Uber was the most valuable private company in history, but the public market has not been as enthusiastic. The reason explains a lot about how the tech industry works.
But some of it should go to Silicon Valley’s cultural divergence from the business reality. Investors loved the company not as an operating unit, but as an idea about how the world should be. Uber’s CEO was brash and would do whatever it took. His company’s attitude toward the government was dismissive and defiant. And its model of how society should work, especially how labor supply should meet consumer demand, valorized the individual, as if Milton Friedman’s dreams coalesced into a company. “It’s almost the perfect tech company, insofar as it allocates resources in the physical world and corrects some real inefficiencies,” the Uber investor Naval Ravikant told San Francisco magazine in 2014.
Is the world ready for the Great Schism?
The events of the past year brought American and Israeli Jews ever closer to a breaking point. President Trump, beloved in Israel and decidedly unloved by a majority of American Jews, moved the United States Embassy from Tel Aviv to Jerusalem in May, with the fiery evangelical pastors John Hagee and Robert Jeffress consecrating the ceremony.
In October, after the murder of 11 Jews at the Tree of Life synagogue in Pittsburgh, President Trump went to that city to pay his respects. Members of the Jewish community there, in near silent mourning, came out to protest Mr. Trump’s arrival, declaring that he was not welcome until he gave a national address to renounce the rise of white nationalism and its attendant bigotry.
The only public official to greet the president at the Tree of Life was Israel’s ambassador to the United States, Ron Dermer.
At a Hanukkah celebration at the White House last month, the president raised eyebrows and age-old insinuations of dual loyalties when he told American Jews at the gathering that his vice president had great affection for “your country,” Israel.
Yossi Klein Halevi, the American-born Israeli author, has framed this moment starkly: Israeli Jews believe deeply that President Trump recognizes their existential threats. In scuttling the Obama-era Iran nuclear deal, which many Israelis saw as imperiling their security, in moving the American Embassy from Tel Aviv to Jerusalem, in basically doing whatever the government of Benjamin Netanyahu asks, they see a president of the United States acting to save their lives.
American Jews, in contrast, see President Trump as their existential threat, a leader who they believe has stoked nationalist bigotry, stirred anti-Semitism and, time and time again, failed to renounce the violent hatred swirling around his political movement. The F.B.I. reports that hate crimes in the United States jumped 17 percent in 2017, with a 37 percent spike in crimes against Jews and Jewish institutions.
When neither side sees the other as caring for its basic well-being, “that is a gulf that cannot be bridged,” Michael Siegel, the head rabbi at Chicago’s conservative Anshe Emet Synagogue, told me recently. He is an ardent Zionist.
To be sure, a vocal minority of Jews in Israel remain queasy about the American president, just as a vocal minority of Jews in the United States strongly support him. But more than 75 percent of American Jews voted for the Democrats in the midterm elections; 69 percent of Israelis have a positive view of the United States under Mr. Trump, up from 49 percent in 2015, according to the Pew Research Center. Israel is one of the few developed countries where opinion about the United States has improved since Mr. Trump took office.
Part of the distance between Jews in the United States and Israeli Jews may come from the stance that Israel’s leader is taking on the world stage. Mr. Netanyahu has
- embraced the increasingly authoritarian Hungarian leader Victor Orban, who ran a blatantly anti-Semitic re-election campaign. He has
- aligned himself with ultranationalists like Rodrigo Duterte in the Philippines,
- Jair Bolsonaro in Brazil and a
- Polish government that passed a law making it a crime to suggest the Poles had any responsibility for the Holocaust. The Israeli prime minister was one of the very few world leaders who reportedly
- ran interference for the Trump administration after the murder of the Saudi journalist Jamal Khashoggi and urged President Trump to maintain his alliance with the Saudi crown prince, Mohammed bin Salman. Mr. Netanyahu’s
- son Yair was temporarily kicked off Facebook for writing that he would “prefer” that “all the Muslims leave the land of Israel.” Last month,
- with multiple corruption investigations closing in on him and his conservative coalition fracturing, Mr. Netanyahu called for a snap election in April, hoping to fortify his political standing. If past is prologue, his election campaign will again challenge American Jewry’s values. As his 2015 campaign came to a close, Mr. Netanyahu
- darkly warned his supporters that “the right-wing government is in danger — Arab voters are heading to the polling stations in droves,” adding with a Trumpian flourish that left-wing organizations “are bringing them in buses.”
Doug Heller, the executive director of Consumer Watchdog, said Trump is the “most egregious, almost comical example” of the disparity between what the average American faces when going through bankruptcy and the “ease with which the very rich can move in and out of bankruptcy.”
.. “Under the American bankruptcy laws, if you end up in bankruptcy because you’re struggling with divorce or medical payments or a sudden change of income, it’s a disaster. If you fail miserably with huge dollars involved then you just need some accountants to rework your books,” Heller said.
.. “There’s that old saying, ‘If you owe your banks a little, you’re at their mercy. If you owe the banks a lot, the banks are at your mercy. They saw the best way for him to repay the money was to keep the Donald afloat.”
