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A sober bar manager says every bar will have to serve non-alcoholic options to remain competitive. Here's how he keeps things fun.

Eliott Edge pours a drink behind the bar at Hekate in New York City.
Eliott Edge pours a booze-free drink behind the bar at Hekate.

Katie Balevic.

  • Hekate Café & Elixir Lounge offers a sober experience in New York City.
  • BI visited Hekate following the US Surgeon General's report linking alcohol to cancer.
  • Though alcohol use soared amid the pandemic, there is a blossoming sober-curious movement.

Tucked away in Manhattan's East Village, a sober bar offers an alternative to the rest of the boozy scenes in New York City.

On a Saturday night, Eliott Edge, the bar manager at Hekate Café and Elixir Lounge, welcomed patrons, telling newcomers that: "Everything — with a capital E — is alcohol-free."

Business Insider revisited Hekate after US Surgeon General Dr. Vivek Murthy said alcohol is a leading cause of cancer and should have warning labels like those on cigarette boxes.

Edge, a career bartender, said he was drunk for five years straight before seeking rehab. Now, after being sober for two years and rebranding himself as a mocktail bartender, he wasn't surprised by the surgeon general's announcement.

"The news is not news, yet at the same time, whenever an authority figure shows up and makes a declaration, it enables people to reconsider their behavior," Edge told BI. "People are now going to think about their choices differently."

The drink menu at Hekate, where everything is alcohol-free.
The drink menu at Hekate, where everything is alcohol-free.

Katie Balevic.

Alcohol consumption surged during the COVID-19 pandemic and deaths from excessive alcohol use jumped nearly 30% from 2016 to 2020, according to the Centers for Disease Control and Prevention. Heightened levels of excessive drinking continued into 2022, well after the pandemic first hit, according to the Annals of Internal Medicine.

Even so, Gen Z drinks less than previous generations, fueling a growing interest in sober socializing.

"It does seem that there is a slowing down of alcohol consumption enough for those of us in the industry who make it our job to notice," Edge said. "If there is a silver lining to the pandemic, it is that this whole new world of non-alcoholic options really exploded onto the scene."

Edge predicted that every bar will have to have non-alcoholic options to remain competitive "because they're going to realize that it's like vegetarians or vegans or gluten-free or dairy-free. It's just another type of customer profile to cater to — and the ones that don't cater to that are going to go the way of the dinosaur."

Though Hekate is a totally sober experience, Edge said the bar is a "shining example" of how to do it right.

Mystical decor on display at Hekate.
The bar, which shares a name with the Greek goddess of witchcraft, is full of mystical decor.

Katie Balevic.

Drinks at Hekate are about $13 for those paying cash — slightly less than your average cocktail at an NYC bar.

But Edge says people come to bars for fun, and with his bar's music, lighting, and mood, Hekate delivers. The cozy bar, which shares its name with the Greek goddess of sorcery and witchcraft, is decorated accordingly.

"You don't need alcohol," Edge said. "Very little is required to have a good time. Really what we need is permission to have a good time, which is what booze does for us. But how often does that good time end in a shit show?"

Not only is he happier as a sober mocktail bartender, Edge said his customers seem happier too, even if they're only stopping by for a mocktail or two before going out for boozey drinks later on.

"My regulars look fantastic, you know? They don't look like they're slowly sliding down the hill," he said. "I'm not watching fights break out amongst best friends. I'm not watching dates dissolve into, you know, puddles of misery."

Perhaps the best part?

"My bathrooms are much cleaner."

Read the original article on Business Insider

Bill Gates' net worth: How Microsoft's co-founder spends his $160 billion, including properties, cars, and philanthropy

Bill Gates smiles in a close-up photo.
Bill Gates is a centibillionaire worth roughly $160 billion.

Annette Riedl/picture alliance via Getty Images

  • Bill Gates, the co-founder of Microsoft, has a net worth of $160 billion.
  • The billionaire and philanthropist plans to give away most of his wealth to his charity foundation.
  • For now, he spends his wealth on luxuries, from his car collection to a vast real estate portfolio.

Bill Gates may be one of the 10 richest people on earth, but he doesn't plan to stay that way forever.

The billionaire philanthropist and co-founder of Microsoft has pledged to give away most of his wealth to charity, which he says will bump him off the world's richest people list.

Gates' net worth is $160 billion, according to Bloomberg's Billionaires Index. He is one of only a handful of moguls to reach centibillionaire status.

He's also made some lavish purchases over the years: Gates owns a mansion in Medina, Washington; a private airplane; and a luxury car collection. These indulgences comprise only a fraction of his massive fortune.

Gates has also given money to charitable causes through the Bill and Melinda Gates Foundation and vowed to give away most of his fortune through the Giving Pledge, which he and his ex-wife Melinda French Gates launched in 2010 along with Warren Buffett.

Here's a look at how Gates spends his billions.

Gates has an estimated net worth of $160 billion.
Bill Gates speaking at an event in Washington in 2014.
Bill Gates was once the world's richest person.

Chip Somodevilla/Getty Images

Gates long held the title as the world's richest person, up until 2018 when Jeff Bezos surpassed him.

Now, Gates is only the world's seventh-richest person and part of an exclusive club of centibillionaires — people worth over $100 billion.

Gates has invested in various stocks and assets and launched a $1 billion investment fund, Breakthrough Energy, alongside 20 other investors.

Despite his massive fortune, Gates previously told Ellen DeGeneres that when he became a billionaire at age 31 (which was history's youngest billionaire at the time), he didn't immediately start splurging. Gates' initial spending spree was limited to just two "crazy" purchases: a Porsche and a private jet.

Gates has splurged on some things, like his luxury car collection.
A blue Porsche 911 is parked in front of a large "911" sign in neon lights.
Gates' first major purchase was a Porsche 911, similar to this newer model.

Fabrice Coffrini/AFP/Getty Images

After founding Microsoft, Gates bought a Porsche 911 — his first big splurge, which he purchased in 1979, even before Microsoft's hit products like Windows and Word ever reached the market. Gates later sold the Porsche, and it was auctioned for $80,000.

Gates' car collection later included a Porsche 959.

Gates also owns a small fleet of private jets.

Gates invested heavily in his Washington estate called Xanadu 2.0.
Bill Gates' multistory lakefront mansion in Medina, Washington, is surrounded by trees.
Gates spent millions on his estate in Medina, Washington.

Ted Soqui/Corbis via Getty Images

Gates owns at least 12 parcels of land spanning about 10.5 acres in Medina. He purchased the land for a combined $34 million between 1988 and 2009. In 2023, the Gates' property taxes in Medina came to $1.3 million.

Gates' estate includes a 60-foot pool — in its own separate, 3,900-square-foot building — with an underwater sound system. He reportedly paid to import sand from St. Lucia in the Caribbean to the shore surrounding his house.

There's also a 2,100-square-foot library, home to a 16th-century Leonardo da Vinci manuscript that Gates bought at auction for $30 million in 1994. The home also features several famous paintings, including a Winslow Homer painting Gates purchased for $36 million in 1988.

The mansion has six kitchens, 24 bathrooms, a home theater, and various garages for his 23 cars.

Gates also has properties in Florida and Montana.
An aerial view shows homes, apartment complexes, and waterways in Wellington, Florida.
Gates owns multiple mansions in Florida.

Crystal Bolin Photography/Getty Images

Aside from his Washington home, Gates has a 20-acre estate in Wellington, Florida. The estate includes at least two mansions, one 6,668 square feet, and the other 5,716 square feet. He bought the properties over three years for about $35 million.

Gates' daughter, Jennifer Gates Nassar, is an accomplished equestrian, and he bought the property to support her passion. It serves as the home base of her horseback riding facilities, and the area is a hot spot for many other wealthy equestrians as well.

He also purchased property at the Yellowstone Club in Montana. The main house is 6,993 square feet and has eight full baths, eight bedrooms, a sauna, and a home theater, according to property records.

Additionally, Gates is the biggest owner of private farmland in the country, with a whopping 275,000 acres. Gates has faced questions in the past about what he is doing with the land, and has downplayed concerns about the farmland, saying it's managed by his investment team and makes up only a small fraction of total US farmlands.

Gates has several properties in California, too.
An aerial view shows the layout of Bill Gates' Del Mar Country Club in San Diego.
Bill Gates and Melinda French Gates' first San Diego property is on the grounds of the Del Mar Country Club.

EarthExplorer

In California, Gates owns the 228-acre Rancho Paseana, which he purchased for $18 million. When he bought it, the property had a racetrack, olive orchard, and five barns.

In 2020, he dropped $43 million on an oceanfront home in Del Mar with a 10-person Jacuzzi and 120 feet of Pacific coastline.

Gates also owns a 6-bedroom home on the grounds of Indian Wells' famous Vintage Club.

There's also another home on the grounds of a country club, Santaluz Club, in San Diego.

Some of the properties have likely been divvied up between Gates and French Gates following their divorce.

Gates has made numerous investments through his personal investment firm.
A close-up photo shows Bill Gates smiling.
Gates is an active investor.

Metin Pala/Anadolu via Getty Images

Using his personal investment firm, Cascade, Gates has made several investments, including partial ownership of the Charles Hotel in Cambridge, Massachusetts.

In 2013, Gates and several unnamed buyers paid $161 million for the Ritz-Carlton in San Francisco.

Gates takes luxurious vacations.
Bill Gates' superyacht Serene is docked at a wharf in Auckland, New Zealand.
Gates chartered the superyacht Serene for a family vacation.

Phil Walter/Getty Images

Gates never took weekends or vacations during the early days of Microsoft, and has said startup founders shouldn't, either. However, Gates made time for some splashy trips later in his career.

In 2014, he treated his family to a Mediterranean vacation on board the 439-foot superyacht Serene, which he chartered for $5 million a week. It included a helicopter.

He's also traveled to Australia, Croatia, Belize, and the Amazon in Brazil.

He previously said that he likes to play tennis and go skiing. He's also been spotted at tennis matches.

But Gates' downtime isn't always so adventurous. Gates loves books, and is an "avid bridge player," as he told Reddit in a 2013 AMA.

Gates is a well-known philanthropist.
Bill Gates, wearing a microphone earpiece at an event, smiles and rests his face on his hand.
Gates frequently donates to charitable initiatives and invests in healthcare ventures.

Sean Gallup/Getty Images

Gates has sometimes said he has no use for money, and often speaks of his philanthropic giving and healthcare investments.

A grant from Gates and his then-wife Melinda led to the creation in 2003 of Amyris, a synthetic biology company that originally produced precursors to malaria drugs and hydrocarbon-based biofuel but also uses the technology for things like fragrances, skincare, and sweeteners. The company filed for Chapter 11 bankruptcy in 2023.

In November 2017, Gates invested $50 million into Alzheimer's research. In 2018, he invested another $30 million with a group of investors in the Diagnostics Accelerator, a "venture philanthropy" fund to diagnose Alzheimer's earlier.

Gates and his former wife also pledged about $2 billion to defeat malaria, donated over $50 million to fight Ebola, and pledged $38 million to a Japanese pharmaceutical company working to create a low-cost polio vaccine.

During the pandemic, their foundation announced a 5-year, $1.6 billion commitment to Gavi, the Vaccine Alliance, to deliver vaccines in the world's poorest countries.

The Gates Foundation also funds education through its $1.6 billion initiative known as the Gates Millennium Scholars Program.

The foundation said it made $77.6 billion in grant payments from its inception through Q4 2023. Gates' total giving to the foundation during that time period totaled $59.5 billion.

Its 2024 budget is $8.6 billion, and the foundation is targeting a $9 billion yearly budget by 2026.

In the future, Gates has pledged to give most of his wealth away.
Bill Gates and his daughter Phoebe arrive for TIME 100 Gala at Lincoln Center in New York on June 8, 2022.
Gates has said he wants to fall off the list of richest people by donating his billions away.

ANGELA WEISS/AFP/Getty Images

Gates is frequently named among the most generous philanthropists in the United States.

He has vowed to give away most of his fortune through the Giving Pledge, which he helped launch in 2010.

In July 2022, he reiterated that he plans to give virtually all his wealth to his and French Gates' foundation, saying that he'll eventually fall off the list of the world's richest figures.

Read the original article on Business Insider

The top 15 gifts that Gen Z touted in their Christmas hauls, according to someone who watched hundreds of haul videos

jellycats
Jellycats were all the rage for tweens and teens.

