When Uber sold its China operations to its Chinese competitor Didi Chuxing earlier this month, Silicon Valley’s latest hope for conquering the Chinese market bit the dust. The Valley’s leading tech juggernauts have, one by one, lost the battle for China’s 700 million internet users, falling victim both to Chinese censors (in the case of Google, Facebook and Twitter, among others) and local competitors (in the case of Amazon, eBay and Uber).

At the same time, China’s own tech titans Alibaba, Baidu and Tencent have seen little progress in their attempts to gain traction internationally. Despite a stranglehold on Chinese markets and some innovative apps that Western firms now look to imitate  global consumers have yet to truly embrace Chinese tech companies.

Instead of direct competition, Chinese and Western internet companies are increasingly turning toward partnerships and reciprocal investments. As these firms exit each other’s markets and opt for cooperation rather than competition, some analysts describe the global internet being carved into “spheres of influence.”

For insight into trans-Pacific tech rivalries and relationships, The WorldPost spoke with Li Zhifei, founder and CEO of Mobvoi, a Beijing-based artificial intelligence startup that in many ways bridges Beijing and Silicon Valley. Li worked as a research scientist at Google before returning to Beijing to found his own company. Mobvoi has since taken on investment from Google and served as the company’s proxy for bringing Android Wear to China, where Google services are blocked. Mobvoi is now marketing own smartwatch, Ticwatch 2, to international consumers through a Kickstarter campaign that has raised almost $1.5 million

Li spoke with The WorldPost about innovation ecosystem in Silicon Valley and Beijing, and why Chinese and U.S. tech companies can’t seem to crack each other’s markets. 

You’ve spent time as a research scientist at Google in Silicon Valley and now founding Mobvoi in Beijing. How would you compare the innovation ecosystem between these two places?

I would argue that Beijing has caught up with Silicon Valley really quickly. If you think about two or three years ago there was still quite a difference in terms of business models and talent. I think right now Beijing is really close to Silicon Valley in many aspects, and in some ways Beijing might be ahead. 

Beijing has caught up with Silicon Valley really quickly.

In terms of talent, those really good people really motivated, smart, well-educated and professional I think Silicon Valley is still much better than Beijing. But it’s a process. I would argue that Beijing is catching up because all those things can be trained, as long as you’re facing real problems. Right now companies like Didi and Xiaomi have tough problems, and commercializing is very important. They gradually become better and better because they face real problems, and if they solve the problem they get real returns.

If you think about the VC money, I think Beijing is comparable to Silicon Valley and sometimes the market size might actually be bigger. It’s much easier for you to attract 1 or 2 million users just in Beijing. That’s the benefit of China.

But Silicon Valley certainly has a lot of advantages. If you’re a company in Silicon Valley, from day one you’re a global company. When the world looks at Beijing and Silicon Valley, they always think Silicon Valley really represents the global values of human society, while Beijing is seen as China-specific. Especially in the Western world, I think there still exists bias towards the Chinese system. From that sense I think Silicon Valley companies still have an advantage: from day one they can go global, they have a global brand. 

Recently Uber sold its China operations to Didi, and we’ve seen lots of new partnerships between companies in the two ecosystems. What’s driving this trend of increasing cooperation and partnerships between Silicon Valley and Beijing?

I think absolutely the relationship between Beijing and Silicon Valley is going to be much tighter, and there will be a lot more interaction. The real motivation is commercial the business side. I remember in 2010 when Google withdrew from China, their revenue from China might have just been 1 percent of their global revenue. That’s really nothing. 

The relationship between Beijing and Silicon Valley is going to be much tighter.

But if you think about how mobile has changed in the last three or four years, the Chinese mobile phone market is now the largest in the world, I think around 20 percent globally. That means as long as you’re a global company and you care about that 20 percent of the market, then you’ve got to either operate here locally or have a good partner in China.

