Microsoft Doesn’t Have to Turn Over Emails Stored Outside the U.S., Court Says

A federal appeals court in New York has ruled that Microsoft and other tech companies do not have to turn emails stored on servers overseas over to the U.S. government, in what is seen as a landmark privacy case.The company had challenged a Department of Justice warrant seeking access to emails believed to be related to a drug trafficking case, which were held on a Microsoft server in Dublin. An earlier ruling at the district court level required the U.S. software giant to hand over the emails, according to Reuters.The case is considered important by privacy advocates and companies who offer cloud computing services around the world. Microsoft had warned that allowing access to emails on overseas servers could usher in a “free for all” in terms of access to people’s private information, as other countries could similarly demand access to data in the U.S., the BBC reports.Circuit Judge Susan Carney said in the ruling on Thursday that communications held outside the U.S. were not covered by warrants under the Stored Communications Act (SCA), passed by the Congress in 1986. “We conclude that Congress did not intend the SCA’s warrant provisions to apply extraterritorially,” she wrote. The focus of those provisions is protection of a user’s privacy interests.”

Posted on: 15 July 2016 | 5:53 am

Herbalife Agrees to Pay $200 Million Over Deception Claims

(NEW YORK) — The Federal Trade Commission is closing an investigation of Herbalife.The Cayman Islands company agreed to fully restructure its U.S. business operations and pay a $200 million settlement over allegations that it deceived consumers, but it avoided more serious charges that it was operating as a pyramid scheme.Shares are surging in premarket trading.Under the settlement, Herbalife Ltd. will have to rework its compensation system so that retail sales are rewarded, and scrap incentives that reward distributors for recruiting.Herbalife disclosed in 2014 that it was being investigated by the FTC for possible “deceptive practices.”The company Friday that the FTC settlement doesn’t change its business model as a direct selling company. Herbalife will also pay $3 million in a separate agreement to settle an Illinois 

Posted on: 15 July 2016 | 5:51 am

Time Nominated for a 2016 Primetime Emmy Award

Time’s original documentary video series A Year in Space was nominated Thursday for a 2016 Primetime Emmy Award in the Outstanding Short Form Nonfiction or Reality Series category. The yearlong, 12-episode digital series launched in July 2015 on Time.com.A Year in Space follows NASA astronaut Scott Kelly and Russian cosmonaut Mikhail Kornienko on their record-breaking 12-month stay aboard the International Space Station—part of an ambitious experiment to determine if a manned mission to Mars can ever be achieved.Producer Jonathan Woods, executive producers Mike Beck, Jeffrey Kluger, Ian Orefice and Kira Pollack were recognized in the nomination. The series was directed by Shaul Schwarz and co-directed by Marco Grob.Earlier this year, PBS adapted A Year in Space into a two-part series. The first special aired in March, and the second installment is scheduled to air in 2017.Other nominees in the Outstanding Short Form Nonfiction or Reality Series Emmy category this year are: Inside Look: The People Vs. O.J. Simpson: American Crime Story from FX Networks; Jay Leno’s Garage from NBC.com; National Endowment for the Arts: The United States of Artsfrom Arts.gov; and Roots: A New Vision from HISTORY.The 68th Primetime Emmy Awards will be announced in Los Angeles on Sunday, September 18.See a full list of nominees, which were announced yesterday, here.