JULIEN DE ROSA/AFP via Getty Images

  • Tweens, teens, and college-aged kids showed off their Christmas hauls in TikTok videos.
  • Casey Lewis, who writes about young consumers, watched about 1,000 haul videos, she told BI.
  • Here are the top items that Gen Z kids bragged about getting for Christmas.

It was a very merry Christmas for some Gen Zers who took to social media to show off everything they unwrapped.

Casey Lewis, who writes the youth insights newsletter After School, analyzed Christmas haul TikTok videos from tweens, teens, and college-age consumers and compiled a list that she shared on her own TikTok.

"This is the third year I've done this sort of thing with the Christmas hauls, and I tried to refine my system just so that I'm able to actually crunch the data a little bit more scientifically," Lewis told Business Insider.

She said she watched hundreds of videos at double the speed to tally the standout gift items.

"I think conservatively, at least a thousand [videos]," Lewis said. "I was trying to discreetly binge Christmas haul TikToks while also spending time with my family."

From luxury clothing to throwback tech, these were the top gifts that the younger generation showed off in their Christmas hauls.

Digital cameras

"I think the thing that surprised me the most was how popular digital cameras were," Lewis said, noting that Gen Z has an affinity for Y2K nostalgia. "Everyone got digital cameras. It was also really interesting to see some of them got really expensive Sony ones, but then now Amazon makes those digital cameras that come in cute colors."

A basic Sony digital camera might run at around $750, but Lewis said she saw people showing off cheaper options from Amazon and Urban Outfitters for less than $100.

"They've sort of caught onto this trend, but then you kind of wonder how long is that going to last?" Lewis said.

UGG boots
Sophia Geiss is seen wearing wide-legged jeans from COS, and beige suede platform shoes with decorative seams from Ugg on November 22, 2024 in Berlin, Germany
Ugg continued their reign of popularity among tweens and teens.

Jeremy Moeller/Getty Images

UGG remained a hot item this year with the Ultra Mini boots and Classic Mini boots, which cost $150 to $160, reigning supreme.

"This year, it was the Minis, and last year, it was the Minis but also the Platforms," Lewis said. "Every year, they're just able to continue to be such a thing."

While she was going through the videos during the holidays at her childhood home, Lewis, who is 37, said she was surrounded by relics from her own childhood, like her own pair of UGG boots.

"Uggs and digital cameras — has anything changed? Am I still just a 16-year-old?" she said.

Rhode skin and beauty products

Lewis also said it was "staggering" how popular Rhode, Hailey Bieber's beauty brand, had become.

"Everyone got the lip peptide treatment," Lewis said. "It's such a popular skincare brand."

Rhode's peptide lip tint retails for $18.

"We know that celebrity brands are so fickle," Lewis said, "but it almost feels like this may have successfully reached the point where it's bigger than her and will thrive independently."

Sol de Janeiro products
Sol de Janeiro Cheirosa 62 hair and body mist
Sol de Janeiro products were very popular, especially the fragrances.

Sephora

Another popular beauty brand was Sol de Janeiro, which makes body and hair care as well as fragrances.

Gen Z kids showed off their "Cheirosa '62" perfume mist, which Lewis said was a big hit this year.

A full-size, 240 ml bottle retails for $38.

Jellycats
jellycats
The tweens and teens went crazy over Jellycats.

JULIEN DE ROSA/AFP via Getty Images

Tweens and teens went crazy over Jellycats, small plush toys that retail for $30 to $50.

"Jellycats were mentioned on every wish list, and they were very popular in hauls," Lewis said.

Lewis saw many Jellycats in haul videos but not as many as she expected, prompting her to question whether the kidult purchasing trend is declining.

"Are parents tired of buying their kids, their almost grown kids, stuffed animals? I don't know," Lewis said. "It feels very similar to Beanie Babies where it was a craze, but it wasn't able to sustain because no craze is."

White Fox apparel

Luxury loungewear remained popular this holiday season.

The $50 sweatpants from White Fox, which is headquartered in Australia, were "very popular" in haul videos, Lewis said.

"Athleisure had such a moment coming out of COVID, but young people are still very much prioritizing comfort clothes," Lewis said, noting that brands like Lululemon were also popular. "Teen and college-age girls, so many of them just wear sweat sets."

Roller Rabbit pajamas
Roller Rabbit Hearts Pajama Set
Roller Rabbit's pajamas retail for over $100.

Courtesy of Bloomingdale's

Roller Rabbit pajamas were a popular gift pick as well, according to Lewis' analysis.

Available in dozens of different brightly colored patterns as well as in short- and long-sleeve options, the pajamas retail from $138 to $158.

Lewis noted the pajamas convey a sense of status.

Shark hair tools

Whereas last year saw a craze for Dyson hair tools, this year was all about Shark tools.

"I don't think I could have been trusted when I was a teen with an expensive hair tool," Lewis said. "I just don't think I could have taken care of it and not accidentally broken it."

While the classic set of Dyson hair tools retails for $600, the Shark set is comparatively more affordable at $300.

Vanity desk and mirror
A set of makeup artist brushes in front of a vanity mirror.
Vanity mirrors or desks were popular gifts, too.

Aleksandr Zubkov/Getty Images

While not a name-brand item, many tweens, teens, and college-age girls said in their Christmas haul TikToks that they got a vanity desk or a vanity mirror to put on their desk.

Vanity mirrors often come with lighting that is optimal to use while applying makeup. Depending on the brand, a desk with a vanity mirror might cost about $1,000.

Dae hair styling cream

A styling product from the brand Dae was a popular stocking stuffer, Lewis said.

The styling cream comes with a small wand that's helpful for doing a slick back hairstyle.

A 0.6 oz tube retails for $18.

Adidas Campus shoes
Sonia Lyson seen wearing Sporty & Rich grey cashmere grey jogging pants and Adidas black leather Campus sneakers, on April 10, 2024 in Berlin, Germany.
Adidas sneakers remained popular this year.

Jeremy Moeller/Getty Images

Adidas also continued its reign of popularity.

The Campus 00s, which retail for $110, were the go-to pick, Lewis said.

In previous years, Adidas Gazelles and Sambas were the choice picks.

Alani Nu energy drink

Alani Nu energy drinks were a popular, small-dollar item. Lewis referred to it as the "cool girl energy drink" in her TikTok analysis.

A 12-pack retails for $30.

"What's fascinating about that is it is a very accessible energy drink, but it's also very aesthetic," Lewis told BI. "The energy drink that appeared in so many Christmas hauls this year was nowhere to be found in Christmas hauls last year. So that's a little bit about how quickly some of this stuff changes."

Touchland hand sanitizer

Touchland hand sanitizers were another popular stocking stuffer, Lewis said in her analysis.

"$10 for a tiny hand sanitizer is kind of crazy," she told BI.

But for a 30ml hand sanitizer, it still carries some clout, she said.

"These more affordable, or at least accessible, items that have a little bit of status associated, a little bit of clout," Lewis said. "You don't need to have the Louis Vuitton, or you don't need to even have the Sony camera."

LoveShackFancy Perfume
LoveShackFancy
LoveShackFancy's $125 perfumes were all the rage.

Emily Carmichael/Insider

LoveShackFancy's perfume in the scent "Forever In Love" was a hot gift, Lewis said.

A 2.5 oz bottle retails $125.

Other popular perfume runner-ups were Billie Eilish's "Eilish Eau de Parfum," which retails for $72 for a 3.4 oz bottle, and Glossier's "You," which costs $112 for a 100 ml bottle.

ONE/SIZE setting spray

Wrapping up the list was waterproof setting spray from ONE/SIZE by Patrick Starrr.

A 3.4 oz can of the mattifying spray retails for $32, adding to the subset of more affordable items that Lewis noted.

"There were not a lot of, I don't know, designer sunglasses. I did see a couple of designer purses," Lewis said. "It's not like there's one emerging or one dominant luxury item that everyone is feeling like they need to have."

Read the original article on Business Insider

Park City skiers said their resort vacation became a mess after a ski patrol strike shut down much of the mountain

Ski patrollers hold strike signs during their work stoppage at Park City Mountain Resort in Utah.
Ski patrollers are on strike at Park City Mountain Resort in Utah.

Courtesy of Margaux Klingensmith.

  • About 200 ski patrollers are on strike for better wages at Utah's Park City Mountain Resort.
  • Large swaths of the mountain have been closed, and lift lines have been long, frustrating customers.
  • Some customers told BI they won't return to corporate resorts, instead opting for family-run spots.

Skiers at Utah's Park City Mountain Resort say their vacations were spent waiting in painfully long lines and navigating overcrowded trails after hundreds of ski patrollers and mountain safety personnel walked off the job.

The work stoppage over wages at one of the nation's largest ski resorts came as more than two feet of snow blanketed Park City in the last week — normally, a skier's dream. But for Jim Lebenthal, the snow was mostly experienced from the back of a line.

"It started out bad, and it got worse," said Lebenthal, a partner at a wealth management firm.

Lebenthal, also a CNBC contributor, said that 75% of the mountain was closed on his family's first day of skiing on December 27. By December 30, he said 80% of the mountain was closed.

"The lift lines were interminable," Lebenthal said. "It got to the point where it was one run an hour, and a run takes probably seven minutes, and the rest of that is sitting in lift lines."

TF Jenkins, a managing director at a Florida-based wealth management firm, said the closures resulted in limited options.

"There wasn't a ton of terrain open, and we were just doing the same thing over and over again," Jenkins said.

A bad day of skiing can feel especially frustrating given the cost of the sport — lift tickets alone at Park City Mountain Resort can cost more than $300, not including rentals and lodging. Many resort guests took to social media to complain about the conditions.

Vail Resorts Inc., which owns the resort, saw its stock drop about 6% in the last week.

A strike during peak ski season

The Park City Professional Ski Patrol Association (PCPSPA) said it has been in contract negotiations with Vail Resorts since April and is trying to secure wage increases to match inflation, among other things.

About 200 ski patrollers, represented by the union, went on strike on December 27 after negotiations with Vail Resorts broke down.

The resort remained open, "with safety as its top priority," the resort said in a statement.

Hundreds of skiers and snowboarders wait in line at a lift.
Skiers and snowboarders waited in hour-long lines at lifts.

Courtesy of TF Jenkins.

A spokesperson from the resort told BI that December 30 was "especially challenging" due to early season conditions.

"Each day, we open the terrain we can safely open with the team members we have," Sara Huey, Vail Resorts' Director of Community and Government Affairs, told BI in a statement. "We have had impacts to terrain as a result of the patrol strike."

The union's demands

Vail Resorts said in a statement that it had reached agreements on 24 out of 27 contract terms. The remaining issues were contract length, wages, and benefits — often considered by members to be the most important parts of a contract.

Bill Rock, the President of Vail Resorts' Mountain Division, said the resort has made "significant investments" in its staff.

"Our wages and benefits are strong, as demonstrated by the high return rate among patrol teams across our company and by the number of applicants we get for any patrol opening," Rock said in a statement.

But that doesn't match up with the lived experiences of ski patrollers, said Margaux Klingensmith, a business manager for the union and six-year patroller at Park City Mountain.

"We have patrollers who cannot afford to continue doing this job if they are not compensated better for it," Klingensmith told BI.

The union wants patroller base pay raised from $21 to $23 with an included cost-of-living adjustment.

It also wants to combat wage compression, which Klingensmith said has allowed five-year patrollers to be making the same amount as 15-year patrollers, who are significantly more experienced. Better compensation would help retain those experienced patrollers, which Klingensmith said the resort is losing "at an atrocious rate."

"Trying to keep that experience around with a better compensation package is the real goal. But overall, the reason we're fighting for this is to make sure that we have members of our unit able to afford groceries and afford to pay their rent," Klingensmith said.

The union is also seeking better benefits for its members, including a healthcare stipend, accruing paid time off, and parental leave.

Striking ski patrollers hold signs.
Spirits at the picket line have been high as the strike stretches into its second week.

Courtesy of Margaux Klingensmith.

Customers say they won't be back

The PCPSPA said its members unanimously passed a strike authorization vote on December 13. In the days following, Deirdra Walsh, the VP and COO of Park City Mountain, issued several statements on Park City's website stating that the mountain would remain open "regardless of the union's actions."

