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“Government subsidies are never free, and now we are learning the price U.S. semiconductor firms and others will pay for signing on to President Biden’s industrial policy. They will become the indentured servants of progressive social policy.”
– Wall Street Journal. ($)
A couple of follow-ups:
Democrats last year snookered Republicans into passing their $280 billion Chips Act, which includes $39 billion in direct financial aid for chip makers and a 25% investment tax credit. Republicans hoped this would satisfy West Virginia Sen. Joe Manchin, but after Chips passed he quickly flipped and endorsed the Inflation Reduction Act.
Now the Administration is using the semiconductor subsidies to impose much of the social policy that was in the failed Build Back Better bill. On Tuesday Commerce Secretary Gina Raimondo rolled out the new rules for chip makers and summed up the politics to the New York Times: “If Congress wasn’t going to do what they should have done, we’re going to do it in implementation” of the subsidies.
For a fascinating insight into the arguments and geopolitical tensions around silicon chips (and the role of Taiwan), I recommend Chip Wars, by Chris Miller.
Every time I look at Joe Biden and his allies, and particularly at Biden, a machine politician with beady little eyes and wandering hands, I think of an Ayn Rand villain.
Autonews reports that programmers working on driverless cars have found that having made them perfectly law-abiding, unable to commit traffic infractions, the result is that they have double the accident rate of driven cars, as they cannot cope with the anarchic driving of humans.
They obey the law all the time, as in, without exception. This may sound like the right way to program a robot to drive a car, but good luck trying to merge onto a chaotic, jam-packed highway with traffic flying along well above the speed limit. It tends not to work out well.
As the accidents have piled up — all minor scrape-ups for now — the arguments among programmers at places like Google Inc. and Carnegie Mellon University are heating up: Should they teach the cars how to commit infractions from time to time to stay out of trouble?
“It’s a constant debate inside our group,” said Raj Rajkumar, co-director of the General Motors-Carnegie Mellon Autonomous Driving Collaborative Research Lab in Pittsburgh. “And we have basically decided to stick to the speed limit. But when you go out and drive the speed limit on the highway, pretty much everybody on the road is just zipping past you. And I would be one of those people.”
Undaunted by collisions with reality, the diagnosis is that the problem is human driving.
Driverless vehicles have never been at fault, the study found: They’re usually hit from behind in slow-speed crashes by inattentive or aggressive humans unaccustomed to machine motorists that always follow the rules and proceed with caution.
Or might it be, as a libertarian might say, that government rules setting arbitrary speed limits create conditions where collisions are more likely?
CNet.com has a round up of articles about RFID:
Privacy questions arise as RFID hits stores
Companies brace for privacy debate, as potentially intrusive applications arrive faster than expected.
European supermarket chain extends RFID push
Tesco will use the technology in more stores, focusing this time on tracking cases and pallets, rather than individual items.
Tracking technology gets a reality check
At Baltimore pow-wow, hype over new RFID technology is tempered by concerns about cost, privacy and quality.
With RFID, corporate might makes right
Retail powerhouses such as Wal-Mart gather in Baltimore to push development of controversial tagging technology.
IBM readies large RFID push
Big Blue plans to invest $250 million in a new business unit to support products and services related to sensor networks.
Wal-Mart Stores, Procter & Gamble and other big companies pushing the electronic tracking tags said they’d use them only in warehouses to more easily locate and account for stock arriving in cases and palettes. By the time the merchandise hit store shelves, they’d have removed the tags. The placement of tags on items consumers actually take home was projected to be at least 10 years away, last year’s argument went. Some said it may never happen if costs remained prohibitive.
Though relatively rare today, RFID tags are marching toward stores and shopping baskets across the country–raising questions about the implications for consumers. Also experimenting with RFID are Albertsons, Best Buy, Target, as well as European chains Metro and Tesco. Elizabeth Board, executive director of the public policy steering committee for EPCglobal said during a panel discussion:
There is a concern that EPC (tags) can be tracked everywhere and that retailers want to track you at all times of the day. It’s not realistic, but it has caused a lot of confusion.
She expects that fears about privacy invasion will continue to be a public relations problem for the technology. RFID supporters must do more to dispel the myths and misconceptions surrounding it.
Retailers and consumer-goods companies are hesitant to agree to removing tags from items at the time of purchase for several reasons. One reason is that RFID tags could help with returns by exposing people trying to get a refund for a product they never really bought, or one they purchased from another store.