Posted on: 15 July 2016 | 5:48 am

Former Editor of Time International Michael Elliott Dies at 65

Michael Elliott, who had the rare distinction of working as an editor for all three prominent newsmagazines, Time, Newsweek and The Economist, died on July 14. He was 65 and had been battling cancer.Elliot, who was awarded an Order of the British Empire in 2003 for his services to journalism, was known and loved by all who worked with him for his ability to be fascinated, his generosity and his almost giddy, unbridled gusto. He loved new stories, new people, new places. There was apparently no realm in which his mind did not wish to roam and in which he could find nothing to pique his curiosity. In meetings in which magazine writers would pitch stories he was relied upon as a lifeline. In the silence after a suggestion, in which a story’s fate—and a writer’s—would hang precariously, waiting for that first reaction, he would often chime in with one of his trademark phrases: “Nothing but readers!” “Top shelf!” or the best, a slow, wondrous “terrific stuff,” with an emphasis on the Fs.That nearly all his trademark phrases were expressions of enthusiasm is no accident. He was an inveterate optimist, and when he believed in a project, proved himself right about its success with the energy and industry he brought to it. After leaving journalism in 2011, he became President and CEO of the ONE campaign, the global development agency founded by U2 lead singer Bono. In those five years, ONE’s membership rose from 2 million to more than 7 million, of which 2.8 million members are in Africa. “As the leader of ONE he communicated with ease just how doable was the transformation of the lives of the poorest,” said Bono. “His decades as scribe and editor had not made him cynical, rather he saw himself as an evidence-based optimist.”Elliott’s good cheer was indefatigable, a crucial quality during what can be brutal hours at a newsmagazine. “Michael is one of the very few people I’ve ever known who deserved the description ‘larger than life,’” says TIME editor Nancy Gibbs. “He lived life large, buoyantly, flamboyantly, delightedly chasing the next big idea, spotting the next great talent, inviting us all to his table to listen and learn. He was preacher and teacher, mentor to generations of journalists and model to all of us as editors. We will miss him terribly.”Elliott was a great editor—he first suggested the idea that became the TIME 100, the magazine’s annual list of the world’s most influential people—who also wrote more than 20 cover stories for the magazine. He could write on any subject and at any height, from the minutely observed to 20,000 feet in the air. He witnessed the 2004 Asian tsunami from his hotel room in Phuket, Thailand, and sent in a searing report of the situation on the ground. “They are burning bodies on the shore of Tamil Nadu in southern India, and Manikimuttu, 24, whose grandfather is among the 60 or so in the pyre, is crazed with grief, one moment scooping water into cooking pots and throwing it on the flames, the next collapsing in uncontrollable sobs,” he wrote. “Fifty miles south in Patong, a honky-tonk beach town on Phuket Island, 100 bodies are laid out in front of a morgue that has room to refrigerate only two. In Batticaloa, on the eastern coast of Sri Lanka, dozens of men have lined up on either side of a bridge, watching for bodies trapped underwater to pop up to the surface of a lagoon.”He could also make sense of dizzying macro-economic global trends, always with a cautious hopefulness that was as much his trademark as his Kangaroo-skin Akubra hat. “Though romantics want revolutions to have charismatic leaders,” he wrote about the Arab spring, “successful ones channel the revolutionary instinct into habits of effective government.” To the end he was fierce supporter of a united Europe, raging about Brexit on Twitter until a day or two before he died.He never talked down to readers and expected as much of them as of himself, always writing to unite, not divide. “It’s right that we get mad about Ebola—mad that the world waited so long to tackle the outbreak; mad that poor, vulnerable societies don’t have the resources needed to tackle infectious diseases,” he wrote in 2015. “But we should remember too that in the past few years, Liberia—in fact, every country, rich or poor—has seen small miracles and sees more of them each year.” In what might termed be the ultimate expression of confidence in his subscribers’ thirst for knowledge, he once devoted a magazine cover to diarrhea.He really loved America, often wearing cowboy boots and a belt buckle to his New York City Office jobs and marveling in his book The Day Before Yesterday about how Americans didn’t really appreciate it enough. For only one institution did Elliot have no time. Oh, how he hated the increasing prominence of Halloween. “A hint of mist in the damp air, a rustle from the trees as they shed their leaves in nature’s annual striptease and, everywhere you look, ripe, corrugated pumpkins, waiting to be turned into something delicious by a touch of nutmeg and a hot oven,” he wrote in an essay called “Boo, Humbug.” “Except that the mist comes from dry ice stuck in a grinning skull, the whisper in the trees from nylon ghosts hung in the boughs, and the pumpkin, made of bilious orange plastic, has a gizmo inside that groans ‘Whoooooooo …’ as you walk past. Halloween is upon us again.”Elliott was born in Liverpool, England, in 1951, and raised in a home, he noted “where the Messiah was considered light entertainment.” He attended Oxford University and spent some time in academia before being hired by The Economist in 1984 right on the eve of joining Deloitte. “[Editor Andrew Knight] told me, ‘you will make much less money but you will have much more fun’,” Elliot once told a reporter, “both of which were true.” After several years as that magazine’ Washington bureau chief, he was hired by Newsweek, where he rose to the title of international editor.An early adapter to the online world, Elliott spent some time at a tech startup before coming to TIME in 2001, where he eventually rose to be Deputy Editor and editor of all the international editions under Richard Stengel. “I couldn’t have asked for a better deputy,” says Stengel, now Under Secretary of State for Public Diplomacy and Public Affairs. “Thoughtful but decisive, independent but loyal, he made everyone around him better. He was also a prodigious worker, writing and editing late into the night with only the occasional cigarette to keep him going. He once described himself as a ‘hod carrier’ and teased me for not knowing what it really meant.” (It’s a guy who bring the bricks to the master builder.)When he left journalism for advocacy, shortly after signing what he called his best publishing contract ever, only he was surprised by the move. Wanting things to be better had always been an essential part of him. “Mike loved his life, lived it boldly and wanted the rest of the world to have that same experience of it,” said Bono. “He was annoyed and sometimes angry at the waste of human potential. Above all else, he wanted his life to be useful. If you were around him, that’s what he demanded of you.”Of all Elliott’s catchphrases, perhaps the one he used most was from Winnie the Pooh: “Mustn’t grumble,” he’d say when he was asked about how things were. Even as he battled cancer, “his awareness that he might run out of time far too soon only deepened his appreciation of life” said his wife Emma Oxford, with whom he had two daughters Roxana and Gina.Two days before his death, Elliot was at a celebration of his work at ONE. He was feted by chairman Tom Freston and many of his friends and colleagues. During his speech he quoted from a Derek Walcott poem in which he compares writing to a women ferrying coal in baskets: “Look, they climb, and no one knows them;/they take their copper pittances, and your duty/from the time you watched them from your grandmother’s house/as a child wounded by their power and beauty/is the chance you now have, to give those feet a voice.”Elliott took every chance he had to give many a voice before his was stilled.

