon entering Britain due to fears she had traveled to Syria along with her four children. Stories like this are becoming extremely commonplace, and there is no sign of it ending any time soon.

Despite public displeasure by the majority of the British Muslim community they are still being heavily recruited by ISIS.

According to the de-radicalization program of the UK government, 467 people were referred to the program in 2010. Last year, the figure increased to 1,281. The internet counter-terrorism unit is working hard to remove roughly 1,000 pieces of propaganda promoting terrorism on a weekly basis. Additionally, 43 women and girls are believed to have fled to Syria in order to marry ISIS members since July 2014.

According to London-based think-tank ICSR, it is estimated that somewhere between 600 and 700 British Muslims are suspected of traveling to Syria. This is a stark increase from the 200 to 300 that the group estimated last year. Meanwhile, in America, the FBI claims that only around 200 American Muslims have tried to go to Syria or Iraq in total throughout the conflict.

Many of these 200 American Muslims did not even succeed in reaching their final destination, while others went for purposes outside of joining ISIS. Making this more alarming for the British is that there are approximately 500,000 more Muslims in America than in the United Kingdom.

There are several explanations as to why so many British Muslims are joining ISIS.

One concerns the history regarding Muslims in Great Britain. There have been several figures in the past who have supported the idea of traveling abroad to fight and defend fellow Muslims and the hope for a caliphate, or a successor to the Muslim prophet Muhammad. British Muslims are often convinced that it is their duty as a Muslim to fight for their religion.

Another issue is that Muslims in Britain who express anti-extremist ideology are frequently shut down by other Muslims. Some even experience hostility and abuse from their peers. The sensible Muslims become shut out, and extreme messages become widespread. Extreme Muslims often believe that they are the “authentic” voice of the Muslim community. This can lead to confusion about which group truly represents legitimate Muslim principles. Many Muslims hear these extreme messages, and they feel compelled to act.

However, a major issue is that ISIS promises British Muslims an identity, something that is highly coveted by human nature. Young millennials searching for a purpose in life are attracted by a prospect that offers personal significance and glory. People want meaning in life, and ISIS promises that very thing. British Muslims aren’t as comfortable with their identities as American Muslims. In America, religious expression by Muslims is seen as more normal and accepted. In Britain, it is seen as more unusual, and British Muslims feel restricted as a result.

ISIS is rather dangerous for Great Britain since it provides Muslims with a sense of purpose while being coated in a glorified Islamic history. Plus, British Muslims do not have to travel as far as American Muslims to reach Syria.

It is important to remember that most British Muslims are not reflective of ISIS ideology, and that generalizations about the British Muslim community should not be made. Nevertheless, the situation looks particularly troubling for Great Britain and its Muslim community with no easy answers in sight.

There’s So Little Water In Pakistan’s Capital That Drug Gangs Have Become Water Mafias

Citizens in Pakistan’s largest city of Karachi are going weeks without seeing a single drop of water thanks to criminal gangs that have monopolized the distribution of the vital resource.

Spurred by a large population that is willing to pay top dollar for water, the former drug cartels have moved to the lucrative water market, making sure the vital resource is only provided to those willing to pay and not the deserving masses.

Water mafias hidden in the outskirts of Karachi tap into underground water pipelines that are state owned and illegally pump out water originally meant for the residents of Karachi. The water is then sold to residents at sky high prices which many residents cannot afford.

According to city reports, water traders with as much as 30 to 40 tankers of water earn as much as $16,000 day.

The city’s water supply board paints a gloomy picture of water availability.

Karachi has a population of 18 million and is rapidly growing by the days as more people move away from the war torn north to the country’s capital. Most of Karachi’s water is from the Indus River, which has a flow of close to 550 million gallons a day. The Hub Dam supplements this figure with another 100 million gallons a day.

In recent years, however, drought has hit the city’s supply badly, lessening drastically the water supply available, against a demand of 1.2 billion gallons a day. The city board estimates that only 50 per cent of the city’s water needs can be met. It also reports that up to 30 per cent of the city’s water is stolen and sold by tankers.

Police bent on cracking down on the water cartels are having a hard time doing so due to the strong demand present. The more they conduct raids, the bigger the demand, sending water prices up two fold.

To further exacerbate matters, some of the illegal cartels are protected by powerful officials benefitting from the syphoning of public water.

According to a local trader, “They are holding us by the necks basically and this is all because a few big people are involved in this and who are the caretakers and who are the people who are making money. There are people on higher levels involved.”

Pakistan’s Karachi water crisis is so bad, hundreds of demonstrators take to the streets often to appeal for the provision of water by the government not every day, simply once a week. So severe is the shortage that residents sometimes go up to three months without having water. Most opt to take underground water unbearably laced with salt.

For some, sewage pipes are the only alternative.

