Saturday, April 26, 2008

Re: The most important statement made by Steven Cheung

Interesting to read what Wallace considers as “the most important statement made by Steven Cheung“. For the curious readers who want to read the complete article where this quote comes from and the statement’s context, you can check out “假若人是不自私的(附后记)” (1984.02.17).

I don’t know enough to pick which is Steven Cheung’s most important statement. But I can say Steven Cheung’s way of thinking and analyzing problems play an important role in shaping my own. And Cheung has written this series of articles to share his insight in 1984,

思考的方法(上), (中), (下)

As an aside, some of my friends have commented that I read very broadly. Over the years, I’ve tried to learn from a diverse group of people. If you have time, I encourage you read and learn from people like Warren Buffett, Richard Feynman, and Bill Buxton (with videos and book recommendations). These three people are very different from each other but I believe we can learn from them just the same. For fun, I’ve created a series of posts call Great minds of our time to share my personal picks of some of the great public minds of our time.

Thursday, April 24, 2008

Zimbabwe arms return to China

Very good news.

An excerpt from CBC (emphasis added),

A shipment of weapons destined to Zimbabwe from China will be returned after neighbouring countries refused to allow them to be shipped through their territories, a Chinese spokesman said.

Countries neighbouring Zimbabwe refused to allow the Chinese freighter carrying the weapons, which included mortar grenades and bullets, to dock at their ports.

"This cargo was not unloaded because the Zimbabwe side was unable to take delivery as scheduled," said Chinese Foreign Ministry spokeswoman Jiang Yu.

[...]

Jiang said the shipment was a purely commercial transaction that broke no laws and had nothing to do with the ongoing political crisis. [K: If China wants to be a true world power, commerce can no longer be the only consideration. Of course, the Chinese gov may have wanted Mugabe to stay in power and that will be a different issue all together.]

There is no international arms embargo against Zimbabwe, and China is one of the southern African nation's main trade partners and allies.

ShoeTube

ShoeTube ? Yes, ShoeTube. If “Live Life. Love Shoes.” describes you, check out “The Daily Shoe” @ ShoeTube. [via AdAge]

P.S. If they are going to be successful, they will have to get shoe lovers to create and post their videos/stories, otherwise there isn’t really a community.

Tuesday, April 22, 2008

YCombinator founder at Startup School 08

Here is a video of Paul Graham, founder of YCombinator, speaking at Startup School 08 about how to create a successful startup. [Hat Tip: Austin Hill]

Streaming Victims

Here is an excerpt from my friend Trevor Doerksen's insightful blog entry "The Streaming Victims - Canadians" (emphasis added),

Turn Audiences to Customers
Broadcaster and producers refer to their fans as audiences. Unfortunately, these audiences don't want to be told how, when, what, and where to passively view content. I consider these fans as customers. We know their names, their email addresses, and their likes and dislikes. In fact, when speaking to broadcasters and producers in Canada I often ask what they know about their fans. They know very little. This must change. The Internet is a communications medium, it is not just a passive viewing system. Together we must develop relationships that allow everybody: the customer and the producer to benefit from knowing each other better.

Provide content not formats
In music the transformation is almost complete. Customers no longer have to pay for format. Purchasing Queen on vinyl, 8-track, cassette, CD, and digitally rights managed (DRM) digital download is over. Customers don't have to pay for the format, they just buy the content and move it around as they please. TV and movies will need to give customers what they want. They can't keep pretending. I know the customers I deal with are much smarter than that, giving them what they want is a viable business model. Providing seamless, unified, and flexible access to their favourite content is viable.

Monday, April 21, 2008

What Warren thinks …

Great article from Fortune. Here is an excerpt with emphasis,

Before we start in on questions, I would like to tell you about one thing going on recently. It may have some meaning to you if you’re still being taught efficient-market theory, which was standard procedure 25 years ago. But we’ve had a recent illustration of why the theory is misguided. In the past seven or eight or nine weeks, Berkshire has built up a position in auction-rate securities [bonds whose interest rates are periodically reset at auction; for more, see box on page 74] of about $4 billion. And what we have seen there is really quite phenomenal. Every day we get bid lists. The fascinating thing is that on these bid lists, frequently the same credit will appear more than once.