On the other hand, Chinese companies also want to go global. Now companies here are confident: they have money, they have people, they have the market share and they also have a global view. That’s why you’re seeing so much foreign investment by Chinese tech companies in Silicon Valley and Europe.

Given that desire to access China, what are the main obstacles other than outright government blocking of sites that U.S. tech companies face in China?

I think for U.S. companies coming to China, if your company is more operational if it’s really not about technology those companies really don’t have a lot of competitive advantages here. It’s more about local operations, speed of action, competition in fundraising. For funding or speed of operations, I think local Chinese companies are really, really strong. That’s exactly why a company like Uber has a really tough war here. Didi is so aggressive in terms of raising money, speed of execution, growth, etc. You have to make quick decisions, quick reactions to changes in the market, and if your headquarters is in the U.S. it’s going to be difficult. 

But I think for technology companies it might be a little different. If it’s really technology-driven and it’s actually at the frontier, those companies still have an advantage when they come to China. But for the operations, they still need to have some really localized operation teams. I think Silicon Valley companies have a really global view, but they need local action.

NICOLAS ASFOURI via Getty Images
ATibetan Buddhist monk talks on his smartphone as he sits on the grassland of the Tibetan Plateau in Yushu County.

When talking about your own company’s move into international markets, you’ve said, “We’re not going to emphasize that we’re a Chinese company, but we’re not going to hide it either.” What do you think are the obstacles for Chinese companies as they go global?

Chinese companies are much more confident now in terms of the technology, the speed we can execute, how hard we can work on the problem. But we certainly face problems in the way the Western world thinks about Chinese companies: they don’t have real technology, they don’t have innovation, they produce cheap products, they are not trustworthy. I think those ideas are still in the minds of most Western people, and those are real obstacles we’re going to face.

But for me and for many Chinese technology companies, if you want to go overseas, I think you really have to focus on the product and the user itself. As long as you have a really, really good product, when users are purchasing the product they won’t be worried if you’re from China or from Russia. If you don’t have a good product or user experience you have zero chance of being successful in the U.S. Once you have this, you might have a chance, as long as you’re patient.

Our mission is to define the next generation of human-computer interaction by using AI technology.

Your international Kickstarter campaign for the Ticwatch 2 has already raised over a million dollars. Why did you choose to launch Ticwatch 2 on global markets, and what will it be like entering into the global marketplace? 

For Mobvoi, we want to be a global company, and we want to be a technologically innovative company. Our mission is to define the next generation of human-computer interaction by using AI technology. I think this is really something new; it’s a mission that hasn’t been fulfilled by anyone in the U.S. or any other country.

We really want to collect feedback globally. If you get a global view of the market and you get a lot of feedback from all kinds of places, it will actually change the way you think about the problem and address it.

We’re pretty confident that our product is competitive. In China we face the exact same competition: Apple, Huawei, Samsung, Moto 360. They all have products here [in China], so when we go overseas it’s the exact same competition we’re facing. In China we’re doing very well when compared with those big brands.

The Western market for this new emerging category is really interested in seeing a new brand, a new way of doing the smartwatch. I think our way of doing the smartwatch is really different: we do the algorithm, operating system and hardware all by ourselves, so it’s an entirely integrated product and its highly optimized. I think we’re going to bring something new and unique to the smartwatch market. 

This interview has been edited and condensed for clarity.

Read more: http://www.huffingtonpost.com/entry/tech-entrepreneur-china_us_57b38513e4b0b42c38af18ac?section=&

The fast food giant was hoping Step It! Activity Band would be a means of getting kids active but Wednesday voluntarily removed the device from restaurants

Reports of skin irritation have derailed plans by McDonalds to give out fitness trackers instead of toys in its Happy Meals.

The fast food giant was hoping the Step It! Activity Band would be a means of getting kids active, Digital Trends reported. On Wednesday, it voluntarily removed the device from its restaurants and was investigating the issue.

