Month: June 2018

Intel Corp Chief Executive Brian Krzanich resigned on Thursday after a probe found his consensual relationship with an employee violated company policy.

The head of the largest U.S. chipmaker is the latest in a line of powerful men in business and politics to lose their jobs or resign over relationships viewed as inappropriate, a phenomenon highlighted by the #MeToo movement.

“An ongoing investigation by internal and external counsel has confirmed a violation of Intel’s non-fraternization policy, which applies to all managers,” Intel said in a statement.

The board named Chief Financial Officer Robert Swan as interim CEO and said it has begun a search for a permanent CEO, including both internal and external candidates.

Intel declined to give any further information about the probe. Intel shares fell 1.5 percent in early trade.

Wall Street took Krzanich’s unexpected departure in stride.

“Although we respect Krzanich’s efforts in redirecting Intel’s strategy from a computer-centric to a data-centric company, we view Intel as a process-driven company with a deep bench of CEO candidates that can continue to drive the corporate strategy,” said Kevin Cassidy, an analyst at Stifel.

Krzanich, 58, was appointed Intel CEO in May 2013, and was in charge of moving the company’s focus to growing data centers from personal computers. Intel shares more than doubled during his tenure.

He was recently credited with containing the fallout from the disclosure of some security flaws in the company’s chips that could allow hackers to steal data from computers, although his sale of some Intel stock before the flaws were disclosed to investors attracted some criticism.

“There are no new payments as part of his departure,” a source familiar with the company told Reuters.

Temporary replacement Swan has been Intel’s CFO since October 2016 and previously spent nine years as CFO of eBay Inc.

Intel on Thursday raised its second-quarter revenue and profit forecast, saying it expects quarterly revenue of about $16.9 billion and adjusted profit of about 99 cents per share, up from a previous forecast of $16.3 billion in revenue and adjusted earnings per share of 85 cents.

Analysts on average were expecting revenue of $16.29 billion and adjusted profit of 85 cents per share.
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Social media app Instagram announced Wednesday that it would be increasing its time limit for videos posted on its platform from one minute to 10 minutes, as part of a general expansion of the app’s video capabilities.

The photo-sharing app also announced it would be launching a stand-alone app called IGTV to host these long-form videos. The app will be available this week, according to technology website, The Verge.

“When you watch longer video, you need a different context,” Instagram co-founder and CEO Kevin Systrom told The Verge. “We really wanted to separate those two, so you could choose which adventure you wanted to go down.”

The longer videos will also be available through a tab in the original Instagram application. Accounts with wide audiences will be able to post videos of up to an hour.

The update comes as Instagram, which Facebook bought in 2012 for $1 billion — is looking to compete with fellow video platform YouTube for young users.

Google bought YouTube in 2006 for $1.65 billion. Since then, the video-sharing website has ballooned to a user base of 1.8 billion, becoming a platform for aspiring content creators looking to strike it big.

Systrom told The Associated Press he hoped his app would gain similar success with the IGTV update. At a release event for the app Wednesday, the company announced IGTV now had over 1 billion users.

The IGTV app will function similar to television. Videos will begin playing as soon as the user opens the app and will fill be full-screen vertically — contrasting with YouTube, which requires users to turn their phones horizontally for full-screen capabilities.

Facebook announced Tuesday it would be launching a series of interactive shows on its own video outlet, Facebook Watch.
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Amazon, JPMorgan Chase and Berkshire Hathaway have picked well-known author and Harvard professor Dr. Atul Gawande to transform the health care they give their employees.

The three corporate titans said Wednesday that Gawande will lead an independent company focused on a mission they announced earlier this year: figure out ways to improve a broken and often inefficient system for delivering care.

Health care researchers have said any possible solutions produced by this new venture will be felt well beyond the estimated 1 million workers the three companies employ in the United States. Other businesses that provide employee health coverage are eager to find solutions for health care costs that often rise faster than inflation and squeeze their budgets in the process.