Posted on: 15 July 2016 | 5:33 am

Nest’s New Product Is An Outdoor Security Camera

Smart home company Nest unveiled Thursday an Internet-connected security camera designed for outdoor use, the firm’s first hardware release since the departure of its high-profile chief executive.The $199 Nest Cam Outdoor, available for preorder immediately and on sale this fall, comes after founder and former CEO Tony Fadell left the company in June. Nest, which is owned by Google parent company Alphabet, says it has seen significant demand for an outdoor product, with 30% of users pointing their indoor cameras outside.The Nest Cam Outdoor’s camera and power adapter are weatherproof, helping to protect against the elements. While other outdoor surveillance cameras can withstand adverse weather, Nest claims its device is one of few that include a similarly resilient adapter.Like competing devices, Nest’s new product includes night vision capabilities and comes with a built-in microphone and speaker. The company said it has improved the quality of its camera’s night vision by making sure the Cam Outdoor’s LEDs were placed to distribute light evenly. In a demo of the product, most of the environment captured in the camera’s feed was clearly visible in night mode.The Nest Cam Outdoor captures footage in high-definition 1080p resolution. Owners can also choose to receive smartphone alerts that notify them when the camera spots a potential threat through a new feature called Person Alerts. The camera’s software can tell the difference between people and other subjects, like animals, to reduce false alarms. Nest says the new camera should be able to recognize people within a 15 to 20 foot distance so long as its view isn’t obstructed.Person Alerts will work with Nest’s indoor and outdoor cameras as well as Dropcam models when the Cam Outdoor ships this fall (Google and Nest acquired Dropcam for $555 million in 2014). To use Person Alerts, Nest owners will need to sign up for a Nest Aware subscription, which costs $10 for a 10-day subscription or $30 for 30 days. The subscription is necessary for viewing older video and saving clips as well. The pricing structure can be ideal for those who just want to review footage when they’re out of town and are content with just viewing a live feed otherwise. Without a subscription, Nest Cam owners can view a live feed showing what the camera is seeing and will get alerts when motion or sound is detected.When Nest launched its indoor camera last year, some reviewers criticized it for its lack of onboard storage and because owners could only receive movement notifications once every 30 minutes. The latter of those concerns will be addressed later this year when the Person Alerts system launches, which eliminates such limitations. But the company says it doesn’t include local storage on its devices in order to prevent burglars from obtaining footage should they steal the camera.An update for Nest’s app, which can be used to control and monitor devices like the new Outdoor Cam, is also coming later this month. The app refresh will bring a feature called Spaces, which lets users view their Nest devices by location. A new Private Sharing mode lets owners share a password-protected link to a camera’s feed with others.Nest’s latest product comes amid reports that the company is underperforming financially and struggling to retain employees. Former Motorola Mobility executive Marwan Fawaz was named CEO following Fadell’s departure.