Still, customers told BI that they felt Vail Resorts did not effectively communicate to them that their visit could be impacted by a strike.

"They should have let us know that this was potentially going to happen," said Lebenthal, who added that he would seek a refund if possible.

Jenkins also said he was frustrated by what he called a lack of communication from Vail Resorts. Jenkins, who bought four-day passes for his family eight months in advance, said he has reached out several times for a refund.

Jenkins added that there were also communication issues regarding wait times for the lifts.

"It would give you the wait times on the app for each lift that was open, and it would say five minutes, and you'd get there, and it'd be like 40 minutes."

He said it's common for mountains to be crowded, but this week's experience at Park City turned into a safety issue with skiers of varying levels zipping down crowded trails.

"This was a human-created situation without a whole lot of communication. I mean, we would've been fine sitting in and playing games all day if it was just not great snow and not great weather, but it was more frustrating when it's created by two different parties," Jenkins said. "It's all kind of been a zero-sum game."

Going forward, Jenkins said he will only ski at smaller, family-owned resorts.

"There may be a little more driving because they don't necessarily have lodging right next to the mountain, but I would rather support smaller local communities than this type of stuff," Jenkins said. "We won't go back to a corporate mountain."

Read the original article on Business Insider

My son and I witnessed the New Orleans terror attack. We won't let it deter us from visiting the city again.

Ruth Chavez and her son, Jonathan, have a tradition of visiting New Orleans together.
Ruth Chavez and her son, Jonathan, witnessed the attack while on vacation in New Orleans.

Courtesy of Ruth Chavez.

  • A man drove into a crowd on Bourbon Street in New Orleans on New Year's Day, killing 14 people.
  • Ruth Chavez, 40, was there celebrating with her 17-year-old son. They narrowly escaped harm.
  • She told BI she hoped the horrific attack wouldn't ruin their beloved mom-and-son tradition.

This as-told-to essay is based on an interview with Ruth Chavez, 40, who, along with her 17-year-old son Jonathan, witnessed the New Year's Day terrorist attack that killed 14 people in New Orleans. The following has been edited for length and clarity.

As mom and son, we've made it a tradition to go to New Orleans every year.

We've been to the city for three years running, and after our first visit, we felt completely comfortable and safe.

We've never felt like we were in danger at any time, except for our most recent night there, when, of course, the attack happened.

A yearly tradition

We don't really go out in Albuquerque, New Mexico — our home.

Our city is not very safe. We have a very high crime rate, so that's always my biggest fear with my son, a high school senior.

I try to avoid him going out anywhere in Albuquerque because he's young, and I feel like I can't protect him.

That's why we always go out of town to have fun. I take him on these trips to New Orleans to have a good time without worrying.

This time, we planned the trip seven months in advance. We were in town for the New Orleans Saints and Las Vegas Raiders game.

My son, Jonathan, is a diehard Saints fan, and the Raiders are my team. We were just having the best time on our vacation.

Ruth Chavez and her son, Jonathan, have a tradition of visiting New Orleans together.
Chavez and her son have a tradition of visiting New Orleans together.

Courtesy of Ruth Chavez.

New Year's Eve in the French Quarter

On our last night, we were hanging out on Bourbon Street, enjoying the music and the people, and having a great time.

But my son is 17, so he couldn't go to most places.

We were winding down for the night when we happened to walk into this one bar, which had its doors open all the way around. We were in there for probably a few minutes when we started hearing gunshots.

The bar's owners shut all the doors and told everybody to get down. We stayed in there, taking cover for about five minutes.

Then we walked out the door and saw the truck had crashed right in front of where we were.

Several people were on the ground. People were trying to save them, but there was no saving them.

We thought it was just a car crash — we didn't instantly know the magnitude of what had happened.

I was just watching this kid — a similar age to my son — die.

That could have easily been us if we had been on that street just a second longer.

A lucky escape

People were screaming, and nobody knew what was going on.

Then, weirdly, it got kind of quiet. Everything kind of settled down.

The police came and started putting up tape and making us leave.

Bourbon Street was very quiet — all you could hear was the sirens.

If that bar hadn't let us in, we would've been on that street, in the direct path of that truck. We would have been either run over or shot.

We were very, very lucky.

Members of the National Guard monitor a blocked off section of the French Quarter in New Orleans.
Members of the National Guard monitor a blocked off section of the French Quarter following the attack.

ANDREW CABALLERO-REYNOLDS/AFP via Getty Images

New Orleans, the city we love

Usually, on our last day, we do some shopping and take pictures. We're so pumped from having had so much fun.

This time, we didn't do any of that.

We just felt grief in our hearts, and it was just an awful feeling. We didn't even want to eat. We were just ready to go.

As bad as it was, I can't begin to say how thankful I am that we could leave New Orleans and get on that plane.

I got emotional thinking that these other people wouldn't get that chance. They won't be able to go home to their families the way we were able to.

Do we go back?

We were planning to go to a game next year in New Orleans, but now we're unsure about that.

I don't want to say we won't go for the game, but it's too soon to say we definitely will. We still haven't even processed everything.

Jonathan and I were talking about whether we would go back to the city again, and I said I would hate for that one person who was so evil and who did such a horrific act to ruin it for us.

So, we plan on returning to New Orleans at some point and not letting this deter us from the city we love.

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Before the Jeju Air crash, South Korea had gone from air safety 'pariah' to a global gold standard

A Jeju Air plane burst into flames after making a crash landing at Muan International Airport in South Korea.
The Jeju Air plane burst into flames after making a crash landing at Muan International Airport in South Korea.

South Korea's Muan Fire Station via AP

  • A plane crashed at an airport in South Korea on Sunday, killing nearly all of its passengers.
  • An aviation expert told BI that the pilots were possibly overwhelmed after a bird strike.
  • South Korea has transformed its air travel industry from a 'pariah' to one of the world's safest.

A plane crashed in South Korea, killing nearly all on board and surprising an industry that has come to view the nation as one of the world's safest for air travel.

Flight 7C2216, a 15-year-old Boeing 737-800 operated by the Korean budget airline Jeju Air, crashed while landing at Muan International Airport just after 9 a.m. local time on Sunday. Of the 181 people on board, there were just two survivors, both crew members.

The Jeju air plane crash.
A Jeju Air plane crashed on Sunday, killing 179 people.

Chris Jung/NurPhoto via Getty Images

In recent years, South Korea has been considered among the safest for air travel, but it wasn't always that way.

"25 years ago, South Korea was a pariah in the aviation industry," Airline News editor and aviation expert Geoffrey Thomas told Business Insider. He said the nation's safety standards have since improved "dramatically."

Sunday's crash marks the first fatal accident for Jeju Air, founded in 2005 and named one of the best low-cost airlines in the world in 2024 by aviation ranking website AirlineRatings.com.

The airline was founded after decades of fatal crashes prompted the nation to rehabilitate its aviation safety culture.

Years of deadly crashes

South Korea had a decadeslong history of crashes due to pilot errors.

Before 2000, Korean Air and Asiana Airlines were the two main airlines operating in South Korea. In mid-December, Korean Air completed a $1.3 billion acquisition of Asiana Airlines, marking a new era in the country's aviation industry.

Korean Air — the country's flag carrier and its biggest — struggled with safety during the latter part of the 20th century. The airline had seven fatal passenger and cargo crashes between 1978 and 1999, according to data from the Aviation Safety Network.

Pilot error was cited as a contributing factor in each.

Crash site of Korean Air 747 crash in 1997.
In 1997, Korean Air Flight 801 crashed in Guam due to a slew of factors, including pilot error.

credit should read KAZUHIRO NOGI/AFP via Getty Images

Some 75 passengers and crew, plus four people on the ground, died in 1989 when Korean Air Flight 803 crashed while attempting to land at Tripoli International Airport in Libya.

An Associated Press report published in 1990 said the Seoul Criminal Court sentenced the pilot, who cited poor visibility, to two years in prison for causing the crash.

One of the worst incidents happened in 1997 when Korean Air Flight 801 flew from Seoul to Guam. The Boeing 747 plane attempted to land at the A.B. Won Guam International Airport when it crashed, resulting in the deaths of over 200 passengers.

The National Transportation Safety Board published a report on Flight 801, which said the probable cause for the crash was the "captain's failure to adequately brief and execute" the approach, combined with the first officer and flight engineer's failure to monitor or challenge the captain.

Two fatal Korean cargo flights in 1999 also pointed to serious safety problems, including failed crew communication and cooperation.

Korean Air 747 crash in 1999.
Korean Air Cargo Flight 8509 crashed in 1999 due to pilot error and a technical fault.

In Pictures Ltd./Corbis via Getty Images

Founded nearly 20 years after Korean Air, Asiana only had one fatal crash before 2000, when a Boeing 737 landed short of Mokpo's airport in South Korea in 1993. Reuters reported that an inquiry found that pilot error was the cause of the crash, which killed over 60 people.

The series of crashes made Korean Air a pariah in the aviation industry.

In 1999, Delta and Air France suspended their code-share partnerships with Korean Air, temporarily severing their airline alliances.

Around the same time, the US Department of Defense banned its employees from flying on Korean Air planes.

In 2001, the Federal Aviation Administration downgraded South Korea's safety rating, citing its failure to meet international standards — representing a particularly low point for the nation.

From unreliable to the gold standard

In the late 1990s, South Korea embarked on an effort to rehabilitate its air safety reputation. It hired a retired Delta executive to help overhaul training and hiring practices.

Investigations of several Korean Air crashes found that cultural issues in the cockpit — wherein first officers and flight engineers didn't communicate effectively with the captains or hesitated to challenge them — were partly to blame for the deadly accidents.

According to a 2006 report from The Wall Street Journal, the airline shored up its training by increasing shared responsibilities among pilots and reducing its hiring of Korean Air Force veterans who struggled to collaborate with others who they considered inferior in rank.

The cultural changes paid off in the years to come.

By 2002, Delta and Air France resumed their partnerships with Korean Air, and the FAA upgraded the airline's safety rating. Likewise, the US Department of Defense lifted the ban on employees flying on the airline.

Korean Air plane in SkyTeam livery.
Korean Air is part of the SkyTeam Alliance with Delta and Air France.

AaronP/Bauer-Griffin/GC Images

By 2008, South Korea performed better than US airlines in the International Civil Aviation Organization's safety audit.

Korean Air is today considered among the world's safest airlines, and is part of the international SkyTeam Alliance — which requires strict high levels of safety to join.

"They certainly have cleaned up," Thomas, the editor from Airline News, told BI.

He added that Jeju Air had an "excellent" record since its founding and that the 737-800 is "the workhorse of the world."

"It is the most reliable aircraft out there, so everybody knows how it works," Thomas said.

In the case of Sunday's crash, Thomas said the pilots were likely overwhelmed as they were dealing with "a disaster."

"I think the issue is multiple bird strikes and then multiple failures resulting from that," Thomas said. "I would expect by the end of the week we will have critical information about exactly what went on, the multiple failures, and the cockpit discussion about what was going on."

But some information may not be immediately available to the public, he said.

"As a responsible country, any safety learnings from this would come out immediately so this information could be passed on to other operators of the 737 model of aircraft," Thomas said. "It may not necessarily be transmitted to the general public, but it would be transmitted to airline operators to alert them to a particular failure to check their own aircraft."

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AI data centers are making your electricity supply worse and could damage your home, new study says

A sign in Missouri protesting a data center.
 AI data centers are gobbling up power, impacting the electricity supply.

Arin Yoon for The Washington Post via Getty Images

  • AI data centers are consuming significant power, impacting the electricity supply.
  • Proximity to data centers correlated with distorted power readings, a Bloomberg analysis found.
  • Big Tech companies are turning to alternative sources of energy as they build more data centers.

Data centers in the United States are consuming so much power that they may be impacting the flow of electricity to millions of Americans.

AI data centers are sprouting up across the country to meet the increased demand for AI, but they're also sucking up the power on which millions of Americans rely.

The new tech is demanding massive amounts of energy from grids that are, in some areas, already stressed. Researchers have estimated that AI centers could need three to five times the power used by traditional facilities, Business Insider previously reported.

A Bloomberg analysis assessed readings from some 770,000 homes from February to October and found that over 75% of "highly distorted power readings across the country are within 50 miles of significant data center activity."

