Thursday, December 3, 2020

Axios Login: Tech's race problem — Uber ditching its air taxis — SCOTUS weighs cybersecurity law

1 big thing: Tech's race problem is all about power | Thursday, December 03, 2020
 
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By Ina Fried ·Dec 03, 2020

Good morning.

Situational awareness: Facebook is overhauling its algorithms to police hate speech against people of color, LGBTQ individuals and other marginalized people more aggressively than insulting language aimed at dominant groups, the Washington Post reported Thursday morning.

Today's Login is 1,357 words, a 5-minute read.

 
 
1 big thing: Tech's race problem is all about power
Illustration of a glowing power button casting a glowing light on a Black person

Illustration: Eniola Odetunde/Axios

 

As problematic as the tech industry's diversity statistics are, activists say the focus on those numbers overlooks a more fundamental problem — one less about numbers than about power.

What they're saying: In tech, they argue, decision-making power remains largely concentrated in the hands of white men. The result is an industry whose products and working conditions belie the industry rhetoric about changing the world for the better.

Why it matters: In this view, unless the tech industry finds a way to reform its power discrepancies, its fundamental inequalities won't change, even if the industry manages to improve its poor track record on diversity.

  • Too often, experts say, workers from underrepresented groups, regardless of their numbers, aren't in positions to effect real change at tech companies and face enormous structural barriers in trying to rise to the upper ranks.

It's not enough to just "have the right people in the room," says Color of Change head Rashad Robinson. A "rainbow oligarchy" is still an oligarchy, he adds.

  • "If we end up with diversity for diversity's sake, that doesn't actually change the nuances, the structures, the contours, and in particular, the rules," Robinson said in a recent panel I moderated.

Between the lines: The power dynamics play out in a variety of different ways, from questions over worker pay and promotions to problems with products that exacerbate inequality or lead to harassment.

On the pay front, there have been a slew of complaints by women and people of color that they were paid less or denied promotions offered to white male counterparts.

  • "That's generational wealth we are essentially being cheated out of," says Ifeoma Ozoma, who left Pinterest earlier this year and settled claims she was underpaid for her work.

The industry's power imbalance also contributes to failures involving products and services that end up marginalizing non-white users or promoting hate speech.

  • Even when there are one or two people from underrepresented groups in the room, they often lack the authority to have an impact.

Of note: Despite bold pronouncements, sometimes accompanied by large investments, the major tech companies have barely made a dent in the underrepresentation of Blacks and Latino employees.

  • Ozoma said the tech industry isn't alone in these problems, but deserves added scrutiny both because of the influence its products have on society and because the industry holds itself up as a meritocracy.

Two companies' recent records illustrate the depth of the industry's troubles.

At Pinterest, racial issues came to the forefront after Ozoma and another employee, Aerica Shimizu Banks, left the company in May.

  • Former COO Françoise Brougher in August said she was forced out for calling out misogyny and discrimination at the company. An employee walkout followed.
  • This week, shareholders filed a class-action suit alleging that Pinterest created a toxic environment, hurting the company's reputation and causing financial harm.

At Coinbase, Black employees have left in droves in recent years, according to a New York Times story.

  • Coinbase earlier this year announced it would shun politics, avoiding taking stands and discouraging political talk at the office.
  • That came after Black employees criticized CEO Brian Armstrong for not speaking out publicly about the Black Lives Matter movement.
  • Yet Armstrong still speaks out on other arguably political issues, such as how cryptocurrencies are regulated.

The big picture: Many big-name tech firms have faced their own allegations of harassment and discrimination. "You could go to any company in Silicon Valley and find this," Shimizu Banks said.

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2. NLRB alleges Google spied on, illegally fired workers

Google broke U.S. law by spying on workers who had organized protests and the firing of two of them in retaliation, the National Labor Relations Board alleges in a complaint filed Wednesday.

Why it matters: The complaint is a major rebuff of practices at Google, a behemoth that's seen its share of worker discontent over its contracts and internal policies, Axios' Ashley Gold reports.

