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<ul><li>There are dozens of messaging apps out there, but WhatsApp, <keyword id="6380504" type="General" weightage="100" keywordseo="signal" source="Orion">Signal</keyword> and <keyword id="1275203" type="General" weightage="20" keywordseo="telegram" source="Orion">Telegram</keyword> are amongst the most popular ones that also have privacy features built-in.</li><li>While WhatsApp is used by hundreds of millions of users around the world, some might not consider it to be the most privacy-friendly app out there.</li><li>We compare WhatsApp, Signal and Telegram to understand which messaging app is the most suitable to secure your conversations in 2022.</li></ul>Instant messaging apps are a dime a dozen now, but WhatsApp still remains the favourite of hundreds of millions of users worldwide. However, with privacy becoming more important now than ever before, it is worth evaluating the options that we have and making the right choice to have secure conversations. Over the past few years, with Facebook dropping the ball on privacy, WhatsApp has <a href="https://www.businessinsider.in/tech/news/whatsapp-agrees-to-put-the-controversial-privacy-policy-on-hold/articleshow/84261567.cms">come under fire</a> from privacy enthusiasts around the world. This has resulted in an increase in the popularity of alternative chatting apps like Signal and Telegram. But what exactly do you get with these alternatives? Which chatting app is better for your privacy? Let’s find out. <cmsannotation type="cmsannotation" annotationid="Best chatting apps for your privacy in 2022" comment="subhead" text="Best chatting apps for your privacy in 2022">Best chatting apps for your privacy in 2022</cmsannotation> There are plenty of chatting apps with a wide range of features, but in this story, we focus on the three most popular apps which also have important privacy features like end-to-end encryption built-in. <cmsannotation type="cmsannotation" annotationid="WhatsApp" comment="subhead" text="WhatsApp">WhatsApp</cmsannotation> WhatsApp is by far one of the most popular messaging apps out there. It has had a head start over most of its competition, and lacks plenty of features that have been available on other apps. However, it remains popular because of its massive user base. How often have you seen your contacts migrate to a new messaging service at once? The lack of features, though, doesn’t mean it is missing out on one of the core aspects of communication these days – privacy. WhatsApp implemented end-to-end encryption in 2016, <a href="https://signal.org/blog/whatsapp-complete/">based on the Signal protocol</a>. Every message you send or calls you initiate on WhatsApp are end-to-end encrypted by default, so you don’t have to worry about either you or your contacts being the weak link in your conversations. In fact, there is no option to turn off encryption. There are other privacy features on offer like notifications for every time the security code of your contacts changes, disappearing messages and more. However, WhatsApp is plagued by other security concerns, which includes the fact that it is owned by Facebook. The social media giant’s controversial user data collection policies have come under sharp criticism from various authorities, including those in India. As such, you might want to look for other alternatives and slowly transition your messaging groups over to those apps. <cmsannotation type="cmsannotation" annotationid="Signal" comment="subhead" text="Signal">Signal</cmsannotation> Signal has been the golden standard for encrypted messaging for a long time now, and the app has only gotten better over the years. The best part about the app is that it is open-source and free, so anyone can inspect the codebase of the app if they want to. Unfortunately, Signal misses out on some of the features which are available on other apps, like UPI payments, starred messages, live location sharing and more. However, if you want the most secure and privacy-friendly messaging app out there, Signal is the best option available right now. <cmsannotation type="cmsannotation" annotationid="Telegram" comment="subhead" text="Telegram">Telegram</cmsannotation> Telegram is another alternative to WhatsApp and Signal, but it comes with one major drawback – end-to-end encryption is not enabled by default. In fact, one of the highlights of Telegram – its support for multiple devices – goes down the drain when you enable encryption in a chat since those chats are not synchronised to other devices. Another point worth considering is that Telegram logs your IP addresses and collects other user data, and its encryption has not been formally audited by independent security researchers yet. Telegram does have a long list of features that are not available on either WhatsApp or Signal, and its apps are very responsive, too. However, if privacy is your main concern, it comes last in this list. SEE ALSO: <a href="https://www.businessinsider.in/tech/news/from-iphone-14-to-mac-pro-with-m1-max-chipset-heres-everything-apple-is-expected-to-launch-in-2022/articleshow/88661948.cms">From iPhone 14 to Mac Pro with M1 Max chipset, here's everything Apple is expected to launch in 2022</a> <a href="https://www.businessinsider.in/tech/news/how-to-automatically-delete-unwanted-emails-easily-in-gmail/articleshow/88664698.cms">Here’s how to automatically delete unwanted emails in Gmail</a> <a href="https://www.businessinsider.in/tech/apps/news/best-language-learning-smartphone-apps-for-android-and-ios/slidelist/88664564.cms">Best language learning smartphone apps for Android and iOS</a>

WhatsApp vs Signal vs Telegram: Which messaging app should you use to secure your conversations in 2022?

<ul><li><keyword id="182214" type="General" weightage="20" keywordseo="google-chrome" source="Orion">Google Chrome</keyword> offers extensions that work as shortcuts.</li><li>There’s one to <keyword id="12875757" type="General" weightage="20" keywordseo="resize-images" source="Orion">resize images</keyword> directly on Chrome without having to open another site or app.</li><li>Through this <keyword id="1301747" type="General" weightage="20" keywordseo="chrome-extension" source="Orion">Chrome extension</keyword>, you can resize, optimise and save images in different file formats.</li></ul>There are several tools and apps online available for resizing images. You can easily resize images according to the dimensions required without going through much trouble. But if you’re someone who is constantly dealing with having to work with images then a much easier and faster tool can be helpful. Google Chrome users can download and install an extension that works as a shortcut to resizing images. This way you don’t have to open another app or website just to resize images. So if you’re looking for an easy and quick way to resize images, follow these steps. Open Google Chrome and visit the web store. You can find it on the top left corner of the browser under Apps. Select the Web Store and type “Resizing app” in the search bar. Download the Resizing App extension and add it to Chrome. Once you’re done with this process, here’s what you need to do to start resizing images with this extension. Click on the extensions icon next to your Google Chrome profile icon. Select the Resizing App extension and a pop-up screen will appear. Here, you will have to select the + icon to add an image. Select the resize option from the drop-down menu and add the dimensions. You can also optimise the image and save it as JPG, PNG, WEBP, BMP or TIFF. The resized image will be saved on your laptop or desktop. SEE ALSO: <a href="https://www.businessinsider.in/tech/apps/news/whatsapp-vs-signal-vs-telegram-which-messaging-app-should-you-use-for-secure-conversations/articleshow/88666360.cms" data-type="tilCustomLink">WhatsApp vs Signal vs Telegram: Which messaging app should you use to secure your conversations in 2022?</a> <div type="Article" hostid="261" msid="73228727" title="How to open WhatsApp on laptop" mstype="2" mssubtype="0"></div>