Posted on: 14 July 2016 | 6:06 am

What Theresa May, Jamie Dimon, and the Fight for $15 Have in Common

Pay inequality–both the rising pay packages for executives and the “fight for $15” at the lower end–is back in the news. JPMorgan Chase head Jamie Dimon gave his lowest paid workers a raise to $12 an hour recently, a nice gesture, although somewhat offset by the fact that his own pay rose 36% to $27 million last year. (Banking executives on the whole got an 8% hike despite falling profits and lower than average returns on equity within the industry as a whole.)No wonder the new British Prime Minister, Theresa May, is calling for an overhaul of executive pay and for workers to be on the boards of companies, a la the German model of “co-determination,” to help mitigate excess. Meanwhile, the dogma of “shareholder value” as the only metric for corporate success–a philosophy that holds that the stock price is the only true value of a firm and that executives are legally bound to increase it–is rightfully coming in for more and more criticism. As I’ve been arguing for some time, it’s part of a dysfunctional cycle that increases inequality and reduces overall economic growth.I think that these debates are only going to heat up in the coming year for two reasons. One, there’s no sign that the share buyback phenomenon, by which companies artificially jack up their stock price by decreasing the number of shares on the market, is ending any time soon. Indeed, a new Goldman Sachs economic report forecasts that buybacks “represent the sole source of demand for US shares,” at the moment, in large part because the S&P is overvalued by many metrics. (Indeed, stocks are trading at multiples as high as they’ve been since 1976.) The bank is estimating that corporate earnings will fall in the second half of this year, which may be the reason that they also expect the bulk of firms to do more buybacks in advance of they.It’s the only way to bolster the share price, since the report also notes that capital investment is trailing cash flow. The great irony, is that this failure of U.S. public companies to invest in things like worker training, R&D, factory upgrades etc., over not just the last year but the last four decades, is a key reason that earnings growth is tapped out now. A full 67% of S&P 500 revenue comes from U.S. sales. The world is globalized, yes, but the fate of the largest American companies is still intricately tied to US demand (the same trend holds for most developed countries). That’s why executives like Dimon, as well as politicians like Theresa May, are suddenly so interested in bolstering low wages. Inflation-adjusted minimum wages have been stagnant since the 1980s, and corporations and the politicians they influence are finally feeling the hit, both in their bottom lines, and in their political systems (hello, Brexit). They know that in an economy largely depending on consumer spending and domestic demand, you can’t have a sustainable recovery—or more stable politics—unless people feel better off.Will the fight for $15 change the nature of our recovery? Only if it’s part of a broader set of reforms, like portable benefits, an increased social safety net, and the sort of worker involvement in corporate management being proposed by folks like Theresa May. The polarization of the job market isn’t limited to the lower end of the pay scale–any routine job, from middle market sales and office administration, to retail sales, to data crunching–will be done by software in the future, and thus the structure shifts undermining the labor wage share will not only continue, but move higher up the food chain.Fixing this will require not just raising pay at the lower end, but helping curb it at the top (check out this new study about how buybacks, which enrich mainly the C-suite, also degrade corporate value), and creating a new paradigm for “stakeholder” rather than “shareholder” value. Thus, I’m more optimistic about plans like May’s–which change the nature of how companies are managed–than I am about just hiking minimum wages (which, to be clear, I’m also for) in terms of bigger picture impact on economic growth. I’ll be interested to hear how this conversation plays out not only in terms of Brexit, but at the DNC in a couple of weeks.

Posted on: 14 July 2016 | 6:03 am

Deaf Customer Sues Taco Bell After Being ‘Berated’ for Written Order

A New Jersey woman who is deaf is suing Taco Bell after allegedly being discriminated against at two locations.On Wednesday, attorneys for Gina Cirrincione filed the lawsuit in the United States District Court of New Jersey, Eater reports.Both times, Cirrincione tried to purchase food from a Taco Bell drive-thru by writing down her order and giving it to the employee at the window.Cirrincione said she was “berated” by a manager before receiving her food at a Taco Bell in Pleasantville, New Jersey on Jan. 11. The manager told her she would not be served in the future unless she parked and entered the store because her use of the drive-thru interfered with “the desired flow of business.”On March 15, she went to a drive-thru in Atlantic City, New Jersey but she was refused service without communication from any employees.“Plaintiff learned not only that Taco Bell restaurants are inaccessible to deaf individuals, but that Taco Bell employees and managers are inadequately trained and improperly informed about the communication rights and needs of deaf people,” the lawsuit says.The lawsuit cites Title III of the Americans With Disabilities Act, which requires businesses to “make reasonable accommodations” and provide goods and services for people with disabilities. It also cites the New Jersey Law Against Discrimination, which prohibits businesses from discriminating against people with disabilities.A Taco Bell spokesperson told TIME that Taco Bell has not yet been served with the lawsuit, so it cannot comment on it at this time. “However, Taco Bell has a fundamental policy to respect all of our customers and employees, and we are committed to maintaining an environment free of discrimination or harassment,” the Taco Bell spokesperson said in a statement. “We do not tolerate discrimination in any form, and we have a strong policy to provide accessible service to all of our customers and fans.”