Stresses on the power grid can lead to inconsistent power quality, and as the power quality decreases, the risk increases, Bloomberg reported. Inconsistent energy flow can cause electronics to overheat, leading to sparks or even house fires.

A small handful of large tech companies own the vast majority of global data centers — and they show no signs of slowing down as they pour billions into building more powerful AI models.

Amazon, Google, and Microsoft own about 65% of the cloud infrastructure market, which includes data centers, according to a 2023 report from market research firm Synergy Research Group.

Google announced in April that it's investing $3 billion to build and expand data centers in Virginia and Indiana. The search engine giant unveiled its latest AI model, Gemini 2.0, in December.

Amazon, which is a large investor in AI startup Anthropic, is investing another $10 billion in Ohio data centers, Gov. Mike DeWine announced on December 16.

Microsoft, which has invested $13 billion in ChatGPT-maker OpenAI, said in September that the company has partnered with other investors, including BlackRock, in a $100 billion energy infrastructure project. The project will include "new and expanded data centers," the company said.

To meet AI's increasing energy demands, companies like Google have also started turning to nuclear power to find more reliable and sustainable energy sources.

Read the original article on Business Insider

Musk reaffirms support for AfD, Germany's far-right party, praising its immigration stance

Elon Musk photographed at an event.
Elon Musk threw his support behind Germany's far-right AfD party.

Jordan Strauss/Invision/AP, File

  • Elon Musk again came out in support of Germany's far-right party, Alternative for Germany.
  • In an op-ed in a German newspaper, Musk praised the party's stance on immigration and regulation.
  • Germany is holding elections in February.

Elon Musk, the billionaire Tesla CEO and advisor to President-elect Donald Trump, has reaffirmed his support for Germany's far-right party.

In an op-ed for a major German newspaper, Musk called the Alternative for Germany party, or AfD, the "last spark of hope for this country." He praised its stances on immigration and government regulation, among others.

"The AfD advocates a controlled immigration policy that gives priority to integration and the preservation of German culture and security. This is not about xenophobia, but about ensuring that Germany does not lose its identity in the pursuit of globalization," Musk wrote. "A nation must preserve its core values and cultural heritage to remain strong and united."

The Welt am Sonntag newspaper published the op-ed on Saturday alongside an opposing op-ed written by Welt's editor in chief for television. The newspaper's opinion editor resigned in response, citing the publication of Musk's piece. Welt am Sonntag and Business Insider are both owned by Axel Springer SE.

Germany is holding elections in February after Chancellor Olaf Scholz lost a vote of confidence earlier this month, paving the way for snap elections. Long a fringe political party, the AfD has been gaining popularity in Germany with its anti-immigration platform.

Musk said in his opinion piece that the party "resonates with many Germans who feel their concerns are being ignored by the establishment," adding that the "portrayal of the AfD as right-wing extremist is clearly false."

He also praised the party for supporting tax cuts and economic deregulation, and he called for a more balanced energy approach that includes nuclear energy.

Tesla has a major gigafactory in Berlin that manufactures battery cells and Model Y cars.

"As someone who has made significant investments in Germany's industrial and technological landscape, I believe I have the right to speak openly about his political orientation," Musk wrote.

After publishing the op-ed, Musk reposted a series of comments on X, his social media platform, that also praised AfD. One post accused Europe and the United States of overusing the label "far-right."

Last week, Musk called Scholz an "incompetent fool," adding that the chancellor should resign following an attack on a Christmas market in Magdeburg that left five people dead. Musk shared a post on X suggesting that the attack was a result of immigration. Police identified the suspect in custody as a Saudi citizen who sought political asylum in Germany.

"We have freedom of opinion — it also goes for multibillionaires, but freedom of opinion also means that you can say things that aren't right and don't contain good political advice," Scholz said in response, according to the Associated Press.

Editor's Note: Business Insider is owned by Axel Springer, which also owns the Welt am Sonntag newspaper.

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A plane carrying 181 people crashed in South Korea, killing almost everyone on board. Here's what we know.

The wreckage of the Jeju Air crash.
The wreckage of the Jeju Air plane that crashed on Sunday, killing 179 people.

Chris Jung/NurPhoto via Getty Images

  • A plane carrying 181 people crashed at an airport in South Korea on Sunday, killing 179.
  • Photos and videos show the aircraft overrunning a runway before being engulfed in flames.
  • It will likely take months or years to uncover why the plane crashed.

A commercial aircraft crashed at a South Korean airport on Sunday, killing 179 people.

Flight 7C2216, operated by the Korean budget airline Jeju Air, was carrying 181 passengers and crew when it tried to land at Muan International Airport at 9:03 a.m. local time but overran the runway.

A video broadcast by MBC News, a South Korean news network, showed the plane speeding down the runway, with smoke coming from its belly, before it crashed into what appeared to be a barrier and burst into flames.

The flight was traveling from Suvarnabhumi International Airport in Bangkok.

The aircraft was a 15-year-old Boeing 737-800 that Ryanair, a budget Irish airline, operated before it was delivered to Jeju Air in 2017, according to the Planespotters.net flight tracking website. It was not a Max variant, which has been embroiled in quality and production problems.

Video footage shows the aircraft landed without its landing gear deployed.

Airline News editor and aviation expert Geoffrey Thomas told Business Insider that a bird strike could have caused a mechanical issue on the plane.

"It's possible that the bird strike prevented the standard landing gear operation," he said. "It's possible, however, the pilots could crank the landing gear down manually."

"But if they had multiple failures related to the engines, then they probably didn't have time to do it, and therefore they simply made a belly-up landing on the runway because they had no options," Thomas added.

Jeju Air CEO Kim Yi-bae told reporters on December 31 that the aircraft's pre-flight inspection found "no issues" and "nothing abnormal was noted with the landing gear," the BBC reported.

Yonhap News Agency broadcast at Yongsan Railway Station, showing the wreckage of the Jeju Air passenger plane that crashed at the Muan International Airport.
Yonhap News Agency shows the wreckage of the Jeju Air passenger plane that crashed at Muan International Airport.

Kim Jae-Hwan/SOPA Images/LightRocket via Getty Images

South Korea's transport ministry said on Sunday that it plans to conduct a safety inspection of all Boeing 737-800 aircraft in the country, per Yonhap News.

The Boeing 737-800 is a popular aircraft that is used widely around the world.

Cirium data sent to BI found about 4,400 737-800s are used by nearly 200 airlines, representing 15% of the 28,000 passenger planes in service globally.

In a statement to BI, Boeing gave its condolences to families who lost loved ones and said it was in contact with and "ready to support" Jeju Air.

Spokespeople for Jeju Air did not immediately respond to a request for comment. In a statement posted online, Jeju Air said it was "bowing" its head in apology and would investigate the crash.

A total of 179 people died, including 85 women, 84 men, and 10 others whose gender was not immediately identifiable. Two of the plane's six crew members survived and were conscious, according to local health officials. They were rescued from the tail section of the jet.

On Sunday, South Korea's land ministry said that it had identified 141 out of the 170 bodies, Yonhap News reported.

This is the first fatal crash involving a Jeju plane since the airline was founded in 2005. The last major aviation accident involving a South Korean airline was in 1997 when a Korean Air jet crashed in Guam, killing 228 people.

A South Korean rescue team member pictured near the wreckage of the Jeju passenger plane.
A South Korean rescue team member pictured near the wreckage of the Jeju passenger plane.

Chung Sung-Jun/Getty Images

Reports of birds striking the aircraft

In a televised briefing, Lee Jeong-hyeon, chief of the Muan fire station, said that workers were investigating what caused the crash, including whether birds struck the aircraft.

"It appears that the aircraft wasn't configured for a normal landing — the landing gear wasn't down, and it looks like the wing flaps weren't extended either," Keith Tonkin, the managing director of Aviation Projects, an aviation consulting company in Australia, told BI.

The plane was almost completely destroyed, with the tail assembly the most intact part of the wreckage. After landing, the plane hit a wall, which Thomas said was within international standards, but the plane landed fast and far down the runway.

"The airport complied with international standards," he said. "The landing was anything but international standard."

Officials said that air traffic controllers warned about bird strike risks minutes before the incident, and a surviving crew member mentioned a bird strike after being rescued, The Guardian reported.

Thomas told BI that the pilots reported "mayday" shortly after air traffic controllers issued a bird strike warning. The pilots were then given permission to land on the opposite side of the runway.

Thomas said flight tracking was lost at about 900 feet, suggesting a possible electrical failure.

"I think that could well be one of the pivotal factors in this investigation as to why did it fail," he said. "What does that tell us about what was going on in the cockpit?"

South Korean President Yoon Suk Yeol
Former South Korean President Yoon Suk-Yeol declared martial law on December 3. The crash comes two days into his second successor's tenure.

South Korean Presidential Office via Getty Images

South Korea's Yonhap News Agency reported that Muan International Airport has the highest rate of bird strike incidents among 14 airports nationwide.

Black boxes recovered, but one damaged

The Independent reported that transport ministry officials said they recovered the aircraft's two black boxes: the flight data recorder and the cockpit voice recorder.

These provide investigators with information that helps string together the events before and during a crash.

However, Yonhap reported that officials said one of the black boxes, the flight data recorder, was partially damaged. The cockpit voice recorder — which will have information on what the crew said leading up to the crash — remained intact.

CNN reported South Korean investigators have extracted some data from the cockpit voice recorder — the full process will take two days — but the damaged black box will have to be sent to the US for the NTSB to analyze.

Air crash investigations can often take months or years to complete, meaning the cause of the crash likely won't be known for a long time. The damaged black box could further delay the investigation.

The investigation will be led by South Korea, where the crash occurred and Jeju was registered. The National Transportation Safety Board in the United States, where the Boeing jet was manufactured, along with Boeing and the Federal Aviation Administration, will also be involved, the agency said in a post on X.

Crashes typically have more than one cause — known as the "Swiss Cheese Model" in aviation, a string of smaller errors often leads to an accident, not just one.

"The biggest risk is speculation because it obscures the actual causes of a near-miss, incident, or accident," Simon Bennett, an aviation safety expert at the University of Leicester in the UK, told BI.

"I appreciate that the relatives of the dead and injured will want answers. Understandably, they will want closure," he said. "However, rushing the investigation would do a huge disservice to the aviation community and airlines' customers."

The crash occurred amid a political crisis in South Korea and two days into the tenure of acting President Choi Sang-mok.

Choi took over from the country's previous acting president, Han Duck-soo, who was impeached two weeks after succeeding President Yoon Suk Yeol, who was himself impeached after trying to impose martial law.

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Homelessness is the worst it has ever been for everyone — except veterans

A homeless person sits with their belongings in December 2024 on a subway car in New York City.
Homelessness in the United States reached a record high this year, the government says.

Robert Nickelsberg/Getty Images

  • Homelessness hit a record high this year, the Department of Housing and Urban Development found.
  • About 770,000 people were experiencing unsheltered homelessness in January.
  • In a silver lining, homelessness among veterans decreased markedly.

This year, homelessness was the worst it has ever been — for everyone except veterans, that is.

The Department of Housing and Urban Development released the results from the annual point-in-time surveys of unsheltered homeless people, which cities nationwide conducted in January.

Overall, homelessness was the highest it has been since the government began keeping track, with about 770,000 experiencing unsheltered homelessness on a single night in January. That's an 18% increase from the same time in 2023, the HUD said in its report released on Friday.

"While this data is nearly a year old and no longer reflects the situation we are seeing, it is critical that we focus on evidence-based efforts to prevent and end homelessness," Adrianne Todman, HUD's acting secretary, said in a press release.

Veterans were the sole group that saw a positive change. According to the survey, homelessness among veterans dropped to 32,882, the lowest number on record and about an 8% decrease from 2023. Unsheltered homelessness among veterans also dropped to 13,851, an 11% decrease from 2023.

"This year, HUD has helped connect nearly 90,000 veteran households to stable, rental homes," the department said in the press release. The Department of Veterans Affairs permanently housed 47,925 vets in 2024.

Researchers at the Brookings Institution found that homeless people in many major cities rely on temporary and emergency shelters. Building paths to permanent housing, on the other hand, improved housing access overall, leading to declines in homelessness in some cities, the researchers found.