How to resize images directly on Google Chrome

<ul class="summary-list"><li>Elon Musk once championed encrypted messaging app Signal, promoting its user privacy protections.</li><li>Signal has been sharply criticized recently by a conservative activist and a rival app, Telegram.</li></ul>The encryption wars brewing between the messaging apps Telegram and Signal have attracted the commentary of a high-profile critic: <a target="_blank" href="https://www.businessinsider.com/elon-musk">Elon Musk</a>.Musk, who previously championed Signal for its <a target="_blank" href="https://www.businessinsider.com/whatsapp-facebook-data-signal-download-telegram-encrypted-messaging-2021-1">user privacy protections</a>, now appears to have changed his tune, amplifying criticisms of the app and its leadership and saying there are unspecified "known vulnerabilities" within Signal that have gone unaddressed by the company's leadership.Given his influence in the tech sphere, Musk's remarkable reversal on Signal has become central to the current conversation on <a target="_blank" href="https://www.businessinsider.com/elon-musk-says-twitter-add-video-voice-call-secure-dms-2022-11">encryption</a> — and, according to one cryptography expert, is pushing users toward less secure alternatives.<h2 id="ac96123e-ad03-43ac-a56b-649e2e2587b9">A conniption over encryption</h2>In recent weeks, <a target="_blank" href="https://www.businessinsider.com/guides/tech/signal-app">Signal</a> has come under fire from Pavel Durov, the CEO of rival app Telegram, who lambasted Signal's encryption capabilities in a public post on his own platform, saying, "the US government spent $3M to build Signal's encryption," and accusing Signal of being an insecure choice for private messaging."An alarming number of important people I've spoken to remarked that their 'private' Signal messages had been exploited against them in US courts or media," Durov wrote.While Durov didn't detail the allegations, former Fox News host Tucker Carlson previously claimed in an episode of the "Full Send Podcast" without evidence that the NSA broke into his Signal account before his trip to Moscow to interview Russian President Vladimir Putin."But whenever somebody raises doubt about their encryption, Signal's typical response is 'we are open source so anyone can verify that everything is all right,'" Durov's post continued. "That, however, is a trick. " Notably, messaging on <a target="_blank" href="https://www.businessinsider.com/guides/tech/what-is-telegram">Telegram</a> is not end-to-end encrypted by default, as it is on Signal.Signal has also made its cryptography open-source. It is widely regarded as a remarkably secure way to communicate, trusted by Jeff Bezos and Amazon executives to <a target="_blank" href="https://www.businessinsider.com/jeff-bezos-amazon-execs-signal-messaging-app-ftc-investigation-2024-4">conduct business privately</a>.In his post, Durov cited an article written by conservative activist Christopher Rufo — known in part for his <a target="_blank" href="https://www.businessinsider.com/critical-race-theory-curriculum-transparency-christopher-rufo-conservative-school-education-2022-3">crusade against DEI initiatives</a> — that took aim at the Signal Foundation's current chairman of the board, Katherine Maher.In his article, Rufo described Maher as "a US-backed agent of regime change" and alleged she worked with the government to censor conservative viewpoints during her tenure at Wikipedia. Maher's ideology, Rufo argued, means users of Signal should be cautious of its trustworthiness, though he provided no evidence that Maher has altered any of Signal's encryption technology nor changed the organization's mission since joining the board.As Business Insider reported, the US government has been found to have used encrypted devices to <a target="_blank" href="https://www.businessinsider.com/cia-secretly-bought-encryption-company-crypto-ag-spy-countries-report-2020-2">spy on clients</a>. However, there is no evidence that Signal, a nonprofit company operating with open-source code, has ties to the US government.<h2 id="9573b870-dba6-445f-977a-c1bd693dc14f">How Musk fits in</h2>Musk championed Signal in 2021 for its user privacy protections, sending app downloads skyrocketing after urging people to "Use Signal" in a Twitter post. At the time, he was joined by other high-profile privacy advocates like Edward Snowden in his endorsement of the app.But following Rufo's article, Musk's public commentary about the app turned sharply.In response to Rufo's post, <a target="_blank" href="https://twitter.com/elonmusk/status/1787589564917490059">Musk wrote</a> cryptically, "There are known vulnerabilities with Signal that are not being addressed. Seems odd…"Musk did not elaborate on the so-called vulnerabilities, but his post prompted a response from Meredith Whittaker, <a target="_blank" href="https://www.businessinsider.com/signal-president-doubts-elon-musk-super-app-plans-for-twitter-2023-9">president of Signal</a>, who elaborated on the app's open-source code and the company's commitment to user privacy, saying the app's developers "put a lot of thought into making sure our structure and development practices let people validate our claims, instead of just taking our word for it.""We use cryptography to keep data out of the hands of everyone but those it's meant for (this includes protecting it from us)," <a target="_blank" href="https://twitter.com/mer__edith/status/1787958712595784166">Whittaker wrote</a>. "The Signal Protocol is the gold standard in the industry for a reason–it's been hammered and attacked for over a decade, and it continues to stand the test of time."She <a target="_blank" href="https://twitter.com/mer__edith/status/1787960866908106776">added</a> in another post that the point of how Signal is built and how the nonprofit company is structured is so that no one can disrupt its privacy-first mission, saying: "That's our whole deal."Musk didn't respond to Whittaker, but when Jack Dorsey re-posted the same Rufo article, he wrote in a separate post that the allegations made in Rufo's story were "<a target="_blank" href="https://twitter.com/elonmusk/status/1787908190799278360">concerning</a>."<h2 id="c01ecd7c-94b7-4851-a12b-2d88a5a07292">A 'campaign to malign Signal'</h2>"Telegram has launched a pretty intense campaign to malign Signal as insecure, with assistance from Elon Musk," Johns Hopkins cryptography professor Matthew Green <a target="_blank" href="https://twitter.com/matthew_d_green/status/1789687898863792453">wrote</a> in response to the unfolding commentary about the apps: "The goal seems to be to get activists to switch away from encrypted Signal to mostly-unencrypted Telegram."He added that promoting Telegram as more secure than Signal, as Durov has done, "is like promoting ketchup as better for your car than synthetic motor oil. Telegram isn't a <a target="_blank" href="https://www.businessinsider.com/amazon-jeff-bezos-encrypted-messaging-auto-delete-ftc-antitrust-2024-5">secure messenger</a>, full stop."Green continued that he doesn't care which messenger people use but wants people to "understand the stakes.""If you use Telegram, we experts cannot even begin to guarantee that your <a target="_blank" href="https://www.businessinsider.com/apple-whatsapp-letter-condemns-gchq-encryption-proposal-2019-5">communications are confidential</a>. In fact at this point I assume they are not, even in Secret Chats mode," Green wrote. "You should do what you want with this information. Think about confidentiality matters. Think about where Telegram operates its servers and what government jurisdictions they work in. Decide if you care about this. Just don't shoot your foot off because you're uninformed."Green, as well as Musk, Signal, and Telegram representatives, did not immediately respond to requests for comment from Business Insider.

