Capitalogix

A-To-Z of The Internet Minute in 2021

As I get older, time seems to move faster ... but it's also true that as I get older, more is accomplished every minute. 

Technology is a powerful force function. In fact, the amount of data in the digital universe effectively doubles every two years. 

Every couple of years, I revisit a chart about how much data is generated every minute on the internet.  

In reverse chronological order, here's 2018, 2015, and 2011. 

Here's an excerpt from 2015 for some perspective: 

Compared to 2008 here is what's happened with social networks:

• The number of people online has more than doubled from 1.4 billion to over 3 billion (2021 #: 5.2 billion) 
• Facebook has gone from 80 million users to more than 1.4 billion (2021 #: 2.89 billion
• Twitter had 2 million accounts and now it is 300 million and counting. (2021 #: 206 million ACTIVE users after a big bot deletion)
• The number of smartphones was 250 million in 2008 and today there are more than 2 billion. That is an 800% increase! (2021 #: 6.37 billion)

Today this is what happens every minute on the web.

• 4 million search queries on Google
• Facebook users share 2.46 million pieces of content
• Email users send 204 million messages

Throughout its (pretty short) history, the internet has been arguably the most important battlefield for relevancy and innovation. 

So, what does the internet look like in 2021?

DOMO via visualcapitalist 

Looking at the list, we see new editions like Clubhouse and Strava. Partially due to the quarantine, you're still seeing an increase in digital cash transfers with tools like Venmo, an increase in e-commerce shops like Shopify, and an increase in (you guessed it) collaboration tools like Zoom or Microsoft Teams. 

Just to pick out some of the key figures in the chart this year. 

• Amazon users spend $283,000
• 6M people shop online
• TikTok users watch 167M videos
• and, Zoom hosts 856 minutes of webinars. 

Before 2020, I already thought that big tech had a massive influence on our lives. Yet, somehow this past year has pushed their impact even higher. 

One other thing this chart also helps put into perspective is the rapid rate of adoption. As you look at different year's charts, you can see how quickly apps have become part of the cultural zeitgeist. 

How do you think these numbers will grow or change in 2022? 

Here Are Some Links For Your Weekly Reading - December 5th, 2021

 

Here are some of the posts that caught my eye. Hope you find something interesting.

Lighter Links:

• Why Can't Baby Boomers and Millennials Just Get Along? (Freakonomics)
• Woman Reportedly Breastfed Cat On Delta Airlines Flight. (FoxBusiness)
• Hawaii Under Blizzard Warning as 12 Inches of Snow and Winds Up to 100 Mph Expected. (USAToday)
• Philip Morris Wants to Sell You Inhalers for Your Asthma. (Quartz)
• Which Fitness Tracker is Best For You? Comparing Apple Watch vs. Fitbit vs. Oura vs. Garmin vs. Whoop. (Wall Street Journal)

 

Trading Links:

• The Billionaire Boyz Club is Selling Record Numbers of Stocks Right Now. (InputMag)
• Microsoft Drops a Bombshell About Teams That Tanked Zoom. (SeekingAlpha)
• How Elon Musk Sold 10 Million Tesla Shares and Increased His Tesla Holdings. (CNN)
• Steve Cohen-Backed Start-Up Bets On 24-Hour Trading So Investors Can React Instantly to Tweets. (CNBC)
• US Treasury Secretary Yellen Says She's Undecided Whether the Fed Should Issue Digital Currency. (News)

A New Experience For Me

We had Nick Nanton and his crew in our office, recently, to film for a documentary on 'Getting to Next' – How AI is transforming the world and humanizing technology. 

 

Nick has been involved with many cool projects from a documentary on Peter Diamandis to Operation Underground Railroad (and more). He's also won more than 20 Emmys. 

Nick is also working on a documentary with Chris Voss - who wrote Never Split the Difference. I spent time in D.C. watching Nick shoot with Chris and his son Brandon Voss, who is the president of Black Swan Group. 

While I've done podcasts and interviews before, this was a surprisingly fun and cool experience for me.

It was also interesting to watch some of our more introverted data scientists in front of the camera. 

