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Kenyan Elections Demonstrate Value of Rich Interaction Applications in African Development

by Jessica Gandy on August 16, 2017

This is part of a series of posts on the impact of Rich Interaction Applications (RIAs).

On August 8th, Kenya voted in its fifth round of elections and elected Uhuru Kenyatta as the winner with just over 54% of the votes. In the past, Kenya’s voting procedures have been overrun with corruption and inconsistencies, but in this election cycle Rich Interaction Applications (RIAs) were used to ensure a freer and fairer election. RIAs were found in Kenyan polling stations to promote transparency. Real-time numbers, electronically transmitted by officers at polling stations, were posted to various social medias by election observers. Other RIAs used during the elections allowed mapped voting, tracked communications from activists and civil society, and helped to alert officials about violent outbreaks and possible cases of fraud.

The application of mobile technologies in the Kenyan election is an example of the increasing use of RIAs across many African nations. This technology has allowed those nations to skip the landline phase and go straight into the digital age, bolstering economic and social development. The rise of mobile technologies in Africa has been fast. In 2002, 1 in 10 people owned a mobile phone in countries like Tanzania and Kenya whereas at the same time in the United States a little more than half the country had cell phones. Today, cell phones are just as common in African countries like South Africa and Nigeria as they are in the United States.

With higher cellphone adoption, Africans have found new ways to communicate and engage in commerce through RIAs, which facilitate “rich interaction” with messaging, mobile banking, and photography or videography components. RIAs are growing in popularity across the world and have contributed to a $5.6 trillion increase in global GDP for every ten percent increase in RIA usage. The rising popularity of RIA in African countries parallels the increase of RIAs globally. Beyond facilitating economic growth, RIAs are helping combat major issues in African countries like poor education, high unemployment rates, and low economic growth.

Why Art Tech is Smart Tech: Q&A with Fractured Atlas

by Courtney Duffy on August 11, 2017

This post is part of a series dedicated to highlighting small and medium-sized enterprises across the country employing technology in new and innovative ways.

Headquartered in New York, Fractured Atlas is a nonprofit that creates technology tools to eliminate barriers to artistic expression. The technology allows artist members to spend less time raising money, finding workspace, and selling tickets, and concentrate more on making art. The organization reaches a network of over 400,000 artists and arts organizations throughout every Congressional district in the nation. Given Fractured Atlas’ massive scope, it’s difficult to believe founder and Executive Director Adam Huttler was the organization’s lone employee, working out of a studio in East Harlem, in the early 2000s. Today, the organization employs more than 30 staffers, and up until this past March, I was one of them. Under Adam’s tutelage, I completed a two-year fellowship at Fractured Atlas in which I explored opportunities for the arts community to get involved in advocacy efforts around technology policies that impact them. I reconnected with Adam to get his take on the intersection between technology, the arts, and entrepreneurship.

Why Online Platforms Lose Sleep Over Disruption

by Matt Schruers on August 10, 2017

A new paper by economist David Evans takes aim at the notion that Internet platforms are, in the words of some commentators, “unstoppable.” Evans differs from these implausible declarations, identifying several aspects of online platforms that lead to many a “sleepless night,” as cutting-edge platforms worry about disruption by existing rivals or new entrants. (DisCo has covered some of Evans’ scholarship before; he also co-authored the 2016 book Matchmakers on the subject.)

To start, what’s a “platform?” As I noted in a paper last year, few Internet terms are used with such imprecision as “platform.” In fact, as both Evans and other DisCo writers have observed, many traditional businesses have online presences that are indistinguishable from major online platforms. Evans uses the term “platform” specifically, in order to indicate a “businesses that connect two or more different types of users,” or what scholarly literature has called “multi-sided markets.”

Evans identifies several features of online platforms that result in leadership being less durable than other sectors, some of which will be familiar to regular DisCo readers. Platforms tend to be characterized by (1) rapid innovation in inter-firm competition; (2) disruptive innovation that moots the relevance of existing industries; and (3) the fact that users can “multi-home”, or use multiple competing services between which they can easily switch.

New Ad Escalates Hostility in Airbnb Regulatory Battle

by Isabelle Styslinger on August 9, 2017

In an escalation of hostilities, a new 30-second ad backed by New York City hotels and hotel worker unions portrays Airbnb listings as security threats to New Yorkers.

The ad, which was immediately criticized for using fear-mongering tactics, is the latest example of established industries responding to disruptive competition by lobbying for regulatory intervention.

The video begins by stating that there are 40,000 Airbnb listings in NYC and asserts that Airbnb permits “illegal listings on its site.” Despite this, the ad states, Airbnb “refuses to hand over the addresses to law enforcement.” Failing to turn over this data could have dangerous repercussions, the ad appears to convey, referencing how Salman Abedi, the Manchester bomber, used a short-term rental through an online retailer when he conducted the attack, and reminding viewers that New York remains a primary target for terrorism.