Background: Two Google workers, Laurence Berland and Kathryn Spiers, were fired last year amid worker protests over some of Google's military contracts and treatment of employees.

  • The NLRB complaint alleges that Google unlawfully surveilled, suspended and interrogated workers for organizing.
  • The NLRB did not find that Berland or Spiers broke any company rules.
  • Google worked with IRI Consultants, a union-busting firm, as worker organizing was bubbling up last year.

The other side: "We're confident in our decision and legal position," a Google spokesperson said. "Actions undertaken by the employees at issue were a serious violation of our policies and an unacceptable breach of a trusted responsibility."

What's next: The case will be heard before an NLRB judge in April. From there it could move to federal court.

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3. Scoop: Uber in talks to sell air taxi business
Illustration of a taxi in the sky with small molting wings

Illustration: Sarah Grillo/Axios

 

Uber is in advanced talks to sell its Uber Elevate unit to Joby Aviation, multiple sources tell Axios' Dan Primack and Kia Kokalitcheva. A deal could be announced later this month.

Between the lines: Uber Elevate was formed to develop a network of self-driving air taxis, but to date has been most notable for its annual conference devoted to the nascent industry.

The big picture: The sale comes as Uber CEO Dara Khosrowshahi works to attain profitability, and follows partial sales of Uber's money-losing freight and self-driving units.

  • Elevate had a helicopter service running in New York City, but suspended those operations during the pandemic. At last check, the unit had around 80 employees.

An Uber spokesman declined comment.

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4. Supreme Court weighs future of key hacking law
Illustration of target points on a gavel

Illustration: Eniola Odetunde/Axios

 

Several Supreme Court justices Monday seemed to signal that they're interested in narrowing a landmark cybersecurity law that critics have long charged is overbroad, Axios' Kyle Daly reports.

Catch up quick: The Computer Fraud and Abuse Act of 1986 has been the basis for a number of controversial criminal cases, most infamously the prosecution of activist and hacker Aaron Swartz, who died by suicide while awaiting trial after downloading a large number of academic articles.

Why it matters: Narrowing the law could prevent overzealous prosecutors from going after internet users engaging in relatively innocuous activity.

Driving the news: The high court Monday heard oral arguments in Van Buren v. United States, a case involving Nathan Van Buren, a former Georgia police officer who was convicted of computer fraud under CFAA for searching a license plate in a law enforcement database in exchange for cash from an FBI informant.

  • CFAA, among other things, criminalizes accessing "a computer without authorization" or in a way that "exceeds authorized access."

Between the lines: Groups ranging from libertarian think tank the R Street Institute to public interest group Public Knowledge said in pre-hearing filings that large tech firms dangle CFAA as a threat over would-be competitors to deny access to data and data portability features.

  • Other critics maintain CFAA needs clarifying because prosecutors could extend it to criminalize a wide range of activity, much of it harmless, from security audits to academic research to using a work Zoom account to talk to family.

The other side: The attorney for the Justice Department said it's widely understood that CFAA only covers specific intentional breaches of computer systems and that there's no reason to think it would lead to an "imaginary avalanche of hypothetical prosecutions."

Several justices in Monday's session, conducted via video conference, appeared sympathetic to the idea that CFAA is being read too broadly and could use reining in.

The bottom line: Lines of questioning aren't fully reliable signals for how the Supreme Court is leaning. Clarity will only come when the court rules.

The National Suicide Prevention Lifeline (1-800-273-8255) provides 24/7, free and confidential support for anyone in distress, in addition to prevention and crisis resources. Also available for online chat.

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5. Take Note

On Tap

Trading Places

  • GoFundMe will announce today it hired former Braintree executive Juan Benitez as president, leading the company's payments, engineering product and partnerships functions.

ICYMI

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6. After you Login

If you still have the post-Thanksgiving blues, my prescription is multiple doses of this clip of baby pandas cavorting down a slide. Repeat if necessary.

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