Pakistan is ranked number 80 among the 122 nations index on the provision of healthy clean water. This means that over 44 per cent of Pakistanis have no access to clean water, exposing them to a myriad health complications. The Pakistani government, seemingly preoccupied with war, continues to ignore these illicit water cartels to the detriment of its people.

As Africa Matures, South Africa Is No Longer The Only Option For Business Expansion

Once seen as the exclusive gateway to the African retail market, South Africa is starting to lose its place. According to global management consulting firm AT Kearney (ATK), “Historically international retailers always saw SA as the only gateway to Africa and to some extent it is still true, but we also see international retailers entering other African countries directly.”

The African Retail Development Index (Ardi) identifies the 15 African countries that are most attractive for retail expansion, where both size of market and potential for growth were taken into consideration. Gabon came in first place, followed by Botswana, Angola, Nigeria, and Tanzania rounding out the top five.

The retail market in South Africa was surprisingly only good for sixth place. South Africa was cited as having a mature retail market. A mature retail market is characterized by possessing a formal shopping culture, international private label exposure, innovation in the marketplace, and consistent pricing. In such a market, convenience and quality are the key purchase drivers. There is also more limited opportunity for growth, as the market is established.

The per capita gross domestic product (GDP) of Gabon is almost double of that of South Africa. Furthermore, Gabon maintains a high urbanization rate of over 86%, a high income base, a strong middle class, and a solid rate of income distribution. The country, with its population of 1.8 million people, represents a good market for a retailer with a specialty offering.

However, ATK is not down on South Africa. It stated that “The South African retail industry is not doing anything wrong. The economy is not growing as fast as it used to, the market is saturated, and the rand is weakening. So South Africa need not feel bad about not being the rising star in Africa anymore.”

The company still believes Africa is the next big thing compared to other emerging markets, offering a lot of opportunities to grow. A spokesperson added, “We always say you need a long breath to be successful in Africa, but the rewards are plentiful.”

AT Kearney partner and leader of the firm’s consumer industries and retail practice in Africa Bart Van Dijk said that it was critical to consider Africa as a set of multiple opportunities that can be augmented and added together, as opposed to just one single opportunity. He explained, “How you pick among the opportunities depends on your offering. Retailers with a basic offering should target the large cities and countries, because scale will be important, while retailers with a wider assortment should target higher average income countries, including the smaller ones.”

It seems that Africa has well and truly outgrown South Africa as its hub and is instead now a collection or smaller yet faster growing centers that offer numerous opportunities to international businesses, including retail. As China’s growth slows it could well be Africa’s turn to lead global growth and industrialization.

Rival Dutch Political Parties Stand United In Not Welcoming Islamic Migrants

Outspoken Dutch opposition leader Geert Wilders has called the refugees flooding into Europe an “Islamic invasion.” The leader of the Dutch right wing made the statement in a debate on how the Netherlands would deal with the migrant crisis affecting all of Europe. The crisis will determine where the continent stands in the new world of assimilation and integration and many stand firmly opposed to either of these concepts.

In a debate just after EU commission chief Jean-Claude Juncker urged EU member states to share the burden of incoming refugees, Dutch Prime Minister Mark Ruttes said that the EU would be better off helping them in designated camps much closer to their native countries, in remarks that seem earlier similar to those used by the Nazi’s to justify their concentration camps.

The comments, coming from both sides of the Dutch political spectrum, highlight the deep distrust of Islamic theocracy held by many in Europe, who feel their hard won rights and freedoms stand diametrically opposed to many Islamic principles.

While Germany’s Angela Merkel said the EU states should take in more refugees and spread them out within their member states, the conservative Dutch government said they would only accept more refugees if all EU states agreed to do so.

Wilders, whose party enjoys a comfortable lead in opinion polls, called the wave of refugees and “Islamic invasion.” He said, “Masses of young men in their twenties with beards singing Allahu Akbar across Europe. It’s an invasion that threatens our prosperity, our security, our culture and identity.”

Ruttes joined his Dutch colleague in offering an alternative for opening their borders. He urged EU member states to create centers outside Europe where the refugees would be welcomed, have access to food, water, education and even jobs. He called these camps “UNHCR plus”, a reference to the UN’s refugee agency.

Ruttes said, “We want to help to relieve the problems in the region by making the existing facilities more manageable. It will take energy and money and manpower, but we can work toward a situation where there is more security in the region and we can avoid people boarding boats to Europe.”

Ruttes said the camps would be built in Lebanon, Turkey and Jordan.

The Quietest Jetliner In The World Just Made Its Debut Flight And People Could Barely Hear It

Bombardier, the last large scale Canadian planemaker, flew its new C Series aircraft in Toronto on Thursday as the struggling company looks to turn around its fortunes and grab share from rivals Airbus and Boeing at the same time.

