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Snapchat’s PR firm sues influencer for not promoting Spectacles on Instagram

Influcencer marketing could get a lot more accountable if Snapchat’s PR firm wins this lawsuit. Snapchat hoped that social media stars promoting v2 of its Spectacles camera sunglasses on its biggest competitor could boost interest after it only sold 220,000 of v1 and had to take a $40 million write-off. Instead Snap comes off looking a little desperate to make Spectacles seem cool.

Snap Inc comissioned its public relations firm PR Consulting (real imaginative) to buy its an influencer marketing campaign on Instagram. The firm struck a deal with Grown-ish actor Luka Sabbat after he was seen cavorting with Kourtney Kardashian. Sabbat got paid $45,000 up front with the promise of another $15,000 to post himself donning Spectacles on Instagram.

He was contracted to make one Instagram feed post and three Stories posts with him wearing Specs, plus be photographed wearing them in public at Paris and Milan Fashion Weeks. He was supposed to add swipe-up-to-buy links to two of those Story posts, get all the posts pre-approved with PRC, and send it analytics metrics about their performance.

But Sabbat skipped out on two of the Stories, one of the swipe-ups, the photo shoots, the pre-approvals, and the analytics. So as Variety’s Gene Maddaus first reported, PRC is suing Sabbat to recoup the $45,000 it already paid plus another $45,000 in damages.

TechCrunch has attained a copy of the lawsuit filing, embedded below, that states “Sabbat has been unjustly enriched and PRC is entitled to damages.” Snap confirms to us that it hired PRC to run the campaign, and that it also contracted a campaign with fashion blog Man Repeller founder Leandra Medine Cohen. And as a courtesy, I Photoshopped some Spectacles onto Sabbat above.

But interestingly, Snap says it was not involved in the decision to sue Sabbat. The debacle brings unwanted attention to the pay-for-promotion deal that brands typically tried to avoid when commissioning influencer marketing. The whole thing is supposed to feel subtle and natural. Instead, PRC’s suit probably cost Snapchat more than $90,000 in reputation.

The case could solidify the need for influencer marketing contracts to come with prorated payment terms where stars are paid fractions of the total purse after each post rather than getting any upfront, as The Fashion Law writes. PRC’s choice to chase Sabbat even despite the problematic publicity for its client Snap might convince other influencers to abide more closely to the details of their contracts. If social media creators want to keep turning their passion into their profession, they’re going to have to prove they’re accountable. Otherwise brands will slide back to traditional ads.



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Watch: Cockroach Delivers Karate Kick to Avoid Becoming a Zombie


In the natural world, it’s survival of the fittest, which means you either live or die based on your fight strategy. The American cockroach is the latest insect to step into the boxing […]

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Diablo III and Other M-Rated Nintendo Crossovers


Now that I can finally take a break from the wonderful cowboy Hell of Red Dead Redemption 2, I’ve been spending a lot more time in the wonderful actual Hell of Diablo III. […]

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Small Wonder: A Look at the World’s Smallest Mollusk Museum


With gooey, boneless bodies covered in slime, long arms covered in suckers, and beautiful shells, mollusks are some of the strangest creatures on the planet. The mollusk group includes such diverse critters as […]

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WTF? Wednesday: Bizarre Rainbow Teeth Trend Goes Viral on Instagram


One beauty trend is nixing the concept of pearly whites and channeling major #cosplaymakeup goals: rainbow teeth. According to The New York Post, rainbow teeth is the latest, most bizarre beauty trend on […]

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Twitter’s spam reporting tool now lets you specify type, including if it’s a fake account

Twitter is adding more nuance to its spam reporting tools, the company announced today. Instead of simply flagging a tweet as posting spam, users can now specify what kind of spam you’re seeing by way of a new menu of choices. Among these is the option to report spam you believe to be from a fake Twitter account.

Now, when you tap the “Report Tweet” option and choose “It’s suspicious or spam” from the first menu, you’re presented with a new selection of choices where you can pick what kind of spam the tweet contains.

Here, you can pick from options that specify if the tweet is posting a malicious link of some kind, if it’s from a fake account, if it’s using the Reply function to send spam, or if it’s using unrelated hashtags.

These last two tricks are regularly used by spammers to increase the visibility of their tweets.

Often, high-profile Twitter users will see replies to their tweets promoting the spammers’ content. For example, check any of @elonmusk’s thread for crypto scammers’ tweets – a problem so severe, that when Elon played along one time as a joke, Twitter locked his account.

Using hashtags, meanwhile, allows spammers to get attention from those people searching Twitter’s Trends.