One of the valid concerns about RFID is what companies plan to do with all the detailed data they’ll be able to collect about consumers, said Daniel Engles, director of research at Massachusetts Institute of Technology’s Auto-ID Lab, an RFID research group.
CNet new.com reports that a key patent holder’s demand for royalties has triggered concerns that promising RFID technology could become embroiled in an intellectual property battle.
The royalty flap stems from a new protocol, the Electronic Product Code Generation 2 standard, designed to improve the compatibility of radio-frequency identification (RFID) equipment from different suppliers and iron out a number of other technical kinks.
The patent claim comes on the eve of a new protocol’s debut. EPC Global, the organization that helped create the protocol, expects to finalize it at an Oct. 5 meeting. Now, some RFID backers fear other patent holders could come forward and demand royalties, slowing RFID’s progress.
Major companies, including Albertsons, Procter & Gamble, Wal-Mart Stores and German retailer Metro, have already begun to set up RFID systems and are eagerly awaiting the release of the new protocol to advance their projects. They expect RFID, a wireless tracking technology that may someday replace bar codes, to help them reduce theft, shave labor costs and handle inventory more efficiently.
CNet news reports that when it comes to radio frequency identification tags for humans, the people have spoken. They hate it.
CNET News.com recently ran a report on companies with technologies that involve implanting RFID chips under people’s skin or inside a bracelet. Advocates say the tags could help paramedics deliver medical help to people in the field, reduce prison violence or give police a way to track victims of kidnapping, a major problem in Latin America.
The issue has united people with fairly strong religious beliefs and libertarian privacy advocates.
The fear that the technology will enable governments to keep tabs on everyone was the concern raised most often. Hypothetically, law enforcement agencies or even private security companies will be able to track where you’ve been, with whom you associate and what you own with this technology. Imagine a semiretired senior citizen in a rented maroon blazer knowing everything about your day.
A large number of letters also asserted that human RFID tags are a demonic tool.
There is much interesting stuff, read the whole thing.
One German start-up has created an alternative to RFID that is likely to get under consumers’ skin.
Ident Technologies has dreamt up Skinplex – which could be used in all the same ways as RFID and Bluetooth – but uses a different transmitter: human skin.
Like RFID, Skinplex works by reading a unique identifier remotely using an electromagnetic signal, normally between a microchip and a reader. Unlike RFID, however, Skinplex uses the skin to transmit the signal and an identifier carried on a person. The signal is transmitted when the carrier touches the receiver.
Yeah, right. So much better than RFID then.
CNET news reports that privacy advocates may not be the only people taking issue with the current crop of radio-frequency identification tags – merchants will likely have problems with a lack of security as well, a German technology consultant said Wednesday.
Low-cost RFID tags – many which are smaller than a nickel and cost less too -are already being added to packaging by retailers to keep track of inventory but could be abused by hackers and tech-savvy shoplifters, said Lukas Grunwald, a senior consultant with DN-Systems Enterprise Solutions GmbH. While the technology mostly threatens consumer privacy, the new technology could allow thieves to fool merchants by changing the identity of goods, he said.
This is a huge risk for companies. It opens a whole new area for shoplifting as well as chaos attacks.
While expensive RFID reader hardware and hard-to-use software have hindered security research in the area, Grunwald said that’s no longer a hurdle. The security expert announced during the session a new software tool that he helped create that can be used to read and reprogram radio tags.
When such tools become widely available, hackers and those with less pure motives could use a handheld device and the software to mark expensive goods as cheaper items and walk out through self checkout. Underage hackers could attempt to bypass age restrictions on alcoholic drinks and adult movies, and pranksters could create confusion by randomly swapping tags, requiring that a store do manual inventory.
Grunwald’s software program, RFDump, makes rewriting RFIDs easy. While there are significant malicious uses of the program, consumers could also use it to protect themselves.
Everyone should have the right, once they leave the store, to erase the RFID tags. Deleting information on the tags would allow people to stop RFID checkpoints in stores and other places from tracking which products they are carrying, or which have been inserted under their skin.
ComputerWorld reports that a U.S. law enforcing privacy rules for radio frequency identification (RFID) isn’t needed because companies experimenting with the technology are committed to protecting privacy, two such corporations told a U.S. House subcommittee yesterday.