So far, the aircraft has completed 85% of its certification process, and it is on track to be delivered to its initial customers next year. The plane has been shown in Montreal, Paris, and other locations, but this represents the first time it was publicly flown. The new airplane is said to be particularly fuel efficient and is noticeably more quiet than any other jet on the market.

The plane uses new PW1500G engines developed by Pratt & Whitney that are designed to be both fuel efficient and significantly quieter than those used on rival aircraft. Standing on the runway the aircraft produces roughly 70 decibels of noise, which is equivalent to being on the street in city traffic. High in the air and the sound is barely noticeable from the ground.

The lower noise is an important selling point for European cities and city center airports which are close to residential areas. Bombardier hopes this feature can set it apart from Airbus and Boeing, who have traditionally dominated the narrow body jetliner market with their respective 737 and A320 programs.

Bombardier officials did not offer any updates on new orders for the plane at the event, but did say that they are optimistic due to the heavy interest in the aircraft. Bombardier president Fred Cromer stated, “It is natural for customers to take a wait-and-see approach.”

The C Series Program is more than $2 billion over its initial budget estimate, and it is more than two years behind schedule. The plane’s smaller version, the CS100, is expected to make its commercial flying debut for Swiss International Airlines in 2016. The first test flight of the airplane took place in September of 2013. The larger CS300 was tested last February.

Currently, Bombardier says that it has 243 confirmed orders for the airplanes plus commitments for an additional 360 planes. The company set a target of 300 orders before the plane enters commercial flying service.

Bombardier officials maintain confidence that the goal can still be achieved. However, Bombardier CEO Alain Bellemare says that the program can be a success even if the target is not reached. That being said, many analysts are skeptical of some of the orders, and they believe that some deals will fall apart. One such case is that of Republic Airways, which recently stated that it might be forced to reduce the size of its fleet due to financial challenges.

Bombardier says that the C Series of airplanes might generate as much as $8 billion on an annual basis once they are in full production. This should help to offset a decline in revenue for its regional jet program which is facing stiff competition amid a slowing market.

Little Known Federal Jobs Program Found To Be Funding Billion Dollar Highrise Towers For The Wealthy

A little-known program designed to create jobs in high unemployment areas is being abused by business developers and state officials in order to fund business ventures. Meanwhile, the areas that are supposed to be receiving assistance are left out in the cold.

Through a program, called EB-5, foreign investors are able to obtain United States permanent resident status by investing money into new businesses. The program allows financing to be obtained at a much lower cost than receiving financing from a traditional lender or a private investor. The goal of EB-5 is to create jobs in areas with high unemployment.

However, much of the immigrant investment money is being used to fund expensive neighborhoods and business developments due to a loophole within the program, and poorer areas are being forgotten about.

On September 30th, a key component of the EB-5 program is set to expire. While congress is preparing to reauthorize the program, some lawmakers are concerned with how the program is being utilized. Many believe that the program has been abused in order to benefit wealthy areas instead of help where it is needed.

Under the program, areas with high rates of unemployment are given a special status. But some locations within these designated areas are actually very well off. For example, in 2013 New York state officials established a district that contains both the Manhattanville public housing projects in west Harlem and the highly affluent and prosperous neighborhood of Hudson Yards. The district had an unemployment rate of 18.1% in 2012. By being in the same district, Hudson Yards is able to utilize funding that would ideally assist the housing projects.

Some of the largest modern skyscrapers in the city have been built in Hudson Yards, some of which used the program for financing.

With the current EB-5 program, money is used to finance highly priced condominiums and expensive office towers while poorer communities are unable to receive much needed assistance. A recent paper from two NYU professors showed that 25 large business startups have used the EB-5 program to their advantage in order to raise more than $4.5 billion in financing. Of these 25 business ventures, 22 were urban real-estate projects.

The urban developers are able to pull this off by placing their developments in areas designated as a “Targeted Employment Areas”. A Targeted Employment Area refers to any area where the unemployment rate is more than 150% of the national average. Having such status allows foreign investors to obtain a United States green card by investing only $500,000. In areas that aren’t Targeted Employment Areas, foreign investors must invest $1 million in order to achieve the same result. By focusing on Targeted Employment Areas, developers are able to attract many more foreign investors.

Developers aren’t even the only ones abusing the EB-5 program.

State officials have been “gerrymandering” districts in order for certain affluent areas to qualify as having a high rate of unemployment.

This was the case in New York, when it placed Hudson Yards in the same district as the Manhattan housing projects. State governments are hungry for economic development, and since they have little interest in federal matters, they are more than willing to take advantage of this program.

However, many people are defending this practice, saying that it creates jobs and benefits everyone in the long run. Supporters of the EB-5 program claim that it is a fantastic development tool and that creating jobs at no cost to the government is a good thing. Many lawmakers want to leave the program as it currently stands in order to avoid tampering with what they believe has been a success.