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A real-estate industry reeling from sexual misconduct accusations examines its culture

A blurry image of a for sale sign
 A series of sexual assault accusations has rocked the real-estate industry this year.

iStock; Rebecca Zisser/BI

  • Prosecutors accused luxury real-estate agents Oren and Tal Alexander of sex trafficking this month.
  • They are the latest in a series of top figures in real estate accused of sexual abuse or harassment.
  • Some in the industry say its structure, partying, and cult of personality are all partly to blame.

The Alexander brothers, luxury brokers who New York prosecutors accused of sex trafficking this month, are the latest in a series of top figures in real estate accused of sexual abuse or harassment.

The brothers, Oren and Tal, have denied the allegations.

Still, the accusations have made some in the industry — which is dominated by women but mostly led by men — reflect on its permissive, decentralized culture that parties hard and, too often, multiple people told Business Insider, puts women into uncomfortable or dangerous situations.

While it's far from a mass reckoning like Hollywood's #MeToo movement, the series of accusations against major real estate players over the past year and a half has prompted some in the industry to look inward and consider whether its traditional practices and lack of uniform safety precautions may have contributed.

Sue Yannaccone, the president and CEO of Anywhere Real Estate Inc., which owns multiple real-estate-brokerage chains, including Century21, Coldwell Banker, and Corcoran, told Business Insider that real estate has more to do to address some of these issues.

"Real estate is not unlike other industries that have had to, unfortunately, reckon with a pattern of discrimination and harassment of women," Yannaccone said. "Holding offenders accountable is an important and effective step in our progress, and there is still more work to be done across all sectors to ensure women can always thrive in safe, supportive, and equitable work environments."

The lax structure and low barrier to entry in real estate often mean careers are built largely on an individual agent's personality and charisma. It can also create opportunities for bad behavior to go unchecked, said Brian Boero, the cofounder of 1000watt, a real-estate branding and marketing company.

With over 1.5 million agents or brokers in the United States, it's similar to "the Wild West," he said. He added that many of them operate as independent contractors, acting as free agents.

"You have really good people, and you have really bad people. It's hard to paint this industry as a whole with a broad brush," Boero said. "The employee relationship does not exist, and people can, more or less, do whatever they want with very little supervision."

A series of accusations

Oren and Tal Alexander first rose to prominence as real-estate agents at Douglas Elliman before splitting off to found their own brokerage, Official Partners.

The Alexander Team, as they were commonly known, sold over $260 million in real estate in New York in 2023, the real-estate industry trade publication The Real Deal reported.

The Alexanders "used their prominent positions in the industry to induce other women to attend events and parties" where they later sexually assaulted them, prosecutors said in an indictment earlier this month.

Prosecutors accused Oren, Tal, and a third brother Alon, who works at the family's security firm, of operating a sex-trafficking scheme in which the brothers — and others — victimized dozens of women dating back to 2010. The brothers obtained drugs to "surreptitiously" give the women and planned the assaults in advance, prosecutors said in the indictment.

Attorneys for the three brothers, whom police arrested in Florida earlier this month, did not respond to a request for comment from Business Insider. The twins denied the allegations when they were first reported.

James Cinque, a New York attorney representing the Alexander brothers, told BI in response to a story published before their arrest outlining four women's claims of assault and sexual misconduct that he and his colleagues had "asked them not to comment while these matters work their way through the legal system." Cinque added they're "comfortable that they will ultimately be vindicated."

Meanwhile, the success of eXp, an emerging real-estate brokerage that has a market cap of about $1.8 billion, has been overshadowed by complaints of sexual misconduct against some of its agents.

Five female eXp employees, in two separate lawsuits filed in 2023, accused agents Michael Bjorkman and David Golden of drugging them at work-related events. Four of the women said they were also sexually assaulted, according to the lawsuits. The New York Times first reported the cases against Bjorkman and Golden.

Richard Schonfeld, an attorney representing Bjorkman, told BI that the lawsuits are "one side of the story." Peter Levine, a lawyer for Golden, didn't return requests for comment from BI but told the Times the charges against Golden were "baseless and without merit." Trial dates for both cases are set for 2025.

Representatives for eXp, who didn't return requests for comment from BI, emailed a statement to the Times, highlighting the industry's decentralized nature.

"The claims in this case stem from alleged assaults by independent real estate agents who were never eXp employees — which we handled with speed, seriousness, and deep respect as soon as the accusers brought it to our attention, in line with our values and with the law," it read.

The National Association of Realtors, the largest trade association for real-estate agents in the United States with more than 1.5 million members, is also facing troubling allegations.

One of the most notable involves Kenny Parcell, a Utah real-estate agent and former NAR president who resigned in August 2023 after The New York Times published an exposé detailing multiple accusations against him and the organization.

The Times' report was based on interviews with 29 current and former employees from NAR and its affiliates who said Parcell and other NAR and affiliated company leaders repeatedly engaged in abusive and inappropriate behavior, often without facing consequences.

In June 2023, Janelle Brevard filed a lawsuit against NAR, accusing the organization of sexual harassment, retaliation, and racial discrimination. In the lawsuit, Brevard, a Black woman, said she was fired from her role in podcasts, video, and marketing after ending a consensual relationship with Parcell.

Brevard ultimately withdrew her lawsuit after entering into an agreement with the organization, the Times reported. Brevard did not respond to repeated requests for comment from BI, and her attorney declined to comment.

"The allegations are not true," Parcell said in a four-page statement in 2023. "Nothing has changed" since then, he wrote in an email to Bl on December 23. "My resignation from NAR was in no way an admission of guilt — it was a good faith effort to put NAR and its members first," he said.

In response to a request for comment, a spokesperson for NAR said the organization's "new leadership has undertaken a comprehensive review of our policies and procedures and continues to work every day to help NAR employees feel respected and supported."

Parties, star-agent culture, and a long road ahead

The real-estate industry can feel unsafe at times, especially for women, as the job has inherent risks. Agents are commonly expected to meet with clients, who might be strangers, alone at homes that could be secluded or lack cell reception.

In a NAR survey of 1,423 licensed real-estate agents this year, women agents were twice as likely as men to report experiencing a situation at work that made them fear for their safety, and 54% of women carried a weapon or self-defense tool compared to 47% of men.

Still, Boero said the industry's internal culture — its hard-partying traditions and the "cult of the superstar" — also presented problems.

"The Alexander brothers were like that: high-profile, flashy, wealthy, did a ton of business. We tend to elevate, emulate, and worship those types of figures in this business. And they're not always men, but they frequently are," he said. "There is this cult of the top producer in the business that, I think, has maybe obscured bad behavior over the years."

Parties are also a central, sometimes problematic, component of real-estate culture. In an industry where success is often tied to how connected you are, brokers often frequent social events to meet and mingle with other brokers, current clients, and prospective clients.

"Parties and awards and all of that stuff is very big in this business, which means there's a lot of partying and drinking, sometimes at scale," Boero said, "which, again, sometimes creates the conditions within which bad people can do bad things."

Brooke Cohen, one of the attorneys representing all five plaintiffs in the eXp cases, told BI that socializing is often essential in real estate as an opportunity for making deals, networking, and advancing your career.

That means women can find themselves in uncomfortable environments. "It's important that in this industry some parameters are put in place," Cohen said. "We really would like it to be better for people who have to attend these events to do business."

Yannaccone said women's prevalence in the industry motivated her to create What Moves Her, a program that supports women in real-estate leadership.

"Our work is just one piece of a larger effort toward progress that includes not just the many brave voices of female agents and leaders, but many of our male counterparts as well," she said. "It's our hope that through our collective effort, we can help create an industry that truly operates on shared values of integrity, accountability, and good governance."

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Trump responds after Elon Musk escalates his feud with MAGA loyalists over H-1B visas

Donald Trump and Elon Musk stand
Tech leaders like Elon Musk and MAGA supporters are split on H-1B visas.

Getty Images

  • Pro-Trump tech leaders and MAGA loyalists are feuding over how to overhaul the US immigration system.
  • A debate over visas for high-skilled workers intensified between the two groups in recent days.
  • Trump recently appointed an Indian-born tech leader as a senior policy advisor.

President-elect Donald Trump's backers in Silicon Valley are at odds with his MAGA loyalists over a key issue: immigration.

In recent days, Elon Musk and others in the tech sector have voiced support for H-1B visas, which allow US companies to hire highly skilled workers from overseas. Their comments angered Trump backers who favor stricter immigration rules.

Musk's latest response to the backlash came late Friday in an expletive-laden X post. He said an H-1B visa allowed him and others to build "SpaceX, Tesla and hundreds of other companies that made America strong."

"I will go to war on this issue the likes of which you cannot possibly comprehend," he posted.

Trump appeared to side with Musk on Saturday, telling The New York Post that he has "always liked the visas."

"I have many H-1B visas on my properties. I've been a believer in H-1B. I have used it many times. It's a great program," he said.

In 2020, Trump authorized a freeze on visas, including the H-1B, in what his administration said was an attempt to reserve jobs for Americans amid the economic hardships brought on by the Covid-19 pandemic.

The debate over H-1Bs began after Trump offered Sriram Krishnan, a Chennai-born, Indian American investor, a role as a senior policy advisor for artificial intelligence.

Krishnan, who recently lived in London while leading an expansion of the venture capital firm A16z, moved to the United States after graduating from college in India and worked at several tech firms, including Microsoft, Twitter, and Meta.

Criticism has largely come from anonymous social media accounts — one X post asked if anyone had voted "for this Indian to run America," prompting a defense from Trump's AI and crypto czar, David Sacks.

Krishnan's appointment has prompted a wider debate on the merits of H-1B visas.

Sriram has been a U.S. citizen for a decade. He’s not “running America.” He’s advising on A.I. policy. He will have no influence over U.S. immigration policy. These attacks have become crude, and not in the holiday spirit. I’m signing off now. Have a merry Christmas.🎄 https://t.co/H3Ro6JfiRF

— David Sacks (@DavidSacks) December 25, 2024

Some tech leaders who have been deeply critical of illegal immigration have stepped up to defend immigration policies that allow high-skilled foreign workers to stay in the United States legally.

Musk said on Thursday his priority was bringing in top engineering talent legally — saying it is "essential for America to keep winning."

"Thinking of America as a pro sports team that has been winning for a long time and wants to keep winning is the right mental construct," he wrote on X.

"America rose to greatness over the past 150 years, because it was a meritocracy more than anywhere else on Earth. I will fight to my last drop of blood to ensure that it remains that land of freedom and opportunity," he added later.

Musk's co-lead at the Department of Government Efficiency, Vivek Ramaswamy, also took to X on Thursday to argue that tech companies often hire foreign-born engineers to avoid what he called an American culture that has "venerated mediocrity over excellence for way too long."

"A culture that celebrates the prom queen over the math olympiad champ, or the jock over the valedictorian, will not produce the best engineers," he wrote in a nearly 400-word post.

In a later post, he said immigration rules should be reformed more effectively to funnel talent to the United States. The H-1B system was not effective, he said, and "should be replaced with one that focuses on selecting the very best of the best."

Marc Benioff, the boss of Salesforce, also weighed in, offering a solution to keep the "best and brightest" foreign students in the US after graduation: "Can we staple a US green card to every degree earned at an American university?"

Can we staple a US green card to every degree earned at an American university? Instead of sending the best and brightest top talented graduates away after they’ve been admitted to our top schools and graduated with a world-class education, let’s keep them in the USA to fuel our… https://t.co/I6wVKNkdef pic.twitter.com/P1cMiqcZyd

— Marc Benioff (@Benioff) December 26, 2024

The pro-immigration messages haven't gone down well with everyone in Trump's orbit.

Matt Gaetz, the former congressman who was Trump's initial pick for attorney general, wrote on X Thursday that tech leaders should butt out.

When Republicans embraced them, he said, "We did not ask them to engineer an immigration policy."

Meanwhile, the far-right activist and Trump supporter Laura Loomer expressed opposition to H-1B visas and concerns over the "replacement of American tech workers by Indian immigrants."

Where Trump will land on the issue remains to be seen. Immigration lawyers have warned tech workers that a "storm is coming" and suggested that foreign workers with visas who have left the US should get back before Trump takes office.

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Boeing's terrible, horrible, no good, very bad year

Boeing sign
Boeing has faced a near-constant string of hurdles in 2024.

PATRICK T. FALLON/Getty Images

  • Boeing is having a rough year.
  • The company has faced mechanical problems, lawsuits, a leadership shake-up, and layoffs.
  • Here's a breakdown of how Boeing's year has gone from bad to worse.