And of course, spammers are often posting prohibited content, like malicious links, links to phishing sites, and other dangerous links.

But Twitter users will probably be most interested in the new option to report fake accounts.

There’s been a lot of name-calling on Twitter today following the emergence of reports of Russian bots and trolls flooding Twitter, in an attempt to influence U.S. politics with disinformation. Often, users in disagreements on the site will call someone “bot” as a way to shut down a conversation.

Twitter itself has been suspending real bots left and right in recent months. It deleted 200,000 Russian troll tweets earlier this year, for example, and suspended more than 70 million fake accounts in May and June, according to reports.

Now users will be able to report those accounts they believe to be bots, as well.

To what extent Twitter will rely on these user-generated reports over its own algorithmic-based bot detection systems, or other factors (like IP addresses or suspicious behavior), is unclear.

It’s also unclear if people can ban together to mass report an account as “fake” in an attempt to remove a real person’s account. But someone will surely soon test that out.

Prior to the change, users were able to report spam but not the type of spam, Twitter’s documentation today still confirms.

Twitter tells us the updated reporting flow will simply allow the company to collect more detail so it can “identify and remove spam more effectively.”



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Don’t Miss These Amazing Celestial Views on Halloween Night


It’s finally Halloween, but candy isn’t the only treat you can indulge in this evening. Take a break from your holiday festivities, head outside, and observe the night sky, because there are some […]

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The Ultimate Super Smash Bros. Character Guide: Pikachu


Pikachu Brings The Thunder! Super Smash Bros. Ultimate is huge. Not just in terms of hype and importance and sales potential, but just in terms of sheer stuff. The Nintendo Switch mascot fighter […]

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Why SpaceX’s Next-Gen Rockets are Powered by Methane


Rockets are some of the most powerful machines ever devised. Their job, in essence, is to take millions of gallons of explosive fluid and control the reaction such that a comparatively tiny bit […]

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AI Trained to Recognize Deep-Space Galaxies


Researchers repurposed a Facebook AI that recognizes people in photos to instead identify galaxies in deep space. The new bot, named ClaRAN, scans radio telescope images in hopes of spotting radio galaxies, which […]

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‘Black Lightning’ Season 2, Episode 4 Recap: Bringing it Back Together


Last week’s episode of Black Lightning was a mess that at least left us with some pretty exciting promises. Right away, this episode starts making good on at least one them. Jennifer is trying to […]

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‘The Flash’ Season 5, Episode 4 Recap: The Flash Vs. (Actual) Fake News


The Arrowverse shows typically stay away from politics. On the CW, that’s more Black Lightning’s realm. Even Arrow is heavily toned down from the socialist leanings of the comic book character. So it’s surprising that The Flash decided […]

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Superman Is Now the Witcher, Henry Cavill Cast as Geralt in Netflix Series


Update: as a nice Halloween surprise Netflix just released this first official teaser video of Henry Cavill in costume as The Witcher himself, Geralt of Rivia. Get your first look at Henry Cavill […]

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Thousands of Neil Armstrong’s Souvenirs Up for Auction

Neil Armstrong

Who knew the first person to walk on the Moon was such a hoarder? Neil Armstrong’s vast personal stash will be presented in a series of auctions to coincide with the 50th anniversary […]

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Apocalyptic Fallout 76 Beta Bug Raises Our Morbid Curiosity


The Fallout franchise is about things being broken. A post-apocalyptic nuclear wasteland is a broken world. A constant social clash between mutants, neo-minutemen militia, synthetic people, amoral science groups, and dudes in powered […]

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‘Larva’ is the Creepiest Children’s Cartoon on Netflix


Kid’s TV shows are way different from when we grew up, but some are still wackier than ever. Larva, an animated children’s series available on Netflix, is by far the creepiest cartoon to […]

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Ears-On: HyperX Cloud Mix is More Than a Simple Gaming Headset


The HyperX Cloud II is my go-to headset for live streaming. The device is comfortable to wear, provides crystal clear audio, and has a decent boom mic. The only downside is that it’s […]

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‘The Gifted’ Season 2, Episode 5 Recap: A New Villain Softens the Inner Circle


So last week’s episode of The Gifted ended on a giant cliffhanger. The Inner Circle attacked a mental hospital where mutants were being held prisoner and took a single patient. The camera cut to black […]

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3D Model of Neanderthal Rib Cage Sheds Light on Ancient Human Anatomy


An international team of scientists completed the first 3D virtual reconstruction of a Neanderthal rib cage. Researchers from universities in Spain, Israel, and the US scanned fossils from a 60,000-year-old male skeleton to […]

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Handshake, a LinkedIn for university students and diversity, raises $40M on a $275M valuation

LinkedIn has created and — with 562 million users — leads the market in social platforms for people who want to network with others in their professions, and look for jobs. Now a startup that hopes to take it on in a specific niche — university students and recent grads, with a focus on diversity and inclusion — has raised a substantial round to grow. Handshake, a platform for both students looking to take their early career steps and employers who want to reach them, has raised $40 million in a Series C round of funding, after hitting 14 million users in the U.S. across 700 universities, and 300,000 employers targeting them.

