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A New Silicon Valley is Sprouting in Middle America

Kavitha Kamalbabu needed a break. She had raised her two children and the youngest was now in kindergarten. It was time to turn attention to her career. The 36-year-old wanted to code. The mecca of high tech — Silicon Valley — wasn’t an option because she needed to stay close to home and family in Indianapolis, Indiana.

“I chose Kenzie Academy because of its life project-based learning,” she said.

Kamalbabu is now at the top of her class, getting a two-year degree as a software developer. Kenzie, based in Indianapolis, was established to keep talent in Middle America and to create a mini tech capital.

“Our point is to bring people from Indianapolis to stay in Indianapolis,” said founder Courtney Spence. To do that, they place students in local companies as quickly as possible after their enrollment.

For one class, Kamalbabu, originally from India, found herself asking questions about measuring beer and learning how data increases profit. The class was taking a tour of Steady Serve — a local beer management system that invented a device to measure the content of kegs to reduce waste and fraud.

In the past, CEO Steve Hershberger hired from big universities near Silicon Valley. Now, he needs coders to work on the connection between beer kegs to his iKeg app, and he is choosing interns from Kenzie because of the quality he sees in the candidates.

“It’s like they folded the country and brought San Jose [the heart of Silicon Valley] into Indianapolis.”

By the numbers

Indianapolis is Middle America. Located in the Corn Belt, Indiana is known for its farms — the state’s model is “The Crossroads of America.” City leaders said that perception is changing. Indianapolis deputy mayor of economic development Angela Smith Jones calls Indianapolis “Western Silicon Valley” with a “great startup culture.”

Last year, technology companies in Indianapolis contributed $7.7 billion into the city’s economy and employed 75,000 people.

Job postings for emerging tech are up 40 percent over last year, and the city’s unemployment rate is currently 3 percent, which is lower than the national average.

The average tech industry wage in Indiana is $76,860.

“It’s on the cusp of what we are seeing as being a tech boom,” Spence said.

Not so fast

But students majoring in tech at Stanford University — a research school located in the heart of Silicon Valley — were unimpressed. Freshman Max Comolli said he wouldn’t be enticed to leave California for Indianapolis because of the opportunities and “such a great tech scene already established.”

Masters candidate Diego Garcia said when he thinks of high tech, he thinks of “California or New York, not Indianapolis.” But freshman Alexa White from Detroit, Michigan, thinks a tech capital in the Midwest would “benefit the field” and create diversity.

The gender diversity hasn’t reached Kenzie, although school officials said they actively recruit females. The next class of 18 students starting later this year will have three women. Of the current class, only Kamalbabu and an African American are female.

Statistically, women — and especially women of color — make up a small percentage of the tech field. But 24-year-old Mya Williams called it a “pleasant surprise” when she saw Kamalbabu on the first day of class because she thought she would be the only female. Williams said young girls aren’t encouraged to concentrate in math and science. “They get looked over when it comes to software,” she said.

To Asia and beyond

Kenzie officials plan to duplicate the academy model, starting in Malaysia. Spence goes a step further. “We have a commitment to replicate it around the world,” she said.

Virginia Woman Breaks Glass Ceiling with Wood

Virginia Wallen is a wife, a mother of three, and a woodworker. She achieved what she has never imagined she would — turning her carpentry hobby into a business. The entrepreneur isn’t just succeeding in her new career, she’s tearing down stereotypes and building a new role model.

It happens for a reason

Wallen, who grew up helping out on her family’s farm, developed all the skills required by a professional woodworker early on.

“It wasn’t so much as a passion — growing up doing woodworking – as much as a requirement: help mend a fence or work on the farm or do things like that,” she recalls. “When given a choice in high school between home economics and woodshop class I picked woodshop and welding. But the passion happened a lot later when the HGTV [TV channel for home improvement] came out.”

Still, carpentry wasn’t her first career choice. Wallen worked for 11 years with an IT company.

“I was pretty certain that that was my career path for the rest of my life,” she says. “So when I got laid off I was devastated. I just never expected that I would ever be laid off. I was applying for jobs everywhere but because I’m so type A. I can’t sit around and do nothing. And, I was driving my husband crazy.”

