Business

In the age of the internet, we’ve seen the importance of protecting the privacy of regular citizens online. Big Tech companies have proven they’re willing to take advantage of lax legislation. Facebook has faced lawsuits for collecting biometric data without permission^[1], Google uses so-called Dark Patterns to make opting out of data collection nearly impossible^[2], and Amazon’s Echo is essentially a privacy leak right in the middle of our homes^[3]. In light of this privacy faux pas, we would like to take some time to audit the current privacy landscape. 

Gaps in Privacy Law

Since May of 2018 when the European Union created the General Data Protection Regulation (GDPR), private citizens around the world have had their eyes opened to the potential that privacy laws have to protect them. The United States has been slowly but surely piecing together similar privacy protections from the Virginia Consumer Data Protection Act^[5] to the California Privacy Rights Act of 2020^[6]. Unfortunately, these have been coming from individual states, creating a digital protection patchwork quilt. The internet, however, doesn’t respect the borders of the 50 states. The patchy approach of United States legislation is insufficient to protect private citizens on the internet.

Congress should be looking to recreate what California has done with the California Consumer Protection Act (CCPA) on a federal level. This bill passed in 2018 intended to pass along several digital privacy rights to California citizens, including the right to discover what data these businesses have collected.

The CCPA requires businesses subject to its jurisdiction to give customers the ability to say no to the sale of their data. You may have noticed a “do not sell my personal information” link on more websites in recent memory. You have the CCPA to thank for that. 

The act in California and the GDPR has been an essential foundation when discussing the future of privacy online. Yet, the United States hasn’t seen a similar provision passed on the federal level, such as when they voted no on a bill that would have allowed the FCC to institute more stringent privacy protections ^[6]. If we dig a little deeper into this glaring Congressional oversight, perhaps the root cause of this federal reluctance is money. According to the Information Technology & Innovation Foundation, federalizing a bill like the California Consumer Protection Act would carve $122 billion out of the US GDP every year^[7]. 

These costs come in the form of compliance costs to businesses that handle or sell private data. When bills that affect private data go into effect, businesses need to hire on customer data stewards and they become subject to time-consuming privacy audits. These additional hires and audits require redirected capital to maintain secure storage solutions and dedicated labor forces for resources to fulfilling customer data requests.

Big Tech’s Loopholes

Big Tech companies like Apple, Google, and Microsoft, or smaller companies like Ring (before they were acquired by Amazon) have undoubtedly brought us creature comforts previously unheard of every year. Online shops that predict our needs, smart home devices that automate our morning routines, and photo albums that automatically organize your shots based on object and facial detection streamline our lives like never before. These companies tend to make these technological strides while trampling — time and again — on our reasonable expectation of privacy. Big Tech has been delving deeper into the world of facial recognition software and using our faces to do it. Social media sites tend to be where the average user saves their vacation photos and other precious memories. In the last few years, these photos have become algorithm food. Data that users assumed would be housed safely on social platforms without being monetized and meticulously annotated in the name of research or profit has been used to create an ever more accurate database bought and sold to third parties without our say in the matter. 

Google is currently facing scrutiny from the Attorneys General in Washington D.C. and Texas for using “dark patterns” to extract location data from users that would have otherwise opted out of such tracking. Dark patterns are design tricks that use social engineering or deceptive interface design to push users towards harmful decisions they otherwise would not have made. The suit in question cites the fact that users unwilling to have their location data tracked and sold by Google are effectively boxed out of services provided by non-Google companies like Uber until they give Google permission to collect their data^[8]. These suits are claiming that Google violates D.C.’s Consumer Protection Procedures Act and Texas’ Deceptive Trade Practices Consumer Protection Act. It is worth noting that Google would have a more challenging time extracting data from customers if these protection acts had been implemented on a federal level.

Privacy Without Compromise

We believe in an internet that doesn’t take advantage of its users. To that end, we’ve built our business on minding our own business. Our decentralized file-sharing servers create a space online for your data that won’t be sold to a third party or glimpsed by prying eyes. While we advocate for privacy laws that give citizens their privacy back, we’ll work to keep your data private as best we can.

You can try AXEL Go Premium with all features unlocked free for 14-days. Sign up today and see how AXEL Go can improve your workflow and harden your organization’s cybersecurity.