The company is now valued at $275 million post-money, according to figures from PitchBook, a big leap on its valuation at the Series B stage two years ago, when it was valued at $108 million.

The funding is notable not just for that valuation hike — and the implication that many think it could give Microsoft-owned LinkedIn a run for its money among 20-somethings — but for who is doing the backing.

The round was led by EQT Ventures, the investment arm of European holding company and PE firm EQT, with participation also from several investment organizations that have put a focus on backing interesting startups in the education sphere, including the Chan Zuckerberg Initiative, Omidyar Network, Reach Capital; as well as True Ventures, Kleiner Perkins, Lightspeed Venture Partners, Spark Capital and KPCB Edge. Several of these are repeat investors and the total raised by Handshake — not to be confused with the B2B e-commerce platform of the same name — to $74 million.

To date, Handshake has only been active in the U.S. The company was founded in 2014 originally named Stryder by three graduates of the University of Michigan — Garrett Lord (currently the CEO), Scott Ringwelski (CTO) and Ben Christensen (a board member). The plan is to use the new funding to expand into more markets like Europe, using EQT’s network of businesses in the region to help it along.

LinkedIn has been making a lot of efforts over the years to court younger users and bring them into the LinkedIn fold earlier.

In 2013, the company lowered its minimum age for users to 13 and launched dedicated pages for universities. In 2014, LinkedIn started to add in more tools for younger users to connect with universities and their university-related networks on the platform. And through various e-learning efforts, LinkedIn has been trying to create a bridge between the kind of learning you might do at university, and what you might do after you leave to further your career.

The behemoth also started to take baby steps into providing more insights into diversity for those doing hiring, by letting recruiters examine search results by gender; and by providing bigger insights into the wider pool of people on LinkedIn.

Part of the reason for the baby steps, I’m guessing, is that LinkedIn simply lacks the data from its users to do more faster, and so that leaves a lot of room for a rival to step in.

In that vein, it seems Handshake is trying to position itself as a platform that is considering and thinking about how to address diversity from the ground up, as a native part of its platform while it is still small and growing.

One of the ways that Handshake gets more details about its members is through its partnerships with universities, which helps to populate information about their profiles, rather than relying on a person filling out the details manually. (To register for an account, you use your university address, similar to how Facebook worked when it first launched.)

Handshake also has relationships with more than 100 minority-serving institutions, which include Historically Black Colleges and Universities, and Hispanic Serving Institutions in the U.S., to bring them and their students more closely into that fold.

On the side of employers, it includes more search features for recruiters to search using more specific parameters in the effort to make more diverse hiring choices. “Candidates who might not have the right connections or privileged background can get in front of Fortune 500 companies,” the company notes.

“Our Handshake community is tackling the so-called ‘pipeline problem’ head on. Skilled students are on every campus in every corner of the country and we’re proud to help employers discover, recruit and hire up-and-coming talent from all backgrounds,” said Garrett Lord, Handshake Co-Founder and CEO, in a statement. “Students around the world experience the same inequality in the recruiting process, so we’re excited to partner with Alastair Mitchell” — the EQT partner leading the investment — “and EQT Ventures to expand our impact beyond the United States.”

That’s not to say that inclusion and diversity are the only issues that Handshake is tackling.

The company cites a 2018 Strada-Burning Glass Study that says more than 43 percent of graduates are underemployed — either not earning their full potential, or doing a job that doesn’t utilise their skills — in their first job out of college . “Of those who graduate underemployed, 50% remain underemployed 10 years after graduation.” There is, in other words, a big employment gap specifically with recent grads, and while many will land plum positions, many others flail, and the idea is that Handshake will help specifically to address that by improving how well people are matched to positions that are open.

This is, in fact, an interesting counterpoint to the fact that we also have a lot of ageism in certain fields, where older people are often overlooked — perhaps another niche market that is ripe for tackling?

