It means that you’re dishonest and can’t be trusted to keep big commitments. That seems to be less valued than it once was though.
9,384 karma · joined February 21, 2007
They do have this "usage based pricing" where you pay them for each user, but then also for each project and customer, and then a percentage of your billings. It's completely absurd to be paying them a percentage when you receive payments by wire and all they're doing is emailing an invoice.
Anyhow caveat emptor. Looking at their website they do not show the actual pricing. They just say it's "starting from" $9/seat or $14/seat, but you only pay that if you don't use the software at all.
As far as I can tell, what Bending Spoons has figured out is that they can raise prices 8-10x, but only maybe 60-80% of their customers will cancel because it's a big hassle, and so the profits go up massively for a while. They will probably even retain a hard core of say 10% of their original userbase for some time.
For audiobooks, I seem to not have as much of a tendency to pause the audio and stop and think, and it’s harder to reread a passage, so it’s a more passive experience.
For online content, there’s not as much of an intention to fully engage with the material. It’s easy to skim or switch to something else.
Gas/Diesel trucks lose range when towing too, but dealing with a shorter range gas truck isn't too big of a problem on a trip beyond the extra cost. Gas stations are everywhere and it takes 5 minutes to fill up. At most gas stations, filling up while towing a trailer isn't too big of a problem. Even if your truck only had a 150 mile range while towing, it would only be a minor annoyance, and the reality is that you'll probably get at least 250 miles out of a tank.
If you're towing with an electric though, you probably are looking at less than 150 miles. Now every couple of hours you have to stop for probably an hour or so, even with a fast charger, because you're probably going to want to charge the truck to full, not 80%. You're also probably driving somewhat out of your way to hit charging stations that frequently if you're not in a very populated area.
In California for example, PG&E has an incentive to propose the most costly projects, make the worst deals with the union, etc. Of course the union is also very happy with this and will provide political cover for PG&E. Every extra dollar they spend on capital is an extra 10 cents every year they can charge the ratepayers and then pass on to shareholders.
You obviously see the result here where it's not just the profit margin of the private utilities that's causing the higher cost. Even if you zeroed out their profits and reduced rates accordingly, you'd still be paying more, because the private utilities spend more. So much for privatization saving money.
The fact that co-ops are even cheaper than private utilities is doubly crazy since most co-ops are rural, and the amount of wire to serve each customer is way higher than private utilities which tend to serve cities more where it's cheaper to provide service.
IMO the solution would be to make profits based on some sort of quality/cost of service benchmark rather than just expenditures. The problem of course is that it's hard to make fair metrics that aren't gameable.
For the reliability/storability parts though, the electronics are probably the least of the issues. You've got a jet engine in there that needs fuel, oil, and has a number of high speed moving parts. Having something like that sit for years in a ship and work with high reliability is not so simple.
Now Whittacre was crazy and unstable, but what the DOJ did by giving him a bigger sentence for the embezzlement than the heads of ADM that he made the case against IMO sent a message that cooperating with the government on a price fixing case is not going to help you.
What the story really says IMO also is that one of the only ways for the government to actually get enough evidence to prosecute these cases is to have someone who is part of the conspiracy that has committed some other crime, and the feds can flip them. That's not going to happen too often.
Ultimately the government also proved that ADM was also part of a completely separate citric acid price fixing cartel involving different players, but the MO was exactly the same mustache twirling crazy conspiracy theorist's dream of the players sitting down together in a hotel conference room dividing up the market.
On the other hand, price fixing is relatively easy, and as long as the players don’t get too greedy and don’t leave a paper trail, they’re unlikely to be caught. The only way it usually happens is if there is a whistleblower.
The ADM lysine case years ago also threw a lot of cold water on whistleblowers when the whistleblower ended up getting more jail time than any of the other conspirators.
Anyhow, the fact you even see any successful prosecutions given how hard it is prove, and the paradoxical fact that in some commodity industries, you actually do see decent profit margins tells me that this sort of thing is actually probably very common.
That’s not to say that it should cost 2.5 million, but Ukraine doesn’t need storability and durability because I think they pretty much get driven from the factory to the launch site in a matter of days.