New career

Inspired by her dogs, Penny and Chloe, Wallen returned to her hobby… and made a crate for them. Then, she posted the pictures on line.

“That week I had five people reached out to me asking if I would build them one,” she says. “I wasn’t expecting that feedback. But I took it as divine intervention, maybe I need to change. I told my husband I was going to start building dog kennels.”

That surprised her husband, Kevin Wallen, who works in IT and also enjoys carpentry as hobby.

“I thought she was crazy,” he admits. “But after the first one was well-received, it was great. It was like ‘OK, this is going to take off.’”

And it did. But that wouldn’t have been possible without her husband’s help.

“I took over Mr. Mom,” he explains. “I kind of stepped in and had to be more hands on with kids and more hands on with the school stuff and dinners and things like that because her work was focused on building the business. So it was a big change, but being married that’s what you got to do. You got to step up every now and then.”

Wallen is thankful for her husband’s support.

“Kevin can also help pick up that slack when I need it,” she says. “He can come down here when I need help building and he can help me do that. If I need help putting kids to bed because I’m here building until eleven o’clock at night, he can do that too.”

That gave Wallen the time she needed to build her brand, Ginny Bins. Her products are made of recycled wood and have a warm, vintage look. She markets them on-line.

On line at the right time

Around the same time Wallen started her business, psychologist Heather Abbott was in the process of starting a day care center, Little Oaks Montessori Academy. She went online searching for furniture.

“I didn’t want to get the standard, just ordered off the Internet pieces, I wanted something very customized that looked like it would go into a home,” she says. “I saw Ginny Bins, Virginia woodwork business. I liked it. I contacted her.

Abbott says Wallen understood what she wanted, from the whimsical to the practical.

“One of the things that I really was looking for is a book shelf that looks like a tree,” Abbott says. “She’s like, ‘you know I’ve never made anything like this, but I’m going to give it a shot.’ She did it and it happens to be one of the children’s favorite pieces in the school. She made boards with little clips. A table for the staff kitchen. The angle of the room was weird and she had to make it small enough to fit in. She did Dutch doors on all the classrooms so we wouldn’t have to shut the doors, we don’t have to close it all completely. ”

Abbott loves each of these items and the message of unlimited possibilities behind them. “It’s to teach our teachers, our students, our families that pass by, so they know that Virginia made those pieces and they can say this is a stereotype that we’re breaking.”

Woodworker Virginia Wallen doesn’t like stereotypes and believes it’s time for women to ignore them and just do what they want.

That’s what she’s doing. And that’s how she’s found her passion, woodworking- the work she has fun doing every day.

 

 

 

 

 

 

 

 

Virginia Woman Breaks Glass Ceiling with Wood

Virginia Wallen is a wife, a mother of three, and a woodworker. She achieved what she has never imagined she would — turning her carpentry hobby into a business. The entrepreneur isn’t just succeeding in her new career, she’s tearing down stereotypes and building a new role model.

It happens for a reason

Wallen, who grew up helping out on her family’s farm, developed all the skills required by a professional woodworker early on.

“It wasn’t so much as a passion — growing up doing woodworking – as much as a requirement: help mend a fence or work on the farm or do things like that,” she recalls. “When given a choice in high school between home economics and woodshop class I picked woodshop and welding. But the passion happened a lot later when the HGTV [TV channel for home improvement] came out.”

Still, carpentry wasn’t her first career choice. Wallen worked for 11 years with an IT company.

“I was pretty certain that that was my career path for the rest of my life,” she says. “So when I got laid off I was devastated. I just never expected that I would ever be laid off. I was applying for jobs everywhere but because I’m so type A. I can’t sit around and do nothing. And, I was driving my husband crazy.”

New career

Inspired by her dogs, Penny and Chloe, Wallen returned to her hobby… and made a crate for them. Then, she posted the pictures on line.

“That week I had five people reached out to me asking if I would build them one,” she says. “I wasn’t expecting that feedback. But I took it as divine intervention, maybe I need to change. I told my husband I was going to start building dog kennels.”