In the battle of Telegram vs Signal, Elon Musk casts doubt on the security of the app he once championed

<ul class="summary-list"><li><keyword id="6369206" type="UNKNOWN" weightage="60" keywordseo="sms">SMS</keyword> stands for "Short Message Service" and refers to standard <keyword id="39142" type="PERSON" weightage="60" keywordseo="text-messages">text messages</keyword> on cellular devices. </li><li>SMS text messages are more simplistic than MMS texts, which support multimedia content.</li><li>When and if your phone uses SMS messages depends on your cellular carrier, as does the cost of sending one.</li></ul>Whether you know it or not, you've probably been using <a href="https://www.businessinsider.com/category/sms" target="_blank" rel="noopener">SMS</a> messages since you first got a cell phone. <h2>What SMS means</h2>SMS, or "Short Message Service," refers to standard text messages that are sent using a cellular signal instead of an internet connection, unlike <a href="https://www.businessinsider.com/category/imessage" target="_blank" rel="noopener">iMessage</a> or other web-based messaging services.SMS messages are limited to 160 characters, which is why longer SMS messages are typically broken into parts.<h2>SMS vs. MMS</h2>MMS, which stands for Multimedia Messaging Service, is an extension of SMS. When you get an MMS message, SMS is the core technology behind that message. Like SMS, MMS texts are also sent over a cellular signal. But, unlike SMS, they can include multimedia content like pictures, videos, and audio. MMS messages also don't have a formal character limit so you can send longer texts without worrying that your message will be broken up into parts.<div type="image" title="MMS message with picture" height="1399" width="1125" msid="83062332" hostid="261"></div>While both SMS and MMS use your cellular network to send and receive messages between any type of phone, <keyword id="673439" type="PERSON" weightage="60" keywordseo="iMessage">iMessage</keyword> can use either Wi-Fi or your cellular network to send and receive messages only between <a href="https://www.businessinsider.com/category/apple" target="_blank" rel="noopener">Apple</a> devices.<h2>When SMS messages are used</h2>The use of SMS messages depends on your phone carrier. For example, on an <a href="https://www.businessinsider.com/category/iphone" target="_blank" rel="noopener">iPhone</a>, you'll see the difference in the <a href="https://www.businessinsider.com/why-are-my-iphone-messages-green#:~:text=If%20your%20iPhone%20messages%20are,not%20connected%20to%20the%20internet." target="_blank" rel="noopener">color coding of messages</a>. Green bubble texts are SMS messages (used when the recipient doesn't have an <keyword id="6354606" type="COMPANY" weightage="60" keywordseo="iPhone">iPhone</keyword>), while gray or blue bubble texts are sent via iMessage. <div type="image" title="SMS green bubble text versus iMessage blue bubble text" height="2278" width="2400" msid="83062335" hostid="261"></div>For <keyword id="6355645" type="UNKNOWN" weightage="60" keywordseo="Android">Android</keyword> users, on the other hand, SMS messages are the default, unless you don't have access to a cell signal. But if you're using group-chatting apps, like <a href="https://www.businessinsider.com/what-is-whatsapp-guide" target="_blank" rel="noopener">WhatsApp</a> or <a href="https://www.businessinsider.com/what-is-telegram" target="_blank" rel="noopener">Telegram</a>, you're never going to be using SMS messages since those services are internet-based.<h2>Are SMS messages free?</h2>Whether you can send SMS messages for free depends on your cell carrier and phone plan. Although it used to be common for US carriers to charge by the number for SMS messages both sent and received, it's now more common to have an unlimited plan where all texts are included in your rate. Even so, there's still typically a charge for SMS messages if you go outside of your coverage area or country.Here are a few SMS rates for the larger companies:<ul><li><a href="https://www.t-mobile.com/cell-phone-plans" target="_blank" rel="noopener">T-Mobile</a>: All plans include unlimited <keyword id="25293" type="PERSON" weightage="60" keywordseo="texting">texting</keyword> within covered areas. Outside of those areas, the charge is $0.50 per text.</li><li><a href="https://www.businessinsider.com/reviews/out?u=https%3A%2F%2Fwww.att.com%2Fshop%2Fwireless%2Ffeatures%2Fmessaging-1000-sku5050225.html%23%3A~%3Atext%3DFor%2520full%2520details%2520on%2520Messaging%2CVideo%2520Messages%2520%25240.30%2520per%2520message" target="_blank" rel="noopener">AT&amp;T</a>: Without unlimited texting, you're charged $0.10 for each message - whether it's SMS or MMS - over your monthly limit. For pay-per-use texting, you're charged $0.20 per SMS message and $0.30 per MMS message.</li><li><a href="https://www.verizon.com/support/text-messaging-legal/" target="_blank" rel="noopener">Verizon</a>: If you don't have the unlimited plan, it's $0.20 per message sent and received in the <a href="https://www.verizon.com/coverage-map/" target="_blank" rel="noopener">Nationwide Rate and Coverage Area</a>. International text messages cost $0.25 per message sent and $0.20 per message received.</li></ul><a data-type="5d669cf32e22af107f63edb4">How to enable iMessage on your iPhone to easily send messages to iPhone, iPad, and Mac users</a><a data-type="600a00ed555a0408c6265a9d">How to enable and use Wi-Fi calling on your Android or iPhone to make calls without cellular service</a><a data-type="5ecd62683ad86133445d5ae5">What is Wi-Fi calling? Everything you need to know about making calls using Wi-Fi instead of a cellular connection</a><a data-type="608c48abadf09e6a283681dc">A guide to VoIP, the technology that lets you make voice calls over the internet</a>

What is SMS? How standard text messages are used, and how they differ from MMS texts

<div class="KonaFilter image-container display-table"><div><div class="image"></div></div></div><ul class="summary-list"><li>Apple has listed Crimea is part of Russia on its services while inside Russia.</li><li>The country illegally annexed the Ukrainian region in 2014, a move that was condemned by the United States and the international community.</li><li>Alex Stamos, Facebook's former Facebook chief, has slammed Apple's decision to display the Ukrainian region as part of Russia.</li><li>The exec called it "shameful" and said it highlighted Apple's "docile" workforce compared to other, more outspoken companies.</li><li><a href="https://www.businessinsider.com/?hprecirc-bullet">Visit Business Insider's homepage for more stories</a>.</li></ul>Apple's decision to list Ukraine's Crimean peninsula as part of Russia has been slammed as "shameful" by Facebook's former security chief, Alex Stamos.On Wednesday, <a href="https://www.bbc.com/news/technology-50573069">the BBC reported that while inside Russia, Apple's apps now show Crimea as part on the country</a>. The region is a part of Ukraine, <a href="https://www.brookings.edu/blog/order-from-chaos/2019/03/18/five-years-after-crimeas-illegal-annexation-the-issue-is-no-closer-to-resolution/">and was illegally annexed by the Russian military in 2014</a>. The United States has <a href="https://www.rferl.org/a/u-s-issues-crimea-declaration-reaffirming-rejection-of-russia-s-annexation/29390681.html">rejected Russia's claim of sovereignty over Crimea and decried its "occupation"</a> - but California-headquartered Apple has acquiesced to the Russian government's request for it to be portrayed as Russian territory in services like Apple Maps and Weather.Stamos, the chief security officer for Facebook from 2015-18 who is outspoken on security and geopolitical issues, has weighed in on Twitter to blast Apple's actions."Apple's shameful behavior in Russia and China shows: A) The benefit to management of having a docile, internally-isolated employee base. B) The downsides of shipping a physical product, which strengthens the leverage governments have over a company," he wrote.Apple was not immediately available for comment.Apple's actions highlight how multinational technology companies have become pressured by - and are increasingly acquiescing to - authoritarian governments over their products, even when the changes requested are antithetical to liberal, democratic values.Stamos added: "An emerging consensus in Silicon Valley that 'we follow the law' is an appropriate response to global calls to regulate tech, even when incompatible with corporate ideals."Ukraine's minister of foreign affairs, V<a href="https://twitter.com/vprystaiko/status/1199725757762850819">adym Prystaiko, also dinged Apple, tweeting</a>: "iPhones are great products. Seriously, though, @Apple, please, please, stick to high-tech and entertainment. Global politics is not your strong side. #CrimeaIsUkraine"The security exec also drew a comparison between Google's famously vocal and politically engaged employee base and Apple's, which has not seen the same kind of worker protests and internal organising actions that have roiled other tech companies in recent years."There is an apocryphal claim that UC Davis lacks a central square due to the experience of the Regents dealing with student unrest at Berkeley in Sproul Plaza," he wrote. "The next generation of tech leaders will learn the same lesson from the experience of Apple's vs Google's management."<h2>Here's Alex Stamos' full string of tweets:</h2>Do you work at Apple?&#xa0;Contact this reporter via encrypted messaging app Signal at +1 (650) 636-6268 using a non-work phone, email at rprice@businessinsider.com, Telegram or WeChat at robaeprice, or Twitter DM at&#xa0;<a href="https://twitter.com/robaeprice">@robaeprice</a>. (PR pitches by email only, please.)<h3>Read more:</h3><ul><li><a href="https://www.businessinsider.com/startup-hyp3r-saving-instagram-users-stories-tracking-locations-2019-8">Instagram's lax privacy practices let a trusted partner track millions of users' physical locations, secretly save their stories, and flout its rules</a></li><li><a href="https://www.businessinsider.com/mark-zuckerberg-security-chief-liam-booth-misconduct-allegations-facebook-2019-5">Mark Zuckerberg's personal security chief accused of sexual harassment and making racist remarks about Priscilla Chan by 2 former staffers</a></li><li><a href="https://www.businessinsider.com/facebook-uploaded-1-5-million-users-email-contacts-without-permission-2019-4">Facebook says it 'unintentionally uploaded' 1.5 million people's email contacts without their consent</a></li><li><a href="https://www.businessinsider.com/facebook-old-posts-mark-zuckerberg-disappeared-2019-3">Years of Mark Zuckerberg's old Facebook posts have vanished. The company says it 'mistakenly deleted' them.</a></li></ul><a href="https://www.businessinsider.com/intelligence/bi-intelligence-daily?IR=T&amp;itm_source=businessinsider&amp;itm_medium=ctgr_bii&amp;itm_term=ctgr_subscription&amp;itm_content=apple&amp;itm_campaign=bi-intelligence-daily"></a><div></div><div></div><div></div><div></div><div></div><div></div>