References

[1] “How to Avoid Unwanted Photos on Social Media.” The Wall Street Journal. Dow Jones & Company, January 23, 2022. https://www.wsj.com/articles/how-to-avoid-unwanted-photos-on-social-media-11642933804. 

[2] [8] DeGeurin, Mack. “Google Illegally Used Dark Patterns to Trick Users Into Handing Over Location Data, State AGs Say.” Gizmodo. Gizmodo, January 24, 2022. https://gizmodo.com/google-lawsuit-location-data-attorneys-general-1848410222. 

[3] Garfield Benjamin Postdoctoral Researcher. “Amazon Echo’s Privacy Issues Go Way beyond Voice Recordings.” The Conversation, April 8, 2021. https://theconversation.com/amazon-echos-privacy-issues-go-way-beyond-voice-recordings-130016. 

[4] Ashley Johnson and Daniel Castro. “Why Congress Should Pass Data Privacy Legislation in 2022.” The Hill. The Hill, January 24, 2022. https://thehill.com/opinion/cybersecurity/591022-why-congress-should-pass-data-privacy-legislation-in-2022/. 

[5] “Virginia Passes Comprehensive Privacy Law.” Gibson Dunn, March 8, 2021. https://www.gibsondunn.com/virginia-passes-comprehensive-privacy-law/. 

[6] “California Consumer Privacy Act (CCPA).” State of California – Department of Justice – Office of the Attorney General, March 28, 2022. https://oag.ca.gov/privacy/ccpa. 

[7] Fung, Brian. “The House Just Voted to Wipe Away the FCC’s Landmark Internet Privacy Protections.” The Washington Post. WP Company, December 5, 2021. https://www.washingtonpost.com/news/the-switch/wp/2017/03/28/the-house-just-voted-to-wipe-out-the-fccs-landmark-internet-privacy-protections/. 

The most critical tool in any business belt is the ability to quickly react to unforeseen circumstances — second to that is the ability to learn from them. Offices all across America had to learn how to deal with a workforce scattered to the winds during unprecedented times. Guest rooms across the nation became offices, Zoom was the water cooler, and keeping internal documents safe on the internet suddenly became a much sharper priority. As we slowly, but surely, return to the office one thing is for sure: we’ll be returning with a drastically altered view of the workplace.

Tools Obtained by Working from Home

Working from home, initially, was a contentious topic. How would employees fare working ten feet away from their couches? What was going to keep them out of their pajamas and in the right mindset? Would productivity plummet in service of the family’s cat and dog? 

A few years of embracing remote work has shown quite a precipitous increase in productivity. The workforce is filled to the brim with people that understand their own natural rhythms, people that are driven to do good work for the sake of their own pride^[1]. When remote work swept the nation, a wide majority of employees reported increased satisfaction with their workplaces to go along with the increased rate of work they were producing from their home offices. 

Additionally, workplaces suddenly had access to a deeper well of talent. With remote work, the most qualified candidates were no longer pulling themselves from the pile of applicants because of a long commute. Businesses operating out of an expensive business park were able to drastically decrease overhead by relocating to less expensive areas — no longer needing a city center to consolidate their talent — or by closing their offices altogether^[2].

Reports of increased job satisfaction, higher output, and depressed overhead have been convincing evidence for some of the tech giants, you know, some of the most valuable companies in the modern world. Remote work is taking a permanent spot in their workplaces^[3]. 

Benefits of the Office

Remote work is all well and good, but the reality of returning to the office is still upon us for a good reason in many cases. The truth is, some businesses and their work culture thrive in person. A good brainstorm in the writer’s room, an in-person negotiation with rapidly building rapport and lively handshakes, the joy of seeing your work friends after a weekend apart. These are all aspects of the office many of us crave.

Something as simple as laying your hands on a hard copy of a document is enough to dramatically change your relationship to your work. Abstract deals jotted down on paper hold a weight that digital backups never will^[4].

Not every business has the luxury of remote offices. Some of them need tightly-knit groups of employees with their heads together in real time, and there’s nothing wrong with that. Some offices have become expensive storage units, begging to be warmed with heated exchanges and feverish work. If that’s your business, then the return to the office is most likely a welcome one^[5].