Boeing has been going through it this year.

From losing a door plug on an Alaska Airlines flight, causing a side panel to blow out in midair, to an exodus of corporate executives, the company has faced a litany of crises in 2024. The company's stock has fallen about 35% this year.

In a message to employees during the company's third-quarter earnings call, Boeing CEO Kely Ortberg said the company was at a "crossroads."

"My mission here is pretty straightforward," she said. "Turn this big ship in the right direction and restore Boeing to the leadership position that we all know and want."

Here's how Boeing's year went from bad to worse.

Emergency on Alaska Airlines Flight 1282
The fuselage plug area of Alaska Airlines Flight 1282 Boeing 737-9 MAX, which was forced to make an emergency landing with a gap in the fuselage, is seen during its investigation by the National Transportation Safety Board (NTSB) in Portland, Oregon
The fuselage plug section of Alaska Airlines Flight 1282.

NTSB via Reuters

The problems began almost immediately this year when, on January 5, Alaska Airlines Flight 1282 lost a door plug midair, blowing a hole in the side of the plane. While no one died in the incident, several passengers were injured, and the pilots were forced to make an emergency landing in Portland, Oregon.

In the aftermath of the incident, the FAA temporarily grounded over 170 of Boeing's 737 Max 9 planes until they could complete safety inspections.

The Justice Department opened an investigation into Boeing shortly after, and the FBI told passengers aboard the flight that they might have been victims of a crime.

Ongoing litigation
Boeing building set against the clouds.
Shareholders filed a lawsuit against Boeing following the Alaska Airlines incident.

Richard Baker/ Getty Images

Boeing was hit with multiple lawsuits this year.

Passengers from the Alaska Airlines flight filed a class action suit against the company just days after the incident.

"Passengers were shocked and confused, thrust into a waking nightmare unsure if these were their last seconds alive," the lawsuit said.

Boeing's shareholders filed a separate class action suit against the company in January, stating that it had prioritized profit over safety, Reuters reported.

Separately, in July, Boeing struck a plea deal related to two 737 Max crashes in 2018 and 2019 that killed 346 people. If a judge had approved the deal, it would have allowed Boeing to plead guilty to conspiracy to commit fraud, avoid a trial, pay a fine of about $244 million, and invest at least $455 million in safety and compliance measures.

Boeing agreed to pay $2.5 billion in 2021 in a deal with the federal government to avoid prosecution for the crashes, but Justice Department officials said in May that Boeing had violated portions of the deal, putting a trial back on the table. Relatives of the deceased passengers asked a Texas judge in October to throw out the agreement, which they called a "sweetheart" deal. The families have previously called for the company to pay a fine amounting to nearly $25 billion.

In December, the judge rejected the deal. A lawyer representing families who lost people in the 2019 crash told BI that they "anticipate a significant renegotiation of the plea deal that incorporates terms truly commensurate with the gravity of Boeing's crimes."

FAA audit of Boeing's safety procedures
A Boeing factory
A Boeing factory based in Washington, DC.

China News Service/Getty Images

The Federal Aviation Administration commissioned a report into Boeing following the fatal 2018 and 2019 crashes — and the results published in February weren't good news for the company.

The FAA report found 27 insufficient areas in Boeing's safety procedures, including no clear system for employees to report safety concerns, confusing management structures, and poor communication with employees about safety procedures.

The latest statement from the FAA about Boeing's compliance to remedy the safety issues was published in August. It said the agency continues "actively monitoring Boeing's progress in a variety of ways," including regular reviews by FAA experts of Boeing's safety procedures and issuing airworthiness certificates for every newly produced Boeing 737 Max. 

The FAA itself has faced scrutiny for its oversight of Boeing. A report from the Department of Transportation's Office of the Inspector General in October found the agency's checks were insufficient.

Exodus of Boeing executives
Dave Calhoun surrounded by reporters.
Former Boeing CEO Dave Calhoun.

Anna Moneymaker/Getty Images

In March, Boeing announced a leadership shake-up.

CEO Dan Calhoun said he would step down. Stan Deal, the CEO of the company's commercial airplanes division, said he would retire. In the same announcement, board chair Larry Kellner announced his plan not to seek reelection.

Stephanie Pope, the company's COO, was promoted to replace Deal shortly after his departure. At the end of July, Kelly Ortberg was named the company's new CEO.

Ted Colbert, who headed Boeing's defense, space, and security division, became the first prominent executive to leave the company after Ortberg took over. Colbert's departure was announced in September.

Stranded astronauts
smiling butch wilmore and suni williams floating laying in a white circular tunnel around a port in the space station
NASA astronauts Butch Wilmore and Suni Williams flew to space on Boeing's Starliner spacecraft.

NASA

The aerospace company faced another high-profile problem in June when NASA astronauts Butch Wilmore and Suni Williams traveled to the International Space Station on Boeing's CST-100 Starliner spaceship. It marked the first time Boeing flew astronauts to space.

The astronauts left Earth on June 5 and were supposed to return after eight days, but issues with Starliner's thrusters and helium leaks caused delays. NASA and Boeing began troubleshooting the problems to bring Wilmore and Williams back home. However, in late July, the two astronauts were still stuck at the International Space Station.

NASA's Commercial Crew Program manager, Steve Stich, said in a press briefing that month that Elon Musk's SpaceX could bring home the astronauts if needed. After working with Boeing to determine whether the two astronauts could safely return to Earth on Starliner, NASA announced in August that it chose SpaceX to do the job instead.

"Spaceflight is risky," NASA Administrator Bill Nelson said during a press conference. "Even at its safest. Even at its most routine. A test flight, by nature, is neither safe nor routine. So, the decision to keep Butch and Suni aboard the International Space Station, and bring the Boeing Starliner home un-crewed, is a result of a commitment to safety."

The decision was a major blow to Boeing, which spent $4.2 billion developing Starliner. Wilmore and Williams' flight was the final step Boeing needed to clear for NASA to certify Starliner for human spaceflight. It highlighted just how far Boeing lags behind its competitor, SpaceX.

Wilmore and Williams are now expected to return to Earth in 2025 on SpaceX's Crew Dragon spaceship, which launched for the International Space Station in September. The astronauts were initially set to return home in February, but NASA announced they would be delayed until March as SpaceX readies its spaceship.

Union strike
A worker holding up two signs that say "Machinists union on strike against Boeing."
Thousands of Boeing union members have been on strike since September 13.

Stephen Brashear/Getty Images

Thousands of unionized Boeing employees walked out in September after contract negotiations broke down.

The strike began despite a promising pay package proposal, which would have raised wages by more than 25% over the contract period for more than 32,000 employees in the Pacific Northwest.

Ultimately, union workers denied the proposal and voted to initiate a strike, which is costing the company about $50 million a day.

Negotiations stalled, with both sides filing National Labor Relations Board violations accusing the other of negotiating in bad faith.

Boeing and union leaders reached a tentative deal on October 19 that included a 35% general wage increase spread over four years and a one-time ratification bonus of $7,000.

However, striking Boeing employees rejected the deal on October 24.

"After 10 years of sacrifice, we still have ground to make up. We hope to resume negotiations promptly," the International Association of Machinists and Aerospace Workers said on X.

The 53-day strike ended in early November when workers approved a new contract.

Layoffs
Boeing employees install a cargo door on a 777 aircraft under production in June 2024.
Boeing cut 10% of its staff in October.

Jennifer Buchanan/POOL/AFP/Getty Images

Boeing began furloughs of white-collar workers in mid-September after the strike began. Select employees were required to take one week off every four weeks on a rolling basis.

Ortberg, in a staff memo, also announced that executive leadership would take a "commensurate pay reduction for the duration of the strike," though details of the pay reduction remain unclear.

Layoffs began several weeks later. In mid-October, Boeing announced plans to lay off about 10% of its 170,000-member workforce.

In a memo to employees, Ortberg said Boeing was in a "difficult position" and that "restoring our company requires tough decisions."

The company also delayed production of its 777X twin-engine jet and discontinued production of its 767 cargo plane, the memo noted.

Production delays with the Boeing 777X plane
A Boeing 777-X aircraft flies during the 2023 Dubai Airshow at Dubai World Central - Al-Maktoum International Airport in Dubai on November 13, 2023.
A Boeing 777X in flight.

GIUSEPPE CACACE/AFP via Getty Images

The experimental 777X is Boeing's newest widebody plane, banking 481 orders from more than a dozen global carriers even though regulators have not yet approved it to fly passengers.

But the aircraft has been riddled with production problems — like supply chain issues, design troubles, and now the ongoing strike — which have already put it five years behind schedule and set Boeing back $1.5 billion.

That hole will likely deepen with the latest entry delay to 2026, further eroding the industry's trust in Boeing's 777X program. It could also push carriers to choose Boeing's European rival Airbus and its already-in-service Airbus A350.

The aircraft is still uncertified but started certification flight testing in July. Testing was halted in August due to a problem with a key part that connects the engine to the aircraft, CNBC reported.

Production troubles with Boeing's 737 MAX aircraft
A Boeing 737 tail fin and a Boeing 737 Max winglet.
Boeing is struggling with 737 MAX production.

JULIEN DE ROSA/Getty Images

The FAA announced in January that it would not grant any production expansions of Boeing's MAX aircraft, including the 737 MAX 9, following the emergency on Alaska Airlines Flight 1282.

"The Jan. 5 Boeing 737-9 MAX incident must never happen again," the FAA said in a press release said.

FAA Administrator Mike Whitaker said Boeing would not be cleared to expand production or add additional production lines for the 737 MAX "until we are satisfied that the quality control issues uncovered during this process are resolved," according to the press release.

Boeing held a three-hour meeting with the FAA in June to address safety and quality concerns. Afterward, Whitaker spoke at a press conference, where he told a reporter that expanding production of 737 MAX planes was still up in the air.

The FAA told Business Insider, "This is about systemic change, and there's a lot of work to be done. Boeing must meet milestones, and the timing of our decisions will be driven by their ability to do so."

The agency added: "Boeing has delivered a roadmap to change its safety culture, and the FAA will make sure Boeing implements the changes they have outlined. We will not approve production increases beyond the current cap until we're satisfied they've followed through on implementing corrective actions and transforming their safety culture."

Boeing restarted production of the 737 Max in December following the strike's conclusion.

Whistleblowers report problems at Boeing
Boeing Employees Renton Washington
Whistleblowers have called out Boeing in 2024.

Stephen Brashear/Getty Images

Sam Salehpour, a Boeing engineer, testified at an April Senate hearing that the company ignored his reports on safety concerns, that his boss retaliated against him, and that he received threats against his physical safety.

The Senate subcommittee investigating Boeing's safety and quality practices released a 204-page report in June. The report included accounts from several whistleblowers.

Sam Mohawk, a Boeing quality assurance inspector, said the company lost track of hundreds of bad 737 parts and instructed employees to conceal improperly stored plane parts from FAA inspectors.

Another whistleblower, Richard Cuevas, wrote in a June complaint to the FAA that holes were being incorrectly drilled on Boeing's 787 Dreamliner planes.

Money woes
Asia-aerospace-Singapore-aviation,ADVANCER by Martin Abbugao A Boeing 787 dreamliner is seen on the tarmac at the Singapore Airshow in Singapore on February 12, 2012
A Boeing 787 Dreamliner.

ROSLAN RAHMAN/AFP via Getty Images

In a sign of how Boeing's problems have hurt its bottom line, the company said in a regulatory filing to the SEC in October that it had entered a $10 billion credit agreement with four major banks: JPMorgan Chase, Goldman Sachs, Bank of America, and Citibank.

The company also filed a prospectus saying it might sell up to $25 billion in securities.

"These are two prudent steps to support the company's access to liquidity," Boeing said in a statement.

While workers were on strike, Bank of America analysts estimated that the work stoppage cost Boeing $50 million a day.

To save money, Ortberg, the company's CEO, instructed top executives to stop flying private jets and instead fly economy on commercial flights.

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Tony Buzbee accuses Jay-Z's Roc Nation of using 'shadowy operatives' and 'fake badges' to pressure his clients to sue his firm

Jay-Z, whose real name is Shawn Carter.
Attorney Tony Buzbee accused Jay-Z's Roc Nation of solicitation and conspiracy.

