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How Juul made vaping viral to become worth a dirty $38 billion – TechCrunch

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A Juul is not a cigarette. It’s much easier than that. Through devilishly slick product design I’ll discuss here, the startup has massively lowered the barrier to getting hooked on nicotine. Juul has dismantled every deterrent to taking a puff.

The result is both a new $38 billion valuation thanks to a $12.8 billion investment from Marlboro Cigarettes-maker Altria this week, and an explosion in popularity of vaping amongst teenagers and the rest of the population. Game recognize game, and Altria’s game is nicotine addiction. It knows it’s been one-upped by Juul’s tactics, so it’s hedged its own success by handing the startup over a tenth of the public corporation’s market cap in cash.

Juul argues it can help people switch from obviously dangerous smoking to supposedly healthier vaping. But in reality, the tiny aluminum device helps people switch from nothing to vaping…which can lead some to start smoking the real thing. A study found it causes more people to pick up cigarettes than put them down.

Photographer: Gabby Jones/Bloomberg via Getty Images

How fast has Juul swept the nation? Nielsen says it controls 75 percent of the U.S. e-cigarette market up from 27 percent in September last year. In the year since then, the CDC says the percentage of high school students who’ve used an e-cigarette in the last 30 days has grown 75 percent. That’s 3 million teens or roughly 20 percent of all high school kids. CNBC reports that Juul 2018 revenue could be around $1.5 billion.

The health consequences aside, Juul makes it radically simple to pick up a lifelong vice. Parents, regulators, and potential vapers need to understand why Juul works so well if they’ll have any hope of suppressing its temptations.

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It’s tough to try a cigarette for the first time. The heat and smoke burn your throat. The taste is harsh and overwhelming. The smell coats your fingers and clothes, marking you as smoker. There’s pressure to smoke a whole one lest you waste the tobacco. Even if you want to try a friend’s, they have to ignite one first. And unlike bigger box mod vaporizers where you customize the temperature and e-juice, Juul doesn’t make you look like some dorky hardcore vapelord.

Juul is much more gentle on your throat. The taste is more mild and can be masked with flavors. The vapor doesn’t stain you with a smell as quickly. You can try just a single puff from a friend’s at a bar or during a smoking break with no pressure to inhale more. The elegant, discrete form factor doesn’t brand you as a serious vape users. It’s casual. Yet the public gesture and clouds people exhale are still eye catching enough to trigger the questions, “What’s that? Can I try?” There’s a whole other article to be written about how Juul memes and Instagram Stories that glamorized the nicotine dispensers contributed to the device’s spread.

And perhaps most insidiously, vaping seems healthier. A lifetime of anti-smoking ads and warning labels drilled the dangers into our heads. But how much harm could a little vapor do?

A friend who had never smoked tells me they burn through a full Juul pod per day now. Someone got him to try a single puff at a nightclub. Soon he was asking for drag off of strangers’ Juuls. Then he bought one and never looked back. He’d been around cigarettes at parties his whole life but never got into them. Juul made it too effortless to resist.

Concealable

Lighting up a cigarette is a garish activity prohibited in many places. Not so with discretely sipping from a Juul.

Cigarettes often aren’t allowed to be smoked inside. Hiding it is no easy feat and can get you kicked out. You need to have a lighter and play with fire to get one started. They can get crushed or damp in your pocket. The burning tip makes them unruly in tight quarters, and the bud or falling ash can damage clothing and make a mess. You smoke a cigarette because you really want to smoke a cigarette.

Public establishments are still figuring out how to handle Juuls and other vaporizers. Many places that ban smoking don’t explicitly do the same for vaping. The less stinky vapor and more discrete motion makes it easy to hide. Beyond airplanes, you could probably play dumb and say you didn’t know the rules if you did get caught. The metal stick is hard to break. You won’t singe anyone. There’s no mess, need for an ashtray, or holes in your jackets or couches.

As long as your battery is charged, there’s no need for extra equipment and you won’t draw attention like with a lighter. Battery life is a major concern for heavy Juulers that smokers don’t have worry about, but I know people who now carry a giant portable charger just to keep their Juul alive. But there’s also a network effect that’s developing. Similar to iPhone cords, Juuls are becoming common enough that you can often conveniently borrow a battery stick or charger from another user. 