Berkshire Chairman and CEO Warren Buffett has described health costs as a “hungry tapeworm on the American economy.”

Leaders of the three companies have said little about how their Boston-based venture plans to tackle this problem, but they have noted that it will take time to figure out solutions, a point they emphasized again on Wednesday.

“We said at the outset that the degree of difficulty is high and success is going to require an expert’s knowledge, a beginner’s mind, and a long-term orientation,” Amazon CEO Jeff Bezos said in a prepared statement. “[Gawande] embodies all three, and we’re starting strong as we move forward in this challenging and worthwhile endeavor.”

Employer-sponsored insurance covers about 157 million people, according to the Kaiser Family Foundation. That’s nearly half the total U.S. population and the biggest slice of the country’s patchwork health insurance market.

Neither companies nor many of their employees are happy with how the system currently works. Employers have reacted in part to rising expenses by raising deductibles and other costs, asking their workers to pay more of the bill and to shop around for better deals. Many patients, especially the sickest, struggle with that.

Gawande is surgeon and professor at both Harvard’s Medical School and its T.H. Chan School of Public Health. He said in a statement Wednesday that he has devoted his career in public health to building solutions for better care delivery, and that while the current system is broken, “better is possible.”

The consortium’s leaders have said they aren’t looking for a quick fix. JPMorgan Chase Chairman and CEO Jamie Dimon said during an appearance on CNBC earlier this month that fraud in the system, high administrative costs and the overuse and underuse of some drugs are among the many complications that must be improved.

The three companies said in late January that their new venture will focus on technology that provides simplified, high-quality and transparent care.

Amazon’s participation and customer-first focus will be crucial, according to Brian Marcotte, CEO of the National Business Group on Health, a nonprofit that represents large employers.

He noted that employers already offer ways to help patients shop for care or see a doctor remotely through telemedicine. But people don’t use this technology unless they need it, so they haven’t grown comfortable with it.

That could change if they go through a well-known platform like Amazon, which could then reach into its vast trove of customer data to personalize the shopping, Marcotte said. If, for instance, you are a runner considering knee surgery, Amazon could lay out the best or common practices for your condition and maybe show that surgery isn’t your only option.

“It’s not only reaching people in the moment, it’s the possibility to reach people with relevant personalized messaging that will engage them,” Marcotte said.
…

Amazon, JPMorgan Chase and Berkshire Hathaway have picked well-known author and Harvard professor Dr. Atul Gawande to transform the health care they give their employees.

The three corporate titans said Wednesday that Gawande will lead an independent company focused on a mission they announced earlier this year: figure out ways to improve a broken and often inefficient system for delivering care.

Health care researchers have said any possible solutions produced by this new venture will be felt well beyond the estimated 1 million workers the three companies employ in the United States. Other businesses that provide employee health coverage are eager to find solutions for health care costs that often rise faster than inflation and squeeze their budgets in the process.

Berkshire Chairman and CEO Warren Buffett has described health costs as a “hungry tapeworm on the American economy.”

Leaders of the three companies have said little about how their Boston-based venture plans to tackle this problem, but they have noted that it will take time to figure out solutions, a point they emphasized again on Wednesday.

“We said at the outset that the degree of difficulty is high and success is going to require an expert’s knowledge, a beginner’s mind, and a long-term orientation,” Amazon CEO Jeff Bezos said in a prepared statement. “[Gawande] embodies all three, and we’re starting strong as we move forward in this challenging and worthwhile endeavor.”

Employer-sponsored insurance covers about 157 million people, according to the Kaiser Family Foundation. That’s nearly half the total U.S. population and the biggest slice of the country’s patchwork health insurance market.

Neither companies nor many of their employees are happy with how the system currently works. Employers have reacted in part to rising expenses by raising deductibles and other costs, asking their workers to pay more of the bill and to shop around for better deals. Many patients, especially the sickest, struggle with that.