Gilbert Flores/Variety via Getty Images

  • Attorney Tony Buzbee accused Jay-Z's Roc Nation of trying to flip his clients to sue his firm.
  • Buzbee is representing a woman who accused Shawn "Jay-Z" Carter and Sean "Diddy" Combs of rape.
  • Roc Nation said Buzbee's lawsuit is a distraction and a "sham."

The legal fight between Jay-Z, whose real name is Shawn Carter, and attorney Tony Buzbee is heating up.

In a lawsuit filed on Wednesday, Buzbee, the attorney representing a woman who accused Carter and Sean "Diddy" Combs of rape, accused Carter's Roc Nation of using "shadowy operatives" to solicit Buzbee's former clients to flip and sue him.

"These folks have stooped to a new low to try to intimidate the lawyers of the Buzbee Law Firm from doing their important work. This conduct was specifically targeted at our firm so we would not pursue cases related to the Diddy litigation," Buzbee said in a statement to Business Insider. "But, we will not be bullied or intimidated."

Buzbee's lawsuit — which was filed in Harris County, Texas, on behalf of a former client of Buzbee's firm and includes allegations of barratry and conspiracy — accused Roc Nation of financing the scheme, and other defendants, including two legal firms, an attorney, and an investigator, of orchestrating and executing it.

"Unfortunately for the Defendants, their agents are not very smart, or careful," Buzbee's lawsuit said.

Buzbee's lawsuit said the defendants impersonated Texas state officials and "flashed fake badges."

In one case, he said they "offered as much as $10,000 to a former client of the Buzbee Law Firm to sue the firm."

A spokesperson for Roc Nation said in a statement that Buzbee's suit was merely a distraction.

"Tony Buzbee's baloney lawsuit against ROCNATION is nothing but another sham. It's a pathetic attempt to distract and deflect attention. This sideshow won't change the ultimate outcome and true justice will be served soon," the spokesperson said.

Buzbee's accusations come after a woman identified in court papers only as Jane Doe filed a civil case against Carter and Sean "Diddy" Combs, accusing the two of raping her at a party following the 2000 MTV Video Music Awards when she was 13 years old. Buzbee is representing her.

Carter vehemently denied Doe's allegations, which come while Combs faces sex trafficking and racketeering charges, along with lawsuits accusing him of sexual misconduct. Combs remains in jail while he awaits his trial.

In Carter's denial, he called Buzbee a "deplorable human."

"I promise you I have seen your kind many times over. I'm more than prepared to deal with your type," Carter wrote in a statement on his company Roc Nation's X account, addressing Buzbee directly.

The initial lawsuit didn't name Carter, referring to him instead as "Celebrity A."

Before naming Carter, Buzbee reached out to him to propose Doe and Carter mediate the case, the lawyer previously told Business Insider. Buzbee said Carter responded with "an utterly frivolous lawsuit" and by "orchestrating a conspiracy of harassment, bullying and intimidation" against Buzbee and his legal team.

Since Doe's lawsuit was filed, critical questions have emerged about some of her allegations. Following an interview with the woman and her father, who she said drove her home on the night of her alleged assault, NBC News reported inconsistencies in the story.

Her father, for example, told the outlet that he didn't remember picking her up that night.

When asked about other inconsistencies, she told the outlet she had made "mistakes" but stood by the brunt of her allegations.

In a court filing Wednesday, an attorney for Carter argued that the "allegations are baseless and fatally contradicted" by the woman and her father's statements to NBC. Carter's attorney is seeking an order to show cause — which seeks an explanation as to why the inconsistencies aren't enough for Carter to be "dismissed" from the lawsuit accusing him of rape.

If you are a survivor of sexual assault, you can call the National Sexual Assault Hotline (1-800-656-4673) or visit its website to receive confidential support.

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Former OpenAI employee who died by suicide was named in a court case that could decide the future of the internet

A phone showing the ChatGPT app download screen.
Former OpenAI employee Suchir Balaji died by suicide late last month. He was part of a key copyright lawsuit that could have far-reaching implications for AI models like ChatGPT.

Jaque Silva/NurPhoto

  • Suchir Balaji, a former OpenAI researcher, died by suicide late last month.
  • After he left the company, Balaji raised questions about OpenAI possibly violating copyright law.
  • His name appears in a New York Times lawsuit against OpenAI that could have far-reaching implications.

Eight days before the former OpenAI researcher Suchir Balaji was found dead in a San Francisco apartment, the 26-year-old's name appeared in a lawsuit against his former employer that could have significant implications for the future of AI and the internet.

The lawsuit — filed by The New York Times last December — accused OpenAI and Microsoft of using "millions" of articles published by the newspaper without permission to train the AI startup's popular ChatGPT model. The companies have denied that they violated copyright law.

On November 18, the Times' attorneys asked a judge to add Balaji as a "custodian" in the lawsuit, according to court documents viewed by Business Insider. The attorneys' letter described Balaji as someone with "unique and relevant documents" that could support their copyright infringement case against OpenAI and Microsoft.

Other custodians proposed by the Times include former OpenAI employees such as cofounder Ilya Sutskever. Sutskever's potential contribution to the lawsuit is redacted in the court documents.

The Times' legal case is one of several copyright lawsuits filed against the AI startup after ChatGPT was released in 2022.

If the courts were to side with the Times or other news outlets and authors who have filed a lawsuit, the result could be costly for AI companies and limit the already finite data used to train models.

The Times' lawsuit doesn't demand an exact monetary figure but says OpenAI and Microsoft are responsible for "billions of dollars" in damages.

Spokespeople for OpenAI, Microsoft, and The New York Times did not respond to requests for comment.

Balaji raised concerns over OpenAI's use of copyrighted data

Balaji joined OpenAI in 2020 and worked on training the ChatGPT and GPT-4 models, court documents and reporting from The New York Times show. The researcher, who said OpenAI's work violated copyright law, left the company in August "because he no longer wanted to contribute to technologies that he believed would bring society more harm than benefit," the Times reported.

On October 23, he published an essay on his personal website raising questions about whether OpenAI's use of copyrighted data could be considered fair use.

"While generative models rarely produce outputs that are substantially similar to any of their training inputs, the process of training a generative model involves making copies of copyrighted data," Balaji wrote. "If these copies are unauthorized, this could potentially be considered copyright infringement, depending on whether or not the specific use of the model qualifies as 'fair use.' Because fair use is determined on a case-by-case basis, no broad statement can be made about when generative AI qualifies for fair use."

That same day, the Times published a profile of the former OpenAI researcher.

"If you believe what I believe, you have to just leave the company," he told the Times.

On November 26, eight days after Balaji's name appeared in the Times' attorney's letter, officers from the San Francisco Police Department responded to a welfare check at a Lower Haight-area apartment around 1:15 p.m.

"Officers and medics arrived on scene and located a deceased adult male from what appeared to be a suicide," an SFPD spokesperson told BI. "No evidence of foul play was found during the initial investigation."

The office of the city's chief medical examiner later identified the deceased male as Balaji.

"The manner of death has been determined to be suicide," David Serrano Sewell, executive director of the city's office of the chief medical examiner, told BI. He did not provide further comment.

"We are devastated to learn of this incredibly sad news today and our hearts go out to Suchir's loved ones during this difficult time," an OpenAI spokesperson told BI when reached for comment on Friday.

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Billionaire founder of clothing brand Mango falls to death exploring Barcelona caves

Isak Andic, seen during an awards ceremony in Barcelona.
Mango founder Isak Andic died unexpectedly in an accident in Barcelona.

Lorena Sopena/Europa Press via Getty Images

  • Isak Andic, the founder of the fashion brand Mango, has died in an accident, the company said.
  • Andic fell into a ravine while hiking in caves near Barcelona, according to reports.
  • Andic and his family have an estimated net worth of $4.5 billion, according to Forbes.

Isak Andic, the billionaire founder of the European fashion company Mango, died on Saturday. He was 71.

Andic, who served as the company's non-executive chairman, died after an accident, Mango CEO Toni Ruiz said in a press release.

"Isak has been an example for all of us. He dedicated his life to Mango, leaving an indelible mark thanks to his strategic vision, his inspiring leadership and his unwavering commitment to values that he himself imbued in our company," Ruiz said in the press release.

Ruiz praised Andic's "care and affection that he always had" for the company.

Pedro Sánchez, the prime minister of Spain, said in a post on X that Andic died in an accident in the caves of Salnitre in Collbató, which is just outside of Barcelona.

According to multiple reports, Andic fell into a ravine while hiking through caves with his family. The ravine was over 320 feet deep, CNN reported, citing local police.

On Sunday, Mango's website featured a tribute to Andic on its home page, and photos show the flags at the company's headquarters in Barcelona flying at half-mast.

Andic started the company in Barcelona in 1984. According to Mango's website, it's now in over 120 markets and has a thriving online presence. Forbes reported that Andic and his family are worth $4.5 billion.

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Man arrested in the UAE after leaving negative Google review of his former employer set to spend Christmas in Dubai

Northern Irishman Craig Ballentine could be spending Christmas in Dubai instead of back home after being detained for a negative Google review.
 

Giuseppe CACACE / AFP

  • A man from Northern Ireland looks set to spend Christmas in the UAE following his arrest.
  • Authorities in Abu Dhabi arrested Craig Ballentine after he posted a negative Google review about his former UAE employer.
  • Ballentine's family said the situation is "a living nightmare."

A man from Northern Ireland who was arrested after posting a negative review about his former employer in Dubai looks set to spend Christmas in the United Arab Emirates.

Craig Ballentine was arrested in Abu Dhabi's airport in October over a negative Google review he posted about his former workplace — a dog grooming salon in Dubai, according to Radha Stirling, an advocate who helps foreigners navigate legal trouble in the UAE.

Ballentine spent about six months working at the salon in 2023. He said he needed time off due to illness and presented his employer with medical certificates as proof of his condition.

But the employer reported him as "absconded" with UAE authorities after he missed work, and he was hit with a travel ban.

After getting the ban lifted, Ballentine returned to Northern Ireland, where he wrote a Google review detailing the issues with his former employer.

He was arrested after returning to the UAE for a holiday and now faces charges of slander.

Ballentine, who said he had paid a fine and was given a one-month social media ban, had hoped to get his travel ban lifted and return to Northern Ireland ahead of Christmas.

But he told the BBC that while on the way to a police station to get the ban lifted, he was told authorities wanted to appeal his case and had set a court date for February.

"While I was in the middle of the transit going there, I got the email that the court was not happy and they wanted to appeal again," he said. "I called friends and family and couldn't stop crying, because you're holding on to those emotions, you're just trying to focus on 'let's get out of here.'"

A GoFundMe set up by Ballentine's family has raised nearly $2,500 to help with his legal fees.

"What started out as a holiday to catch up with friends for Craig has turned out to be a living nightmare," the family says on the page.

"At present legal fees are crippling and any money raised will go to help clearing these costs," they added.

Ballentine has also appealed to politicians to support his case with the help of Radha Stirling, a representative from the campaign group "Detained in Dubai."

"The amount of support Craig has is quite incredible," Stirling said. "Charging someone for an online review is something everyone can imagine happening to them. We've received an influx of worried tourists contacting us to check their police status in Dubai and it's certainly a good idea."

Stirling has helped several tourists held up in the country on exaggerated charges and forced to pay costly fees as a resolution. She previously told Business Insider that it's relatively easy to file a complaint that can prevent someone from leaving the country.

"There's been a lot of cases in the past where people have been accused of road rage or flipping the middle finger and that kind of thing, even when they haven't," Stirling previously told BI. "Then someone goes down to the police station, and whatever they say is automatically believed. They don't need evidence."

In one case Stirling worked on, a female college student lightly nudged an airport security officer during a security screening search. They accused her of assault, and she was unable to leave the nation for months.

In another case, a woman was detained after she was accused of screaming, which her accusers said violated a vague law criminalizing "offensive behavior" like rudeness or swearing. She paid $1,000 to have the travel ban that prevented her from leaving lifted, though her accusers initially demanded $10,000.

"It's actually culturally widespread, and the police haven't done anything to clamp down on that sort of extortion," Stirling previously told BI.

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Mark Zuckerberg sets aside his feud with Elon Musk to go after Sam Altman's OpenAI

A split photo of Mark Zuckerberg and Elon Musk.
Meta CEO Mark Zuckerberg and Elon Musk have feuded over the years but agree on at least one thing: OpenAI should remain a nonprofit.