We have taken this swift and voluntary step after receiving limited reports of potential skin irritations that may be associated from wearing the band, Terri Hickey, a McDonalds spokesperson said in a statement.

The colorful plastic device strapped on like a watch and tracked steps. It blinked as the wearer walked and blinked more rapidly the faster they moved.

Physical activity is important to everyone of all ages. We very much support childrens well-being, Michelle McIlmoyle, senior marketing manager for McDonalds Canada, said in an earlier press release according to Digital Trends.

The news of the fitness-minded move was seemingly tied to the Rio Olympics, which the chain sponsors. McDonalds has made numerous Rio-themed tweets since the Games began many of them showing kids playing sports.

McDonald’s (@McDonalds) August 14, 2016

Miniature medalist in the making. #Rio2016 pic.twitter.com/g7NonSAVDa

In the Olympic village, athletes and coaches get free McDonalds and have been taking full advantage. The line is often out the door. Athletes have been ordering so much that theres now a limit on how much one person can order, according to the Washington Post.

With Step-it, McDonalds seemed to be jumping onto a recent trend of step counting. Many smartphones and smartwatches come with the feature. An entire industry has formed around the device as brands like FitBit or Jawbone become even more popular and high tech.

Mashable tried out the McDonalds device and noted that it didnt seem built to last or accurate. Nevertheless, for the children who will use the Step-It, the apparent progress shown on its tiny screen will likely be enough to encourage the wearer to keep trying to rack up the steps, the site wrote.

On Twitter, the National Eating Disorders Association criticized McDonalds for associating fitness tracking with meals. Kids shouldnt have to earn a meal! the association tweeted. The chain has been criticized in the past for giving out toys with its food.

Fitness trackers have been praised by certain healthcare experts as a way to motivate kids to exercise. I love it that Happy Meals will include a Step-it because it promotes physical activity, Lisa Gualtieri, an assistant professor of public health at Tufts University School of Medicine, told Boston Magazine. It gives children a greater awareness of their step count. From a public health perspective, increasing awareness of and providing education about physical activity is beneficial.

Others pointed out the irony of the fast food chain giving away a health minded object. Many rushed to try it out.

Kendra Alvey (@Kendragarden) August 17, 2016

McDonalds is giving out fitness trackers in happy meals which is sorta like lighting you on fire then handing you water but like with fries.

Faiza (@CityFaizaAmin) August 15, 2016

My motion activated ‘Step It’ says I’m being active while grabbing some @McDonalds fries @CityNews pic.twitter.com/9jqU0ID0rV

Already, one parent posted a video of his five-year-old daughter running around gleefully with the step counter. McDonalds, you did right, he said. She cant stop. Its just constant. Shes gonna sleep great.

Los Medina (@FrontOfficeLos) August 13, 2016

So @McDonalds has provided a kids version of a step counter with the current happy meal. #greatparentsuccess pic.twitter.com/nhFgcMZWlV

The chain put out similar activity toys during the 2012 Olympics in London.

Read more: https://www.theguardian.com/business/2016/aug/17/mcdonalds-fitness-trackers-happy-meals-backlash

(CNN)For years, the Jabara family says, their Tulsa neighbor terrorized them.

He called them names — “dirty Arabs,” “filthy Lebanese,” they said.
    He hurled racial epithets at those who came to work on their lawns, they alleged.
    He ran Haifa Jabara over with his car and went to court for it.
    And it all came to a head last week when the man, Stanley Vernon Majors, walked up to the front steps of the family home and shot and killed Khalid Jabara, police said.
    “The frustration that we continue to see anti-Muslim, anti-Arab, xenophobic rhetoric and hate speech has unfortunately led up to a tragedy like this,” said the Council on American-Islamic Relations.

    Tense times

    These are tense times for Muslim-Americans — and those perceived to be Muslims. (The Jabaras are Christians of Lebanese descent.)