Gawande is surgeon and professor at both Harvard’s Medical School and its T.H. Chan School of Public Health. He said in a statement Wednesday that he has devoted his career in public health to building solutions for better care delivery, and that while the current system is broken, “better is possible.”

The consortium’s leaders have said they aren’t looking for a quick fix. JPMorgan Chase Chairman and CEO Jamie Dimon said during an appearance on CNBC earlier this month that fraud in the system, high administrative costs and the overuse and underuse of some drugs are among the many complications that must be improved.

The three companies said in late January that their new venture will focus on technology that provides simplified, high-quality and transparent care.

Amazon’s participation and customer-first focus will be crucial, according to Brian Marcotte, CEO of the National Business Group on Health, a nonprofit that represents large employers.

He noted that employers already offer ways to help patients shop for care or see a doctor remotely through telemedicine. But people don’t use this technology unless they need it, so they haven’t grown comfortable with it.

That could change if they go through a well-known platform like Amazon, which could then reach into its vast trove of customer data to personalize the shopping, Marcotte said. If, for instance, you are a runner considering knee surgery, Amazon could lay out the best or common practices for your condition and maybe show that surgery isn’t your only option.

“It’s not only reaching people in the moment, it’s the possibility to reach people with relevant personalized messaging that will engage them,” Marcotte said.
…

Barely six months after inaugurating a tiny software-coding boot camp in a basement in Tokyo, Silicon Valley transplant Kani Munidasa stood before some of Japan’s top business leaders in February with a warning: software was threatening their future.

A Sri Lankan native with a Japanese mother and wife, Munidasa was speaking at the invitation of Nobuyuki Idei, a former chief executive of Sony.

Idei had offered to become an adviser to the boot camp, called Code Chrysalis, whose mission of bringing Japan’s software engineering up to global standards and helping its companies transform aligned with his own.

“Idei-san told me, ‘Tell it as it is; don’t sugar-coat anything. They need to hear that change has to happen,'” Munidasa said, recalling how he showed up at the executives’ meeting in a T-shirt and hoodie.

Long known as a “monozukuri” – or manufacturing – powerhouse, Japan is in danger of getting left behind as artificial intelligence, robotics, and machine learning sweep through industries from cars to banking, Idei and others say.

Japanese companies have traditionally treated software as a means to cut costs rather than add value, and code-writers as second-class citizens. Entry-level software engineers in Japan make about $40,000 on average – less than half their U.S. counterparts.

Programs like Code Chrysalis are trying to change that by injecting Silicon Valley training methods into Japan’s slow-to-change corporate culture.

Coding, “soft skills” like public speaking and even physical fitness are all on the agenda. Since Code Chrysalis opened last July, a dozen students have graduated from its 12-week course, with six more in the pipeline. The camp currently accepts up to eight applicants per session.

For the students, the benefits are clear: their salaries increased by an average of nearly 80 percent after graduation, according to Code Chrysalis.

Japanese companies are desperate for skilled developers, with top IT recruiter Computer Futures seeing 2.3 job openings for every applicant so far this year, and most positions being filled by foreigners.

Educators and industry leaders hope programs such as Code Chrysalis will be transformative for Japan.

“Even if the numbers are small, I think (Code Chrysalis) can have a big impact,” Idei told Reuters, noting that Japan had focused too much on “physical goods” in the post-Internet age.

“The United States has Google, Apple, Facebook, Amazon,” said Idei, now CEO of his consultancy, Quantum Leaps. “China’s got Baidu, Alibaba and Tencent. Japan doesn’t have a single platform company. That’s the No. 1 difference.”

A textbook problem

Japan’s English-language education, notoriously focused on standardised testing, has hindered the development of good programmers, industry insiders say.

Without a good grasp of the language, programmers are always a step behind, waiting for translations to access cutting-edge tools and methods.