And again, the modular ability to take as few or as many puffs as you want lets you absent-mindedly Juul at any moment. At your desk, on the dance floor, as you drive, or even in bed. A friend’s nieces and nephews say that they see fellow teens Juul in class by concealing it in the cuff of their sleeve. No kid would be so brazen as to try smoke in cigarette in the middle of a math lesson.

Distributable

Gillette pioneered the brilliant razor and blade business model. Buy the sometimes-discounted razor, and you’re compelled to keep buying the expensive proprietary blades. Dollar Shave Club leveled up the strategy by offering a subscription that delivers the consumable blades to your door. Juul combines both with a product that’s physically addictive.

When you finish a pack of cigarettes, you could be done smoking. There’s nothing left. But with Juul you’ve still got the $35 battery pack when you finish vaping a pod. There’s a sunk cost fallacy goading you to keep buying the pods to get the most out of your investment and stay locked into the Juul ecosystem.

(Photo by Scott Olson/Getty Images)

One of Juul’s sole virality disadvantages compared to cigarettes is that they’re not as ubiquitously available. Some stores that sells cigs just don’t carry them yet. But more and more shops are picking them up, which will continue with Altria’s help. And Juul offers an “auto-ship” delivery option that knocks $2 off the $16 pack of four pods so you don’t even have to think about buying more. Catch the urge to quit? Well you’ve got pods on the way so you might as well use them. Whether due to regulation or a lack of innovation, I couldn’t find subscription delivery options for traditional cigarettes.

And for minors that want to buy Juuls or Juul pods illegally, their tiny size makes them easy to smuggle and resell. A recent South Park episode featured warring syndicates of fourth-graders selling Juul pods to even younger kids.

Dishonorable

Juul co-founder James Monsees told the San Jose Mercury News that “The first phase is proving the value and creating a product that makes cigarettes obsolete.” But notice he didn’t say Juul wants to make nicotine obsolete or reduce the number of people addicted to it.

Juul co-founder James Monsees

If Juul actually cared about fighting addiction, it’d offer a regimen for weaning yourself off of nicotine. Yet it doesn’t sell low-dose or no-dose pods that could help people quit entirely. In the US it only sells 5% and 3% nicotine versions. It does make 1.7% pods for foreign markets like Israel where that’s the maximum legal strengths, though refuses to sell them in the States. Along with taking over $12 billion from one of the largest cigarette companies, that makes the mission statement ring hollow.

Juul is the death stick business as usual, but strengthened by the product design and virality typically reserved for Apple and Facebook.

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Google responds to Apple App Tracking Transparency with new rules for Android

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Google released a notice today about the future of Android and user data transparency. While not a direct response to Apple’s update with iOS 14.5 – at least not explicitly – Google’s “pre-announcement” of an upcoming safety section in Google Play should effectively keep the two operating systems in-step on several privacy-centric fronts. The new section in Google Play for Android apps will “help people understand the data an app collects or shares, if that data is secured, and additional details that impact privacy and security.”

Suzanne Frey, VP, Product, Android Security and Privacy posted a note this week about how developers and users will be affected by the update to Google Play and Android. Android already has a system in place where apps alert users about what permissions they seek – location data, contacts, personal info, audio, storage files, and camera access. With this update, it’ll all be a bit more clear up front, listed in Google Play.

What will apps show?

Developers will be asked to share the following items with users in their app listing in Google Play: What type of data is collected and stored, and how the data is used. That should be simple.

• What type of data is collected and stored: Location, Photos & Videos, Audio files, Storage files, Contacts, and Personal Information.
• How the data is used by the app or the developer/group that makes the app. This could also include disclosure of data sharing with 3rd-party sources.

Google Play will also begin listing information as follows in a new Safety Section for each app. New elements will highlight whether:

1. Security practices are in play (data encryption, for example) for user data
2. Google’s Families policy is followed with user data
3. The app “needs this data to function or if users have choice in sharing it”
4. The app’s safety section “is verified by an independent third-party”
5. Data deletion is an option for the user upon uninstall of said app

When Safety Section will appear on Google Play

Here on May 6, 2021, Google first made their “pre-announcement” of this new policy. In Q3 of 2021, the policy will be “available” for the public and developers to read. In the fourth quarter of 2021, developers will be able to start declaring information in the Google Play Console as outlined above.

In the first quarter of 2022, users in the public will begin to see the new safety section in Google Play. At some point in the second quarter of the year 2022, Google will set a deadline for all new and existing apps to declare the information outlined above.