The documentary just started shooting - but I look forward to showing you the finished product when it's ready. 

Timeless Wisdom From Socrates

Small distinctions separate wise men from fools. Perhaps one of them has to do with what the wise man deems important.

Socrates' Triple Filter

In ancient Greece, Socrates was reputed to hold knowledge in high esteem.  One day an acquaintance met the great philosopher and said, "Do you know what I just heard about your friend?"

"Hold on a minute," Socrates replied. "Before telling me anything, I'd like you to pass a little test. It's called the Triple Filter Test."

"Triple filter?"

"That's right," Socrates continued.  "Before you talk to me about my friend, it might be a good idea to take a moment and filter what you're going to say. That's why I call it the triple filter test.

The first filter is Truth.  Have you made absolutely sure that what you are about to tell me is true?"

"No," the man said, "Actually I just heard about it and…"

"All right," said Socrates. "So you don't really know if it's true or not. Now let's try the second filter, the filter of Goodness.  Is what you are about to tell me about my friend something good?"

"No, on the contrary…"

"So," Socrates continued, "You want to tell me something bad about him, but you're not certain it's true.  You may still pass the test though, because there's one filter left.  The third filter is Usefulness.  Is what you want to tell me about my friend going to be useful to me?"

"No, not really."

"Well," concluded Socrates, "If what you want to tell me is neither true, nor good, nor even useful … then why tell it to me at all?"

With all the divisiveness in both media and in our everyday conversations with friends, family, and strangers ... this is a good filter for what you say, what you post, and even how you view markets. 

How Does That Apply to Me or Trading?

The concept of Socrates' Triple Filter applies to markets as well.

When I was a technical trader, rather than looking at fundamental data and scouring the news daily, I focused on developing dynamic and adaptive systems and processes to look at the universe of trading algorithms to identify which were in-phase and likely to perform well in the current market environment.

As we've transitioned to using advanced mathematics and AI to understand markets it becomes even more true. 

Filter Out What Isn't Good For You.

In contrast, there are too many ways that the media (meaning the techniques, graphics, music, etc.), the people reporting it, and even the news itself, appeals to the fear and greed of human nature.

Likewise, I don't watch TV news anymore either. It seems like story after story is about terrible things. For example, during a recent visit with my mother, I listened to her watch the news.  There was a constant stream of "oh no," or "oh my," and "that's terrible". You don't even have to watch the news to know what it says.

It's also true with what you feed your algorithms. Garbage in, garbage out. Just because you can plug in more data, doesn't mean that data is adding value. Deciding what not to do, and what not to listen to is equally as important as deciding what to do. 

Artificial intelligence is exciting, but artificial stupidity is terrifying. 

What's The Purpose of News for You?

My purpose changes what I'm looking for and the amount of attention I pay to different types of information. Am I reading or watching the news for entertainment, to learn something new, or to find something relevant and actionable?

One of my favorite activities every week is looking for new insights and interesting articles to share with you and my team.  If you aren't getting my weekly reading list on Fridays - you're missing out. You can sign up here. 

Getting back to Socrates' three filters and the business of trading, I often ask myself: is it important, does it affect our edge, or can I use it as a catalyst for innovation?

There's a lot of noise out there competing for your attention. Stay focused. 

Onwards!

 

A Wordcloud For Each of the Major Religions

The six largest religions in the world are Christianity, Islam, Judaism, Hinduism, Buddhism and Sikhism. 

We often think about the differences between religions.  However, the many similarities are obvious if you look (and may be indications of a more integral "truth". 

Below is a wordcloud for each of those religions based on their major religious text. 

teddyterminal via Reddit

If you find the name "Keith" it's because it was the translator's name, and the word "car" in the Hinduism wordcloud is an old-fashioned word for "chariot".

It's also worth acknowledging that this wordcloud is from the English translations so some words that may mean slightly different things in other languages can be all translated to one word in English. For example, it's very common in Biblical Hebrew to see different words translated into the same English word. A good example is Khata, Avon, and Pesha--three different ways of committing a wrong, that may all be translated the same.