Posted on: 14 July 2016 | 6:01 am

What to Know About This Year’s Biggest-Yet Tech IPO

Line, the company behind one of Asia’s most popular messaging apps, completed its initial public offering on the New York Stock Exchange Thursday. Trading opened at $42 per share under the ticker LN, making it the largest tech IPO Wall Street has seen so far this year.While Line has become a major force in the messaging space since its debut in 2011, the name is likely unfamiliar to many outside of Asia. Here’s an overview of Line and some key facts about the company.Who’s Using ItLine has 218.4 million monthly active users, the company said in its most recent earnings report. Most of those users are based in Japan, Taiwan, Thailand, and Indonesia, although the company says it’s also seeing growth in the Middle East. By comparison, Facebook Messenger has more than 900 million monthly active users, while popular Chinese messenger WeChat has more than 700 million and WhatsApp boasts 1 billion.StickersStickers and games are an important part of the Line experience and the company’s business model. The Tokyo-based corporation earns more than $270 million from selling packs of stickers, according to CNBC. Line has called stickers — which come in themed packs featuring characters — the “main pillar” of its communications business. More recently, apps like Facebook Messenger and Apple’s iMessage have followed suit by incorporating stickers into their services.Apps and ServicesLine’s platform reaches far beyond basic messaging and calling. The company operates its own mobile wallet service called Line Pay, as well as a news service called Line News, which allows media outlets to create accounts to distribute content. It has also experimented with grocery delivery in Thailand and launched an Uber-like ride hailing service in Tokyo. Content also accounts for a chunk of Line’s popularity, with the company’s mobile games racking up a cumulative 628 million downloads, according to CNBC. Line also operates its own music and video streaming services.How it StartedLine was created to provide communication during the aftermath of the natural disasters that struck Japan in 2011. Employees of NHN Japan, which runs the country’s Naver search engine, created Line after a tsunami and earthquake disrupted phone service. Line eventually became a unit of the company and reached 50 million users in just over one year, according to Reuters. By comparison, it took Facebook more than three years to hit 58 million users.

Posted on: 14 July 2016 | 6:00 am

This Company Just Became the Biggest IPO of 2016

Call it a big fish in a small pond: With 2016 on track to record the fewest U.S. IPOs since the Great Recession, Line Corp. is officially the biggest of the bunch. The Japanese messaging app maker began trading Thursday after raising $1.14 billion in its highly anticipated IPO earlier this week, making Line the biggest company to go public on a U.S. stock exchange so far this year.Line stock, which is listed under the ticker symbol “LN,” surged as much as 36% in its debut—one of the best first-day performances of this year’s IPOs. The stock was up nearly 26% near market close.There have only been 43 U.S. IPOs, including Line, so far in 2016, 59% fewer than there were at this time last year, according to Renaissance Capital. In total, the 2016 deals have raised only $7.4 billion, down 60% from the same period in 2015. Jitters about the economy and a rocky stock market scared off many companies from going public earlier this year. For the first time in years, not a single tech company held a U.S. IPO in the first quarter of this year. There were no tech IPOs in the first quarter of this year, with many potential candidates waiting to see the outcome of the U.K.’s Brexit vote in June. Now, as U.S. stocks are hitting new record highs, more private companies may decide to brave the public markets.Line is the third billion-dollar IPO in the U.S. in 2016, according to Dealogic. The others include MGM Growth Properties, a casino real estate company that went public in April, and US Foods Holding, a food service distributor that raised more than $1 billion in May.Worldwide, Line is the largest IPO of a technology company since First Data FDC 2.30% went public in October in a $2.8 billion deal. But among all industries, there were three IPOs larger than Line’s on foreign stock exchanges to date in 2016, including Dong Energy, a Danish utility that last month raised the equivalent of $2.6 billion in Copenhagen; China Zheshang Bank, which raised $1.7 billion in Hong Kong in March; and Dutch insurer ASR Nederland, which raised $1.2 billion in June.There are several other major upcoming IPOs in the U.S., but none as big as Line. Tomorrow, AdvancePierre Foods Holding, a ready-made sandwich producer, is expected to begin trading after an IPO that seeks to raise nearly $460 million, potentially cracking the top 10 offerings this year. And next week Patheon, a drug development services company, aims to go public in an IPO that could raise almost $719 million, which would put it among the top five deals.Shares of Line will also trade on the Tokyo stock exchange starting Friday.This article originally appeared on Fortune.com

