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Highlights and audio from Zuckerberg’s emotional Q&A on scandals

April 5, 2018 by  
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“This is going to be a never-ending battle” said Mark Zuckerberg. He just gave the most candid look yet into his thoughts about Cambridge Analytica, data privacy, and Facebook’s sweeping developer platform changes today during a conference call with reporters. Sounding alternately vulnerable about his past negligence and confident about Facebook’s strategy going forward, Zuckerberg took nearly an hour of tough questions.

You can read a transcript here and listen to a recording of the call below:

The CEO started the call by giving his condolences to those affected by the shooting at YouTube yesterday. He then delivered this mea culpa on privacy:

We’re an idealistic and optimistic company . . . but it’s clear now that we didn’t do enough. We didn’t focus enough on preventing abuse and thinking through how people could use these tools to do harm as well . . . We didn’t take a broad enough view of what our responsibility is and that was a huge mistake. That was my mistake.

It’s not enough to just connect people. We have to make sure those connections are positive and that they’re bringing people together.  It’s not enough just to give people a voice, we have to make sure that people are not using that voice to hurt people or spread misinformation. And it’s not enough to give people tools to sign into apps, we have to make sure that all those developers protect people’s information too.

It’s not enough to have rules requiring that they protect the information. It’s not enough to believe them when they’re telling us they’re protecting information. We actually have to ensure that everyone in our ecosystem protects people’s information.”

This is Zuckerberg’s strongest statement yet about his and Facebook’s failure to anticipate worst-case scenarios, which has led to a string of scandals that are now decimating the company’s morale. Spelling out how policy means nothing without enforcement, and pairing that with a massive reduction in how much data app developers can request from users makes it seem like Facebook is ready to turn over a new leaf.

Here are the highlights from the rest of the call:

On Zuckerberg calling fake news’ influence “crazy”: “I clearly made a mistake by just dismissing fake news as crazy — as having an impact . . . it was too flippant. I never should have referred to it as crazy.

Facebook and the endless string of worst-case scenarios

On deleting Russian trolls: Not only did Facebook delete 135 Facebook and Instagram accounts belonging to Russian government-connected election interference troll farm the Internet Research Agency, as Facebook announced yesterday. Zuckerberg said Facebook removed “a Russian news organization that we determined was controlled and operated by the IRA”.

On the 87 million number: Regarding today’s disclosure that up to 87 million people had their data improperly access by Cambridge Analytica, “it very well could be less but we wanted to put out the maximum that we felt it could be as soon as we had that analysis.” Zuckerberg also referred to The New York Times’ report, noting that “We never put out the 50 million number, that was other parties.”

Facebook admits Cambridge Analytica hijacked data on up to 87M users

On users having their public info scraped: Facebook announced this morning that “we believe most people on Facebook could have had their public profile scraped” via its search by phone number or email address feature and account recovery system. Scammers abused these to punch in one piece of info and then pair it to someone’s name and photo . Zuckerberg said search features are useful in languages where it’s hard to type or a lot of people have the same names. But “the methods of react limiting this weren’t able to prevent malicious actors who cycled through hundreds of thousands of IP addresses and did a relatively small number of queries for each one, so given that and what we know to day it just makes sense to shut that down.”

On when Facebook learned about the scraping and why it didn’t inform the public sooner:  “We looked into this and understood it more over the last few days as part of the audit of our overall system”, Zuckerberg declining to specify when Facebook first identified the issue. [Update: Facebook later specified that the sophisticated scraping had been picked up in the past few weeks during the audit, recently confirmed, and that the company disclosed the situation as soon as it had details ready.]

On implementing GDPR worldwide: Zuckerberg refuted a Reuters story from yesterday saying that Facebook wouldn’t bring GDPR privacy protections to the U.S. and elsewhere. Instead he says, “we’re going to make all the same controls and settings available everywhere, not just in Europe.”

Zuckerberg says Facebook will offer GDPR privacy controls everywhere

On if board has discussed him stepping down as chairman: “Not that I’m aware of” Zuckerberg said happily.

On if he still thinks he’s the best person to run Facebook: “Yes. Life is about learning from the mistakes and figuring out what you need to do to move forward . . . I think what people should evaluate us on is learning from our mistakes . . .and if we’re building things people like and that make their lives better . . . there are billions of people who love the products we’re building.”

On the Boz memo and prioritizing business over safety: “The things that makes our product challenging to manage and operate are not the tradeoffs between people and the business. I actually think those are quite easy because over the long-term, the business will be better if you serve people. I think it would be near-sighted to focus on short-term revenue over people, and I don’t think we’re that short-sighted. All the hard decisions we have to make are tradeoffs between people. Different people who use Facebook have different needs. Some people want to share political speech that they think is valid, and other people feel like it’s hate speech . . . we don’t always get them right.”

The real threat to Facebook is the Kool-Aid turning sour

On whether Facebook can audit all app developers: “We’re not going to be able to go out and necessarily find every bad use of data” Zuckerberg said, but confidently said “I actually do think we’re going to be be able to cover a large amount of that activity.