Toyota is making English the common language for the 1,000 software engineers it plans to employ at a new automated-driving unit launching in Tokyo next month.

James Kuffner, CEO of the unit, Toyota Research Institute-Advanced Development (TRI-AD), said Japan’s computer science education was also overly based on textbook learning.

Recalling the “horrible and boring” lectures he sat through at the prestigious University of Tokyo as a post-doctoral research fellow in 1999, Kuffner said the classes did little to prepare students for the real world. Coding boot camps are a step in the right direction, he said.

“I want to figure out a way to fix the education system because it’s also important for our company,” said Kuffner, who still serves as an adjunct associate professor at Carnegie Mellon’s Robotics Institute. “I would love to make a university where (everything) you did was project-based.”

Rebooting the system

Munidasa and his co-founder, Yan Fan, tailored their course around project-based learning, teaching exclusively in English.

Just one other English-language coding boot camp exists in Japan, run by French chain Le Wagon since late 2016, with 75 graduates so far. That program, which costs 790,000 yen ($7,200) for a nine-week course, targets beginners looking for a job in software development, who want to freelance, or who are launching their own start-ups.

“The positioning is very different because we work with beginners to bring them to a junior-developer level,” said Paul Gaumer, co-founder of Le Wagon Japan.

Munidasa and Fan’s program, which is aimed at higher-level training, has so far rejected nearly 80 percent of applicants, some of whom couldn’t meet the English requirement. To help, they added a four-week English-communication course.

During Code Chrysalis’ 1.03 million yen ($9,390), full-time course, students learn to become “full-stack” engineers, covering servers, user interfaces, and everything in between.

Beyond coding, they get unconventional instruction: voice training from an opera singer, squats challenges, and assignments requiring intense teamwork.

Baby steps

Code Chrysalis has already caught the attention of some big Japanese firms, including information technology giant NTT Data.

Its applied software engineering centre is using Code Chrysalis for part of its training and has placed an engineer in the current cohort.

“Our customers are increasingly looking for faster and cheaper software development, and we need to be able to meet those demands,” said human resources manager Kotaro Kimura.

Masataka Shintoku, an engineer in NTT Data’s sales and planning group who found Code Chrysalis on his own and graduated in March, says he’s already putting his new skills to work.

“I’m now able to create an app on my own and show prospective clients what we can do,” he said.

Kuffner said he hopes to emulate the storied Toyota Production System to create the software world’s “best process for writing bug-free software” as automated cars incorporate millions of lines of code.

“Japanese people are hard-working, very dedicated,” he said. “I have no question in my mind that with the right training they could be some of the best software engineers in the world.”
…

Barely six months after inaugurating a tiny software-coding boot camp in a basement in Tokyo, Silicon Valley transplant Kani Munidasa stood before some of Japan’s top business leaders in February with a warning: software was threatening their future.

A Sri Lankan native with a Japanese mother and wife, Munidasa was speaking at the invitation of Nobuyuki Idei, a former chief executive of Sony.

Idei had offered to become an adviser to the boot camp, called Code Chrysalis, whose mission of bringing Japan’s software engineering up to global standards and helping its companies transform aligned with his own.

“Idei-san told me, ‘Tell it as it is; don’t sugar-coat anything. They need to hear that change has to happen,'” Munidasa said, recalling how he showed up at the executives’ meeting in a T-shirt and hoodie.

Long known as a “monozukuri” – or manufacturing – powerhouse, Japan is in danger of getting left behind as artificial intelligence, robotics, and machine learning sweep through industries from cars to banking, Idei and others say.

Japanese companies have traditionally treated software as a means to cut costs rather than add value, and code-writers as second-class citizens. Entry-level software engineers in Japan make about $40,000 on average – less than half their U.S. counterparts.

Programs like Code Chrysalis are trying to change that by injecting Silicon Valley training methods into Japan’s slow-to-change corporate culture.