Posted on: 14 July 2016 | 5:56 am

Vevo Wants to Be Your Go-To App For Music Videos

Nearly 35 years since MTV first declared that “Video Killed the Radio Star,” you might be forgiven for believing the golden age of music videos is behind us. The network that built its kingdom on them, after all, is now better known for shows like Catfish and Real World.But it’s a pretty good time to be making music videos. Beyoncé’s “visual album” Lemonade was a smash hit, debuting at number one on the Billboard 200. Likewise Adele’s music video for Hello, which set a new record for the shortest time to break 1 billion online views. The video Adele unseated, Psy’s Gangham Style, was a viral sensation in its own right. These are not isolated events. All but two of YouTube’s 40 most popular clips are music videos.Now, a lesser-known company at the heart of the modern music video phenomenon is looking to become fans’ go-to source for the clips. After long leaning on platforms like YouTube to find an audience for its videos, the New York-based Vevo announced Thursday a redesigned mobile app and site, along with a more cohesive strategic approach, that it hopes will make it a destination for music video watchers in its own right.“If you looked at the product, if you looked at the brands, if you looked at the content, it didn’t feel like it was one coherent whole, it didn’t feel like the sum of the parts made up a bigger story,” said Vivo CEO Erik Huggers of the company’s prior efforts. Huggers joined the company last year after leading chipmaker Intel’s aborted attempt to build an online television service. “For the last nine months, we’ve been working really hard to put a strategy in place that brings all these pieces together and drives home the story for why we’re here,” he added.Vevo’s revamped app looks and functions much like other popular streaming services, albeit with a focus on music videos rather than audio. There’s a recommendation engine, expertly-curated playlists, and social functions. It’s a clean, inviting interface that company executives say puts the spotlight on musicians above all else, potentially important as artists clamor for more concessions from digital music firms. Vevo currently makes money exclusively from advertising, but it is planning to roll out a subscription service.Vevo was jointly founded in 2009 by Sony Music Entertainment and Universal Music Group, two of the world’s biggest music labels. (It can be seen as the music industry’s version of Hulu, a TV streaming service owned by several major broadcasters.) It’s not quite a household name, but it claims impressive numbers nonetheless. More than 42 million people watch at least one Vevo video every month, according to comScore. Vevo says it receives 18 billion views every month, with 60% of those on mobile devices. And of the 10 most popular videos on YouTube, it lays claim to six of them. (A company spokesperson declined to comment when asked if Vevo, which is privately held, is profitable.)Still, Vevo will face big challenges in its efforts to be seen as a premier destination for music video. One potential complication: Many consider the Google-owned YouTube to be synonymous with online video. But Vevo and Google are not outright competitors. In fact, Google is part owner of Vevo, while Vevo views YouTube as a distribution partner (every time you watch a Vevo video on YouTube, both sites get a share of the ad revenue). But Vevo is now pushing music fans to watch its videos on its own platform rather than on YouTube, potentially straining a complex relationship.“I don’t think there’s a tension, per se,” said Huggers when asked about this. “YouTube has what, a billion active users? If they’re searching for music videos, we would love them to watch the Vevo music videos. That’s fine and that’s a good business for us. We think we can offer a better product and a better experience.” Google did not return TIME’s request for comment.