On whether Facebook will sue Cambridge Analytica: “We have stood down temporarily to let the [UK government] do their investigation and their audit. Once that’s done we’ll resume ours … and ultimately to make sure none of the data persists or is being used improperly. And at that point if it makes sense we will take legal action if we need to do that to get people’s information.”

Cambridge Analytica denies accessing data on 87M Facebook users…claims 30M

On how Facebook will measure its impact on fixing privacy: Zuckerberg wants to be able to measure “the prevalence of different categories of bad content like fake news, hate speech, bullying, terrorism. . . That’s going to end up being the way we should be held accountable and measured by the public . . .  My hope is that over time the playbook and scorecard we put out will also be followed by other internet platforms so that way there can be a standard measure across the industry.”

On whether Facebook should try to earn less money by using less data for targeting “People tell us if they’re going to see ads they want the ads to be good . . . that the ads are actually relevant to what they care about . . On the one hand people want relevant experiences, and on the other hand I do think there’s some discomfort with how data is used in systems like ads. But I think the feedback is overwhelmingly on the side of wanting a better experience. Maybe it’s 95-5.”

Facebook rewrites Terms of Service, clarifying device data collection

On whether #DeleteFacebook has had an impact on usage or ad revenue: “I don’t think there’s been any meaningful impact that we’ve observed…but it’s not good.”

On the timeline for fixing data privacy: “This is going to be a never-ending battle. You never fully solve security. It’s an arms race” Zuckerberg said early in the call. Then to close QA, he said “I think this is a multi-year effort. My hope is that by the end of this year we’ll have turned the corner on a lot of these issues and that people will see that things are getting a lot better.”

Overall, this was the moment of humility, candor, and contrition Facebook desperately needed. Users, developers, regulators, and the company’s own employees have felt in the dark this last month, but Zuckerberg did his best to lay out a clear path forward for Facebook. His willingness to endure this question was admirable, even if he deserved the grilling.

The company’s problems won’t disappear, and its past transgressions can’t be apologized away. But Facebook and its leader have finally matured past the incredulous dismissals and paralysis that characterized its response to past scandals. It’s ready to get to work.

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Trump’s easy campaign promises run into the difficulties of reality

April 5, 2018 by  
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An emboldened President Trump is discovering that the policies he once described as easy fixes for the nation are a lot more complicated in reality — creating backlash among allies, frustrating supporters and threatening the pocketbooks of many farming communities that helped get him elected.

Freed from the caution of former advisers, Trump has spent recent weeks returning to the gut-level basics that got him elected: tough talk on China, a promise of an immigration crackdown and an isolationist approach to national security. 

Several people who have spoken to the president say he is telling advisers that he is finally expediting the policies that got him elected and is more comfortable without a number of aides around him who were tempering his instincts. And he often cites rising poll numbers in recent weeks as a reason he should do it his own way, these people said. 

But at every front he has faced resistance from within his own coalition. Immigration hawks have been infuriated by his inability to build the border wall with funding from either Mexico or U.S. taxpayers. Many military leaders and foreign policy strategists have been alarmed by his promise to remove troops from Syria. And Republicans on Capitol Hill have protested the rising signs of a trade war with China. 

The Dow Jones industrial average — once used by Trump as a symbol of his success in office — has fallen nearly 5 percent since he announced new tariffs on March 1. Commodities markets, which are more closely watched in rural communities, have also been under pressure as China has threatened to impose retaliatory taxes on U.S. products from pork to soybeans.

President Trump speaks at a news conference with leaders of Baltic states in the East Room of the White House Tuesday. (Andrew Harnik/AP)

Trump has closely watched the stock market gyrations, according to people close to him, and has grown frustrated that stocks have fallen. The president has told several people that he has been surprised by the backlash over tariffs but remains pleased he made the moves. He has routinely argued with White House Chief of Staff John F. Kelly over trade, and also clashed on the issue with Gary Cohn, his former National Economic Council director.

“Nothing is easy,” Trump said Monday at the White House, while discussing his efforts to close the trade deficit with China.

It was a notable admission given that Trump had claimed the opposite in June 2016, during a major campaign speech on trade. “This is very easy. This is so easy,” he said then about tariffs on Chinese products. 

But there is little evidence that any of the resistance has caused Trump to rethink his decision to refocus his administration on the nationalist policies and priorities that electrified crowds during the campaign. 

“This is consistent with Trump’s populist movement that he was able to capture and lead in the last election,” said Ed Brookover, a former Trump campaign adviser. “What his base wanted him to do most of all is to fight for them, and the more Trump demonstrates he’s on their side, the more popular he is with them.”

Aides say Trump is more confident in his job than at any other point in his 14 months as president and feels empowered to act upon things he has long wanted to do. He has been frustrated by the slow pace of governing, they said, and is seizing opportunities now to take action and see immediate results, as he did when he ran his real estate and branding empire in New York.