Wal-Mart Stores Inc. continues to move forward with plans for case- and pallet-level tagging of products with RFID chips. But most item-level tagging, where individual products are identified with RFID chips, is about 10 years away, Linda Dillman, executive vice president and CIO of Wal-Mart, told the House Subcommittee on Commerce, Trade and Consumer Protection.
Privacy advocates told the committee that legislation is needed to protect consumers from potential uses of RFID. Three privacy advocates testifying yesterday offered few current examples of privacy concerns caused by RFID, but as the range of RFID scanning grows beyond the current 10 to 20 feet, RFID could allow corporations and governments to track people’s movements and purchases.
The War on Terror, like any war, provides the opportunity for certain technologies to be developed at an accelerated pace. The problem is that we seem to depend on the rather glib assertion that without freedom there is no prosperity. This is fine so long as government is concerned with prosperity. But how long do people have to wait in societies where an élite puts the power to rule ahead of prosperity? As George Orwell put it in Hommage to Catalonia: “We don’t grasp it’s [totalitarianism’s] full implications, because in our mystical way we feel that a régime founded on slavery must collapse. But it is worth comparing the duration of the slave empires of antiquity with that of any modern state. Civilisations founded on slavery have lasted for such periods as four thousand years.”
With this thought in mind, from Tech Central Station:
Chemical detectors may provide, by the way, the greatest advance in counter-insurgent capabilities. Biochips will make it possible for self-directed UAVS to seek out explosives, including those used in small arms, and chemical and biological agents. They will also enable the identification and tracking of thousands or even millions of individuals in a monitored area based on their “smell.”
→ Continue reading: Building walls
Silicon.com reports on Japanese authorities decision that tracking is best way to protect kids.
The rights and wrongs of RFID-chipping human beings have been debated since the tracking tags reached the technological mainstream. Now, school authorities in the Japanese city of Osaka have decided the benefits outweigh the disadvantages and will now be chipping children in one primary school.
The tags will be read by readers installed in school gates and other key locations to track the kids’ movements.
Apparently, Denmark’s Legoland introduced a similar scheme last month to stop young children going astray.
Josh McHugh in Wired has a feature on RFID chips in supermarkets. He describes his visit to the Future Store built by European retailer Metro to be the premier live testing ground for RFID tags.
Thanks to the coordinated efforts of the world’s biggest retailers and manufacturers, not to mention the persistence of former lipstick marketer Kevin Ashton, these little tags are about to infiltrate the world of commerce. Depending who you ask, RFID tags constitute:
- the best thing to happen to manufacturing since the cog.
- the biggest threat to personal privacy since the crowbar.
- the near-exact fulfillment of the Book of Revelation’s description of the mark of the beast.
There’s a compelling argument for each of these perspectives – including number three.
He explains why manufacturers and retailers alike are so eager to implement RFID technology. It is mostly about the supply chain margins.
Retailers are even keener to get their hands on the sort of information RFID tags promise to reveal. The way it works now, all the little kinks along the supply chain accumulate in the lap of retailers, which take delivery of products without knowing whether the shipments are correct until they’re unpacked. The average rate for shipping screwups is 1 in 20. That’s a big part of why margins in the retailing business are so thin – average net profit for supermarkets is 1 percent – and precisely the reason that Wal-Mart, Target, and Metro have given their top suppliers six to nine months to start slapping RFID tags onto crates and delivery pallets. Manufacturers want this technology, but retailers need it.
RFID will be good for the customer too. Shopping will be much easier and the information gathered about their shopping behaviour will result in a closer match between demand and supply.
There is more, especially on the argument opposing RFID that we have written about here already. It is worth reading the whole thing.
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Who Are We? The Samizdata people are a bunch of sinister and heavily armed globalist illuminati who seek to infect the entire world with the values of personal liberty and several property. Amongst our many crimes is a sense of humour and the intermittent use of British spelling.
We are also a varied group made up of social individualists, classical liberals, whigs, libertarians, extropians, futurists, ‘Porcupines’, Karl Popper fetishists, recovering neo-conservatives, crazed Ayn Rand worshipers, over-caffeinated Virginia Postrel devotees, witty Frédéric Bastiat wannabes, cypherpunks, minarchists, kritarchists and wild-eyed anarcho-capitalists from Britain, North America, Australia and Europe.
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