Handshake today makes money much in the same way that LinkedIn does: it offers paid usage tiers for its users to unlock more features. In the startup’s case, a Premium employer tier called the Talent Engagement Suite was recently launched to let organizations search by diversity parameters and other more specific criteria. That appears to be the path that Handshake plans to follow going ahead, doubling its team to 200 with more people in product and engineering roles to build out more analytics and search and recommendations algorithms.

It’s also making some key hires for the next age. Christine Y. Cruzvergara, ex-Associate Provost and Executive Director for Career Education at Wellesley College, is joining as VP of Higher Education and Student Success, to work with institutions precisely on more inclusive initiatives and products.

“CZI is thrilled to support Handshake as it connects talented students to career opportunities that enable them to reach their full potential,”  said Vivian Wu, Managing Partner of Ventures at the Chan Zuckerberg Initiative, in a statement. “Handshake’s approach – expanding access, building student community and support, and showcasing accomplishments beyond college and degree – produces real results, especially for young people from communities that haven’t had access to high quality job and life opportunities.”

 



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Zuckerberg gets joint summons from UK and Canadian parliaments

Two separate parliamentary committees, in the UK and Canada, have issued an unprecedented international joint summons for Facebook’s CEO Mark Zuckerberg to appear before them.

The committees are investigating the impact of online disinformation on democratic processes and want Zuckerberg to answer questions related to the Cambridge Analytica-Facebook user data misuse scandal, which both have been probing this year.

More broadly, they are also seeking greater detail about Facebook’s digital policies and information governance practices — not least, in light of fresh data breaches — as they continue to investigate the democratic impacts and economic incentives related to the spread of online disinformation via social media platforms.

In a letter sent to the Facebook founder today, the chairs of the UK’s Digital, Culture, Media and Sport (DCMS) committee and the Canadian Standing Committee on Access to Information, Privacy and Ethics (SCAIPE), Damian Collins and Bob Zimmer respectively, write that they intend to hold a “special joint parliamentary hearing at the Westminster Parliament”, on November 27 — to form an “‘international grand committee’ on disinformation and fake news”.

“This will be led by ourselves but a number of other parliaments are likely to be represented,” they continue. “No such joint hearing has ever been held. Given your self-declared objective to “fix” Facebook, and to prevent the platform’s malign use in world affairs and democratic process, we would like to give you the chance to appear at this hearing.”

Both committees say they will be issuing their final reports into online disinformation by the end of December.

The DCMS committee has already put out a preliminary report this summer, following a number of hearings with company representatives and data experts, in which it called for urgent action from government to combat online disinformation and defend democracy — including suggesting it look at a levy on social media platforms to fund educational programs in digital literacy.

Although the UK government has so far declined to seize on the bulk of the committee’s recommendations — apparently preferring a ‘wait and gather evidence’ (and/or ‘kick a politically charged issue into the long grass’) approach.

Meanwhile, Canada’s interest in the democratic damage caused by so-called ‘fake news’ has been sharpened by AIQ, the data company linked to Cambridge Analytica, as one of its data handlers and system developers — and described by CA whistleblower Chris Wylie as essentially a division of his former employer — being located on its soil.

The SCAIPE committee has already held multiple, excoriating sessions interrogating executives from AIQ, which have been watched with close interest by at least some lawmakers across the Atlantic…

At the same time the DCMS committee has tried and failed repeatedly to get Facebook’s CEO before it during the course of its multi-month inquiry into online disinformation. Instead Facebook despatched a number of less senior staffers, culminating with its CTO — Mike Schroepfer — who spent around five hours being roasted by visibly irate committee members. And whose answers left it still unsatisfied.

Yet as political concern about election interference has stepped up steeply this year, Zuckerberg has attended sessions in the US Senate and House in April — to face (but not necessarily answer) policymakers’ questions.

He also appeared before a meeting of the EU parliament’s council of presidents — where he was heckled for dodging MEPs’ specific concerns.

But the UK parliament has been consistently snubbed. At the last, the DCMS committee resorted to saying it would issue Zuckerberg with a formal summons the next time he stepped on UK soil (and of course he hasn’t).

They’re now trying a different tack — in the form of a grand coalition of international lawmakers. From two — and possibly more — countries.

While the chairs of the UK and Canadian committees say they understand Zuckerberg cannot make himself available “to all parliaments” they argue Facebook’s users in other countries “need a line of accountability to your organisation — directly, via yourself”, adding: “We would have thought that this responsibility is something that you would want to take up. We both plan to issue final reports on this issue by the end of this December, 2018. The hearing of your evidence is now overdue, and urgent.”