Overall, the issue is sure to cause a large debate in congress as to whether or not the program should be allowed to continue the way it is.

Two Ex-Harvard Endowment Managers Are Rewriting The Rules On Hedge Fund Fees

Robert Atchinson and Phillip Gross have changed the traditional rules of hedge funds, by allowing members of their Adage Capital Management LP to retain all of their trading profits, with the promise to reimburse them if the fund does poorly.

As market performance this year has begun to erratically trend downward, the strategy could be very costly, especially since Adage has underperformed the S&P 500 through August. Unless that changes by year’s end, the refund checks may be the largest the firm has ever issued.

The $28 billion dollar fund is unique because it does not charge the managed assets fee of 2% typically required by hedge fund managers, in addition to a 20% fee on profits. Critics of the standard model point out the fact that managers stand to do well no matter what the performance of their funds may be.

Gross and Atchinson instead charge an overall fee of 0.50% of assets, with additional fees on profits only when the fund outperforms the S&P 500. In its 14-year history, the fund has only failed to achieve that goal twice, in 2002 and 2008. In the case of underperformance, refunds amount to up to half of the fees charged in the year previous to the underperforming year. However, Adage still collects a fee in a bear market, as long as they outperform the S&P 500.

This contrasts to the general practice, where fund managers collect performance fees only on positive returns.

Adage may soon have more competitors practicing a similar strategy, as hedge funds have come under pressure over their high fees. California’s Public Employees’ Retirement System issued a statement in the Fall of 2014 that they would be ceasing their $4 billion worth of investments in hedge funds, citing fee rates as one of the reasons. They now have $1.4 billion invested with Adage.

Adage’s model has worked well for the two former Harvard Endowment executives, last year taking in $400 million in gross earnings, with the main fund rising over 18%. Had they been using a traditional fee model,however, that total would have been closer to $1 billion.
After starting in 2001 with $3.8 billion, the firm has achieved an average annual return of 9.7%, which exceeds the S&P 500’s 6.4% over the same period.

So as times may be tough for the duo if things go poorly the rest of the year they will no doubt survive and have many grateful investors as a result of their fair stance on fees.

Apple’s New iPhone Financing Is All About Its Control Over Wireless Carriers

Consumers will be able to purchase Apple iphones directly from its manufacturer following an announcement by Apple it will be offering iPhone sales to customers without them being tied to wireless carriers.

The offer marks a departure from agreements Apple has had with wireless giants as Verizon and AT&T which rely heavily on the iPhone to attract customers in the very competitive U.S. cellular plan market.

Carrier support and promotion has been cited as a main reason for the success of the iPhone, which last year accounted for 56% of Apple’s total of  $183 billion in sales.

Apple’s offer appears to be the result of pressure the company is under to sell more phones and also comes after carriers stopped offering phone subsidies for signing a contract. Without this subsidy, and given carriers are basically required to require the iPhone due to consumer demand, there appears little reason for Apple not to sell phones directly to its customers.

These customers, who can only deal with carriers and whatever pricing and incentives they are offering, are now upgrading far less frequently than in the past.

According to telecom consultant Chetan Sharma the average time for upgrades in the U.S. is now 26.3 months compared to 18.2 months in 2010.

That means far fewer phone sales for Apple and it appears now to be taking matters into its own hands.

Under the Apple offer customers can, for a monthly fee of $32.41 over 24 months, buy the cheapest iPhone model. According to the Apple website, under the deal customers can get a new device each year as well as having more options when selecting a carrier.

Verizon’s former chief operating officer Denny Strigl said Apple is wanting to take away control of phone customers from wireless carriers as companies that have more control over customer relationship have more pricing and sales leverage.

Strigl added that if customers went to Apple to finance their phones the company would be able to guide the customer toward a carrier with a cheaper service.

A current Verizon spokesman said the company “would love to sell them the device,” but the most important thing is for customers to choose Verizon for wireless service.

T-Mobile’s chief operating officer, Mike Sievert, was in favor of Apple’s move as it would allow customers to try other carriers.

Marcelo Claure, Sprint’s Chief Executive said the relationship strain between Apple and carriers is less about control of customers and more about long term contracts that discouraged customers from buying new iPhones each year.

“Apple is trying to do nothing more than shorten the cycle so they can sell more iPhones,” he said. He added that since his company introduced annual upgrade plan last month, 90% of new customers have purchased it.

This isn’t the first time that Apple has moved into carriers’ territory. In 2014 it launched an iPad with a cellular SIM card allowing customers to select their wireless carrier immediately.

The move also marks Apple’s move into the world of finance. The company is now going to offer aggressive financing on its product to maintain sales, which may add to margins but may also indicate that ‘peak smartphone’ has hit mature markets.