Ikigai in the Post-Quarantine World

Getting old is tough ... and it gets tougher the older you get.   As a result, finding your 'reasons for being' and joy in life become increasingly important as well. 

2020 was a year of massive upheaval for many. Stress, change, pandemics, quarantine, new jobs, new goals ... or at the other end of the spectrum, lack of change, lack of a job, or lack of purpose.

Regardless of the reason, many people struggle to get up in the morning. This is a shame because life is so much better than the alternative (and life becomes even better when you learn to enjoy living and let go of what isn't serving you). 

There's a Japanese concept called Ikigai that may help.

Ikigai centers around finding purpose as you grow older.  Paradoxically, it makes sense to start the process as early as possible. 

Here is an infographic that lays out some "Reasons for Being."

  

via InformationIsBeautiful

Finding your "reason to be" and living with purpose are keys to making the most of your time.

The beauty of 2021 being a fresh start is that you can also change your approach and your vision.

The graphic highlights something interesting (yet almost counter-intuitive) ... When two areas intersect, it creates something positive (e.g., a passion or a mission).   However, where three areas intersect, it creates a pain point (for example it could be what you're good at, you love doing it, the world needs it ... but it doesn't make you any money – so now you're struggling).

Worth examining and thinking about for a bit.

On a related note, here is a TEDx talk about the 9 common diet and lifestyle habits that help people live past 100.

 

TED-ED via YouTube

And here is a link to Dan Sullivan's free e-book on his plan to live to 156. 

Live long and prosper!

Language Is A Limitation

Man acts as though he were the shaper and master of language, while in fact language remains the master of man. - Martin Heidegger

Words are powerful. They can be used to define reality, obscure reality, or create reality. Words can be constructive or destructive ... uplifting or demoralizing. 

In a sense, the power of words is seemingly limitless.  But that power cuts both ways. Language is also the cause of many of our problems. 

We created language to aid social interactions and to facilitate our understanding of the world.  However, language also remains a constraint in how we perceive the world and a limitation on our understanding of new things (e.g., ideas, advances in technology, etc.).

Before I go into where language fails us, it’s important to understand why language is important.

Language Facilitates Our Growth

Because without our language, we have lost ourselves. Who are we without our words? – Melina Marchetta

 

 

Language is one of the major keys to advanced thought. As infants, we learn through watching our environment, reading faces, and learning to infer things from body language. As we begin to understand "language," our brains develop faster.  In this context, language isn't limited to the spoken word – intelligence grows with the catalyst of language, whether it's vocalized or not.

It's this ability to cooperate and share expertise through language that has allowed us to build complex societies and advance technologically – but it is becoming an increasingly inadequate tool as the world becomes more complex.

Language as a Limitation

When it comes to atoms, language can be used only as in poetry. The poet, too, is not nearly so concerned with describing facts as with creating images. -Niels Bohr

In Buddhism, there's the idea of an Ultimate Reality and a Conventional Reality. The Ultimate Reality is the objective nature of something, and the Conventional Reality is tied inextricably to our cognition – heavily influenced by our language.

Language conveys cultural values and biases, personal values and biases, and influences how we perceive “reality.” Linguistic differences create a wedge between various political groups – even when people probably want similar things.  In these cases, differences in language and perception create strife (rather than define it). 

 

 

We use language and our past to sift and categorize existence into heuristics instead of exploring the true nature of things (in part because if you're trying to survive in the jungle, shortcuts increase your chance of survival by saving time and energy ... and accuracy is secondary to survival). 

On the other hand, when you're trying to expand the breadth and depth of humanities' capabilities, those same heuristics become shackles (or at least blinders). Ultimately, they can lead to issues like groupthink and echo chambers that limit not only innovation but communication. 

Look at groups like Democrats v. Republicans or Israelis v. Palestinians. In reality, there are more similarities than differences. Nonetheless, on a day-to-day basis, each of them focuses more on their differences than finding collaborative solutions for life's tougher problems (or focusing on the things they do agree upon).