Here’s one from yesterday. We bid on this particular issue - this happens to be Citizens Insurance, which is a creature of the state of Florida. It was set up to take care of hurricane insurance, and it’s backed by premium taxes, and if they have a big hurricane and the fund becomes inadequate, they raise the premium taxes. There’s nothing wrong with the credit. So we bid on three different Citizens securities that day. We got one bid at an 11.33% interest rate. One that we didn’t buy went for 9.87%, and one went for 6.0%. It’s the same bond, the same time, the same dealer. And a big issue. This is not some little anomaly, as they like to say in academic circles every time they find something that disagrees with their theory.

So wild things happen in the markets. And the markets have not gotten more rational over the years. They’ve become more followed. But when people panic, when fear takes over, or when greed takes over, people react just as irrationally as they have in the past. [...]

[Fortune] Your OFHEO example implies you’re not too optimistic about regulation.

[Buffett] Finance has gotten so complex, with so much interdependency. I argued with Alan Greenspan some about this at [Washington Post chairman] Don Graham’s dinner. He would say that you’ve spread risk throughout the world by all these instruments, and now you didn’t have it all concentrated in your banks. But what you’ve done is you’ve interconnected the solvency of institutions to a degree that probably nobody anticipated. And it’s very hard to evaluate. If Bear Stearns had not had a derivatives book, my guess is the Fed wouldn’t have had to do what it did.

[Fortune] Do you find it striking that banks keep looking into their investments and not knowing what they have?

[Buffett] I read a few prospectuses for residential-mortgage-backed securities - mortgages, thousands of mortgages backing them, and then those all tranched into maybe 30 slices. You create a CDO by taking one of the lower tranches of that one and 50 others like it. Now if you’re going to understand that CDO, you’ve got 50-times-300 pages to read, it’s 15,000. If you take one of the lower tranches of the CDO and take 50 of those and create a CDO squared, you’re now up to 750,000 pages to read to understand one security. I mean, it can’t be done. When you start buying tranches of other instruments, nobody knows what the hell they’re doing. It’s ridiculous. And of course, you took a lower tranche of a mortgage-backed security and did 100 of those and thought you were diversifying risk. Hell, they’re all subject to the same thing. I mean, it may be a little different whether they’re in California or Nebraska, but the idea that this is uncorrelated risk and therefore you can take the CDO and call the top 50% of it super-senior - it isn’t super-senior or anything. It’s a bunch of juniors all put together. And the juniors all correlate.

Links: 2008-04-21

  1. Tension Over Sports Blogging - NYT - a note on bloggers from credentialed news organizations
  2. What Warren thinks... - Fortune interview
  3. Edward Lorenz, father of Chaos Theory, dies
  4. Brokeback Mountain director warns Bill C-10 means censorship
  5. Filmmaker Ang Lee has no love for 'Canadian values' bill, but plenty for Vancouver
  6. New Wii Games Find a Big (but Stingy) Audience - an insightful look at the Wii gaming business
  7. Our Top Ten list of Privacy Act fixes - by the Office of the Privacy Commissioner

Ad Links: 2008-04-21

  1. Chelsea Guitars
  2. Neu.de - ad for dating service in Germany
  3. Ice-made animals fight globe warming
  4. Discovery Channel re-branding
  5. ATMA Lights - very neat Ad
  6. Don't smoke when kids are around - extremely effective. love the idea

Susur Lee - celebrated Canadian chef

Here is an excerpt G&M Report on Business video interview with Susur Lee (emphasis added),

Celebrated Canadian chef, Susur Lee, moves his East-West fusion cuisine to New York this fall with plans to open with a restaurant inside the new Thompson hotel on Manhattan’s Lower East Side. Mr. Lee says that he just couldn’t turn down the opportunity. He will close his Toronto restaurant, Susur, which opened to rave reviews in 2000, at the end of May but will continue the more relaxed eatery Lee, located right next door.

The 50-year-old chef told the Globe, “If I don’t change, I’ll get old. I always love the challenge. I always love to do new things. I’m not sad at all.”

The Hong Kong born chef, who moved to Canada almost three decades ago, is generally credited with developing a new form of cuisine that blends Chinese with French cooking.

Enjoy.

RSA 2008 - Bruce Schneier

Interesting video interview of security expert Bruce Schneier by TechWebTV at RSA 2008 Conference.

Jimmy Wales talks about the future direction of Wikipedia

From BBC - Wikipedia takes business approach

Sunday, April 20, 2008

“It is a private meeting” - Tories’ bizarre farce

I am surprised and angry of how arrogant the Conservative government/party has become when it decided to selectively invite some media outlets while excluding some large media outlets including the Canadian Press, the CBC, Maclean's, the Globe and Mail (original scheduled but later canceled) and the Halifax Chronicle Herald. Here is an excerpt from CBC report (with video) (emphasis added),

CBC News requested to attend the briefings, but was rejected and told by party spokesman Ryan Sparrow that it was a private meeting, Boag said, adding reporters from the Canadian Press, Maclean’s magazine and Canwest Global Communications Corp. were also not permitted to attend.