How we can merge the two and Axel’s role

Now that so many workplaces have discovered the benefits of working remotely, these will be difficult to turn a blind eye to, even during The Great Return. Workplaces can still benefit from the lessons learned from remote work. Contracts can be negotiated with remote work provisions to net some of the best talent in the world, saving money and retaining crucial employees. Your bottom line can rest easy knowing that startups or small businesses are more than capable of thriving on a foundation of remote work. Most importantly, however, the strategies employed to keep businesses safe and effective through the internet can be effortlessly folded into central work models.

We can work with secure shared drives. We can work with decentralized servers that are easily accessed. We can work without worrying that one bad link will bring the office to its knees. With cloud-based file-sharing software increasingly intermingling with office life, the days of lost backups and forgotten thumb drives are about as relevant as floppy disk anxiety.

By keeping the same vigilance and flexibility remote work required of businesses in 2020 and beyond, we create offices that are smarter, work harder, and, most importantly, they become more private and secure.

About AXEL

Using a secure file storage system is the key to protecting your data from breaches and ransomware attacks. That’s where AXEL Go comes in. Offering military-grade encryption and decentralized blockchain technology, AXEL Go is the best way to protect yourself and your business from unauthorized cybercriminals. With privacy concerns not going away anytime soon, secure file-sharing is a necessity for businesses and individuals. If you’re ready to try the best protection, try two free weeks of AXEL Go here.

References

^[1] https://www.vox.com/policy-and-politics/2017/7/20/15821560/basic-income-critiques-cost-work-negative-income-tax

^[2] https://www.chicagobooth.edu/review/are-we-really-more-productive-working-home 

^[3] https://www.wsj.com/articles/mark-zuckerberg-and-metas-leadership-take-remote-work-to-the-extreme-11648040580?st=wvg8xkwmhcb9sme&reflink=desktopwebshare_permalink

^[4] https://www.protocol.com/newsletters/protocol-workplace/official-return-to-office?rebelltitem=5#rebelltitem5

^[5] https://www.cnbc.com/2022/03/08/return-to-office-why-executives-are-eager-for-workers-to-come-back.html

For years, the idea of advanced robots and machines completing common tasks has tantalized authors, filmmakers, and the general public. Works that took place in an idealized future, such as the 1960s animated sitcom The Jetsons, were immensely popular, and for good reason. Who wouldn’t want to live in a world where robots can vacuum your house, control your lights, or even start your car? This prevalence of these hypothetical technologies made everyone dream of a future where machines could handle many of the minute, everyday tasks that many abhorred.

Today, that future has undoubtedly arrived. With the necessary hardware, everyday people can tell their machines to turn on the lights, vacuum the house, and start their car. Many of the technological wonders that were fictionally highlighted in The Jetsons are a reality now. Simply put, we are living in an idealized future, thanks to artificial intelligence (AI). While AI has been in the works for decades, it has truly flourished in the past ten years. Now, nearly every new piece of technology utilizes AI in some form or another. So, as we enter a future that is likely to be dominated by artificial intelligence, it’s important to be aware of the history, uses, drawbacks, and future of this fledgling technology.

The History of AI

In the 1940s, neurologists discovered that the brain is powered by neurons, cells that can communicate using electricity. This breakthrough suggested that, if the brain could make decisions using electricity, so could a machine. Following this revelation, programmers and scientists worked vehemently to research the possibility of artificial intelligence. In 1950, famed computer scientist Alan Turing developed what he called an “imitation game” using artificial intelligence^[1]. In this game, there are three participants: A player who asks questions, a human who responds to the player’s questions, and a computer that responds to the player’s questions. While this test didn’t really determine if machines could think like humans, it determined if machines could come to the same conclusions as humans. While Turing’s experiment was only a game at the end of the day, it was a promising first step for the theory of artificial intelligence.

For decades after Turing, artificial intelligence remained mostly experimental. However, beginning in the 1990s, the exponential increase in computer processing power allowed AI to be developed into useful products. In fact, in 1997, IBM’s chess software, Deep Blue, became the first AI program to beat a reigning world chess champion^[2]. Additionally, in 2011, IBM’s question-answering program Watson handily beat two of Jeopardy’s winningest contestants in a match of the famous quiz show^[3]. While these two examples were only used in games, they publicly showed just how powerful AI could be.