Airbnb quickly denounced the ad, calling it “an outrageous scare tactic” and asserting that Airbnb “had nothing to do with the tragic events in Manchester.” It also stated that it is “one of the only hospitality companies that runs background checks on all U.S. residents, both hosts and guests.”

The ad comes in the midst of discussions over proposed legislation in New York backed by the hotel industry that would require ads on home-sharing sites to list the property’s “address, including street name, street number, apartment number, borough, town and county of the unit being offered.”

Fighting For Your Ears

by Isabelle Styslinger on August 8, 2017

Last week Spotify revealed it’s going to promote podcasts on its streaming service, providing yet another example of the fierce competition underway for your ears. Indeed, between music services, audiobooks, and podcasts, the fight for listening time is only heating up.

When Apple’s multimedia player, iTunes, was released in 2001, competition across these different types of audio was not as evident. When iTunes transformed into a digital multimedia store, this changed.

Originally, however, iTunes was a simple music player and Napster, an unlicensed peer-to-peer file sharing service, which allowed users to send audio files back and forth, was the closest thing to a digital music store. While Napster quickly ran afoul of U.S. copyright law, the overwhelming response to the product demonstrated enormous pent-up demand for a licensed digital audio service. Eventually iTunes emerged as not only a service for purchasing songs and managing files on music devices, but one for listening to music.

Offering both a music player and online store in one, centralized site was appealing to consumers and, before long, iTunes offered other forms of multimedia, including audiobooks, podcasts, TV, and movies.

Digitizing the music store fundamentally changed how we consume audio — namely, instantly and efficiently. But, most importantly, it changed the nature of competition; by allowing users to digitally access and purchase different types of audio on iTunes, it placed these once-separate verticals in direct competition with one another.

Content Providers vs. Content Hosts: Prosecuting Bad Actors Without the Backpage Bill

by Matt Schruers on August 4, 2017

In yesterday’s post I described ongoing efforts to amend Section 230, the statute which protects Internet intermediaries from being penalized for the misdeeds of Internet users. A question being asked is, why is there interest in allowing states to regulate Internet content?

One answer is the website Backpage.com. Indeed, sponsors of the bill have been so explicit that the amendment is intended to target Backpage that many simply refer to the legislation as the “Backpage bill.” Backpage is a provider of Internet classifieds, whose sites include a “dating” section, and until January, an “adult services” section, in which a Senate investigation found human traffickers had solicited business.

Citing Section 230, Backpage has defeated some state and civil claims, however. These claims sought to hold the site responsible solely for the passive role it had in providing the location where these illicit transactions were published. New evidence, however — which has yet to be brought before any court — suggests the site had actually developed some ads. That would be another matter (more on that below), to which Section 230 does not apply.

Tech for Good: Q&A with Envint Management Group

by Courtney Duffy on August 4, 2017

This is post is part of a series dedicated to highlighting small and medium-sized enterprises across the country employing technology in new and innovative ways.

What else but technology can “be disruptive” and “do good” at the same time? Innovation has done wonders for large, private sector companies, but it is an important tool for nonprofits and religious organizations, as well. A Florida-based startup called Envint Management Group (EMG) harnesses technology to empower nonprofit and religious groups to impact society for the better. I spoke with EMG’s founder, Quinterius Enzor, to learn more.

Courtney Duffy (DisCo): Quinterius, you have a rigorous STEM background. Can you share a bit about your experiences in STEM, and how they inform the mission and work of Envint Management Group?

Quinterius Enzor (EMG): Sure. I recently graduated from Florida A&M University with my Bachelors of Science in Applied Physics. As far as back as my memory travels I always had a knack for entrepreneurship and science. Although I didn’t pursue entrepreneurship until later, I always found ways to monetize my skills within the science community, and I tutored students in STEM subjects for 10 years. I recognized major disparities in students’ skill sets, and I discovered that there was a lack of grant awards for research in the STEM space. My mother, who was a compliance officer at the university, taught me everything she knows and encouraged me to establish Envint Management Group (EMG). Today, EMG is a grant consultancy that specializes in the location and proposition of funding for startup nonprofit and religious organizations.

DisCo: How do you harness the Internet to engage with your audience? Do clients tend to find out about you online?

EMG: I harness the Internet as a virtual means of engagement with my audience. I give clients all the tools to contact me at any time, and my hands-on approach guarantees a high quality of service. Roughly 68 percent of my prospective clients find me online, and I recently noted that as my search engine optimization has improved, the number of inbound and prospective clients has increased.

Why State Regulation of Online Services Threatens the Internet Economy

by Matt Schruers on August 3, 2017

As reported by Professor Eric Goldman and others, Congress is again considering problematic legislation to undermine what WIRED Magazine called “the most important law in tech”: Section 230 of the Communications Decency Act (47 U.S.C. § 230).