Posted on: 14 July 2016 | 5:55 am

What to Know About the History of the Fed’s Beige Book

On Wednesday, as it does every six weeks, the U.S. Federal Reserve will release what’s called the Beige Book, so-called for the color of its cover.The full official title of the report is “Summary of Commentary on Current Economic Conditions by Federal Reserve District.” The book, an anecdotal overview of what’s going on with the economy in each of the 12 federal reserve districts around the U.S., is not necessarily the best economic predictor, but its release has become a newsworthy occasion as it offers a glimpse of what the Fed is looking at and might discuss.But it wasn’t always known as the Beige Book, and it wasn’t always public. And in fact, a quick look at its history reveals that it is often used today in a way that’s pretty much the opposite of what was intended.First introduced in 1970 as a more efficient substitute for the oral reports from the 12 district bank presidents delivered during meetings, it was originally known as the red book, again for its cover. The very first edition was prepared for the May 26, 1970 Fed meeting. At the time it was a confidential document, not available to the press or public, and was only delivered to the Board and select staff at the district banks. The first Red Book opened by describing its sources and purpose: “This initial report of economic conditions in the 12 Federal Reserve Districts is based on information gathered from directors of the Reserve Banks, conversations with local bankers, businessmen and economists, regular monthly surveys of manufacturing and trade industries conducted by some of the Reserve Banks, and selected statistical measures of regional economic activity.”Get your history fix in one place: sign up for the weekly TIME History newsletterThe book wasn’t the only confidential report distributed to committee members, there was also the Greenbook, which provided in-depth analysis of the current economic and financial prognosis, and the Bluebook, which gave perspective on policy alternatives. (The two combined in 2010 to form the Tealbook.)In February of 1983, Walter Fauntroy, House of Representatives delegate from Washington D.C. and chairman of the House Subcommittee on Domestic Monetary Policy, was interested in increased transparency from the Fed. He requested the Red Book be released to the public when the Fed’s policy recommendation was. Instead the Fed chose to remove details about specific companies or individuals from the document and make it public about two weeks before the meetings of the Federal Open Market Committee, a group that meets eight times a year and determines monetary policy like interest rates. (The next decision on interest rates is expected on July 27.) They also changed the cover color from red to beige, or tan as it was also called in the early years.The first Beige book was prepared in June 1983 in preparation for the mid-July meeting. This two-week gap between its release and the meeting is intended to underscore that the information the Beige Book contains is not meant to be headline news — after all, it’s out of date by the time the Fed actually meets — and that this report is just one of the numerous sources which inform the Fed’s decisions. Beige is, likewise, the color of something meant to be bland and routine.For a while, this messaging seemed to work. The newly-beige Book wasn’t immediately subject to high levels of media attention.It took about five years for the media to pay attention to the book and begin regularly reporting on its release. In 1986 the Dow Jones News Service wrote a brief article on the report’s findings, quoting from the “Tan book” that there was “Moderate growth is being reported by most Federal Reserve districts” and noting there was little change from the previous report. By 1988 newspapers began to publish articles about the survey’s findings, increasingly regular dispatches on the Fed’s summaries of how different sectors of the economy had fared across the U.S.—something they still do today.