However, during the development of these innocuous AI software programs, another form of AI was being developed as well: Facial recognition software. Although certainly different from quiz shows and chess programs, facial recognition programs use similar AI techniques to analyze faces from images. Using AI, these systems are able to analyze a face, then match that face to a picture in an existing database. As the technology advanced, businesses began to sell the technology nationwide, particularly to law enforcement groups^[4]. Ultimately, while innocent AI programs like Watson and Deep Blue enjoyed national press, programs that had serious consequences were being developed quietly as well.

The State of AI Today

In the business sector today, AI is utilized in nearly every facet of operation. One department that especially uses AI is marketing and customer acquisition. From automated emails to AI-powered chatbots, artificial intelligence can be used to advertise your business to new and existing customers. In human resources, AI can sift through applications quickly, allowing managers to spend less time searching for qualified candidates. In manufacturing, AI can track inventory and even anticipate demand^[5]. Today, the most successful businesses utilize artificial intelligence in order to maximize their efficiency. These powerful machines can do things at a speed that humans simply can’t reach. It’s no wonder why AI has been embraced so extensively by the business world.

While efficiency-maximizing AI has been welcomed around the world by businesses, more controversial forms of AI have been embraced as well. In recent years, facial recognition programs have grown more popular, and are being used by law enforcement, security companies, and even social media sites. Additionally, many AI programs built for consumers are little more than extra ways to collect data. For example, Amazon’s Echo device was one of the first AI assistants and quickly became popular after release. Soon, Amazon set the Echo’s price so low that the company was selling them at a loss^[6]. However, because of the vast amount of valuable data Amazon would get back, this strategy was sound. Ultimately, AI has become extremely popular for both businesses and consumers, significantly due to companies’ everlasting desire for our data.

Concerns of AI and Facial Recognition

Every AI program runs on datasets, but if those datasets are biased, then the entire program can be biased as well. And when it comes to bias, few programs are more criticized than facial recognition software. In fact, researchers found large amounts of racial and gender bias in AI programs sold by IBM, Amazon, and Microsoft^[7]. In this research, the author found the programs’ facial recognition software had an extreme amount of bias. For example, the software had less than a 1% error rate for lighter-skinned men, but a 35% error rate for darker-skinned women^[7]. This is because the datasets that these AI programs run on simply aren’t diverse enough. Unfortunately, these errors can have devastating consequences. False positives from facial recognition software have led to a countless number of unjustified arrests, disproportionately harming racial minorities^[8]. Although facial recognition has been helpful to some degree, its unequal consequences cannot be ignored.

While it’s true that AI programs can offer extraordinary benefits, those benefits don’t come free. In reality, they’re further eroding what little privacy we have left. We’re willingly buying listening devices from a massive company with a less-than-stellar record on privacy in exchange for convenience. While some people may be willing to make this sacrifice, it doesn’t have to be this way. The incredible benefits of AI don’t have to be paired with this massive violation of privacy.

So, what’s the solution for better AI? First, datasets need greater diversity, particularly in the case of facial recognition. In order to truly be effective, AI needs to be representative of the general population. But because of biased AI datasets, these programs are helping some, but actively harming others. Additionally, legislation ought to be passed that minimizes Big Tech’s reliance on data collection. Today, many people refuse to try the most popular AI programs because of their overreliance on data collection. If Big Tech became less obsessed with our data, we could enjoy the benefits of AI without trading away our information.

About AXEL

At AXEL, we know the best businesses have valued privacy for decades. Now, in a world full of cybercrime and data collection, digital privacy is more important than ever before. That’s why we created AXEL Go. AXEL Go uses military-grade encryption, blockchain technology, and decentralized servers to ensure it’s the most secure file transfer software on the market. Whether you need to transfer large files or send files online, AXEL Go is the best cloud storage solution. If you’re ready to try the most secure file-sharing app for PC and mobile devices, download AXEL Go for free here.