“We call on you to take up this historic opportunity to tell parliamentarians from both sides of the Atlantic and beyond about the measures Facebook is taking to halt the spread of disinformation on your platform, and to protect user data,” they also write.

So far though, where non-domestic lawmakers are concerned, it’s only been elected representatives of the European Union’s 28 Member States who have proved to have enough collective political clout and pulling power to secure a little facetime with Zuckerberg.

So another Facebook snub seems the most likely response to the latest summons.

“We’ve received the committee’s letter and will respond to Mr Collins by his deadline,” a Facebook spokesperson told us when asked whether it would be despatching Zuckerberg this time.

The committee has given Facebook until November 7 to reply.

Perhaps the company will send its new global policy chief, Nick Clegg — who would at least be an all-too familiar face to Westminster lawmakers, having previously served as the UK’s deputy PM.

Even if Collins et al’s latest gambit still doesn’t net them Zuckerberg, the international coalition approach the two committees are now taking is interesting, given the challenges for many governments of regulating global platforms like Facebook whose user bases can scale bigger than some entire nations.

If the committees were to recruit lawmakers from additional countries to their joint hearing — Myanmar, for example, where Facebook’s platform has been accused of accelerating ethnic violence — such an invitation might be rather harder for Zuckerberg to ignore.

After all, Facebook does claim: “We are accountable.” And Zuckerberg is its CEO. (Though it does not state who exactly Facebook/Zuckerberg feels accountable to.)

While forming a joint international committee is a new tactic, UK and Canadian lawmakers and regulatory bodies have been working together for many months now — as part of their respective inquiries and investigations, and as they’ve sought to unpick complex data trails and understand transnational corporate structures.

One thing is increasingly clear when looking at the tangled web where politics and social media collide (with mass opinion manipulation the intended outcome): The interconnected, cross-border nature of the Internet, when meshed with well-funded digital political campaigning — and indeed buckets of personal data, is now placing huge strain on traditional legal structures at the nation-state level.

National election laws reliant on regulating things like campaign spending and joint working, as the UK’s laws are supposed to, simply won’t work unless you can actually follow the money and genuinely map the relationships.

And where use of personal data for online political ad-targeting is concerned, ethics must be front and center — as the UK’s data watchdog has warned.



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RIP Kepler: NASA Retires Planet-Hunting Space Telescope


After nine years and more than 2,600 planet discoveries, NASA’s Kepler space telescope is entering retirement. The spacecraft has run out of fuel needed for further operations, and will be left to float […]

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Geek Deals: 49-Inch Samsung QLED Gaming Monitor for $869, 6 Months of XBL Gold for $25

Geek 1030

Looking for an ultra-wide monitor for proper gaming immersion? Right now, Amazon is offering up a $230 discount on a 49-inch Samsung model with support for HDR and AMD FreeSync 2. You can […]

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Reese’s Vending Machine Lets You Swap Lame Candy for Peanut Butter Cups


Admit it. When you sort through your Halloween trick-or-treating haul, you go straight for the chocolate. That candy corn? To the unwanted pile it goes. This year, Reese’s is putting all that unwanted […]

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Facebook bans the Proud Boys, cutting the group off from its main recruitment platform

Facebook is moving to ban the Proud Boys, a far-right men’s organization with ties to white supremacist groups. Business Insider first reported the decision. Facebook confirmed the decision to ban the Proud Boys from Facebook and Instagram to TechCrunch, indicating that the group (and presumably its leader Gavin McInnes) now meet the company’s definition of a hate organization or figure.

Facebook provided the following statement:

“Our team continues to study trends in organized hate and hate speech and works with partners to better understand hate organizations as they evolve. We ban these organizations and individuals from our platforms and also remove all praise and support when we become aware of it. We will continue to review content, Pages, and people that violate our policies, take action against hate speech and hate organizations to help keep our community safe.”

Even compared to other groups on the far right with online origins, the Proud Boys maximize their impact through social networking. The organization, founded by provocateur and Vice founder McInnes, relies on Facebook as its primary recruitment tool. As we reported in August, the Proud Boys operate a surprisingly sophisticated network for getting new members into the fold via many local and regional Facebook groups. All of it relies on Facebook — the Proud Boys homepage even links out to the web of Facebook groups to guide potential recruits toward next steps.

At the time of writing, Facebook’s ban appeared to affect some Proud Boys groups and not others. The profile of Proud Boys founder McInnes appears to still be functional. Facebook’s decision to act against the organization is likely tied to the recent arrest of five Proud Boys members in New York City on charges including assault, criminal possession of a weapon and gang assault.