Posted on: 13 July 2016 | 6:23 am

Time Inc. Announces Major Changes With Executive Reorganization

Time Inc. on Wednesday announced an executive reorganization that the company says will better position the magazine giant for the future. Time Inc.’s CEO Joe Ripp said in an announcement to staffers that the changes will allow publisher to unify processes and unlock “advertising opportunities critical to our future.”As part of the changes, Time Inc., which owns Time, Fortune, People, Money, Sports Illustrated, and other magazines and websites, is officially centralizing its advertising sales under one executive, Mark Ford, who is the company’s Chief Revenue Officer Global Advertising. The company described its ad sales restructuring as significant, and that it would refocus the unit into three divisions, including one group that will be focused on selling ads across titles. Time Inc.’s ad sales teams have historically been focused on selling ads for only individual brands.On the editorial side, Alan Murray, the editor of Fortune, is taking over the role of Chief Content Officer, replacing Norman Pearlstine. Pearlstine, a former executive editor of the Wall Street Journal and editor-in-chief at Time Inc., will remain at the company as vice chairman.Jen Wong, the head of Time Inc.’s digital operations, will also take on the role of overseeing The Foundry, the company’s content studio. Rich Battista, a Time Inc. executive, will oversea all the company’s brands. Evelyn Webster, a long-time Time Inc. executive and former head of Time Inc. UK, is leaving the company.Time Inc. has been looking for ways to better compete with digital startups, such as BuzzFeed, that have emerged in the past few years and are grabbing a larger portion of online ad dollars. Time Inc. said the changes are part of a transition that began when the company was spun-off from Time Warner two years ago. Shares of Time Inc. TIME -0.30% , which initially traded for $25 after the spinoff, rose slightly on Wednesday on the news of the reorganization. Below is the full text of the email Ripp sent to Time Inc. employees on Wednesday announcing the changes:One Time Inc.—Next StepsTeam,Today we are announcing important steps that are expected to drive our historic transformation—a transformation that began with our spin-off from Time Warner two years ago.Today’s announcements are about positioning ourselves for long-term growth. A new structure will allow the organization to unlock and scale innovation while unifying processes and advertising opportunities critical to our future. Our Product, Editorial and Ad Sales leaders will be able to more efficiently work across all brands as One Time Inc. and more easily provide creative solutions to marketers. I am confident that our new structure will enable us to benefit from many new, extraordinary opportunities ahead.The changes we are announcing today affect three broad groups: Advertising Sales, Editorial and Brand Development.—Advertising Sales—Effective immediately, Time Inc.’s US advertising sales organization will report to Mark Ford, Chief Revenue Officer Global Advertising. The new sales structure will be configured to serve the advertising market in three distinct ways:Category Sales—We are extending our category approach to include all of our largest partners. This change will make it easier for our clients to buy across our portfolio, and we will provide them with 360-degree solutions (e.g., native, targeting, live media).Brand Sales—Our powerful brands are the cornerstone of our go-to-market strategy. We are creating clusters to efficiently serve endemic/brand advertisers with premium content solutions.Digital—We are establishing dedicated digital sales teams to provide digital-first clients with scale solutions. They will provide digital expertise and support to Category and Brand Sales.Time Inc.’s US sales planning, sales marketing and development teams, which previously supported corporate and brand sales, will also move into Mark Ford’s organization.Time Inc.’s creative studio, The Foundry, will now be led by Jen Wong, President of Time Inc. Digital. Increasingly, CMOs want to speak to their customers in the same way that Time Inc. talks to its audiences. The Foundry, our state-of-the-art creative lab and content studio in Brooklyn’s Industry City, brings the full potential of Time Inc.’s storytelling expertise, editorial know-how and creative spirit to help brands tackle their most demanding marketing challenges. We believe branded content and native advertising solutions present a large-scale opportunity for Time Inc.Editorial—Alan Murray, editor of Fortune, will succeed Norman Pearlstine as Time Inc.’s Chief Content Officer. All Time Inc. US editors will report to Alan. Under his leadership, we will maintain our commitment to quality journalism and storytelling. At the same time, Alan will lead our editorial efforts to grow audiences in every format and on every platform, with particular emphasis on mobile, social and video. Alan will report to Rich Battista on business and editorial matters and to me on matters of editorial independence and journalistic integrity. He will continue to serve as the editor of Fortune until his successor has been named.Norm Pearlstine will continue to work at Time Inc., reporting to me as Vice Chairman. Norm returned to Time Inc. soon after I did to work on the spinoff from Time Warner and to help break down historic barriers, enabling editors to collaborate more closely with business-side colleagues. With that work largely behind him, in his new position, Norm will focus on international growth opportunities for Time Inc.’s brands and content and other projects.Brand Development—All of Time Inc.’s US brands will now report to Rich Battista as EVP, Time Inc. and President, Brands. In this role, Rich, will be the primary brand steward, overseeing brand editorial, development, marketing, public relations, operations and strategy, as well as Time Inc. Video. Rich will continue to do the work he started at People, Entertainment Weekly and Sports Illustrated to transition our brands to become true multimedia, multi-platform businesses and to introduce an entrepreneurial spirit and investment culture into the organization. We believe that if we nurture our brands, they will endure and grow.Evelyn Webster, who has served Time Inc. as Executive Vice President since 2011, will be leaving the company at the end of August. Evelyn has been a vital member of the Time Inc. team for more than two decades. At Time Inc. UK, she rose through the organization to become CEO. More recently, she led business operations for 20 US brands that reached more than 100 million consumers. We thank Evelyn for her many contributions throughout her years of service to Time Inc.I know that many of you have questions. In the coming days, you will receive more information from Mark, Jen, Alan and Rich about their organizations. Also, we will be hosting town hall meetings throughout the day today to discuss these changes. In the meantime, please feel free to contact me with any questions.There is tremendous energy and creativity at Time Inc. With our new structure and our incredible talent, I am certain that our best days lie ahead.Joe

Posted on: 13 July 2016 | 6:21 am