Footnotes

^[1] “Turing Test.” Encyclopædia Britannica. Encyclopædia Britannica, inc. Accessed March 16, 2022. https://www.britannica.com/technology/Turing-test

^[2] Saletan, William. “The Triumphant Teamwork of Humans and Computers.” Slate Magazine. Slate, May 11, 2007. https://slate.com/technology/2007/05/the-triumphant-teamwork-of-humans-and-computers.html

^[3] Markoff, John. “Computer Wins on ‘Jeopardy!’: Trivial, It’s Not.” The New York Times. The New York Times, February 16, 2011. https://www.nytimes.com/2011/02/17/science/17jeopardy-watson.html

^[4] Valentino-Devries, Jennifer. “How the Police Use Facial Recognition, and Where It Falls Short.” The New York Times. The New York Times, January 12, 2020. https://www.nytimes.com/2020/01/12/technology/facial-recognition-police.html

^[5] Marr, Bernard. “10 Business Functions That Are Ready to Use Artificial Intelligence.” Forbes. Forbes Magazine, December 10, 2021. https://www.forbes.com/sites/bernardmarr/2020/03/30/10-business-functions-that-are-ready-to-use-artificial-intelligence/?sh=2df649c43068

^[6] Smith, Rich. “Did Amazon Lose $100 Million Selling Its Most Popular Item?” The Motley Fool. The Motley Fool, January 8, 2018. https://www.fool.com/investing/2018/01/08/did-amazon-lose-100-million-selling-its-most-popul.aspx

^[7] Buolamwini, Joy. “Artificial Intelligence Has a Racial and Gender Bias Problem.” Time. Time, February 7, 2019. https://time.com/5520558/artificial-intelligence-racial-gender-bias/

^[8] Najibi, Alex. “Racial Discrimination in Face Recognition Technology.” Science in the News. Harvard University, October 26, 2020. https://sitn.hms.harvard.edu/flash/2020/racial-discrimination-in-face-recognition-technology/

If someone only watched Big Tech advertisements, they’d believe that these massive conglomerates are bastions of digital privacy. In the past few years, companies like Facebook and Google have inundated the airwaves with ads that highlight the companies’ efforts to protect user privacy. However, the one company that has worked the hardest to cultivate a secure and private image is Apple. Privacy was even the subject of a slick, wide-ranging marketing campaign for the company^[1]. Today, digital privacy is being marketed like a new product, and every company is claiming to value and protect your data. But how much of the marketing is accurate, and how much is just PR?

Here’s the truth: Big Tech corporations have taken steps to better protect users’ data in recent years, but there’s still a long, long way to go. Overall, it is a positive step that corporations are claiming to value digital privacy. After all, these widespread marketing campaigns have increased consumer awareness of digital privacy and its importance. However, while these companies claim they value privacy, they ultimately value the status quo more. This has led to the situation we’re in now: Companies are making small digital privacy improvements, primarily for good PR, but avoid going after the root of the problem.

What Steps Has Big Tech Taken?

You probably already know this, but Big Tech has mountains of data on billions of people around the world. These companies collect as much information as possible and then use that information to target you with specific advertisements. From simple things like name and date of birth to more private pieces of information like political affiliation, religion, and relationship status, Big Tech knows a lot about you, and they use this information to inundate your computer with personalized ads^[2]. And don’t think that ads are just a small part of Big Tech’s revenue. 98% of Facebook’s revenue comes from advertisements^[3], highlighting just how vital data collection is to these Silicon Valley corporations.

This is why you should take Big Tech’s privacy claims with a grain of salt. Collecting mounds of user data is the lifeblood of Big Tech giants, so they aren’t about to make any changes that significantly impact their bottom line. So the next time you see a Google or Amazon ad claiming that they care about data privacy, just remember how those companies really earn their money. Judging by their revenue streams, the Big Tech giants aren’t really technology companies — they’re middlemen between you and advertisers.

But here’s the thing: Some companies actually have taken positive steps to better protect users’ digital privacy. For example, Google is phasing out the third-party cookie, a notorious program that tracked users and permanently stored their data^[4]. Additionally, Apple has begun to allow users to “ask apps not to track” their data^[5]. These are undeniably positive steps that put more power in the hands of users. While these changes won’t end Big Tech’s data-hungry behavior, overall, it’s a positive development.

What’s Behind Big Tech’s Privacy Push?

