{"id":83824,"date":"2017-09-15T07:17:07","date_gmt":"2017-09-15T11:17:07","guid":{"rendered":"https:\/\/stateofthenation2012.com\/?p=83824"},"modified":"2017-09-15T07:20:46","modified_gmt":"2017-09-15T11:20:46","slug":"83824","status":"publish","type":"post","link":"https:\/\/stateofthenation2012.com\/?p=83824","title":{"rendered":"Former Exec Says Tech Giants Are &#8216;Surveillance States&#8217;"},"content":{"rendered":"<p><!--more--><\/p>\n<div class=\"story-top\">\n<div class=\"story-header-left twoCol\">\n<h1 class=\"title\">Former Facebook executive says Google, Facebook are &#8216;surveillance states&#8217; and risk more regulation<\/h1>\n<div id=\"article_deck\" class=\"content\">\n<div class=\"group-container last\">\n<div class=\"group\">\n<ul>\n<li>Social Capital CEO Chamath Palihapitiya says Facebook and Google are like &#8220;surveillance states&#8221; and are inviting a government crackdown.<\/li>\n<li>The former Facebook executive is bullish on Amazon, and thinks it will have a longer runway before the government tries to intervene.<\/li>\n<\/ul>\n<\/div>\n<\/div>\n<\/div>\n<\/div>\n<\/div>\n<p>Anita Balakrishnan | CNBC<\/p>\n<p><iframe loading=\"lazy\" src=\"http:\/\/player.cnbc.com\/p\/gZWlPC\/cnbc_global?playertype=synd&amp;byGuid=3000654384&amp;size=530_298\" width=\"530\" height=\"298\" allowfullscreen=\"allowfullscreen\"><\/iframe><\/p>\n<h5><a href=\"http:\/\/www.cnbc.com\/video\/2017\/09\/14\/chamath-palihapitiya-facebook-and-google-have-become-surveillance-states.html?__source=cnbcembedplayer\">Chamath Palihapitiya: Facebook and Google have become &#8216;surveillance states&#8217;<\/a> from <a href=\"\/\/www.cnbc.com\/?__source=cnbcembedplayer\">CNBC<\/a>.<\/h5>\n<p>Even though he was once an executive at <a class=\"inline_quotes\" href=\"http:\/\/www.cnbc.com\/quotes\/?symbol=FB\" data-gdsid=\"139619\" data-inline-quote-symbol=\"FB\">Facebook<\/a>, Chamath Palihapitiya, CEO of <a class=\"inline_quotes\" href=\"http:\/\/www.cnbc.com\/quotes\/?symbol=IPOA\" data-gdsid=\"167682\" data-inline-quote-symbol=\"IPOA\">Social Capital Hedosophia Holdings<\/a>, favors investing in <a class=\"inline_quotes\" href=\"http:\/\/www.cnbc.com\/quotes\/?symbol=AMZN\" data-gdsid=\"9399\" data-inline-quote-symbol=\"AMZN\">Amazon<\/a> instead, he told CNBC&#8217;s &#8220;<a href=\"http:\/\/www.cnbc.com\/halftime\/\">Fast Money: Halftime Report<\/a>&#8221; on Thursday.<\/p>\n<p>President <a href=\"http:\/\/www.cnbc.com\/donald-trump\/\">Donald Trump<\/a> has been a critic of <a class=\"inline_quotes\" href=\"http:\/\/www.cnbc.com\/quotes\/?symbol=AMZN\" data-gdsid=\"9399\" data-inline-quote-symbol=\"AMZN\">Amazon<\/a>, tweeting his disdain for coverage from The Washington Post, which is a personal holding of Amazon CEO <a href=\"http:\/\/www.cnbc.com\/jeff-bezos\/\">Jeff Bezos<\/a>. But Palihapitiya said he thinks that Facebook and Google face more regulatory risk, given the many retailers that compete with Amazon.<\/p>\n<p>&#8220;Amazon is a microscopic portion of global consumption today, so ultimately I think it has more room to grow before it invites regulatory overview,&#8221; Palihapitiya said. &#8220;On the other hand, Facebook and Google effectively are surveillance states. And they have so much personal, private information about so many citizens of so many countries.&#8221;<\/p>\n<p><a class=\"inline_quotes\" href=\"http:\/\/www.cnbc.com\/quotes\/?symbol=GOOGL\" data-gdsid=\"19004\" data-inline-quote-symbol=\"GOOGL\">Google<\/a> has already had a tussle with regulators in Europe, after the company was <a href=\"http:\/\/www.cnbc.com\/2017\/06\/27\/googles-1-billion-fine-what-you-need-to-know.html\">slapped with a record fine<\/a> in one investigation.<\/p>\n<p>&#8220;It&#8217;s already beginning,&#8221; Palihapitiya said. &#8220;Because it&#8217;s part and parcel to them realizing that there&#8217;s too much power unbounded.&#8221;<\/p>\n<p>Palihapitiya noted that many big technology companies have seen their stocks soar, making it tempting to take gains. Palihapitiya&#8217;s holding company, which also includes former Twitter executive Adam Bain, hit the public markets Thursday.<\/p>\n<p>But Palihapitiya said he thinks investors should reframe the way they think about the long-term trajectories of the companies.<\/p>\n<p>For instance, Amazon is competing against Wal-Mart, which has acquired e-commerce companies like Jet.com and Bonobos. But with tools like Alexa, robots and cloud, Amazon&#8217;s technology could lead it to victory over &#8220;laggard competitors,&#8221; Palihapitiya said.<\/p>\n<p>&#8220;It is competing against fundamentally impaired companies, including Wal-Mart, quite honestly,&#8221; Palihapitiya said. &#8220;That don&#8217;t have the technical savvy, they don&#8217;t have the capabilities, specialty retailers, an entire overhang of cost structure that [Amazon doesn&#8217;t] have to deal with.&#8221;<\/p>\n<p>Facebook, Google and Wal-Mart did not immediately respond to a request for comment.<\/p>\n<p>___<br \/>\n<a href=\"http:\/\/www.cnbc.com\/2017\/09\/14\/chamath-palihapitiya-on-fang-stocks-amazon-winning-facebook-risk.html\">http:\/\/www.cnbc.com\/2017\/09\/14\/chamath-palihapitiya-on-fang-stocks-amazon-winning-facebook-risk.html<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[1],"tags":[],"class_list":["post-83824","post","type-post","status-publish","format-standard","hentry","category-uncategorized"],"_links":{"self":[{"href":"https:\/\/stateofthenation2012.com\/index.php?rest_route=\/wp\/v2\/posts\/83824","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/stateofthenation2012.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/stateofthenation2012.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/stateofthenation2012.com\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/stateofthenation2012.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=83824"}],"version-history":[{"count":0,"href":"https:\/\/stateofthenation2012.com\/index.php?rest_route=\/wp\/v2\/posts\/83824\/revisions"}],"wp:attachment":[{"href":"https:\/\/stateofthenation2012.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=83824"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/stateofthenation2012.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=83824"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/stateofthenation2012.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=83824"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}