Throwing rocks at our enemies also counterintuitively makes us feel better and promotes in-group unity. The problem is it comes at the cost of progress and true unity. 

This is not to say that there aren't real (and important) differences between those groups. It simply recognizes that part of the problem is our willingness to accept "get-to-next" compromises rather than seeking understanding and committing to coming up with real and complete solutions.

Humans Are The Real Black Box

But if thought corrupts language, language can also corrupt thought - George Orwell

People often refer to Artificial Intelligence as a "black box" - because the complexity and coding of the algorithms, etc. make it mysterious to a layman. But, Artificial Intelligence is programmed; it is precise and predictable. It is only influenced by the coding used to create it and the data fed to it; this creates its own form of transparency (and bias). 

Meanwhile, humans are nuanced and (to some extent) non-rational creatures. We’re prone to cognitive biases, fear, greed, and discretionary mistakes. We create heuristics on previous experiences, and we can’t process information as cleanly or efficiently as a computer. 

When humans explain their own behavior, they’re often inaccurate - what we hear is more likely a retrospective rationalization or confabulations than a summary and explanation of the choices they made.

All-in-all, it results in a lot of confusion in trying to understand world events, each other, and even ourselves. 

Conclusion

I have friends on both sides of the political divide in America, and once you get past the rhetoric - there's a lot more in common than it seems. Excluding extremist groups, most are looking for unity, the "truth", and solutions to the problems in front of us.

Conflict is often a symptom, not the disease.

On a smaller scale, inside my company, I focus on creating a universal lexicon for our "intellectual shortcuts" because alignment starts with shared understanding.  If the language I'm using means something else to another team member, even if we think we're moving toward the same goal, we'll slowly stray further and further apart. 

As a practical matter, spending too much time moving away from each other (or measuring the distance we are from each other) creates a self-fueling irritation that becomes increasingly annoying, and ultimately caustic. 

Today's problems can't be fixed purely with semantics and semiotics, but they are not bad places to start. 

If we start from a place of agreement and common desire to pursue something worthwhile, the distinctions will call us forward rather than pull us apart.

I hope this helps.  Let me know what you think!

The Shapes of Stories

Seemingly complex things are often simpler when understood.

This applies to many things.

For example, great writing is diverse and nuanced ... but its underlying structure isn't.

Kurt Vonnegut wrote a number of "Classics", including Cat's Cradle, Slaughterhouse-Five, and The Sirens of Titan.

For all his great writing, and all the complexities, he simplified stories into a few basic story shapes.

Here is a graphic that explains the concept.

Here is a 17-minute video of Vonnegut discussing his theory of the Shape of Stories.  You can get the basic concepts in the first 7 minutes ... but he is witty and the whole video is worth watching. 

 

 

You can explore a bit more elaborate version of his "Shapes of Stories" from his rejected Master's thesis from the University of Chicago.

Vonnegut's idea was fulfilled not too long ago--a computer was used to identify story shapes. Researchers extracted the emotional trajectories of 1,327 stories and discovered that there are six core emotional arcs:

• Rags to riches (a rise)
• Tragedy (a fall)
• Man in a hole (fall, then a rise)
• Icarus (rise, then a fall)
• Cinderella (rise, then a fall, then a rise)
• Oedipus (fall, then a rise, then a fall)

 For more on writing from Kurt Vonnegut:

• How To Write With Style
• Eight Rules For Writing Fiction

 

Why We Don't See Aliens

This week, a former senior Israeli military official proclaimed that we've been contacted by Aliens from a Galactic Federation - and that not only is our government aware of this, but they are working together. 

How naive to think that election news would be the craziest stuff you'd hear this holiday season ...

Back to aliens (for the record, that was a sentence I haven't typed before).  There are many stories (or theories) about how we have encountered aliens before and just kept them secret. In contrast, I have found it more realistic and thought-provoking to consider theories about why we haven't seen aliens until now.

For example, the Fermi Paradox considers the apparent contradiction between the lack of evidence for extraterrestrial civilizations and the various high-probability estimates for their existence. 