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Twitter, why are you such a hot mess?

Today, Jack Dorsey tweeted a link to his company’s latest gesture toward ongoing political relevance, a U.S. midterms news center collecting “the latest news and top commentary” on the country’s extraordinarily consequential upcoming election. If curated and filtered properly, that could be useful! Imagine. Unfortunately, rife with fake news, the tool is just another of Twitter’s small yet increasingly consequential disasters.

Beyond a promotional tweet from Dorsey, Twitter’s new offering is kind of buried — probably for the best. On desktop it’s a not particularly useful mash of national news reporters, local candidates and assorted unverifiable partisans. As Buzzfeed news details, the tool is swimming with conspiracy theories, including ones involving the migrant caravan. According to his social media posts, the Pittsburgh shooter was at least partially motivated by similar conspiracies, so this is not a good look to say the least.

Why launch a tool like this before performing the most basic cursory scan for the kind of low-quality sources that already have your company in hot water? Why have your chief executive promote it? Why why why

A few hours after Dorsey’s tweet, likely after the prominent callout, the main feed looked a bit tamer than it did at first glance. Subpages for local races appear mostly populated by candidates themselves, while the national feed looks more like an algorithmically generated echo chamber version of my regular Twitter feed, with inexplicably generous helpings of MSNBC pundits and more lefty activists.

For Twitter users already immersed in conspiracies, particularly those that incubate so successfully on the far right, does this feed offer yet another echo chamber disguised as a neutral news source? In spite of its sometimes dubiously left-leanings, my feed is still peppered with tweets from undercover video provocateur James O’Keefe — not exactly a high quality source.

In May, Twitter announced that political candidates would get a special badge, making them stand out from other users and potential imposters. That was useful! Anything that helps Twitter function as a fast news source with light context is a positive step, but unfortunately we haven’t seen a whole lot in this direction.

Social media companies need to stop launching additional amplification tools into the ominous void. No social tech company has yet exhibited a meaningful understanding of the systemic shifts that need to happen — possibly product-rending shifts — to dissuade bad actors and straight up disinformation from spreading like a back-to-school virus. 

Unfortunately, a week before the U.S. midterm elections, Twitter looks as disinterested as ever in the social disease wreaking havoc on its platform, even as users suffer its real-life consequences. Even more unfortunate for any members of its still dedicated, weary userbase, Twitter’s latest wholly avoidable minor catastrophe comes as a surprise to no one.



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Zuckerberg says the future is sharing via 100B messages & 1B Stories/day

The News Feed won’t sustain Facebook forever, and that’s scaring investors. Today on Facebook’s earnings call, Mark Zuckerberg stressed that sharing is shifting to private chat, where people send 100 billion messages per day on Facebook’s family of apps, and Stories, where he says people share 1 billion of these slideshows per day (though it’s unclear if that includes third-party apps like Snapchat).

But that means Facebook will have to realign its business towards these mediums where monetization is more complex and it has less experience. The result of Zuckerberg’s comments was a reversal of Facebook’s initial 2 percent share price gain after earnings were announced, dragging it down to a 3.5 percent loss. That was only reversed when Zuckerberg said Facebook would reduce limits on video advertising, pushing shares up 3 percent in after-hours trading.

Facebook’s year-over-year revenue growth has already slowed from 59 percent in Q3 2016, to 49 percent a year ago, to 33 percent now as it hits saturation in developed markets and runs out of News Feed space. Now it will both have to deal with the sharing medium shift, and that the new users it’s adding in the Asia-Pacific and Rest Of World regions earn it 10X less than users in North America.

Battling iMessage

In messaging, Zuckerberg says more photos and links are shared privately than through Feeds. He sees Facebook’s position as strong, saying “we’re leading in most countries” due to the success of WhatsApp and people’s love of its end-to-end encrypted privacy. But that’s mostly in the developing world Android market where people choose their own default messaging app. In the US and other developed nations where iPhones are popular and ared “bundled” with iMessage, Zuckerberg says Apple “is still ahead”.

The “bundled” language harkens back to to antitrust lawsuits against Microsoft for bundling computers with Internet Explorer. With Apple CEO Tim Cook constantly harping on the poor privacy practices of ad-supported companies like Facebook, Zuckerberg might be gunning to draw regulator attention to iMessage.

Facebook is starting to more aggressively monetize Messenger through inbox ads, and its now selling enterprise tools to brands on both Facebook and WhatsApp that let them pay to ping users. But Facebook risks its chat apps seeming annoying or intrusive if it packs in too many ads or allows too much Message spam. Users could stray to status quos like iMessage and Android Messages if it puts monetization above the user experience.