That surprised her husband, Kevin Wallen, who works in IT and also enjoys carpentry as hobby.

“I thought she was crazy,” he admits. “But after the first one was well-received, it was great. It was like ‘OK, this is going to take off.’”

And it did. But that wouldn’t have been possible without her husband’s help.

“I took over Mr. Mom,” he explains. “I kind of stepped in and had to be more hands on with kids and more hands on with the school stuff and dinners and things like that because her work was focused on building the business. So it was a big change, but being married that’s what you got to do. You got to step up every now and then.”

Wallen is thankful for her husband’s support.

“Kevin can also help pick up that slack when I need it,” she says. “He can come down here when I need help building and he can help me do that. If I need help putting kids to bed because I’m here building until eleven o’clock at night, he can do that too.”

That gave Wallen the time she needed to build her brand, Ginny Bins. Her products are made of recycled wood and have a warm, vintage look. She markets them on-line.

On line at the right time

Around the same time Wallen started her business, psychologist Heather Abbott was in the process of starting a day care center, Little Oaks Montessori Academy. She went online searching for furniture.

“I didn’t want to get the standard, just ordered off the Internet pieces, I wanted something very customized that looked like it would go into a home,” she says. “I saw Ginny Bins, Virginia woodwork business. I liked it. I contacted her.

Abbott says Wallen understood what she wanted, from the whimsical to the practical.

“One of the things that I really was looking for is a book shelf that looks like a tree,” Abbott says. “She’s like, ‘you know I’ve never made anything like this, but I’m going to give it a shot.’ She did it and it happens to be one of the children’s favorite pieces in the school. She made boards with little clips. A table for the staff kitchen. The angle of the room was weird and she had to make it small enough to fit in. She did Dutch doors on all the classrooms so we wouldn’t have to shut the doors, we don’t have to close it all completely. ”

Abbott loves each of these items and the message of unlimited possibilities behind them. “It’s to teach our teachers, our students, our families that pass by, so they know that Virginia made those pieces and they can say this is a stereotype that we’re breaking.”

Woodworker Virginia Wallen doesn’t like stereotypes and believes it’s time for women to ignore them and just do what they want.

That’s what she’s doing. And that’s how she’s found her passion, woodworking- the work she has fun doing every day.

 

 

 

 

 

 

 

 

Syrian Refugees Showcase Innovation Ideas

No matter where they live, young people are capable of coming up with fresh ideas about how to improve life in their communities. At a recent exhibition, held in the sprawling Zaatari refugee camp in northern Jordan, teenage Syrians showcased inventions geared toward making refugee camps more livable. VOA’s George Putic has more.

Syrian Refugees Showcase Innovation Ideas

No matter where they live, young people are capable of coming up with fresh ideas about how to improve life in their communities. At a recent exhibition, held in the sprawling Zaatari refugee camp in northern Jordan, teenage Syrians showcased inventions geared toward making refugee camps more livable. VOA’s George Putic has more.

Cal’s Teacher Pension Fund Won’t Dump Gun Retailers

The California State Teachers’ Retirement System (CalSTRS) decided not to divest from Walmart and other retailers that sell guns, but said it would use its financial clout to pressure retailers on their gun policies. 

The pension fund said Wednesday it wants to take a high-profile engagement strategy, and said it plans to hire two lobbyists.

CalSTRS’s board said it could reconsider its decision not to divest from Walmart and other retailers that sell guns if its engagement strategy “fails to achieve an acceptable outcome.”  The board did not say what outcome it was seeking. 

The pension fund invests more than $420 million in retailers, but the majority of the money is invested in Walmart. 

Walmart stopped selling assault weapons at its stores in 2015, and recently bump stocks — a device that can allow a gun to fire at speeds that mimic an automatic weapon.

CalSTRS divested from firearms manufacturers following the 2012 mass shooting at Connecticut’s Sandy Hook Elementary School. 

Wednesday’s decision follows a similar announcement by the California Public Employees’ Retirement System (CalPERS), which opted in March not to divest from retailers that sell assault rifles, saying that divesting from such companies would do little to reduce gun violence. 

