Facebook Libra And Reliance Jio Compete With WeChat By Targeting The Unbanked

Journal of Political Risk, Vol. 8, No. 9, September 2020

By Vikram Chopra

Source: Tim Bennett, (Unsplash).

There’s a technology arms race developing between the West and China. At the frontier are emerging technologies such as 5G, Big Data, AI, Blockchain and Crypto. China already has an advantageous position in many of these areas, including 5G and AI, and is looking to challenge Bitcoin and the US dollar with its digital Yuan.

Facebook’s recent moves with Whatsapp and Libra are interesting strategies in this larger game of global tech domination where the likes of WeChat and TikTok have been resoundingly successful market leaders. A big reason for the success of WeChat is its complete market domination within China’s 1.4 billion population. Furthermore, Wechat has seamlessly integrated into the daily lives of its users. It’s more than just a chat application: it’s a platform for shopping, ordering groceries, booking travel, dry-cleaning, reserving a table at a preferred restaurant and sending money among other services. Add the 40 million global Chinese diaspora who use WeChat to communicate with loved ones back home, and you can see why WeChat is one of the leading social media networks with over 1.2 billion users globally. Continue reading

How Much Does Your Internet Service Provider Spend On Lobbying?

Journal of Political Risk, Vol. 7, No. 10, October 2019

By Paul Bischoff

Comcast Headquarters in Philadelphia, Pennsylvania, in 2011. Wikimedia/Smallbones.

When people think of lobbying, they often picture backroom deals made by big pharma executives. In reality, though, Internet Service Providers (ISPs) are one of the largest lobbying groups in the US. With this in mind, we analyzed publicly-available data to see just how much money your ISP spends on influencing legislators and regulators every year.

Why do ISPs lobby?

ISPs might provide a valuable service but they are, first and foremost, businesses. As such, they tend to lobby against anything which could impact profits. This might mean opposing bills that stop the sale of customer data, for instance, or scrapping rules that make it easier for competitors to get up and running.

Of course, this cuts both ways; if there’s the potential to make more money via lobbying, ISPs will almost always try. If your ISP has been trying to push through a massive merger or looking to scrap industry regulation so it can charge you for an inferior service, you can bet huge amounts of money has changed hands to expedite the process. Continue reading

5G Fight With China: Politicization Leads to Suboptimal US Outcome

Journal of Political Risk, Vol. 7, No. 4, April 2019

By Anders Corr

A customer wearing a headset plays a virtual reality (VR) game at a 5G experience hall on April 8, 2019 in Hangzhou, Zhejiang Province of China. Photo: Long Wei/VCG via Getty Images

The Federal Communications Commission (FCC) announced a national 5G auction of large slices (up to 3.4 gigahertz) of the millimeter wave (mmWave) spectrum, along with $20.4 billion in subsidies over 10 years for rural connections, on April 12. The plan ignores expert cyber-security advice, has major security, timing, strategic and financial problems, and will not facilitate new competitors in the telecommunications market. The announcement by President Trump and FCC Chairman Ajit Pai, likely under the influence of telecommunications lobbyists, was a surprise to most experts and took place with no real public input. The auction of the mmWave spectrum is set for December 10. At the press conference announcing the decision, Chairman Pai thanked Director of the National Economic Council Larry Kudlow and Ivanka Trump for their assistance, with Ms. Trump giving a speech in support of the plan.

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