Monday, April 08, 2024

Jamie Dimon Annual Letter to JPMorgan Chase Shareholders Calls A.I. 'Extraordinary'

  

UPDATE > 09 April



"We may be entering one of the most treacherous geopolitical eras since World War II,"


JPMorgan's Jamie Dimon warns the world is on fire — and plenty of people are way too bullish


In his annual letter to JPMorgan shareholders, Jamie Dimon rang the alarm on geopolitical tensions.

The bank's CEO said investors were too optimistic about inflation, interest rates, and the economy.

Dimon hailed AI as revolutionary and flagged recession or even stagflation as significant risks.

He pointed to the wars raging in Ukraine and the Middle East, the US and China butting heads over issues like trade, and a resurgence in terrorist attacks.

Sharp increases in food and energy prices, steeper borrowing costs, increased recession odds, and whipsawing markets have also heightened global fear and uncertainty, Dimon said.

The billionaire banker outlined why he was especially worried about stubborn inflation. He ticked off governments' deficit spending and epic amounts of fiscal stimulus in recent years; the remilitarization trend; the ongoing overhaul of global supply chains; the costs of the green-energy transition; and the possibility of higher energy prices in the future because of underinvestment in energy infrastructure.

Dimon also called out equity and credit markets for pricing in a 70% to 80% probability of a soft landing, where the US economy skirts a recession and both inflation and interest rates fall. "I believe the odds are a lot lower than that," he said.

The bank chief cautioned against paying too much attention to monthly inflation figures or the timing of the next rate cut. He said that the larger forces he's worried about may have locked in longer-term rates already and that minor tweaks might not matter much.

Indeed, Dimon said JPMorgan was ready for rates of 2% to 8% or even higher. He said a 2-percentage-point increase in rates had slashed the value of most financial assets by 20% and particularly vulnerable real-estate assets like office space by possibly even more.


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Cartoon by Tom Tomorrow

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Techdirt Report: Whoops: Data Broker Data Reveals Rich Visitors To Jeffrey Epstein’s Island

Whoops: Data Broker Data Reveals Rich Visitors To Jeffrey Epstein’s Island

from the who-needs-a-privacy-law dept

You might recall that, back in February, Senator Ron Wyden’s office revealed how a data broker named Near Intelligence had collected the data of women visiting abortion clinics, then sold that data (via a proxy) to right wing activists. Those activists then turned around and used it to target vulnerable women with health care misinformation.

The scandal perfectly exemplified the very real hazards of having a Congress that’s too corrupt to regulate data brokers or pass even a basic internet-era privacy law.

When it originally went public, Near bragged about how they owned a database tracking the movement and online behavior of 1.6 billion people across 44 countries. That company ultimately went bankrupt, resulting in a rush by Wyden and the FTC to ensure that data didn’t bounce around the open web.

But the data broker’s impact lives on all the same. As part of an exclusive report (paywalled, Quartz alternative) Wired found datasets (left exposed online) collected by the company that tracked visitors to Jeffrey Epstein’s notorious pervert island down to the centimeter. The data exposes the movement patterns gleaned from 200 mobile devices across 11,279 coordinates as they visited the island:

“The coordinates that Near Intelligence collected and left exposed online pinpoint locations to within a few centimeters of space. Visitors were tracked as they moved from the Ritz-Carlton on neighboring St. Thomas Island…The tracking continued after they arrived. From inside Epstein’s enigmatic waterfront temple to the pristine beaches, pools, and cabanas scattered across his 71-acres of prime archipelagic real estate.”

The Wired report notes that the data on Epstein’s guests was created by an unknown third-party client using a free trial of Near’s systems

  • Those systems are based on an intelligence platform formerly known as Vista (since folded into a product called Pinnacle). 
  • And again, Wired kind of buries the lede: that the data was found openly accessible online.
“WIRED discovered several so-called Vista reports while examining Pinnacle’s publicly accessible code. While the specific URLs for the reports are difficult to find, Google’s web crawlers were able to locate at least two other publicly accessible Vista reports:
  • one geofencing the Westfield Mall of the Netherlands and
  • another targeting Saipan-Ledo Park in El Paso, Texas.”


It’s not hard to see the problem with dodgy international companies tracking granular, detailed online behavior down to the centimeter, then failing to secure that data as part of a massive market economy that sees very little oversight. 

In this case the data revealed the dodgy behavior of pedophile shitheads; but the data could just as easily have included any manner of easily abused and exploited sensitive user data, including that of marginalized folks.

Half of the companies involved in tracking this data have since been acquired or changed their names — all part of the intentionally convoluted industry specifically designed to make oversight and regulation as difficult as possible. 
  • Near Intelligence has since been reincorporated and rebranded as Azira.
Outside of scattered FTC action, the U.S. doesn’t even try to ethically rein in this sector for two reasons
  1. one, Congress is too corrupt to resist the advances of a coalition of massive companies with unlimited lobbying budgets, keen to see the data monetization party continue. 
  2. Two: the U.S. government also exploits this lack of oversight to hoover up data itself and, in many cases, avoid getting traditional warrants.
This kind of data isn’t just valuable to marketers. 
It’s valuable to city planners, sociologists, and traffic management firms.
 It’s super valuable to military contractors and the military
But it’s also hugely beneficial to global governments (including authoritarian ones), and I’d wager the intelligence systems they’ve built to exploit it make Edward Snowden-era surveillance look downright adorable.

There’s no financial incentive for anyone involved in this chain of dysfunction to behave ethically or implement reform. And the scale at which this dysfunction now operates is mind boggling.

So despite endless scandal, this data surveillance free-for-all continues unabated. 

At least until there’s a scandal so ugly (likely involving mass fatalities, some unprecedented embarrassment for the rich and powerful, or both) that Congress is shaken from its corrupt apathy and forced to pass some kind of basic guardrails.

Filed Under: 
Companies: near intelligence

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