In January 2011, Egyptian activists, inspired by a successful uprising in Tunisia, began organizing a demonstration using Facebook. In a matter of days, thousands of protesters – who learned about the event through the social media platform – gathered in Cairo’s Tahrir Square to protest the longstanding Mubarak regime.
Then, in an attempt to quash civil unrest, the Egyptian government soon took the bold step of cutting off the country’s internet access. As the size of protests swelled from thousands to millions of people, the Mubarak regime quickly realized their mistake: never cut off a millennial’s internet access.
Mubarak was ultimately forced to resign after just 18 days of massive protests, but in that time Egypt’s Arab Spring demonstrated two major things: (1) the incredible organizing power of the internet, and (2) the how quickly a government could slam the door on the free flow of information.
The Egyptian government was able to quickly and effectively shut down the chokepoints that connect its citizens to the outside world. Etisalat, for example, is a centrally located routing system that could see up to 58% of Egypt’s IP addresses.
In other words, Mubarak was essentially able to blockade every website in the world by making a few simple phone calls.
A New Era Of Internet Censorship
Egypt’s dramatic internet shutdown became a new template for other precarious regimes, but also sparked a broader global conversation around online censorship.
Today’s infographic comes to us from WhoIsHostingThis and it provides a detailed look at varying levels of internet censorship around the world today.
Internet users in North America and Europe enjoy relatively unfettered access to online content, while most countries in Asia, Africa, and the Middle East have some level of censorship. Torrenting is restricted in almost every country in the world, with a notable exception being Switzerland, where a laissez-faire approach is applied to downloading content for personal consumption.
It’s also worth noting that this map does not address government surveillance, which is ubiquitous even in countries with high levels of internet freedom.
The Anti-Information Age
If you want to liberate a country, give them the internet
–Wael Ghonim, Egyptian internet activist
Much of the world’s population accesses an internet that is at least partially censored. Countries have different motivations for restricting access and filtering content. Below are a few high-profile examples.
When most people think of internet censorship, China springs to mind. This makes sense as the country has a small army (upwards of 50,000 people) monitoring internet activity at all times. Also, much like Egypt, the government forces all online traffic through a mere three central routing systems. This makes it easy for censors to sift through all data entering and leaving the country.
China’s censorship apparatus is so advanced, it can take a very granular approach to repression and enforcement.
The country’s swelling blacklist of 100,000 websites, coupled with harsh penalties for any whiff of anti-government sentiment, have created an extremely restrictive environment for Turkish internet users.
In 2016, the government of Ethiopia blocked access to social networking sites to prevent cheating during the university entrance exam period.
Unauthorized surfing of the internet is a dangerous activity in the Hermit Kingdom. The primary smartphones, tablets, operating systems, and browsers used in the country were all developed by the government, and content on the 5,000 or so accessible websites is tightly controlled.
Slipping Through the Firewall
Even when censoring measures are pervasive and effective, people continually find ways to slip between the cracks. For years, people have used proxy servers and virtual private networks (VPNs) to access content beyond their country’s censorship wall, but censors are getting better at discovering proxy servers and simply blocking them as they would any other site.
As a result, newer techniques are gaining popularity:
Steganography is the science of hiding information. Basically, an innocuous file like an image can be stealthily encoded with information to evade detection by censors. Even changing a single pixel on a series of images can be used to relay a message, provided the recipient knows what to look for.
This circumvention tool uses partnerships with ISPs and other network operators to provide Internet freedom to users. Rather than trying to hide individual proxies, whole networks outside the censored country can become a conduit for the free flow of information.
A Timeline of U-Turns from the Chinese Market
It’s hard to ignore the massive economic opportunities available in the Chinese market, but it’s also notoriously difficult to succeed in.
China’s economic surge is one of the biggest stories of the 21st century.
Hundreds of millions of people have been lifted out of poverty, and China’s swelling middle class has attracted the interest of Western companies.
As many American companies have discovered, doing business in China is far from straightforward. Recent history is littered with examples of companies that entered the Chinese market to great fanfare, only to retreat a few years later.
Calling Off The Offensive
Today’s infographic highlights 11 companies that ended up tapping the brakes on their ambitious forays on the other side of the Pacific.
Then, we take a look at the factors that influenced these strategic withdrawals.
Here are some high profile examples of corporate u-turns by American companies operating in the Chinese market:
When Google China’s search engine was launched in 2006, the company had made the controversial decision to censor search results within the country. Google publicly displayed a disclaimer indicating that some results were removed, which created tensions with the Chinese government.
For a while, things seemed to be going well. Even though a domestic company, Baidu, had captured the majority of the Chinese search market, Google did have a respectable market share of about 30%.