Facebook's ex-security boss Alex Stamos slams Apple as 'shameful' for changing its maps to suit a demand from the Russian government

<div class="KonaFilter image-container display-table"><div><div class="image on-image">AP Photo/Marcio Jose SanchezFacebook CEO Mark Zuckerberg makes the keynote address at F8, Facebook's developer conference, Tuesday, May 1, 2018, in San Jose, Calif.</div></div></div><ul class="summary-list"><li>The average time people are spending on <a href="https://www.businessinsider.com/category/facebook">Facebook</a> is continuing to decline.</li><li>That's according to a new survey from financial services firm Cowen.</li><li>But <a href="https://www.businessinsider.com/category/instagram">Instagram</a>, the Facebook-owned photo-sharing app, is growing healthily.</li><li>The data underlines the stark contrast between the scandal-rocked core Facebook social network and its buzzy sister app.</li><li><a href="https://businessinsider.com/">Visit BusinessInsider.com for more stories.</a></li></ul>Facebook and Instagram are currently following very different paths.Time spent on the core Facebook app by its 1.52 billion daily active users is steadily dwindling, continuing a years-long downwards trend - but Instagram is booming.Financial services firm Cowen recently published the latest update from its quarterly social survey, that analyses usage trends of the major social networks. It found that in the first quarter of 2019, the average daily time spent on Facebook by users in the US dropped to 49 minutes - down from 51 minutes three months ago, and substantively down from the 58-minute average of Q1 2017.Instagram, meanwhile, is creeping up slowly, to an average 34 minutes a day (up 3% year-on-year), with the biggest jumps in core young demographics.The data, based on a survey of 2,500 people, provides insight into how usage patterns on Facebook are declining amid its years of scandals - but make clear that Instagram continues to be a rich seam of opportunity for the California social networking firm to grow. Cowen analyst John Blackledge described Facebook as "the premier social <keyword id="35666" type="COMPANY" weightage="60" keywordseo="advertising">advertising</keyword> platform," and predicts 15% annual growth in company revenues until 2024. <div class="KonaFilter image-container display-table"><div><div class="image on-image">CowenData from Cowen's survey included in a recent research note.</div></div></div>Buffeted by successive crises and mounting criticism over the effects in social media,<a href="https://www.facebook.com/zuck/posts/10104413015393571"> Facebook CEO Mark Zuckerberg said in January 2018</a> that one of the company's targets for the year was to focus on "time well spent" - prioritizing "meaningful interactions" on the platform over passive consumption of content like viral video, even if it means users spent less time on Facebook overall.Some of the drop-off detected by Cowen will likely be attributable to these changes - but the data also highlights that the origins of this decline preceded the changes, and that Facebook still isn't at the bottom, more than a year later. Instagram, on the other hand, has gone from strength to strength, avoiding the degree of scandals that have faced Facebook's core app (<a href="https://www.theatlantic.com/technology/archive/2018/10/teens-face-relentless-bullying-instagram/572164/">scrutiny over bullying</a> and <a href="https://www.theguardian.com/technology/2019/feb/07/instagram-bans-graphic-self-harm-images-after-molly-russells-death">self-harm imagery</a> notwithstanding). "Instagram most notably experienced an ~4 minute per day increase compared to last year among users 25-35," wrote Blackledge. "Usage among the highest-engagement 18-24 cohort was also up ~2 minutes/day vs last year."Meanwhile, investors' mouths are watering at the potential of Instagram's big push into shopping, <a href="https://www.businessinsider.com/deutsche-bank-shopping-on-instagram-worth-10-billion-in-2021-2019-4">with analysts for Deutsche Bank recently predicting that it will generate $10 billion of revenue for the company in 2021</a>.Got a tip? Contact this reporter via encrypted messaging app Signal at +1 (650) 636-6268 using a non-work phone, email at rprice@businessinsider.com, Telegram or WeChat at robaeprice, or Twitter DM at <a href="https://twitter.com/robaeprice">@robaeprice</a>. (PR pitches by email only, please.) You can also <a href="https://www.businessinsider.com/how-to-tip-business-insider-securely-guide-signal-securedrop-2017-6">contact Business Insider securely via SecureDrop</a>.<h3>Read more:</h3><ul><li><a href="https://www.businessinsider.com/inside-facebook-physical-security-protect-mark-zuckerberg-employees-2019-2">Car-bomb fears and stolen prototypes: Inside Facebook's efforts to protect its 80,000 workers around the globe</a></li><li><a href="https://www.businessinsider.com/facebook-kills-building-8-portal-facebook-reality-labs-2018-12">Facebook quietly killed its Building 8 skunkworks unit as it reshuffles its cutting-edge experiments and hardware</a></li><li><a href="https://www.businessinsider.com/a16z-data-startup-executives-salary-equity-bonus-pay-2018-9">Leaked Andreessen Horowitz data reveals how much Silicon Valley startup execs really get paid, from CEOs to Sales VPs</a></li></ul> <div class="margin-top"> <h3>NOW WATCH: <a href="https://www.businessinsider.com/touch-screen-laptops-microsoft-google-apple-wrong-hardware-software-2019-4">14 problems that can make touch screen laptops infuriating</a></h3> <div> </div> </div>