Unfortunately, Big Tech’s changes don’t go nearly far enough. Most of the changes that Big Tech companies have implemented simply alter how companies handle data once it’s already been collected. Now, is Google’s alternative to the third-party cookie more secure? Definitely. But the company is still collecting your data and storing it on their servers in order to advertise to you. The fundamental process of data collecting has not changed one bit, making it seem that Big Tech companies are simply looking to score PR points, rather than committing to actual change. Could that change in the future? It’s possible, but remember: Big Tech’s main clients are advertisers, not us. Unless a new way to deliver targeted ads without data collection is discovered, the current situation will likely continue.

We may have to get used to incremental change, rather than a digital privacy revolution. After all, nearly every Big Tech company spends millions each year in lobbying to shoot down bills that threaten their data collection processes. In fact, Facebook alone spent over USD $20 million in 2021 to lobby Congress to oppose any new regulations that give too much choice to consumers^[6]. Big Tech companies don’t just stop at lobbying either. In Virginia, Amazon and Microsoft supported a privacy bill that, while adding some new regulations, failed to put power in the hands of users. The new bill is filled with loopholes and explicitly forbids users from suing tech companies for violating their privacy^[7]. Big Tech loves to talk a big game regarding digital privacy, but when it comes down to it, they’ll do everything possible to prevent changes to the status quo.

How to Make Big Tech Prioritize Privacy

The best way to prioritize user privacy is to pass wide-ranging, enforceable legislation that would actually make Big Tech uncomfortable. For so long, these companies have collected and stored mountains of data on billions of people, while only making trivial improvements to their digital privacy policies. Ultimately, that’s why we can’t trust Big Tech to regulate itself — they’ll never voluntarily change their fundamental business model. Therefore, it’s up to politicians and regulators to force Big Tech into making legitimate, lasting change for good.

One law that has made a significant impact is the European Union’s General Data Protection Regulation (GDPR). Under GDPR, websites must ask users for consent to collect their data, and it allows users to request the deletion of their personal data from a site^[8]. Make no mistake; these are genuinely positive steps toward empowering users. But for the people that live under GDPR’s jurisdiction, many feel that little has changed.

This feeling can be attributed to the “opt-out” nature of data collection under GDPR. Websites like Google and Facebook make it much easier to agree to data tracking than opting out of it. Agreeing to data collection requires just one click, while getting out of it requires navigating complicated options menus for every site. Big Tech knows that this model isn’t too disruptive, as the vast majority of people will simply accept tracking, rather than dealing with the headache of opting out. A truly effective solution would be to change data collection into an “opt-in” feature. Under this method, users would automatically be excluded from data collection, but could opt-in if they wished. Of course, this method would undoubtedly draw the ire of Big Tech, but it would be a significant improvement for data privacy. In 2019, Edward Snowden called GDPR “a good first effort … but it’s not a solution^[8].” Ultimately, although GDPR and other regulations aren’t as effective as we may have hoped, they’re still positive steps toward a more secure, private Internet for all.

About AXEL

Big Tech may not care about your digital privacy, but we do. At AXEL, we know millions of individuals and businesses demand affordable, secure, and intuitive file-sharing software. That’s why we created AXEL Go. AXEL Go uses military-grade encryption, blockchain technology, and decentralized servers to ensure it’s the most secure file transfer software on the market. Whether you need to transfer large files or send files online, AXEL Go is the best cloud storage solution. If you’re ready to try the most secure file-sharing app for PC and mobile devices, download AXEL Go for free here.

^[1] Wuerthele, Mike. “’Privacy. That’s iPhone Ad Campaign Launches, Highlights Apple’s Stance on User Protection.” AppleInsider. AppleInsider, March 14, 2019. https://appleinsider.com/articles/19/03/14/privacy-thats-iphone-ad-campaign-launches-highlights-apples-stance-on-user-protection

^[2] Moscaritolo, Angela. “What Does Big Tech Know About You? Basically Everything.” PCMAG. PC Magazine, January 18, 2022. https://www.pcmag.com/news/what-does-big-tech-know-about-you-basically-everything

^[3] “Facebook Ad Revenue 2009-2020.” Statista, February 18, 2022. https://www.statista.com/statistics/271258/facebooks-advertising-revenue-worldwide/#:~:text=In%202020%2C%20about%2097.9%20percent,increase%20in%20comparison%20to%20the