Google China’s fortune took a turn for the worse in 2010 after a major hack – Operation Aurora – exposed user data as well as intellectual property. The hack, which originated from within China, was the last straw for Google’s executive team. After one last ditch effort to provide unfiltered search results within China, the company retreated beyond the firewall.
Amazon was an early entrant into the Chinese market. In 2004, the company acquired Joyo – an online shopping site – which was eventually rebranded to Amazon China in 2011.
Amazon China achieved some early success hitting a market share of around 15%, but today, that market share has eroded to less than 1%. Facing nearly insurmountable competition from domestic e-commerce platforms like JD and Taobao, the company recently announced it would be exiting the Chinese market.
After arriving fashionably late for the ride-hailing party in 2014, it quickly became clear that Uber was facing an uphill battle against well-funded domestic rivals. After only two years, Uber elected to u-turn out of the Chinese market.
Though Uber’s tactical exit from China is often viewed as a failure, the company has earned upwards of $8B through its sale to competitor Didi Chuxing.
A Two-Way Street
Now that red-hot growth at home is beginning to taper off, a number of Chinese companies have begun their push into other markets around the world. Much like their American counterparts, brands pushing beyond China’s borders are seeing varied success in their expansion efforts.
One high-profile example is Huawei. The telecommunications giant has been making inroads in countries around the world – particularly in emerging markets – but has seen pushback and scrutiny in a number of developed economies. Huawei has become a lightning rod for growing concerns over government surveillance and China’s growing influence over the global communications network.
Already, Australia has blocked the company from participating in its 5G network, and in the United States, government agencies are banned from buying Huawei gear.
If negative sentiment continues to build, it remains to be seen whether Huawei and other Chinese companies will follow the playbook of American brands in China, and turn the car around.
The Best and Worst Performing Wealth Markets in the Last 10 Years
This telling chart shows how national wealth markets have changed over the past decade, highlighting the biggest winners and losers.
The Best and Worst Performing Wealth Markets
A lot can change in a decade.
Ten years ago, the collapse of Lehman Brothers sent the world’s financial markets into a tailspin, a catalyst for years of economic uncertainty.
At the same time, China’s robust GDP growth was reaching a fever pitch. The country was turning into a wealth creation machine, creating millions of newly-minted millionaires who would end up having a huge impact on wealth markets around the world.
The Ups and Downs of Wealth Markets (2008-2018)
Today’s graphic, using data from the Global Wealth Migration Review, looks at national wealth markets, and how they’ve changed since 2008.
Each wealth market is calculated from the sum of individual assets within the jurisdiction, accounting for the value of cash, property, equity, and business interests owned by people in the country. Just like other kinds of markets, wealth can grow or shrink over time.
Here are a few countries and regions that stand out in the report:
Developing Asian Economies
In terms of sheer wealth growth, nothing comes close to countries like China and India. The size of these markets, combined with rapid economic growth, have resulted in triple-digit gains over the last 10 years.
For the world’s two most populous countries, it’s a trend that is expected to continue into the next decade, despite the fact that many millionaire residents are migrating to different jurisdictions.
European nations saw very little growth over the past decade, but the Mediterranean region was particularly hard-hit. In fact, eight of the 20 worst performing wealth markets over the last decade are located along the Mediterranean coast:
|Rank (Out of 90)||Country||% Growth (2008-2018)|
European Bright Spots
There were some bright spots in Europe during this same time period. Malta, Ireland, and Monaco all achieved positive wealth growth at rates higher than 30% over the last 10 years.
While it’s expected to see rapidly-growing economies as prolific producers of wealth, it is much more surprising when mature markets perform so strongly. Singapore and New Zealand fall under that category, as does Australia, which was already a large, mature wealth market.
Australia recently surpassed both Canada and France to become the seventh largest wealth market in the world, and last year alone, over 12,000 millionaires migrated there.
The long-term economic slide of Venezuela has been well documented, and it comes as no surprise that the country saw extreme contraction of wealth over the last decade. Since war-torn countries are not included in the report, Venezuela ranked 90th, which is dead-last on a global basis.
Short Term, Long Term
In 2018, global wealth actually slumped by 5%, dropping from $215 trillion to $204 trillion.
All 90 countries tracked by the report experienced negative growth in wealth, as global stock and property markets dipped. Here’s a look at the wealth markets that were the hardest hit over the past year:
|Wealth Market||Wealth growth (2017 -2018)|
The future outlook is rosier. Global wealth is expected to rise by 43% over the next decade, reaching $291 trillion by 2028. If current trends play out as expected, Vietnam could likely top this list a decade from now with a staggering 200% growth rate.
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