To simplify the issue, there are billions of stars in the Milky Way galaxy (which is only one of many galaxies), which are similar to our Sun.  Consequently, there must be some probability of some of them having Earth-like planets. It isn't hard to conceive that some of those planets should be older than ours, and thus some fraction should be more technologically advanced than us. Even if you assume they're only looking at evolutions of our current technologies - interstellar travel isn't absurd. 

Thus, based on the law of really large numbers (both in terms of the number of planets and length of time we are talking about) ... it makes the silence all the more deafening and curious. 

If you are interested in the topic "Where are all the aliens?"  Stephen Webb (who is a particle physicist) tackles that in his book and in this TED Talk.   

 

via TED

In the TED talk, Stephen Webb covers a couple of key factors necessary for communicative space-faring life. 

1. Habitability and stability of their planet
2. Building blocks of life 
3. Technological advancement
4. Socialness/Communication technologies

But he also acknowledges the numerous confounding variables including things like imperialism, war, bioterrorism, fear, moons' effect on climate, etc. 

Essentially, his thesis is that there are numerous roadblocks to intelligent life - and it's entirely possible we are the only planet that has gotten past those roadblocks. 

What do you think?

Here are some other links I liked on this topic.  There is some interesting stuff you don't have to be a rocket scientist to understand or enjoy. 

• 75 Reasons We Don't See Aliens 
• Wait But Why: The Fermi Paradox
• A New Theory on Why We Haven't Found Aliens Yet
• A List of Solutions to The Fermi Paradox
• Dissolving the Fermi Paradox, Future of Humanity Institute, Oxford University

To Infinity and Beyond!

Let's Play: News Segment or Propaganda Piece?

There is nothing wrong with your television.  We will control all that you see and hear. We can deluge you with a thousand channels or expand one single image to crystal clarity and beyond. We can shape your vision to anything our imagination can conceive.  Enjoy ....

 

The original,, from The Outer Limits TV show was: 

There is nothing wrong with your television set. Do not attempt to adjust the picture. We are controlling transmission. If we wish to make it louder, we will bring up the volume. If we wish to make it softer, we will tune it to a whisper. We will control the horizontal. We will control the vertical. We can roll the image; make it flutter. We can change the focus to a soft blur or sharpen it to crystal clarity. For the next hour, sit quietly and we will control all that you see and hear. We repeat: there is nothing wrong with your television set. You are about to participate in a great adventure. You are about to experience the awe and mystery which reaches from the inner mind to the outer limits.

As a society, we're fairly vulnerable to groupthink, advertisements, and confirmation bias. 

We believe what we want to believe, so it can be very hard to change a belief, even in the face of contrary evidence. 

Recently, we've seen a massive uptick in distrust toward news agencies, big companies, the government, and basically anyone with a particularly large reach. 

To a certain degree, this is understandable and justified. Here is an example of the power of the media focused on a message.  Click to watch.

 

via Courier News

Propaganda has always been an issue, and almost everyone does it; governments, companies, etc. Luckily, it's easier to see today than in the past, but unluckily it's also more pervasive and insidious than before. 

It's to the point where if you watch the news you're misinformed, and if you don't watch the news you're uninformed. 

The above segment portrays a rosy picture of Amazon's efforts to protect its workers while delivering essentials to the struggling homebound masses. This comes while Amazon has come under massive fire for removing some of its protections. 

Honestly, I use Amazon and, in my opinion, this isn't a massive breach of trust. News stations have a lot of time to fill, they often have sponsored content.

That being said, it's something to be cognizant of - not necessarily offended by.

Personally, I believe I am reasonably aware and somewhat immune from propaganda. That probably isn't as true as I'd like to believe.

It used to be true that winners wrote history (think empires, wars, etc.). Now, the one that delivers the most broadcast narratives shapes the emotional and seemingly logical responses to what we perceive to be happening around us.

The result impacts elections, financial markets, buying choices, and countless other areas of our life. 

As A.I., Bots, and social media grow, our ability to discern truth from 'truthiness' weakens.

It's a great reminder that what you're seeing and hearing is carefully manufactured, and hopefully, it encourages you to get outside your bubble.