Facebook usage is slowly dwindling - but Instagram is booming

<div class="KonaFilter image-container display-table"><div><div class="image on-image">AP Photo/Andrew HarnikFacebook CEO Mark Zuckerberg pauses while testifying before a House Energy and Commerce hearing on Capitol Hill in Washington, Wednesday, April 11, 2018.</div></div></div><ul class="summary-list"><li>The number of people using Facebook's Stories feature is steadily increasing, according to new data from Cowen.</li><li>This trend could will likely help boost the average time users spend on Facebook - a figure that has been in decline for years.</li><li>In doing so it could help rejuvenate Facebook after two years of constant scandals.</li><li><a href="https://www.businessinsider.com/prime?module=article&amp;area=summary">Click here for more BI Prime stories.</a></li></ul>Facebook's Stories product is becoming a quiet hit.People's usage of the ephemeral sharing feature, which lets you share photos and videos that disappear after 24 hours, has been steadily climbing upwards over the past year, and could help reverse a problematic trend the social network has faced in recent years: People spending less time on the platform.This week, financial services firm Cowen put out an analyst note on Facebook in advance of the California tech company's Q2 earnings on Wednesday. It includes the latest results from its regular consumer internet survey that tracks Americans' internet habits - and it shows a steady uptick for Facebook Stories over the past year.Across all demographics, usage of Facebook Stories went up in the second quarter of 2019 compared to the first three months of the year: Among 18 to 24 year-olds, it went from 40 to 44%, for example, while at the other end of the spectrum, the usage of people aged 55 to 64 years old leapt from 24 to 30%.<div class="KonaFilter image-container display-table"><div><div class="image on-image">CowenFacebook Stories usage is going up, up, up.</div></div></div>Instagram's implementation of Stories is better-established, more talked-about, and has historically generated greater excitement for advertisers. But Cowen's data illustrates that the core Facebook app is also now making strides - and as on Instagram before it, it may help to drive up the amount of time spent on Facebook over the long run.Over the past few years, <a href="https://www.businessinsider.com/facebook-time-spent-app-declining-instagram-growing-cowen-2019-4">there has been a broad decline in the amount of time spent on Facebook by its users</a>. While its overall user numbers aren't going south, the time they choose to spend on the app daily has been slowly trending downwards. The growth of Stories on Facebook could help to reverse that, Cowen analyst John Blackledge predicts, arguing Stories helped grow the time spent on Instagram over the past two years."For Core FB Stories, we saw engagement rise q/q, to 36% of US users in 2Q19 vs. 33% in 1Q19, which is encouraging and could bode well for time spent. Our survey suggests that Core FB Stories engagement increased across all age cohorts in our survey," he wrote in the analyst note."Since beginning our survey in 1Q17, [Instagram] time spent has increased by ~10%, with rising engagement with Stories likely driving overall time spent up."If borne out, this could be a boon to Facebook - helping rejuvinate its core app after two years of constant scandals, and providing users a fresh reason to visit it. And it would be a bonanza for advertisers, offering an increasingly exciting new way to target those two billion-plus people with ads.Got a tip? Contact this reporter via encrypted messaging app Signal at +1 (650) 636-6268 using a non-work phone, email at rprice@businessinsider.com, Telegram or WeChat at robaeprice, or Twitter DM at <a href="https://twitter.com/robaeprice">@robaeprice</a>. (PR pitches by email only, please.) You can also <a href="https://www.businessinsider.com/how-to-tip-business-insider-securely-guide-signal-securedrop-2017-6">contact Business Insider securely via SecureDrop</a>.<h3>Read more:</h3><ul><li><a href="https://www.businessinsider.com/mark-zuckerberg-security-chief-liam-booth-misconduct-allegations-facebook-2019-5">Mark Zuckerberg's personal security chief accused of sexual harassment and making racist remarks about Priscilla Chan by 2 former staffers</a></li><li><a href="https://www.businessinsider.com/facebook-uploaded-1-5-million-users-email-contacts-without-permission-2019-4">Facebook says it 'unintentionally uploaded' 1.5 million people's email contacts without their consent</a></li><li><a href="https://www.businessinsider.com/facebook-old-posts-mark-zuckerberg-disappeared-2019-3">Years of Mark Zuckerberg's old Facebook posts have vanished. The company says it 'mistakenly deleted' them.</a></li><li><a href="https://www.businessinsider.com/inside-facebook-physical-security-protect-mark-zuckerberg-employees-2019-2">Car-bomb fears and stolen prototypes: Inside Facebook's efforts to protect its 80,000 workers around the globe</a></li></ul>Get the latest Snap stock price<a href="http://markets.businessinsider.com/stock/SNAP-Quote"> here.</a> <div class="margin-top"> <h3>NOW WATCH: <a href="https://www.businessinsider.com/apple-failure-2013-mac-pro-trash-can-2019-7">Why Apple's Mac Pro 'trash can' was a colossal failure</a></h3> <div> </div> </div>

Facebook's Stories feature is becoming a quiet hit, and could help reverse a troubling trend for the social network