^[4] Low, Cherlynn. “Google Is Testing a New Replacement for Third-Party Cookies.” Engadget, February 28, 2022. https://www.engadget.com/google-topics-api-privacy-sandbox-third-party-cookie-replacement-130049935.html

^[5] Mayo, Benjamin. “What Does ‘Ask App Not to Track’ Mean?” 9to5Mac, April 27, 2021. https://9to5mac.com/2021/04/27/what-does-ask-app-not-to-track-mean/

^[6] Birnbaum, Emily. “Facebook’s Lobbying Spending Surged to a Record in 2021.” POLITICO. POLITICO, January 21, 2022. https://www.politico.com/news/2022/01/21/facebook-lobbying-spending-2021-527577

^[7] Tsukayama, Hayley. “Virginians Deserve Better than This Empty Privacy Law.” Electronic Frontier Foundation, February 24, 2021. https://www.eff.org/deeplinks/2021/02/virginians-deserve-better-empty-privacy-law

^[8] Hare, Stephanie. “These New Rules Were Meant to Protect Our Privacy. They Don’t Work.” The Guardian. Guardian News and Media, November 10, 2019. https://www.theguardian.com/commentisfree/2019/nov/10/these-new-rules-were-meant-to-protect-our-privacy-they-dont-work

What comes to mind when you think of the word “business?” Many people will think of stereotypical corporate activities, like signing documents, sitting in cubicles, or swimming in a sea of never-ending black and blue suits. While all three of these things still permeate throughout the business world, all three are also becoming less popular. Think about it: Physically signing documents is a rarity; many businesses use e-signatures today. Cubicles are being phased out in favor of remote work. And instead of fancy suits, we’re seeing our coworkers in more casual clothes (if we even see them in the office at all).

Business is changing. Of course, this shouldn’t come as a surprise. After all, every industry changes with time. But business is different. In order to survive, businesses have to evolve constantly and embrace new technologies that give them an edge over the competition. If they don’t, they’ll be left in the dust by smarter, more modern companies. Because of this, businesses have often been the first to widely adopt and implement innovative technology. But they aren’t just using technology to complement their existing practices; tech is now the backbone of every facet of business. Ultimately, the industry’s willingness to try new technology has helped usher in the digital era that we live in today. Technology hasn’t just helped business; it has evolved business from the ground up.

How Tech Changed Communications

It’s easy to forget, but just a few decades ago, business communication was radically different than it is today. Before the Internet, businesses relied on physical papers and snail mail to communicate. Internally, businesses needed a dedicated mail worker who transferred documents from one employee to another. For team-wide updates, papers had to be posted on a bulletin board to be seen. For external communications, businesses could use telephones to communicate, but if they needed to send a document, they had to rely on mail services. While, individually, none of these tasks are particularly burdensome, that lost time lost adds up. Mail could take a few hours to organize, international shipping could last weeks, and office telephones only worked when employees were at their desks. Before the Internet, businesses tried their best to maximize efficiency, but without modern technology, communications could be painfully slow.

Needless to say, communications at top businesses aren’t like this anymore. The turning point for businesses was the invention of email. All of a sudden, employees could communicate with each other immediately, and even attach documents digitally. As soon as email adoption became widespread in business, the business tech floodgates opened. Today, business software like Slack and Microsoft Teams allows coworkers to communicate instantaneously.

However, this tech isn’t without drawbacks. Because of how easy it is to communicate with coworkers, many employees feel like they can’t escape the office. After all, today’s smartphones can easily handle emails and video calls, ensuring that the office will always be able to contact us, no matter where we are. To that point, many businesses even require workers to respond to emails on weekends and vacations. Ultimately, business communication has become so fast and simple that many workers have trouble escaping the constant connection of their workplace.

How Tech Helps Reach Customers

One of the most difficult aspects of running a business is consistently finding new customers. Regulars are great, but in order for a business to truly thrive, it needs a plan to find and convert leads into customers. Before the Internet, this process was relatively simple. Word-of-mouth, networking, and the occasional newspaper ad were the only ways businesses could seek out new customers. Of these three, word-of-mouth was the most important, as businesses lived and died based on their reputation. Before modern technology, reaching new customers wasn’t all that costly. After all, positive word-of-mouth is just about the one thing a business can’t buy.