Anyhow that sort of person might not take kindly to having a hash of their password sent to some random web server without being asked first.
Given that Amazon has 40% of the e-commerce market (I'm surprised it's not more actually), this is exactly what antitrust laws were designed to stop. Customers and vendors/manufacturers should be free to use the distribution channels that meet their needs of service and speed and price the best, but Amazon, through its big market share, is preventing that.
If we're going to electrify everything, we need a clean, plentiful, reliable electrical supply. There is no technical obstacle to having this.
Saying "we can save $1000 per person in capital costs, they just need to deal with 5 extra minor inconveniences per day" is not how you run a developed country.
Certainly it shows that agents like Muse are a complete nonstarter for anyone doing anything that needs to be private. Even if you never talk about it with the bot, merely having sensitive information on your hard drive means it can be sent to outside servers where, if it hits some safety filter, some probably low paid employee is going to read it. Say you’re working for a public company and have files on your computer that could be material nonpublic information, now potentially some content monitor is going to be seeing that and trading based on it. It’s completely untenable to have everything you put on your computer be subject to human review at some tech company.
The reason most educational software is not like this, as far as I can tell, is that the incentive structures aren’t there. Maximizing learning just isn’t a priority for most schools.
For this new breed of software though, they’re selling to parents, at fairly high prices. Some parents really care about their kids actually learning, and so the incentives are much more direct and aligned.
If you have a two step problem, the strategy of "I can't do two things at the same time so I'll just give up", is not a good one.
Fixing the incentives is not easy at all. There are a lot of "good reasons" why this happens. Many of them are failures down the line, but no one at the contractor level pays the price for not mitigating them, so they don't. If a truck doesn't arrive on time, you could find something else useful to do, or you could just stand around waiting. If you/your company is paid by the hour, it's more profitable to stand there.
Your company could also charge the trucking company for arriving late, or the concrete plant for making them wait. This is not customary in the industry though.
Suppose you fixed all of this though. For a given number of construction projects, you'd need way less labor. If profits are a percentage of costs, less labor means less profit. Making things more efficient means the construction company has to lay a bunch of people off and make less profit, so their incentive is to convince the government that inflated costs are reasonable.
I'm not sure what the solution is. Laying people off is painful. However, one thing you might do would be to do more work for the same money, or higher quality work for the same money.
On the other hand, prospective parents have to believe that the money will keep flowing, or the incentive isn't as strong. In that case, maybe something like giving new parents a house is a better bet because they'd own that regardless of what future governments do.
Now it's certainly possible that AI will eliminate the need for anyone to work. That is a different question though than conventional demographic prediction.
If that happens, the majority of Japanese people will be retired, and the cost to provide medical care for them will be astronomical compared to the number of people that can provide that care. It's easy to say "Japan is a rich country, they can afford it." However, medical care for old people is very labor intensive. Even if the old people have "savings", this is just a claim against the labor of young people. If the young people are too worn out from caring for their parents to have their own kids, the country dies out.
The only solution I can think of is to provide massive incentives to have kids. Massive meaning something like "you get $40k per year for every kid in your house under 18", or "you get a free house when you have your first kid, and a bigger one when you have your second."
Maybe this sounds extreme, but the alternative is that young people are taxed at punitive rates in order to provide care for older people. As the situation progresses, younger people will have even less kids because they can't afford them, and eventually they won't even be able to pay for a reasonable living standard for themselves. Older people won't care and will vote themselves excellent benefits, since they would have a good majority in voting. The only option younger people would have would be to leave the country, which only forces the tax rates higher. Eventually something breaks. It's difficult to predict exactly how it would go but it's not pretty.
If Japan is to be saved though, it has to happen in the next 5-10 years or so, and the sooner the better. Once the population pyramid slides up another decade, you'd need the average couple to have 4 kids or so, and the incentives required to make that happen are not affordable, and wouldn't be agreed to democratically when the majority of the population is retired and wants the money for the remainder of their lives rather than paying for kids that would be too young to provide labor to care for them while they're alive.