<ul class="summary-list"><li>Analysts predict that there will be a battle between <a href="https://www.businessinsider.com/category/vmware">VMware</a> and <a href="https://www.businessinsider.com/category/red-hat">Red Hat</a> as they race to help customers use <a href="https://www.businessinsider.com/category/kubernetes">Kubernetes</a>, a popular open source cloud project started at <a href="https://www.businessinsider.com/category/google">Google</a>.</li><li>VMware has been expanding its portfolio of Kubernetes products by making acquisitions such as <a href="https://www.businessinsider.com/category/pivotal">Pivotal</a> and <a href="https://www.businessinsider.com/category/heptio">Heptio</a>.</li><li>Red Hat has a head start in using Kubernetes, although its acquisition by <a href="https://www.businessinsider.com/category/ibm">IBM</a> raises some questions for analysts.</li><li><a href="https://www.businessinsider.com/prime">Click here to read more BI Prime stories.</a></li></ul>There's a battle brewing between VMware and IBM, and a hot cloud technology started by Google is at the center of it. Both <a href="https://www.businessinsider.com/vmware-acquires-pivotal-carbon-black-developers-analysts-2019-8">VMware</a> and <a href="https://www.businessinsider.com/amazon-web-services-ceo-andy-jassy-ibm-oracle-aws-reinvent-2019-12">IBM</a> are betting on <a href="https://www.businessinsider.com/what-is-kubernetes-google-cloud-2019-1">Kubernetes</a>, which helps companies easily manage a technology called 'containers" so they can run applications anywhere from local machines to any cloud. Already, it's used by 54% of the Fortune 500 and companies like Spotify, Lyft, eBay, and even "Pokémon Go" developer Niantic.<a href="https://www.businessinsider.com/google-aparna-sinha-kubernetes-interview-2019-3">Kubernetes</a>, which is just over <a href="https://www.businessinsider.com/kubernetes-5th-anniversary-google-kubecon-2019-6">five years old</a>, is "taking off like wildfire," giving opportunities for companies like <a href="https://www.businessinsider.com/vmware-carbon-black-acquisition-sanjay-poonen-cybersecurity-2019-10">VMware</a> and IBM to help customers transition to using it, says Jason Ader, equity research analyst at William Blair. While Kubernetes, like other open-source software projects, is free for anyone to use, customers often go to vendors to help them set it up and manage it.<a href="https://www.businessinsider.com/sanjay-poonen-vmware-linux-microsoft-2019-9">VMware</a> is growing its portfolio of Kubernetes products. On top of that, it has <a href="https://www.businessinsider.com/vmware-heptio-google-kubernetes-2018-11">acquired Heptio</a> and has plans to <a href="https://www.businessinsider.com/pivotal-layoffs-vmware-open-letter-dell-2019-11">acquire its sister company Pivotal</a> - companies that both center Kubernetes in their strategy.Meanwhile, earlier this year, IBM closed its <a href="https://www.businessinsider.com/ibm-red-hat-open-source-upset-2018-10">$34 billion acquisition</a> of <a href="https://www.businessinsider.com/how-tech-companies-like-atlassian-microsoft-do-developer-interviews-2019-5">Red Hat</a>."It's definitely not a zero-sum game," Ader told Business Insider. "I think both companies will be successful in helping enterprise customers move towards containers and Kubernetes."<h2>Red Hat vs. VMware</h2>Ader says <a href="https://www.businessinsider.com/red-hat-employees-get-tattoos-of-new-logo-ahead-of-acquisition-by-ibm-2019-4">Red Hat</a> has long been a trailblazer for Kubernetes, with its product called OpenShift. In fact, he says he believes that IBM acquired <a href="https://www.businessinsider.com/fedora-a-red-hat-sponsored-project-rejects-mongodb-because-of-sspl-2019-1">Red Hat</a> for this product. "It's a one-stop shop for Kubernetes and containers, and it's designed to help enterprise customers adopt this open source technology, but in typical Red Hat fashion, they really view themselves as someone who can productize and commercialize an open source product," Ader said. "Red Hat has been at the forefront of the whole Kubernetes movement."VMware got into the Kubernetes game a bit later, but this past year, it made a series of acquisitions to bolster its arsenal. Last year, it <a href="https://www.businessinsider.com/vmware-heptio-acquisition-vmworld-kubernetes-2019-8">acquired Heptio</a> - co-founded by two of the original creators of Kubernetes - and now, it's preparing to acquire Pivotal, which will round out VMware's Kubernetes portfolio with its developer-focused software. Previously, VMware COO Sanjay Poonen <a href="https://www.businessinsider.com/vmware-kubernetes-pivotal-heptio-sanjay-poonen-2019-9">told Business Insider</a> that the company, along with Pivotal and Heptio, plans to "create the largest force working on Kubernetes.""They're aggressively going after this new space where they have a few products in that particular space," Lauren Nelson, vice president and research director at Forrester, told Business Insider. "VMware wasn't targeting developers, but now that they're acquiring Pivotal, VMware has been successful at that."Ader says VMware sees itself as a vendor that can help customers navigate through the changes that Kubernetes brings, and it's introducing an entire portfolio of products that make it easier for customers to use it. This will be VMware's next major growth catalyst, he says."They really view themselves as a natural choice and a logical choice for customers as they shift to this new application infrastructure," Ader said. "I think VMware has clearly shown they are very serious about trying to establish a leadership position there."These acquisitions gives VMware a chance to catch up to Red Hat, which had a head start, Ader says. VMware has the advantage of a larger salesforce selling to its longtime enterprise customers. "From an overall product portfolio and size and channel, there's a lot of muscle behind VMware," Ader said.<h2>A 'relatively friendly battle' is underway</h2>One disadvantage VMware may have, Ader says, is that customers may be skeptical because VMware has long focused on selling its virtualization products, which is seen as the old-school technology that the newer Kubernetes/containers replace."The technology is new and there's a learning curve for vendors and for customers," Ader said. "They made some really smart acquisitions that's given them credibility."As for Red Hat, Ader doesn't see major disadvantages. Red Hat already has a large customer base running OpenShift, which gives the company credibility. However, there are questions now that Red Hat is owned by IBM."Red Hat is still independent," he says but its customers may worry that "IBM could potentially muck it up."Both Ader and Nelson say that they don't see one company winning over another. Instead, both will have plenty of opportunities to win over customers.Nelson also says she expects to see more companies with Kubernetes offerings, like VMware and IBM, working together and competing at the same time."It's a relatively friendly battle that is underway," Nelson said. "They're not the only players in town but for folks doing a migrate-and-modernize journey, they are the two most popular approaches to take there. That represents a large revenue opportunity. We expect a lot of investments from each of them."Got a tip? Contact this reporter via email at <a href="mailto:rmchan@businessinsider.com">rmchan@businessinsider.com</a>, Signal at 646.376.6106, Telegram at @rosaliechan, or Twitter DM at <a href="https://twitter.com/rosaliechan17">@rosaliechan17</a>. (PR pitches by email only, please.) Other types of secure messaging available upon request. Get the latest IBM stock price<a href="http://markets.businessinsider.com/stock/ibm-Quote"> here.</a>