Today, word-of-mouth is still one of the most important parts of finding new customers, especially for small businesses. The difference, however, is that there are now dozens of ways for businesses to generate that word-of-mouth. Today, the most popular way is utilizing Facebook advertisements. A full 66% of all small business owners in the United States used Facebook to advertise their business^[1]. Ultimately, very few businesses can thrive without the help of the modern Internet. Think about it: If your business has no website, no social media presence, and isn’t listed on Yelp or Google Maps, your business might as well not exist. While finding new customers is much more complex today, the multitude of ways to find new leads helps level the playing field between businesses. Now, your business doesn’t need a century-long reputation in order to succeed; it just needs high-quality digital marketing.

The Rise of Data Analysis

Many business owners may not even be aware of this, but every business uses data analysis to some degree. Simply put, data analysis is the inspection of data about a business and its customers, and making inferences based on that data. One common example is when a coffee shop increases its staffing during the morning rush. The owner knew from previous data that mornings were busier, and then decided to increase staffing to alleviate the rush. For businesses, the simple formula is to collect data, identify patterns in that data, then make predictions based on those patterns^[2]. Even before modern technology, businesses regularly used data analysis to increase productivity and minimize downtime.

So, what’s different about data analysis today? Well, we’re usually not the ones doing it anymore. These days, most high-level data analysis is being done by computers. This makes sense, as computers are able to identify patterns in data much more accurately and quickly than humans. Additionally, data analysis isn’t just used for simple things like managing employee scheduling or choosing what items to stock. For the most successful businesses, data analysis is used in every area of business. From customer acquisition and targeted campaigns to new item development and supply chain management, data analysis helps businesses maximize their efficiency^[3]. 

So, What’s Next?

After looking at all the ways technology has evolved business practices, one thing is for sure: Businesses are not done changing. Simply put, if there’s a way for businesses to increase their revenue, it will be utilized. And the fact is, businesses are becoming more and more reliant on computers and technology than ever before. Things like employee scheduling and data analysis, previously done by workers, are now done by computers. And, frankly, this trend is unlikely to reverse any time soon. Now, this doesn’t mean computers will be the ones running businesses in a few years. But let’s face it: They are already making many of the big decisions at businesses across the world. 

Ultimately, technology makes businesses more efficient. Unfortunately, as businesses rely more on technology, this also means they rely less on workers. Positions including warehouse jobs, customer service, and banking services are slowly being overtaken by technology^[4]. It’s a sad reality, but businesses can simply be more successful with unpaid bots, rather than salaried employees. Again, technology is unlikely to replace human workers en masse any time soon. But as technology becomes more and more advanced, the most successful businesses will rely on tech more than ever before.

About AXEL

Technology is useful in every facet of business, but particularly in the area of cybersecurity. Cybercrime poses a threat to businesses big and small, highlighting the need for affordable cybersecurity solutions. That’s why we created AXEL Go. AXEL Go uses military-grade encryption, blockchain technology, and decentralized servers to ensure it’s the most secure file transfer software on the market. Whether you need to transfer large files or send files online, AXEL Go is the best cloud storage solution. If you’re ready to try the most secure file-sharing app for PC and mobile devices, download AXEL Go for free here.

^[1] “Leading Social Media Networks Used by Small Businesses to Advertise in the United States in 2021.” Statista, November 18, 2021. https://www.statista.com/statistics/208971/effective-social-media-marketing-tools-for-small-us-businesses/

^[2] “Why Data Analytics Is Critical for Small Businesses.” AirSlate, August 17, 2021. https://blog.airslate.com/why-data-analytics-is-critical-for-small-businesses/

^[3] Mills, Terence. “Council Post: Five Benefits of Big Data Analytics and How Companies Can Get Started.” Forbes. Forbes Magazine, December 10, 2021. https://www.forbes.com/sites/forbestechcouncil/2019/11/06/five-benefits-of-big-data-analytics-and-how-companies-can-get-started/?sh=48b2320117e4
^[4] “Council Post: Tech Experts Predict 13 Jobs That Will Be Automated by 2030.” Forbes. Forbes Magazine, December 10, 2021. https://www.forbes.com/sites/forbestechcouncil/2019/03/01/tech-experts-predict-13-jobs-that-will-be-automated-by-2030/?sh=3fc53ffb22bf