Dominating Snapchat

On Stories, Zuckerberg says Facebook is doing even better. Over 1 billion people use its Stories features across Facebook, Messenger, Instagram, and WhatsApp each day, compared to 186 million daily users on Stories inventor Snapchat as a whole. Stories are where the majority of Facebook sharing growth is happening, and Facebook Stories are gaining momentum after a slow and buggy start. That’s why Zuckerberg never mentioned Snapchat, and instead talk about YouTube as its primary competitor in video.

The problem is that creating attractive video ads, especially vertical full-screen ones for Stories, is beyond the capability of the long-tail on small businesses that have fueled Facebook’s News Feed ad revenue. Users often rapidly skip through Stories ads, and Facebook currently doesn’t offer unskippable ones like Snapchat. Many people don’t think to tap or swipe up to visit a link from a Story, or simply don’t want to lose their place in ways that didn’t happen on desktop or even mobile feed ads.

Chasing YouTube

Beyond Stories, Facebook salvaged its after-hours share price by discussing how it plans to show more video, and therefore more of its lucrative video ads. Back in January, Facebook admitted its Q4 user count had declined and revenue might stumble in part because it had decided to show people fewer viral videos that they watch passively. This came as part of its drive for Time Well Spent. But now, Zuckerberg says that Facebook has cracked the code for how to make passive video consumption a positive experience, so Facebook will lift some limits:

People really want to watch a lot of video. To a large degree we’ve had to rate limit its growth, and we need to do the things so we can stop limiting it. The things that have caused us to limit it are on the one hand, when we see passive consumption of video displacing social interactions . . . We needed to figure out a way that video can grow but people can also keep on interacting and doing what they tell us that they uniquely want from Facebook. And now I think we’re starting to work through what the formula is going to be so we can take some of those rate limits off and let video grow at the rate that it wants to. I feel that that’s a very exciting opportunity ahead.”

Across Facebook’s other products, Zuckerberg noted that 800 million people now use Marketplace, its Jobs feature have helped people find 1 million jobs, and its birthday fundraisers have raised $300 million alone this year. But it will be teaching advertisers how to effectively create sponsored messages and Stories ads that will define whether Facebook’s revenue keeps growing.



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This Little Girl’s Headless Halloween Costume Will Put Yours to Shame


Halloween is the perfect time to raise the creep factor and this little girl’s headless costume is one of the best, most eerie dress up looks we’ve seen. This weekend, a child named […]

The post This Little Girl’s Headless Halloween Costume Will Put Yours to Shame appeared first on Geek.com.



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Facebook shares climb despite weak Q3 user growth and revenue

After last quarter’s bloodbath earnings report that cut 20 percent from Facebook’s share price, the social network stumbled in Q3 2018, reaching 2.27 billion monthly users, up 37 million users or 1.79 percent — only slightly better than Q1’s slowest-ever growth rate of just 1.54 percent, and compared to an 2.29 billion Wall Street estimate. It added 24 million daily active users hit 1.49 billion, up 1.36 percent compared to Q1’s 1.44 percent, missing the 1.51 billion estimate.

But the real growth story depends on its core US/Canada and Europe markets where Facebook saw zero growth and lost 1 million monthly users respectively last quarter. In Q3, Facebook added 1 million monthly users to reach 242 million in the US/Canada region, but held flat at 185 million dailies there. It lost 1 million users in Europe in both dailies and monthlies. Those markets make up over 70 percent of its revenue, which is why the slow growth and shrinkage is scaring Wall Street.

As for Facebook’s business, the company earned $13.73 in revenue, compared to Refinitiv’s consensus estimate of $13.78 billion, and saw $1.76 EPS compared to an estimate of $1.47, making for a mixed report. Revenue was up 33 percent year-over-year, but that’s much slower than the 49 percent YOY gain it had a year ago, and the 59 percent it had in Q3 2016. However, the company should be lauded for investing so much to beat back fake news and election interference, and cutting back on viral videos and clickbait that juice engagement but are terrible for user well-being and society,

Facebook blamed foreign exchange headwings for $159 million in Q3, which was the difference between its miss and a beat on revenue. Mobile accounted for 92 percent of Facebook’s ad revenue, up from 91 percent last quarter, so when you think of the social network, be sure you’re not thinking of a desktop website.

Facebook’s share price closed at $146.22 before earnings were released, still massively down from its $217 peak for before it announced user growth troubles and slowing revenue growth in Q2’s earnings report. Facebook shares climbed 2 percent upon the announcement of earnings, in part thanks to Facebook pulling in $5.14 billion in profit and it adding 1 million users in the North American region after going flat last quarter.