An Army National Guard specialist scans the U.S.-Mexico border near Columbus, N.M., on June 12, 2006. President Trump has vowed to return National Guard troops to the border. (Norm Dettlaff/AP)

“None of it comes as a surprise to anybody,” said one senior White House official. “He’s used to making a decision and it happens, it moves. Government doesn’t quite work that way. Some of this is his frustration of wanting to see things happen. Now he’s taking bold action to see things happen.”

Trump has told several advisers that he wants to talk about immigration more and that the issue was the reason he won the election — along with trade. He has been incensed by stories noting that he has not gotten enough funding to build a border wall. He has told aides to prepare more executive orders, and on Wednesday the White House announced he would sign a proclamation aimed at sending National Guard troops to the southern border to work with Border Patrol agents.

One longtime adviser said recent weeks have been reminiscent of Trump’s time as a businessman working out of Trump Tower and a departure from the more formal structure imposed by Kelly. This person said Trump has often reminded aides about what he said on the campaign trail — and the crowds that came to hear it. 

Trump has cut senior advisers, including Kelly, out of some personnel and policy moves, such as the recent hirings of top economic adviser Larry Kudlow and national security adviser John Bolton. A senior White House official said neither of the men had been vetted before their selections were announced.

In recent weeks, Trump has also promised to meet North Korean leader Kim Jong Un, vowed to confidants he would rip up the Iran deal, floated an Oval Office meeting with Russian President Vladimir Putin and announced the removal of troops from Syria. Around the same time, he fired his secretary of state via Twitter.

According to those around him, Trump has increasingly struck a self-confident tone on foreign policy and has begun boasting about what he plans to accomplish. He brags about how he understands North Korea’s Kim and how his previous advisers and previous presidents were wrong, particularly mocking George W. Bush.

“He sees all these opportunities on the horizon on national security,” said Sen. Lindsey O. Graham (R-S.C.), who met with Trump at the White House last week. “I told him the way he’s handling himself has put him in a position to really change things, and he certainly agreed.”

One person who has spoken to Trump said the president is frustrated at the foreign policy apparatus that is pushing back on his Syria move and thinks that rich Middle Eastern countries are ripping off the United States. Trump has reluctantly agreed to listen, this person said, “at least for now.” 

The political backlash to the escalating trade fight with China has been particularly intense. More than 100 Republican members of Congress and multiple GOP senators have written public letters to the White House asking him to pull back from the tariff brinkmanship, as China prepares retaliation squarely aimed at punishing American farmers and manufacturers. Business groups that are key parts of the Republican coalition have also condemned the moves. 

“I’m not a fan of tariffs, and I am nervous about what appears to be a growing trend in the administration to levy tariffs,” Senate Majority Leader Mitch McConnell (R-Ky.) said Tuesday. “This is a slippery slope, so my hope is that this will stop before it gets into a broader tit-for-tat that can’t be good for our country.”

Rep. Steve King (R-Iowa), who has been one of the most vocal critics of the escalating trade war, said that farmers in his heavily Republican district had not yet abandoned their support of Trump. 

“They are going to have some faith that he actually knows what he is doing until it hits their pocketbooks,” King said. “But they would like to see this emerging trade war ended. They are not as concerned about trade deficits as they are by this emerging trade war.”

Other White House officials, if not Trump, have grown concerned with the backlash. Officials rushed to announce a trade deal with South Korea after being stung by criticism that Trump’s moves were ineffective, administration officials said. Other aides have privately suggested to allies on Capitol Hill that the tariffs may just be a negotiating position.

The challenge for Trump of trying to deliver on rosy promises is not a new one. Until winning the White House, Trump’s greatest successes have come in arenas such as marketing, entertainment and the presidential campaign, where image is the primary product and big boasts can make the sale. Billy Bush, the former “Access Hollywood” host, who spent years interviewing Trump about his reality show, “The Apprentice,” recently recalled confronting Trump over his serial misrepresentations of that show’s ratings. 

“He said, ‘Billy, look, you just tell them and they believe it. That’s it,’ ” Bush recalled on HBO’s “Real Time with Bill Maher.”

The unilateral power of bold assertion, regardless of facts or nuance, has been a central theme of Trump’s presidency. While politicians typically overpromise during the campaign, Trump distinguished himself with the scale and scope of his vows. “I will give you everything,” he said at a campaign event in North Dakota in May 2016. “I’m the only one.” 

By this standard, the first year of his presidency was full of frustration. The promise of repealing President Barack Obama’s Affordable Care Act ran into the reality of a divided Republican Party. Trump’s initial team of advisers warned him against dramatic acts on trade, and he largely followed the advice of his military leaders, who called for intensifying American involvement in Syria. 

That era is now clearly over.

“During the first year-plus of the Trump administration, the advisers dominated the process and succeeded in steering the president away from his most unfettered instincts,” said William A. Galston, a policy adviser in the Clinton White House and a senior fellow at the Brookings Institution. “The president is returning to a mind-set that’s closer to his campaign personality, one that he views as more likely to fulfill his promises and to resonate with the people who supported those promises most strongly.”

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