Giving some reporters a briefing before Monday’s court release of the warrant allows the party a chance to shape the story, but it also creates the impression that the Conservatives need to spin it, Boag said.

Here is an excerpt from Canadian Press report “Conservative effort to limit raid damage leads to bizarre farce” (emphasis added),

The federal Conservatives made “false and misleading” statements in their financial returns for the last election and exceeded their campaign spending limit by over $1 million, Elections Canada says in a warrant that led to a raid on party headquarters.

A copy of the warrant and supporting materials was provided to The Canadian Press.

The documents were supposed to be made public Monday, but a bizarre attempt by the Tories to get ahead of the news by briefing select reporters on Sunday led to a slapstick scene that saw party representatives switching hotels, slamming doors and scampering down fire exits to escape pointed questions from journalists who weren’t invited to the meeting. [K: Are they for real here?]

The Conservatives have contended ever since the raid last week that they did nothing wrong and were surprised when the RCMP, acting on a request from Elections Canada, showed up with the warrant at their offices.

Elections Canada officials offered stark disagreement.

The Conservative party of Canada exceeded its election expense spending limit for the 39th federal general election,” the 68-page supporting affidavit for the warrant alleges.

The document maintains that the Conservative Fund of Canada, the party’s official agent, filed financial returns “that it knew or ought reasonably to have known contained a materially false or misleading statement.”

And the affidavit, signed by Elections Canada investigator Robert Lamothe, alleges that Tory advertising transactions - commonly known as the “in and out” scheme - allowed the party “to spend more than $1 million over and above” its legal campaign limit of $18 million.

Here is an excerpt of a report from The Globe and Mail (emphasis added),

In releasing the abridged version of the documents to select media, the party hoped to give Mr. Sparrow, campaign organizer Doug Finley and party lawyer Paul Lepsoe a chance to explain the Conservative point of view.

In the end, the plan went horribly awry.

On Saturday night, Mr. Sparrow called a number of reporters to ask them to come to meetings that had been scheduled for yesterday at the Lord Elgin Hotel in downtown Ottawa saying it “would be worth their while.”

But media outlets who were not among those invited got wind of the meetings yesterday morning and began to ask what was going on.

When one reporter asked in an e-mail about the news conference, Mr. Sparrow replied: “No conference, not sure where you got that from.”

The reporter then flipped Mr. Sparrow back an e-mail in which he had told another reporter who was on the list that the briefing would be at “4:30 Lord Elgin, Boardroom 800. Embargo until 7:30 pm Sunday night.”

To which Mr. Sparrow replied: “I meet with journalists privately all the time.”

Shortly thereafter, the Liberals found out about the briefings and advised all of the Ottawa press gallery, some of whom were quite miffed to find they had been excluded. When they threatened to show up at the Lord Elgin, despite the lack of an invitation, the meeting was secretly moved to the Sheraton.

The first briefing for select television outlets took place but, by that time, the excluded reporters found out the new location and began to stake out the hotel.

That led the Conservatives to cancel all subsequent briefings, including the one they had planned with The Globe. And Mr. Sparrow, Mr. Finley and Mr. Lepsoe fled from the Sheraton down a back set of stairs.

CTV News (see its report) and Toronto Star (its report) are amongst the media outlets that got invited. But sadly, they now have, in my eyes, credibility problems simply for the fact that they were the “chosen” media outlets. Can I trust them to report fairly? Or are they known to be easily controllable and are on the “good side” of the Conservatives?

I haven’t gone to J-school and don’t know what is the proper journalistic and ethically right thing to do. But I wonder if and should the reporters from CTV News (Mike Duffy) and Toronto Star (Tonda MacCharles) have done the honourable thing and share their media package (hundred of pages of documents and CD) with their colleagues in other media outlets that got excluded?

Canadian Press said it right, it is surely one “bizarre farce”!

P.S. Here is an article in The Hill Times, "Conservatives confusing public on 'in and out' financing says Prof. MacIvor - It's the content of Tory Party's ads in question", analyzing some of the original issues that Elections Canada is investigating.

*******

Apr 21, 2008 Update: From CBC, "Tories overspent on election by $1M: HQ raid warrant"