But long-term, Facebook can’t trade growth in its core markets for expansion in Asia-Pacific and the developing world. Facebook average revenue per user worldwide is $6.09, but the regional differences are stark. It rakes in $27.61 per users in the US and Canada, and $8.82 in Europe, but just $2.67 in Asia-Pacific and $1.82 in the Rest Of World region. In fact, ARPU dropped 4 percent in the Rest Of World, indicating users there may be spending fewer minutes per day browsing the News Feed and seeing ads.

Facebook hoped to show that its business can keep growing even as it spent massively to double its security and content moderation team from 10,000 to 20,000 this year. It did note that “more than 2.6 billion people now use Facebook, WhatsApp, Instagram, or Messenger each month” compared to 2.5 billion last quarter. It also revealed another new stat: “more than 2 billion people use at least one of our Family of services every day on average.” The goal of both of these stats is to distract from Facebook’s own slow growth by reminding people that some of those users who leave are going to its other properties.

But still, the company’s revenues and profits have been overshadowed by the non-stop parade of scandals ranging from election interference to its biggest security breach ever. Next quarter we’ll see if the breach scared users away or if Facebook logging them out for safety led some to never log back in.



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Surf Park’s Giant ‘Plunger’ Produces 2,400 Waves Per Hour


Pretty soon it’s surf’s up every day in Australia as it moves closer to opening the country’s first-ever wave pool, which features a giant plunger that creates 2,400 waves per hour. Surf Lakes […]

The post Surf Park’s Giant ‘Plunger’ Produces 2,400 Waves Per Hour appeared first on Geek.com.



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Adorable Cat Crashes Fashion Show, Goes Viral


A fashion show recently received its next “purr-ty” model recruit that tops Gigi Hadid or Kendall Jenner: a mischievous cat. On Thursday, the feline randomly appeared on the runway at Vakko Esmod’s fashion […]

The post Adorable Cat Crashes Fashion Show, Goes Viral appeared first on Geek.com.



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The Ultimate Super Smash Bros. Character Guide: Fox


Fox Shines! Super Smash Bros. Ultimate is huge. Not just in terms of hype and importance and sales potential, but just in terms of sheer stuff. The Nintendo Switch mascot fighter features over […]

The post The Ultimate Super Smash Bros. Character Guide: Fox appeared first on Geek.com.



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Watch: Eagle Wears GoPro, Soars Across Packed Soccer Stadium


How’s the view from up there? An eagle wearing a GoPro HERO7 camera provided a soaring POV of a soccer stadium in Mexico packed with cheering fans. GoPro shared the video of the […]

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Geek Daily Deals: Samsung TVs, SD Cards, PlayStation Classic and More


Samsung 55-inch 4K Smart QLED HDR TV (2018 model) for $1297 This is just over a $1000 off its retail price, and this is a sweet TV. Samsung’s QLED displays are amazing. Seriously, […]

The post Geek Daily Deals: Samsung TVs, SD Cards, PlayStation Classic and More appeared first on Geek.com.



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Most Hilarious Couple Costumes Trending on Twitter


With less than 24 hours until Halloween, the countdown begins for you and your significant other to find the perfect costume. Stuck on ideas? Just hit up Twitter for fun couple costume inspiration. […]

The post Most Hilarious Couple Costumes Trending on Twitter appeared first on Geek.com.



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The New iPad Pro Has The Old iPhone’s Bad Choices


I still don’t think anyone really needs an iPad. There are plenty of reasons to want one, for sure. I have an iPad with a keyboard and use it a lot as the […]

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Dogs Can Sense Malaria by Smelling Your Clothes, Research Says


Dogs are known for their powerful sniffing abilities. They can help with crime scene investigations, police training, and search operations. But, canines’ heightened senses aren’t only valuable for these situations. Health researchers are […]

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NASA Solar Probe Becomes Closest Spacecraft to the Sun


NASA’s Parker Solar Probe now holds the record for closest approach to the Sun by a human-made object. The spacecraft on Monday passed within 26.55 million miles of the Sun’s surface, beating the […]

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Cosplayer Creates Awesome Star Wars AT-AT Costume for Horse


Did this horse just win Halloween? We know dogs in costumes are cute, but horses can get in on the cosplay action, too. A creative cosplayer recently unveiled an incredibly detailed Star Wars AT-AT […]

The post Cosplayer Creates Awesome Star Wars AT-AT Costume for Horse appeared first on Geek.com.



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