Andrew Caballero-Reynolds/AFP via Getty Images. Allison Robbert-Pool/Getty Images.

  • Mark Zuckerberg's Meta urged California to halt OpenAI's transition to a for-profit company.
  • In doing so, Zuckerberg sided with his occasional nemesis, Elon Musk, who also wants to stop OpenAI.
  • It seems the two tech billionaires have finally found some common ground.

Meta CEO Mark Zuckerberg and X owner Elon Musk have long-standing beef about everything from artificial intelligence to how they run their respective social media platforms.

While that feud has lasted for the better part of a decade — and has even threatened to get physical — the two tech billionaires now agree on at least one thing: their competitor, OpenAI, should remain a nonprofit.

Zuckerberg's Meta asked the California attorney general on Friday to stop OpenAI from becoming a for-profit company. Meta accused Sam Altman's company of "taking advantage" of its status as a nonprofit to raise billions.

"OpenAI wants to change its status while retaining all of the benefits that enabled it to reach the point it has today. That is wrong. OpenAI should not be allowed to flout the law by taking and reappropriating assets it built as a charity and using them for potentially enormous private gains," Meta said in the letter to California Attorney General Rob Bonta.

OpenAI is one of Meta's biggest competitors in the AI tech race.

"Failing to hold OpenAI accountable for its choice to form as a nonprofit could lead to a proliferation of similar startup ventures that are notionally charitable until they are potentially profitable," Meta wrote in the letter.

With that, Zuckerberg sided with Musk, who is engaged in an ongoing legal fight to prevent OpenAI from becoming a for-profit.

Musk, one of 11 OpenAI cofounders who split from the company early on, launched a second bid in November to stop OpenAI from making the transition, asking a court for an injunction against the company.

The injunction request also argues that OpenAI and Microsoft, the largest corporate investor in the AI startup, have worked together to build a "for-profit monopoly," engaging in anti-competitive behavior that also targets xAI, Musk's artificial intelligence venture.

OpenAI has fought back. On Friday, it published a blog post titled "Elon Musk wanted an OpenAI for-profit." The post includes a series of emails and messages between Musk and other cofounders, including Altman, going back as far as November 2015, a month before the company was founded.

In one of those emails, Musk responded to Altman's proposal to start a Delaware-based nonprofit: "Also, the structure doesn't seem optimal," Musk wrote.

Musk left the organization in 2018 in part because he believed OpenAI's "probability of success was 0," according to an OpenAI blog post from March. Musk has accused OpenAI of straying from its original mission to develop an artificial general intelligence that is safe and benefits humanity.

Almost a decade after its founding as a nonprofit, OpenAI is now eyeing the switch to a for-profit venture to generate more investor capital. In October, the company announced a $6.6 billion funding round, raising OpenAI's valuation to $157 billion. That investment, however, comes with a stipulation that OpenAI become a for-profit within two years.

Meanwhile, Meta said it plans to pour as much as $37 billion on infrastructure costs alone this year, largely related to AI. Musk's xAI told investors last month that it secured $5 billion in funding.

Musk and spokespeople for Meta and OpenAI did not respond to a request for comment.

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Alexander brothers charged with sex-trafficking conspiracy dating back over a decade

Oren and Tal Alexander
Oren (left) and Tal Alexander.

courtesy of Douglas Elliman

  • The Alexander brothers have been hit with federal sex-trafficking charges.
  • Oren and Tal Alexander are top real-estate agents. Police also arrested a third brother.
  • The brothers earlier denied the accusations through an attorney.

The Alexander brothers were arrested on Wednesday on federal charges of sex trafficking. Prosecutors accused the siblings of operating a "long-running sex trafficking scheme," according to an unsealed indictment.

The New York prosecutors said in the indictment that Tal and Oren — who are among the nation's top luxury real-estate agents — and their brother, Alon, collaborated for more than a decade with others both "known and unknown" to "repeatedly and violently drug, sexually assault, and rape dozens of victims."

The indictment said the brothers used their wealth and prominent positions "to create opportunities to rape and sexually assault women" in Manhattan and Miami in a scheme that began in 2010 and lasted more than 10 years.

At times, prosecutors said the brothers planned out the sexual assaults in advance "using the promise of luxury experiences, travel, and accommodations to lure and entice women to locations where they were forcibly raped or sexually assaulted, sometimes by multiple men, including one or more of the Alexander brothers."

Other times, the Alexander brothers chose their victims by chance, prosecutors said.

The real-estate duo, in particular, the indictment said, "used their prominent positions in the industry to induce other women to attend events and parties, and to meet other women at those events and parties, whom one or more of the defendants later sexually assaulted."

Prosecutors alleged the Alexander brothers worked together and with other men to arrange events and both domestic and international trips that they used as "bait" to "recruit, entice, harbor, transport, and maintain multiple women."

Ahead of events and trips, the Alexander brothers would secure drugs, including hallucinogenic mushrooms, cocaine, and GHB, which they agreed to provide women, the indictment says.

On multiple occasions, they and others would "surreptitiously" drug women's drinks, prosecutors said.

"At times, the defendants physically restrained and held down their victims during the rapes and sexual assaults and ignored screams and explicit requests to stop," the indictment said.

Oren Alexander, Alon Alexander, and their cousin, Ohad Fisherman, were also separately charged in Florida with sexual battery in three incidents in Miami involving three different women in 2016, 2017, and 2021.

Katherine Fernandez Rundle, the state attorney for Miami-Dade County in Florida, announced the charges in a joint news conference with the Miami Beach police department on Wednesday.

Florida prosecutors charged Oren Alexander with three counts of sexual battery, with one of the charges involving multiple perpetrators and classified as a second-degree felony. Alon Alexander was charged with one count of sexual battery involving multiple perpetrators, a second-degree felony. Fisherman was charged with one count of sexual battery by multiple perpetrators.

In the first incident in 2016, Oren and Alon took turns raping a woman at Alon's Miami Beach apartment while Fisherman held her down, the state attorney said. The woman told police that after the assault, Oren asked her to shower and Alon told her not to tell anybody what had happened. The woman told her two sisters and a friend about the assault but did not contact police at the time because she feared retribution from the men, the state attorney said.

Prosecutors said the second incident, which involved only Oren, took place after a woman attended a real-estate event with him in 2017. After the event, Oren invited her to his apartment, where he gave her a glass of wine, after which she said she felt weak and out of control of her body. She found herself on Oren's bed with Oren on top of her; she could not move or speak or push him off. He then raped her, she said.

In the third incident in 2021, a woman met Oren at a dinner she attended with a friend, the state attorney said. Oren invited the woman and her friend to his house on Flamingo Drive. At his house, Oren brought the woman to a couch next to his bedroom, removed her shoes, and started kissing her. The woman said she felt uncomfortable as Oren became aggressive. When she tried to pull away from him, he ripped off the top of her dress, leaving her naked on top. She went to his bedroom to grab a T-shirt from his closet and tried to leave the house. But when she got downstairs, she realized she could not leave because the doors were remote-controlled. She went back upstairs to ask Oren to let her out. There, Oren pushed her onto his bed, held her down with his knees, and assaulted her as she told him no, prosecutors said.

Rundle, the state attorney, thanked the "brave women" for disclosing what happened to them.

"These women are strong and they're resilient," she said. "They are an example to anyone else out there who has experienced sex violence."

Local news footage showed Oren and Alon being escorted into the Turner Guilford Knight Correctional Center in Miami on Wednesday. Tal, who was not mentioned in the Florida news conference, was being held at a separate jail, Local 10 News reported.

The brothers' arrest follows years of sexual-assault allegations by multiple women.

Deanna Paul, a New York attorney for Tal Alexander, confirmed to Business Insider that police arrested the brothers in Miami on Wednesday morning but declined to comment further.

The brothers have "strongly" denied any wrongdoing, James Cinque, a New York-based attorney, told Business Insider in September.

"We have asked them not to comment while these matters work their way through the legal system," Cinque said, "but are comfortable that they will ultimately be vindicated."

The FBI began investigating the Alexander brothers after The Real Deal first reported in June that two women had filed civil lawsuits against Oren and Alon earlier this year.

The women, Kate Whiteman and Rebecca Mandel, said the brothers took turns raping them in two separate incidents in 2010 and 2012, respectively. About 10 days after The Real Deal's article was published, another woman, Angelica Parker, filed a lawsuit accusing Alon and Tal of raping her in their New York City apartment in 2012 while Oren watched. In July, a fourth woman, the actor and comedian Renée Willett, filed a lawsuit against Oren, accusing him of drugging and raping her, also in his SoHo apartment in 2015.

"We are glad to hear that there will finally be some measure of accountability for the Alexander brothers and justice for their many victims," David E. Gottlieb, a partner at Wigdor, the law firm representing Parker, said in a statement to BI. "We applaud all the survivors who have had the strength and courage to speak up about their unimaginable experiences after years of pain and suffering."

A day after the criminal indictments, another woman, going by "Jane Doe," filed a lawsuit in New York against Alon and Oren, accusing them both of raping her in 2016.

The lawsuit said Alon invited the plaintiff to a barbecue and pool party in Miami on New Year's Eve but that when she arrived she realized she was the only guest. She said Fisherman held her down while Oren raped her with Alon watching. Alon then raped her, the lawsuit said.

Lawyers for Alon, Oren, and Fisherman did not respond to a request for comment from BI on the new lawsuit.

Alon and Oren also appeared in court in Miami on Thursday, where a judge ordered they be held without bond, The New York Times reported. Alon had told the judge his wife was expected to give birth to their first child "any day now" and that she was counting on him to be with her. The next hearing is set for Friday.

At a press conference on Wednesday announcing the indictment, Damian Williams, the US attorney for the Southern District of New York, called on additional victims to speak out.

"Our investigation is far from over," Williams said. "If you have been a victim of the alleged sexual violence perpetrated by Alon Alexander, Oren Alexander, or Tal Alexander — or if you know anything about their alleged crimes — we urge you to come forward."

Since June, more than a dozen women have said they were raped or assaulted by the three brothers, sometimes in tandem. Business Insider spoke to four women who described being assaulted or feeling coerced into sexual encounters, including one who said Tal, now 38, raped her in Las Vegas in 2017.

Business Insider's investigation found that it was an open secret in wealthy social circles for years that the Alexander twins, 37, and their older brother Tal, mistreated women.

Oren and Tal started their real-estate careers at Douglas Elliman before launching their own brokerage, Official, in 2022. Alon works for the family's security company in Florida.

December 12, 2024: This story has been updated to include a new lawsuit that was filed a day after the criminal indictments as well as Alon and Oren's court appearance on Thursday.

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Google DeepMind says its new AI weather prediction tool outperforms top forecasters

Hurricane Milton, as seen from the International Space Station.
Google DeepMind said GenCast, its new weather forecaster, can make better predictions.

NASA/Getty Images

  • Google DeepMind unveiled GenCast, its AI tool for weather forecasts.
  • GenCast outperformed existing forecasting systems in trials, Google DeepMind said.
  • Better forecasting will allow for better preparation in extreme weather events, the company said.

Google DeepMind announced its new artificial intelligence weather prediction tool called GenCast on Wednesday.

Google DeepMind said GenCast differs from other models because it has "adapted to the spherical geometry of the Earth and learns to accurately generate the complex probability distribution of future weather scenarios when given the most recent state of the weather as input."

As a result, Google DeepMind said GenCast provides better forecasts than the "top operating system," referencing the European Centre for Medium-Range Weather Forecasts and its model — known as ENS — that makes predictions up to 15 days in advance. GenCast, which was trained on the European center's data, "consistently outperformed ENS" when it predicted extreme heat, extreme cold, and high wind speeds.

"Now consider tropical cyclones, also known as hurricanes and typhoons. Getting better and more advanced warnings of where they'll strike land is invaluable. GenCast delivers superior predictions of the tracks of these deadly storms," the company said.

In an article in Nature published on Wednesday, Google DeepMind researchers wrote that GenCast had "greater skill than ENS on 97.2% of 1,320 targets we evaluated."

"Better predictions of extreme weather enable better decisions," DeepMind said in its press release. The company also said it would share real-time and historic forecasts from GenCast.

"We are eager to engage with the wider weather community, including academic researchers, meteorologists, data scientists, renewable energy companies, and organizations focused on food security and disaster response," the company said.

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