    Stanley

    Ever since the Paris attacks, carried out by extremists hiding behind religion, xenophobic bile has poured out. Then came San Bernardino, and after it anti-Muslim rhetoric from the Trump campaign, and a steady stream of hateful incidents came rolling in.
    What makes the Jabara case stand out is authorities had several opportunities to intervene, but appeared to have bungled, the family believes.
    “This is troubling at any time, but profoundly disturbing given the current climate of our country and the increase nationally in cases of hate crimes,” the family said.

    A long history of harassment

    Khalid Jabara’s parents immigrated to the United States in the early 1980s from Lebanon.
    They settled in Tulsa and raised three children. One brother became a lawyer, the sister works in marketing, and Khalid Jabara ran the family catering business with his mother.
    “He was hilarious, quirky, very intelligent, and really would give all of himself for anyone he loved,” his brother wrote in a Facebook post.
    The Jabara family moved into their current home 12 years ago. A few years later, Stanley Majors moved into the house next door.
    The harassment and intimidation began almost immediately, they say.
    “He’d call us names all the time. ‘You dirty Arabs, get out of here,'” the mother, Haifa Jabara, told CNN.
    “I had a guy who mowed our lawn, he’s black. He’d scream, ‘You N-word, get out of here.”
    Neighbors lodged several complaints with police against Majors over his behavior.
    And in 2013, the family filed a protective order, which forbade Majors from having any contact with the Jabaras.
    It didn’t make a difference.
    “Every time I came outside at night, he’d scream and yell at me. Scared me to death,” Jabara said.

    Attack while awaiting trial

    In 2015, Haifa Jabara says she was taking a walk in the neighborhood when Majors ran her over with his car.
    “He came from the back and hit me hard,” she said. “I fell on the floor, bloody, bleeding from my head. A lady was passing by, called 911 and rescued me,” she said.
    She spent weeks in the hospital with a broken shoulder, collapsed lung and fractured ribs, among other injuries.
    Police charged Majors with felony assault. Initially, he was held in custody without bond. But three months ago, against the district attorney’s wishes, a judge allowed his release until his trial in March 2017.
    “My family lived in fear of this man and his hatred for years. Yet in May, not even one year after he ran over our mother and despite our repeated protests, he was released from jail with no conditions on his bond — no ankle monitor, no drug/alcohol testing, nothing,” the family said.
    Majors was also charged with public intoxication. So, the family can’t understand why a judge would release him without conditions.
    “This family did everything they could do. They used every legal avenue they could to protect themselves,” Rebecca Abou-Chedid, a family friend, told CNN.
    Majors’ lawyer, Marvin Lizama, said the man had been in good spirits since his release.
    “I don’t know what happened last week that could have changed that,” he told CNN.
    “Never did I expect Mr. Majors to do something like this. This was unexpected and unfortunate.”
    Tulsa County District Attorney Steve Kunzweiler released a statement on Tuesday: “Majors presented an obvious public safety risk and we made that argument to the Court. The family did everything they were supposed to do and the system failed them. Once we receive the investigative reports from Tulsa police, we will review them for consideration of charges. Majors is presumed innocent under the law until a judge or jury determines otherwise.”

    Family begged for protection

    The family feared the harassment would just escalate.
    On Friday, the night of his slaying, Khalid Jabara called to tell his mother not to come home because Majors had a gun.
    Officers arrived on scene but they couldn’t go inside Major’s home to check, so they left, said police spokeswoman Ashley Leland.
    About 10 minutes later, Khalid Jabara was shot while he was on the phone with his mother.
    “She heard what no one should ever have to hear,” Abou-Chedid said.
    Khalid Jabara died at the hospital.
    After the shooting, officers found Majors hiding behind a tree at a library.
    He has been arrested on suspicion of first-degree murder. And this time, he’s being held without bail.

    Read more: http://www.cnn.com/2016/08/16/us/tulsa-arab-american-shooting-trnd/index.html