.. Donald struck a deal with the banks to hand over half his ownership, and half of the equity, in the casino in exchange for a lower interest rate and more time to pay off his debt. He sold off his beloved Trump Princess yacht and the Trump Shuttle airplane to make his payments, and his creditors put him on a budget, putting a cap on his personal spending.
.. He also had the humiliation of having some bankers deciding how much money he could spend — the numbers are just astonishing — the amount of his monthly budget,” LoPucki said.
.. banks would often agree to lose millions in reorganizations like Trump’s to prevent the massive losses they would incur if they foreclosed on the property.
“Banks will take considerable haircuts,” Pottow said. “It’s sort of like you have a sick patient so you cut off a couple toes to stop the gangrene. Now he’s missing a few toes, but he’s still alive.”
.. “Here’s a guy who’s failed so miserably so many times and it’s not as though he had to claw his way back after seven years in credit hell. He just said. ‘OK, this isn’t my problem anymore.’ For him, it’s just been a platform to the next money-making scheme,”
.. In 2004 Trump Hotels and Casino Resorts Inc. filed for voluntary bankruptcy after accumulating $1.8 billion in debt.
.. “In 2004 is where he lost control of his name. One rule when you have a name like Trump is you never let anyone own it and control it. He got into such a bad spot here that he ended up with others owning and controlling his name. They can do what they want once they own it,” LoPucki said.
.. Shortly after the proceedings, Trump told CNN’s Geri Willis that his personal fortune would not be affected. “This is a very small portion of my net worth. It’s less than 2 percent,” he said.
.. in 2008, so too did Trump’s real estate holdings. Trump Entertainment and his affiliated companies had $2.06 billion in assets and was $1.74 billion in debt.
.. LoPucki said it was very unusual for anyone to have that many large businesses go through bankruptcy. Most of the debt Trump incurred was through bonds that were sold to the public.
“People knew who Donald Trump was and for that reason were willing to trust the bonds, and they got burned,” LoPucki said. “The people who invested with him or based on his name lost money, but he himself came out pretty well.“
“Excuse me, when you look at Stormy Daniels,” Rudolph Giuliani, .. before interrupting himself to make a face. And what a face: Giuliani’s expression was, perhaps, meant to be one of knowing revulsion at Daniels, but the lopsided chaos of his features conveyed a moral contortion all his own. He had been explaining that Melania Trump believed in her husband implicitly, and so should everyone else, because he was Trump
.. Giuliani added, “I know Donald Trump. Look at his three wives, right?” It wasn’t clear if, with that questioning note, he was looking for a confirmation of the exact number of Trump’s wives. “Beautiful women, classy women, women of great substance. Stormy Daniels?” He paused to make another face
.. “But I’m sorry, I don’t respect a porn star the way I respect a career woman, or a woman of substance, or a woman who has great respect for herself as a woman, and as a person. And isn’t going to sell her body for sexual exploitation. So, Stormy, you want to bring a case? Let me cross-examine you.”
.. It is more of an honest living than some New York real-estate developers make.
.. she has also made it clear that she knew that she was taking a risk by opening herself up to this kind of attack
.. (Clifford has said that one of the new expenses she has taken on, in addition to her legal fees, is for security.)
.. Giuliani jumped in, seemingly intent on playacting the role of a beat cop from a past century, who, in dealing with the woman who comes to tell him her story, looks at what she is wearing, smirks, and turns away—or, as Giuliani suggested in his “cross-examine” remark, the role of the lawyer who has no better tactic than to try to humiliate a witness, labelling her a loose woman.
.. That is a form of sexual exploitation far more corrosive than any film that Clifford has ever made.
.. Giuliani’s comments went beyond whether Clifford could be believed to whether she could even be hurt. “Explain to me how she could be damaged,” he said. “She has no reputation. If you’re going to sell your body for money, you just don’t have a reputation.” But Clifford does not say that Trump, against whom she has filed a defamation suit (in the Southern District of New York, Giuliani’s old territory), damaged her by calling her an adult-film star. She says that he damaged her by saying, on Twitter, that her account of being threatened not to talk about their sexual encounter was “a total con job”—and that she, by implication, was a total con woman
.. when NBC asked Giuliani whether he regretted his remarks, he said that he did not, dressing up his denial with a vague reference to feminism and daughters. He also said, “I don’t have to undermine her credibility. She’s done it by lying.”
.. Giuliani, perhaps more than any of Trump’s other lawyers, has made Cohen sound like Trump’s bag man, with slush-fund-management responsibilities.
.. he corruption case against Benjamin Netanyahu, Israel’s Prime Minister, was a “joke”
.. Mueller’s team was trying to “frame” Trump.
.. while the President could be impeached, “in no case” could he be indicted or subpoenaed, not even “if he shot James Comey.” There is regular speculation about when Trump might fire Giuliani. But it may be that Giuliani is the President’s lawyer because he is the kind of lawyer Trump likes.
.. Giuliani’s remarks about Clifford are more than repugnant; they are revealing. They convey a political philosophy that he and the President share
.. those who are vulnerable are meant to be wounded, and have no right to ask for respect, let alone protection. It is a bully’s declaration of open season on the weak.
.. But Stephanie Clifford is not as defenseless as Giuliani or Trump might think. She has presented a credible and strikingly strong legal case. Maybe Giuliani should be listening to her.