Red-hot software project Kubernetes started at Google, but analysts say that a battle between IBM and VMware will be key to its future

<div class="KonaFilter image-container display-table"><div><div class="image on-image">REUTERS/Francois LenoirFacebook's CEO Mark Zuckerberg arrives at the European Parliament to answer questions in Brussels, Belgium on May 22, 2018.</div></div></div><ul class="summary-list"><li><a href="https://www.businessinsider.com/category/facebook">Facebook</a> is changing employee bonuses to focus on tackling social issues.</li><li>It's a big change, designed to change employees' incentives as the company struggles to move past two years of scandals.</li><li>Business Insider spoke to sources who were cautiously positive about the change. </li><li>It has the potential to produce good results - but will be hard to measure and could have dangerous unintended consequences.</li></ul>As <a href="https://www.businessinsider.com/category/facebook">Facebook</a> struggles to move past its two years of scandals, it's putting its employees' money on the line.On Tuesday, the Silicon Valley tech giant told employees that it's changing how it calculates bonuses to focus on fixing the biggest issues bedeviling the company - and some people close to Facebook are cautiously optimistic.Business Insider spoke to three former employees about the news, and all were at least somewhat positive about the change, arguing that it seems likely to incentivize real work on fixing Facebook's problems, but that it might also have unintended consequences. (All asked for anonymity to speak candidly about their former employer.)Historically, Facebook's twice-yearly bonuses for employees centered around achieving company objectives like growing the userbase, increasing sharing and engagement, boosting revenue, and improving quality. Now, they'll focus on four goals CEO Mark Zuckerberg set for the company in 2019, around tackling social issues, building new experiences, supporting businesses, and communicating transparently.In a statement announcing the news, Facebook spokesperson Vanessa Chan told Business Insider: "Over the past two years, we've fundamentally changed how we run Facebook. This particular change is designed to ensure that we are incentivizing people to keep making progress on the major social issues facing the internet and our company."The change to bonuses comes as Facebook has been hit by intense criticism for its role in spreading misinformation online, for violating user privacy and for creating products that encourage excessive screen time at the expense of healthy lifestyles. Facebook's bonuses have historically played a large part at Facebook in incentivising employees, sources told Business Insider, so the change could help shift the workforce's focus - but they warned that measuring "social impact" will prove incredibly difficult to measure quantifiably."This will definitely change things. Most teams at Facebook make decisions based on running tests and measuring how it affects metrics," one source said. "If you take that away, it changes everything."But, they cautioned, the difficulty in measuring impact could have negative knock-on effects on company culture. "I suspect this will be a feeding ground for <keyword id="6358883" type="UNKNOWN" weightage="60" keywordseo="politics">politics</keyword> and infighting unless it comes with some sort of additional empirical rubric. If it's just he said vs she said that's a very different conversation and more of a political skill."They added: "I see how this move makes sense for shareholders, but definitely also see how it creates a lot of turmoil for employees, and especially those who've come up in Facebooks metrics-focused system."Another called it "a start."<h2>"There are a ton of good people still working there"</h2>"It will be super subjective, but that's how any performance review process works," the person said. "The most encouraging part of the story to me is that Shrep [as Facebook CTO Mike Schroepfer is known internally] is the one speaking about it. I've only ever known him to be a good person who cares about solving problems. There are a ton of good people still working there. They are the ones who can bring Facebook on the right side of this."<div class="KonaFilter image-container display-table"><div><div class="image on-image">FacebookMike Schroepfer</div></div></div>They added: "People were always quite motivated by their performance rating and the corresponding bonus. If this kind of impact truly makes its way into the review process, it can make a difference."A third said they supported the move - but expressed concerns that impact would be hard to measure, and suggested other changes at the company might be more impactful. "Glad to see they are making some changes," they said. "However it sounds more vague than ever. And not sure how they will evaluate something so subjective."Instead, they suggested, Facebook should try to alter its internal culture. The company can be hostile to internal dissent and criticism, something that needs to change to tackle issues in future, they said."What I think they need is, internally, they need to have even harder conservation that has opposing views," the person said. "Don't just have hard conversations around what you agree with."It's also not immediately obvious if the changes will have any unintended effects. Radical changes in employee incentive structures can produce bizarre results: When HP tried to encourage innovation in the early 2000s by financially incentivising the workforce to come up with new ideas, <a href="https://www.businessinsider.com/hp-invention-program-under-carly-fiorina-2015-10">employees sat around for months on end inventing curios like soy-sauce-dispensing chopsticks</a>.In other words, the second-order consequences of Facebook's new bonus structure may not be fully clear for months - or even years - to come.Do you work at Facebook? Contact this reporter via Signal or WhatsApp at +1 (650) 636-6268 using a non-work phone, email at rprice@businessinsider.com, Telegram or WeChat at robaeprice, or Twitter DM at <a href="https://twitter.com/robaeprice">@robaeprice</a>. (PR pitches by email only, please.) You can also <a href="https://www.businessinsider.com/how-to-tip-business-insider-securely-guide-signal-securedrop-2017-6">contact Business Insider securely via SecureDrop</a>.<a href="https://www.businessinsider.com/intelligence/stories-slide-deck?IR=T&amp;utm_source=businessinsider&amp;utm_medium=ctgr&amp;utm_term=ctgr_leadgen&amp;utm_content=dmedia_ctgr_leadgen&amp;utm_campaign=dmedia_ctgr_leadgen_stories_deck"></a> <div class="margin-top"> <h3>NOW WATCH: <a href="https://www.businessinsider.com/why-your-phone-smartphone-stops-working-when-its-cold-2016-10">The science behind why your phone shuts down when it's cold outside</a></h3> <div> </div> </div>