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This HP EliteOne 800 G8 AiO has video call talents every PC should steal

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HP has revealed its latest all-in-one PC, and we can’t help thinking it’s wasted in businesses. The HP EliteOne 800 G8 All-in-One comes with a choice of 23.8- or 27-inch displays, with a pop-up camera on top that includes video call-friendly face tracking.

In fact, the array that slides out of the top of the AiO PC has dual 5-megapixel cameras inside, plus an IR camera and a time-of-flight sensor that can track distance. With all that, and an extra-wide field of view compared to the average webcam, it means the EliteOne 800 G8 can use digital tracking to center you in the middle of the frame, cropping accordingly.

There’s also auto scene detection, to adjust the lighting automatically depending on ambient conditions in the room. HP has fitted its AI-powered noise reduction system as well, for the first time on a PC, with the ability to spot and filter out over 350 million types of voices and noises. The filters work on both outbound and inbound noise, so even if you’re talking with someone with a lesser microphone system you’ll still hear the benefit.

There’s HP Dynamic Audio for speech, music, and movie audio tuning to cut through background noise, along with Dynamic Voice Leveling to automatically adjust the volume of your voice so that it stays consistent even as you move closer to, or further away from, the microphone. Even the cooling system has been designed to lower the fan noise while you’re on calls.

It’s all wrapped up in a design that could be mistaken for just being a standalone monitor. Inside there’s a choice of Intel 11th Gen Core processors, up to a Core i9; they can be paired with up to 64GB of DDR4 memory and up to 6TB of M.2 PCIe storage. On the graphics side, there’s a choice of Intel UHD Graphics 730 or 750, with the display resolution offering up to 2560 x 1440 depending on panel.

As for connectivity, on the wireless side you can have WiFi 6 and Bluetooth 5.0. For ports, you get a lot more than a new iMac 24-inch offers: three USB-A, two USB-C, HDMI, DisplayPort, and ethernet are all included.

Clearly these aren’t the machines if you’re looking for serious graphical grunt (or gaming, for that matter). Still, the video calling systems HP has fitted could make a big difference if your schedule is still filled with back-to-back Zoom appointments. Meanwhile the EliteOne 800 G8’s design manages to step away from the norm in enterprise hardware, and wouldn’t look out of place in a home office instead.

No word on pricing at this stage, but HP says that the new all-in-one will go on sale later this month.

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The Google Assistant is adding new ways to corral your family

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Google is adding new Assistant features and tweaking some existing ones to make them more user-friendly, including expanding its Broadcast system. The new Family Broadcast takes the existing functionality – where you can pipe your voice through multiple Google smart speakers and smart displays in the house, useful for announcing meals are ready or reminding people it’s time to leave – and enhances it for smartphones and replies.

So, you can now create a Google Family Group, consisting not only of smart displays like the Nest Hub and speakers like the Nest Audio, but also iPhone and Android smartphones. Saying “Hey Google, tell my family, it’s time for us to hit the road” will broadcast your message across all of those devices in one fell swoop.

Those who hear the broadcast, meanwhile, will be able to respond by voice too. You’ll be able to say “Hey Google, reply ‘I’ll need a little extra time to catch the cat,’” for example, or tap the reply button to bypass the Assistant wake-word.

Meanwhile, Family Bell reminders are also getting a new convenience feature. Added to the Assistant’s array of talents in November last year, Family Bell is basically a group alarm for reminders. Google pitches it as useful for notifying everyone when it’s time for home-schooling to start, or for group chores.

Soon, though, you’ll be able to say “stop” to end the Family Bell alert by voice. It’s a shortcut that the Assistant already works with for individual alarms and timers, that’s being extended to Family Bell in English to begin with. Google will also add the ability to have Family Bells sound across multiple home devices simultaneously, not just one.

For other languages, Family Bell will be extended to support French, Japanese, Italian, Spanish, Portuguese, Dutch, German, Hindi, and Korean. That’s arriving in the coming weeks, Google says.

The updates come on the heels of new, behind-the-scenes changes Google has been making to its core Assistant technology. There are new pronunciation options, which allow users to correct names that the AI gets wrong, for example, along with better contextual understanding which the company says should improve how the Assistant handles things like timers and conversational queries that include multiple questions and responses.

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