Coding, “soft skills” like public speaking and even physical fitness are all on the agenda. Since Code Chrysalis opened last July, a dozen students have graduated from its 12-week course, with six more in the pipeline. The camp currently accepts up to eight applicants per session.

For the students, the benefits are clear: their salaries increased by an average of nearly 80 percent after graduation, according to Code Chrysalis.

Japanese companies are desperate for skilled developers, with top IT recruiter Computer Futures seeing 2.3 job openings for every applicant so far this year, and most positions being filled by foreigners.

Educators and industry leaders hope programs such as Code Chrysalis will be transformative for Japan.

“Even if the numbers are small, I think (Code Chrysalis) can have a big impact,” Idei told Reuters, noting that Japan had focused too much on “physical goods” in the post-Internet age.

“The United States has Google, Apple, Facebook, Amazon,” said Idei, now CEO of his consultancy, Quantum Leaps. “China’s got Baidu, Alibaba and Tencent. Japan doesn’t have a single platform company. That’s the No. 1 difference.”

A textbook problem

Japan’s English-language education, notoriously focused on standardised testing, has hindered the development of good programmers, industry insiders say.

Without a good grasp of the language, programmers are always a step behind, waiting for translations to access cutting-edge tools and methods.

Toyota is making English the common language for the 1,000 software engineers it plans to employ at a new automated-driving unit launching in Tokyo next month.

James Kuffner, CEO of the unit, Toyota Research Institute-Advanced Development (TRI-AD), said Japan’s computer science education was also overly based on textbook learning.

Recalling the “horrible and boring” lectures he sat through at the prestigious University of Tokyo as a post-doctoral research fellow in 1999, Kuffner said the classes did little to prepare students for the real world. Coding boot camps are a step in the right direction, he said.

“I want to figure out a way to fix the education system because it’s also important for our company,” said Kuffner, who still serves as an adjunct associate professor at Carnegie Mellon’s Robotics Institute. “I would love to make a university where (everything) you did was project-based.”

Rebooting the system

Munidasa and his co-founder, Yan Fan, tailored their course around project-based learning, teaching exclusively in English.

Just one other English-language coding boot camp exists in Japan, run by French chain Le Wagon since late 2016, with 75 graduates so far. That program, which costs 790,000 yen ($7,200) for a nine-week course, targets beginners looking for a job in software development, who want to freelance, or who are launching their own start-ups.

“The positioning is very different because we work with beginners to bring them to a junior-developer level,” said Paul Gaumer, co-founder of Le Wagon Japan.

Munidasa and Fan’s program, which is aimed at higher-level training, has so far rejected nearly 80 percent of applicants, some of whom couldn’t meet the English requirement. To help, they added a four-week English-communication course.

During Code Chrysalis’ 1.03 million yen ($9,390), full-time course, students learn to become “full-stack” engineers, covering servers, user interfaces, and everything in between.

Beyond coding, they get unconventional instruction: voice training from an opera singer, squats challenges, and assignments requiring intense teamwork.

Baby steps

Code Chrysalis has already caught the attention of some big Japanese firms, including information technology giant NTT Data.

Its applied software engineering centre is using Code Chrysalis for part of its training and has placed an engineer in the current cohort.

“Our customers are increasingly looking for faster and cheaper software development, and we need to be able to meet those demands,” said human resources manager Kotaro Kimura.

Masataka Shintoku, an engineer in NTT Data’s sales and planning group who found Code Chrysalis on his own and graduated in March, says he’s already putting his new skills to work.

“I’m now able to create an app on my own and show prospective clients what we can do,” he said.

Kuffner said he hopes to emulate the storied Toyota Production System to create the software world’s “best process for writing bug-free software” as automated cars incorporate millions of lines of code.

“Japanese people are hard-working, very dedicated,” he said. “I have no question in my mind that with the right training they could be some of the best software engineers in the world.”
…