'It changes everything': Facebook insiders are cautiously optimistic about changes to employee bonuses

<ul class="summary-list"><li>Electricity and labor headwinds slow Amazon's data center buildout.</li><li>The company's predicament highlights challenges faced by the broader cloud industry.</li></ul><a target="_blank" class="" href="https://www.businessinsider.com/amazon-big-tech-cash-king-wall-street-wants-a-piece-2024-10">Amazon</a> is spending heavily on <a target="_blank" class="" href="https://www.businessinsider.com/ai-data-energy-centers-water-energy-land-2023-10">data centers</a> to support booming <a target="_blank" class="" href="https://www.businessinsider.com/amazon-ai-sales-machine-aws-google-microsoft-pressure-pay-speed-2024-9">AI</a> workloads, putting it on pace to build 240 new facilities by 2040, according to one estimate.These plans are increasingly running into physical constraints that are slowing the buildout, according to an internal document, people familiar with the matter, and emails obtained through a public-records request."Across the AMER region, we are experiencing headwinds in power, zoning and permitting, water, and workforce/labor that are providing challenges to our long-term capacity growth," the internal document stated, referring to the Americas market, Amazon's largest.As the biggest cloud provider, Amazon's predicament highlights broader <a target="_blank" href="https://www.businessinsider.com/ai-data-energy-centers-water-energy-land-2023-10">problems</a> facing the tech industry as generative <a target="_blank" class="" href="https://www.businessinsider.com/amazon-ai-sales-machine-aws-google-microsoft-pressure-pay-speed-2024-9">AI</a> upends the status quo. While more companies want access to cloud computing for AI initiatives, there's only so much power, water, and labor available to support these services.It's not just an Amazon problem. Sequoia Capital general partner David Cahn recently predicted data center delays across the sector."The need for more power and a better functioning grid was clear before AI," he wrote in a blog post. "Now, it is becoming urgent."<h2 id="4e19455f-0a20-458d-a775-e305cc9aed23">Energy demand is growing</h2>It may be natural for a company like Amazon, one of the largest and fastest-growing data center operators, to face these challenges when it is expanding at breakneck speed.Marc Wulfraat, president of consulting firm MWPVL, told BI that Amazon is probably rolling out even more than 240 data centers in coming years. That's because the cloud giant also leases space in buildings shared with other companies. Collectively, this building spree amounts to almost 75 million gross square feet of space, according to his estimates. That's the equivalent of roughly 27 Empire State Buildings.In an email to BI, Amazon's spokesperson said customers' energy demand "continues to grow," and the company is continuously working on ways to "efficiently build and operate data centers" to meet their needs."Nobody knows better than we do that building data centers is exceptionally complex, and by embracing that challenge, we've become really good at it over the years," the spokesperson added. "We're confident we can continue to build at a rapid pace to provide the cloud capacity our customers will need."<h2 id="3ffef594-735b-4945-a7b0-176832400209">Doubts about electricity supply</h2>Power might be the most scarce resource. US data center electricity consumption is forecast to triple by 2030, according to <a target="_blank" rel=" nofollow" href="https://www.linkedin.com/posts/bcg-on-energy_the-impact-of-genai-in-electricity-activity-7112787574032674816-uDEX/">Boston Consulting Group</a>, much of it to power generative AI. Bernstein Research recently <a target="_blank" href="https://www.businessinsider.com/ai-data-centers-us-power-grid-gpu-nvidia-cerebras-amazon-2024-7">estimated</a> that electricity demand for AI data centers could exceed supply in just two years without action.At Amazon, electricity shortages have been a major concern and a topic of almost every leadership meeting in recent years, according to the people familiar with the matter.Amazon is experiencing power-supply issues in Oregon, Ohio, and Northern Virginia, according to the internal document from May. For example, it noted that PacifiCorp, Amazon's Portland-based utility partner, has electricity shortfalls and generation constraints forecasted until 2030.This is leaving Amazon with unpredictable energy supply in some markets and a possible loss of "bridging" solutions that help maintain power during the early stages of construction."With the utility power headwind, we are seeing continued risk driven by transmission constraints as well as unexpected changes to committed/available generation, gaps in promised vs delivered incremental power, and potential loss of bridging power as utility infrastructure projects are delayed," the document explained.<h2 id="e085ef5b-5190-4456-935c-6cab05b23795">'Zombie' data centers</h2>In some markets, so-called "zombie" data centers exist. That's a term used by some Amazon employees who spoke with Business Insider about the electricity-supply problems.These facilities are also described internally as "operationally blocked" because the data centers can sometimes sit idle as they don't have access to enough power to run them, according to the people familiar with the matter.Amazon's spokesperson told BI the company is not familiar with these terms, but said there are a "very small number of cases" where the company decides to complete data center construction before building power is available. "These situations are all managed as part of the standard course of business," the spokesperson added.<div type="image" title="AWS CEO Matt Garman" height="4320" width="6751" msid="114502575" hostid="261" sizebytes="742626"></div>Amazon Web Services CEO Matt Garman recently spoke publicly about challenges related to AI data center buildouts, including accessing enough GPUs and power.During a podcast interview in August, he said customer demand is "mind boggling," which is requiring "a lot of investment.""We're probably going to be tight for the next little bit of time," Garman added.<h2 id="d47a3f17-b6c1-4c0c-91d9-5918b3a4761f">'Mosquitoes to light'</h2>The company is on the hunt for more energy. It's conducting "power studies" with utility partners to evaluate additional transmission capacity, which could result in more power allocation, according to the internal document.The company is also working on ways to reclaim stranded and retired power, the document said, likely in reference to the practice of redeveloping old power plants that have become inactive for economic or sustainability reasons.Amazon has been more actively seeking partnership opportunities with third-party colocation data center providers, one of the people said. At these facilities, Amazon would simply lease space, transferring the need to secure power to the data centers' owners.Additionally, Amazon has started looking beyond well-established data center markets, such as Northern Virginia and Arizona, and is expanding into newer regions like Indiana. Crowded data center regions are running out of power and other resources, making newer locations <a target="_blank" class="" href="https://www.businessinsider.com/ai-data-centers-energy-cloud-microsoft-chatpgt-amazon-google-2023-7">more appealing</a>.The company is also more aggressively pursuing alternative energy sources. Last week, Amazon <a target="_blank" href="https://www.businessinsider.com/amazon-invests-in-nuclear-for-aws-following-google-and-microsoft-2024-10">unveiled</a> a plan to lead a $500 million funding round to develop small modular nuclear reactors, following an earlier announcement to purchase a nuclear power plant in rural Pennsylvania."It's almost like mosquitoes to light — we are attracted to power," one of the people familiar told BI.Amazon's spokesperson said the company's data center expansion strategy considers several factors, including system resiliency and latency, the availability of renewable energy, and the local government's long-term commitment. Amazon is also constantly seeking ways to make its data centers more energy efficient by using carbon-free resources, in-house processors, and natural air cooling systems, the spokesperson said.<h2 id="82c2fbef-48d1-4af8-8635-cf74ee12697d">Higher costs in Silicon Valley</h2>In some cases, Amazon is paying higher prices to get its new data centers up and running.One example is an Amazon facility in Santa Clara, California, in the heart of Silicon Valley. For the last 2 years, Amazon has held talks with the city of Santa Clara to secure power for a new data center located near Levi's Stadium, the home of the San Francisco 49ers, according to a <a target="_blank" href="https://santaclara.granicus.com/player/clip/2140?view_id=1&amp;meta_id=190407&amp;redirect=true">city council meeting</a> held in July.Amazon is in talks for a 15-year, 20-megawatt proposal for this facility under the condition that the company pays the full cost of the energy, whether it uses the power or not, Manuel Pineda, the chief electric utility officer of the City of Santa Clara, said during the meeting. Amazon will have to pay up to 50% higher rates than normal and will be entitled to additional "financial assurances" to cover any contractual risks, Pineda added.As part of the deal, Amazon also plans to use the 20-megawatt power agreement for a second building on-site, which currently has no electric capacity, according to Pineda.Amazon's spokesperson told BI that this arrangement has not been finalized, and the project is progressing as expected.<div type="image" title="AWS Santa Clara data center planning slide" height="586" width="1056" msid="114502585" hostid="261" sizebytes="101810"></div><h2 id="5e7acce5-2a9c-4e0c-873a-74b683e1b0a3">Amazon escalates Santa Clara delays</h2>Amazon appears to be dealing with further delays in Santa Clara. On August 28, an AWS employee wrote to a city official about another facility, a former Owens Corning factory the company purchased in 2023. The email discussed delays at the site and noted that the problems are raising concerns internally at Amazon."Delays as significant as this unfortunately impact our ability to serve our customers which has resulted in escalation," said the email, which was obtained by BI through a public-records request.The next day, another Amazon employee wrote to a Santa Clara city official. "This is time sensitive," the staffer said. "AWS executives are highly concerned about the constant push in the results."<h2 id="a5ae3cc3-4484-42c7-a232-b1135b2bd3e0">'Straining' water infrastructure</h2>Another problem is water supply. A growing number of data centers rely on water instead of air to cool the servers and other equipment inside the facilities. This liquid-cooling technology <a target="_blank" href="https://www.businessinsider.com/arizona-running-out-of-water-data-centers-blame-microsoft-google-2023-6">requires a lot of water</a>.Amazon is "straining local jurisdictions' existing infrastructure" for water in some regions and is "dependent on long-term infrastructure upgrades or building our own solutions" to mitigate the issue, the internal document stated.There are zoning and permitting problems, too. Some local jurisdictions are not supporting the re-zoning of industrial property for data center use and have stricter environmental regulations, the document explained. Amazon is "working proactively" with local municipalities to solve these challenges, as they can impact its "future capacity options," the document added.Amazon is "one of the world's most water efficient operators" and its data centers are much more water efficient than the industry average, the company's spokesperson told BI.<h2 id="74b62895-25bd-411f-8890-035613989c55">'Lack of available skilled labor'</h2>An even bigger problem may be a lack of skilled electricians to build and run these data centers, according to the internal document and people directly involved in these Amazon projects.Electrical work is a major part of data center construction. But Amazon has struggled to find enough people to do the jobs, especially in rural areas, these people said. Amazon has talked to local colleges, general contractors, and labor unions in certain markets to increase the supply of electricians, one of the people said.<div type="image" title="amazon data center oregon" height="3072" width="4608" msid="114502582" hostid="261" sizebytes="883326"></div>A <a target="_blank" href="https://www.cnbc.com/2024/07/27/americas-demand-skilled-electricians-boom.html">shortage of skilled electricians</a> is a growing industry problem. According to last year's <a target="_blank" href="https://datacenter.uptimeinstitute.com/rs/711-RIA-145/images/2023StaffingSurvey.Report.12152023.pdf">Uptime Institute Data Center Staffing Survey</a>, more than half of respondents said they struggled to fill open positions due to demand outstripping supply."For workforce/labor, we are seeing a lack of available skilled labor," Amazon's internal document stated. "Which requires us to prioritize where we allocate these resources, and we are becoming increasingly reliant on more expensive travelling [primarily] electricians."Amazon's spokesperson shared <a target="_blank" href="https://www.aboutamazon.com/news/workplace/our-upskilling-2025-programs">blog posts</a> detailing its <a target="_blank" href="https://aws.amazon.com/government-education/workforce-development/aws-fiber-optic-fusion-splicing/">training programs</a> in this space, adding, "AWS has established a number of workforce development programs and collaborations with education institutions to help ensure a strong pipeline of talent."Do you work at Amazon? Got a tip?Contact the reporter, Eugene Kim, via the encrypted-messaging apps Signal or Telegram (<a target="_blank" rel="noopener noreferrer nofollow" class="c-link">+1-650-942-3061</a>) or email (<a target="_blank" href="mailto:ekim@businessinsider.com">ekim@businessinsider.com</a>). Reach out using a nonwork device. Check out Business Insider's <a target="_blank" rel="" href="https://www.businessinsider.com/insider-guide-to-securely-sharing-whistleblower-information-about-powerful-institutions-2021-10">source guide</a> for other tips on sharing information securely.

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