What is Section 230?

Section 230 is a critical protection for online intermediaries, designed to ensure that when online misconduct occurs, courts and local law enforcement do not ‘shoot the messenger’ by blaming the intermediary instead of the bad actor. Section 230 was passed to avert the risk of unpredictable liability for online services, which federal courts have said would be “an obvious chilling effect” on speech.

Before Section 230, ISPs were exposed to legal risk if they policed their services for abuse and misconduct: courts had concluded that once you start looking for needles, you’re effectively the author of the entire haystack. Perversely, taking content down meant intermediaries assumed responsibility for the billions of posts that they did not take down. By enacting Section 230, Congress encouraged ISPs to be good actors, and to police content for bad actors without fear that they would face guilt by association in the event that bad actors manage to escape detection.

The websites, ISPs, hosts, advertising networks, and other services that depend on Section 230 have come to be a cornerstone of the Internet and the U.S. economy. One recent study estimated that sites providing “user-generated” content add $44 billion to the U.S. economy and 425,000 jobs. MORE »

Staying Fresh, Thanks To Tech: Q&A with Fly Mouthwash

by Courtney Duffy on July 28, 2017

This post is part of a series dedicated to highlighting small and medium-sized enterprises across the country employing technology in new and innovative ways.

Co-founders Nick Telford (left) and Michael Bracciale know a thing or two about staying fresh on the fly. The Tallahassee-based startup, Fly Mouthwash, has created a breath-freshening product that offers the portability of gum with the effectiveness of traditional mouthwash – users simply mix the product with an ounce of water to create a mouthwash enabling fresh breath on the go. The entrepreneurs, who met while students at Florida State University, have developed their company at an incubator called Domi Station, and recently won recognition from Tallahassee’s Chamber Entrepreneurial Forum. As you’ll read, Nick and Michael recognize the key role technology will play in taking their company to the next level.

Courtney Duffy (DisCo): What technology do you harness to create your product, the mouthwash itself?

Over the past year, we’ve spent a great deal of time working on the taste, feel, and flavors of Fly Mouthwash. Working closely with students, professors, and other entrepreneurs in Tallahassee, we’ve been able to continually improve upon our formula based off of our consumers’ feedback. We utilize several mobile apps to collect and store our feedback that we receive. Of course, much research has gone into determining the right ingredients for our product, a process that would’ve taken much longer without the internet. The scaling up process, which involves moving our operations to a larger manufacturer, utilizes a much greater deal of technology in the making of the mouthwash. The equipment used throughout our assembly line relies upon precise movements and timing, an impossible undertaking without the software and technology that these machines utilize. Any time that we are invited to a manufacturing plant, we jump on the opportunity because it is fascinating to see these pieces of equipment work together in unison.

DisCo: In what ways are you relying on technology to promote your company?

There has never been more opportunity than now to market and brand our company online. With paid social media advertising, we can pinpoint exactly who our target consumer is for that advertisement, and with the click of a button, our message can be delivered straight to their smart phone. We can then drive our social media traffic towards our website, with the end-goal being another satisfied Fly Mouthwash user. Without this competitive advantage, companies in the past had to spend millions of dollars on TV commercials and billboards, burning through marketing dollars just to get their name out there, with no real strategy behind their marketing efforts.

Why we’re all responsible for halting fraud – new EU rules won’t stop it

by James Waterworth on July 27, 2017

Unless you are lucky enough to be spending a two-year sabbatical on a tropical island, you will have noticed that online security, from emails to personal data, is a hot topic. By now, you also know that the essentials of cybersecurity require cooperation between businesses and users, systems must be kept up to date and suspicious links should never be clicked on. Preventing fraud is an important challenge on and offline, whether for merchants, banks, or, most importantly for the average citizen.

We all know that no system is infallible when we human beings are involved. Nobody likes to be told that it is a job for all of us to keep ourselves safe, but it is a job for all of us to keep ourselves safe.

Loyal DisCo blog readers will have seen our recent pieces (e.g., 1, 2) on fraud prevention. These articles lament new European rules that require a particular technique called “Strong Customer Authentication” be used to fight against fraud in online transactions. These rules are close to being finalized and have been scrutinized by the European Banking Authority and sent back to the European Commission for final approval. In autumn they will be sent to the European Parliament and the Council for approval (are you still following?).

The problem is that none of these organisations has apparently yet noticed the new mantra: “Fraud-prevention-is-everyone’s-responsibility.”

Currently, the draft rules require merchants (think online shops, travel agents, etc.) to always use a bank’s Strong Customer Authentication to approve a transaction –regardless of the merchant’s past relationship with the customer, the merchant’s internal fraud prevention efforts and internal authentication methods. Strong Customer Authentication is only one tool in the fraud prevention toolbox and in itself it is not enough to prevent fraud.MORE »

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