Weekend Briefing No. 512
Is G42 secretly funnel advanced U.S. tech to the Chinese government?
Welcome to the weekend.
This week we lost an intellectual giant. Charlie Munger, the witty vice chairman of Berkshire Hathaway, passed away at 99 years old. I’ve learned so much about human psychology, discipline and business from him over the years. He was always so fun to watch because he was a great combination of surly and wise. Coincidentally, the new edition of Poor Charlie’s Almanack: The Essential Wit and Wisdom of Charles T. Munger is being released on Tuesday. I’m picking up a copy.
Prime Numbers
10,000,000 — The auction house Sotheby’s will be selling a set of six shirts worn by a victorious Lionel Messi at the 2022 World Cup in Qatar that saw the Argentinian bring home the top prize. Messi’s jerseys are expected to sell for well more than $10 million.
39 — The supply chain problems that made it really hard to get a car in America have begun to subside, as U.S. car dealers have 53 days’ worth of inventory on their lots as of June, up 39% year over year.
8 — For the first time, North Korean leader Kim Jong Un displayed eight new paintings of him doing inspirational leader things such as getting out of a muddy Lexus, saying hello to farmers and riding a horse on a mountain.
G42
When Jake Sullivan, U.S. National Security Advisor, met the United Arab Emirates (UAE)'s Sheikh Tahnoon, he raised concerns about G42 — an AI firm that Sheikh controls that works with Chinese companies, possibly leaking U.S. tech. Though touting deals with pharma giants and partnerships with Silicon Valley, intelligence reports warn that G42 may secretly funnel advanced U.S. tech to sanctioned firms like Huawei or the Chinese government. Reports also caution G42’s work may provide Chinese people with access to genetic data of millions, a pipeline with deeply troubling implications. U.S. spy agencies, including the CIA, have sounded alarms about these G42 activities, viewing the flashy announcements as a mere façade for tech transfers threatening national security behind closed doors. Sullivan aimed to confront the Sheikh about activities severely compromising U.S. interests through G42’s troubling Chinese partnerships. New York Times (16 minutes)
State of the U.S. Economy
Explaining the state of the American economy at the moment poses a conundrum. The labor market is strong and so is much of the broader economy. However, many Americans say conditions are terrible. The past couple of years have been favorable for U.S. workers. Unemployment is low, and most people seeking jobs can find them. Wages have risen even when accounting for recent inflation, especially for lower-income workers. Employees have been able to assert themselves more, whether through quitting jobs, unionizing or going on strike. Despite these positive signs, poll after poll shows Americans believe the economy is extremely weak. This dissonance between a robust labor market and such deep pessimism is perplexing. These favorable employment conditions would typically buoy public sentiment, not sink it. So why do people insist the economy is so poor? Vox (7 minutes)
Hungry Children Cannot Learn at School
Kenyan-based Food for Education, a Draper Richards Kaplan (DRK) Foundation portfolio organization, recognized that when children are hungry, they simply cannot learn in school. Utilizing technology, smart supply chains, warehouses and commercial kitchens, Food for Education sources fresh, local ingredients from smallholder farmers to schools. Last year, they provided 180,000 meals to vulnerable students, and they are currently on track to feeding more than 400,000 students daily by the end of the year. With a dedicated team of chefs, cleaners and drivers who cook, inspect and deliver meals, Food for Education is a remarkable story about commitment, tenacity and always believing in the possible. Since their launch in 2012, Food for Education has delivered more than 21 million nutritious meals to schools in Kenya. Now that’s an impact. DRK Foundation (Sponsored)
Climate Optimism
Climate scientist Rebecca Solnit says we can’t afford to be climate doomers: Many things that were once true — that we didn’t have adequate solutions, that the general public wasn’t aware or engaged — no longer are. Outdated information is misinformation, and the climate situation has changed a lot in recent years. The physical condition of the planet — as this summer’s unprecedented extreme heat and flooding and Canada’s and Greece’s colossal fires demonstrate — has continued to get worse; the solutions have continued to get better; the public is far more engaged; the climate movement has grown, though of course it needs to grow far more; and there have been some significant victories, as well as the incremental change of a shifting energy landscape. The Guardian (7 minutes)
4.5 Billion Years in 1 Hour
Earth is 4.5 billion years old. This video has scaled the complete timeline of our Earth’s life into our first animated movie! Every second shows about a million years of the planet’s evolution. Hop on a musical train ride and experience how long a billion years really is. It’s the perfect background for your next party, a great way to take a break from studying, or a fascinating companion while you’re on the go. Kurzgesagt (63 minutes)
Doing the Work
What matters more — doing the work or how the work is received? Doing the work. That's under my control. How my work is received or appreciated by others is much less so. As Marcus Aurelius wrote, "Ambition is tying your well-being to what other people do and say. Sanity is tying it to your own actions." When you sit there hoping for external validation through success, you detach yourself from the work process. You distract yourself with dreams and expectations instead of focusing on the tasks at hand — the only things that can truly improve the work. The quality of my work depends on my full engagement in the process. Comparisons to others' work or financial measures are hollow concerns. What is within my power is committing myself wholly to the labor before me. That is what matters most. Ryan Holiday (6 minutes)
Frugal or Independent?
There's an important distinction to make about people who spend less than they earn. "Frugal" means depriving yourself of something you desire and can afford. However, not wanting certain things in the first place because you derive pleasure and identity from non-material sources is entirely different. "Independent" may be the best descriptor. Most people seek status and success rather than happiness so it's remarkable to encounter someone pushing back on that tendency. Externally they may seem frugal, but in reality they have rejected societal markers of success to find fulfillment on their own terms. Collab Fund (6 minutes)
Should We Work Together?
Hi! I’m Kyle. This newsletter is my passion project. When I’m not writing, I run a law firm that helps startups move fast without breaking things. Most founders want a trusted legal partner, but they hate surprise legal bills. At Westaway, we take care of your startup’s legal needs for a flat, monthly fee so you can control your costs and focus on scaling your business. If you’re interested, let’s jump on a call to see if you’re a good fit for the firm. Click here to schedule a one-on-one call with me.
Founder Fridays
Check out my other email, Founder Fridays — A Friday morning briefing helping startup founders and operators scale smarter.
Weekend Wisdom
It's remarkable how much long-term advantage people like us have gotten by trying to be consistently not stupid, instead of trying to be very intelligent. -Charlie Munger
Several good articles this week. Thanks! Linda