California’s Treasurer John Chiang, who is running for governor in next month’s Democratic primary, is leading the push for the state’s pension funds to divest from retailers that sell weapons.

Cal’s Teacher Pension Fund Won’t Dump Gun Retailers

The California State Teachers’ Retirement System (CalSTRS) decided not to divest from Walmart and other retailers that sell guns, but said it would use its financial clout to pressure retailers on their gun policies. 

The pension fund said Wednesday it wants to take a high-profile engagement strategy, and said it plans to hire two lobbyists.

CalSTRS’s board said it could reconsider its decision not to divest from Walmart and other retailers that sell guns if its engagement strategy “fails to achieve an acceptable outcome.”  The board did not say what outcome it was seeking. 

The pension fund invests more than $420 million in retailers, but the majority of the money is invested in Walmart. 

Walmart stopped selling assault weapons at its stores in 2015, and recently bump stocks — a device that can allow a gun to fire at speeds that mimic an automatic weapon.

CalSTRS divested from firearms manufacturers following the 2012 mass shooting at Connecticut’s Sandy Hook Elementary School. 

Wednesday’s decision follows a similar announcement by the California Public Employees’ Retirement System (CalPERS), which opted in March not to divest from retailers that sell assault rifles, saying that divesting from such companies would do little to reduce gun violence. 

California’s Treasurer John Chiang, who is running for governor in next month’s Democratic primary, is leading the push for the state’s pension funds to divest from retailers that sell weapons.

Energy Stocks Jump on Wall Street After US Quits Iran Deal

Wall Street surged on Wednesday as surging oil prices boosted energy stocks following U.S. President Donald Trump’s decision the previous day to quit a nuclear agreement with Iran.

Gains were broad and volume was high, with all but the utilities and telecom sectors advancing as investors who had moved to the sidelines in recent days ahead of Trump’s decision returned to the market.

“It’s classic ‘buy on the terrible news,’ ” said Ian Winer, director of trading at Wedbush Securities in Los Angeles, referring to the wider market’s rally. “People had gotten way too nervous about this.”

Trump’s decision for the United States pull out of the international agreement aimed at preventing Iran from obtaining a nuclear weapon was good news for investors betting on a rise in oil prices. Crude hit its highest level in 3½ years as investors bet the U.S. withdrawal would increase risks of conflict in the Middle East and curtail global oil supplies.

The S&P energy index jumped 2.03 percent, bringing its gain this quarter to 12.6 percent, more than any other sector.

“The rise in oil is helping energy sector, which is expected to be a pretty big growth sector. A lot of analysts are expecting strong earnings as oil rebounds, and that hasn’t really played out so much early this year,” said Shawn Cruz, senior trading specialist at TD Ameritrade in Chicago.

The Dow Jones industrial average rose 0.75 percent to end at 24,542.54 points, while the S&P 500 gained 0.97 percent to 2,697.79. The Nasdaq Composite added 1 percent to finish the session at 7,339.91.

Volatility Index down

The Cboe Volatility Index, the most widely followed barometer of expected near-term volatility for the S&P 500, closed down 1.29 points at 13.42, its lowest close since January  26.

Worries lingered that rising oil prices would perk up inflation. The U.S. 10-year Treasury yield rose to a two-week high and above the key 3 percent level on expectations of higher interest rates.

With March quarter reports mostly wrapped up, S&P 500 earnings per share appear to have surged by 25.9 percent, helped by deep corporate tax cuts introduced this year, according to Thomson Reuters I/B/E/S.

In stock trading, Google-owner Alphabet Inc. rose 2.87 percent, providing more lift than any other stock to the S&P 500. It was followed by Facebook Inc., which rose 2.09 percent.

Walmart Inc. fell 3.13 percent after the retailer took a majority stake in Indian e-commerce firm Flipkart for about $16 billion.

Walt Disney dipped 1.79 percent despite reporting a quarterly profit above Wall Street estimates.

Advancing issues outnumbered declining ones on the NYSE by a 1.71-to-1 ratio; on Nasdaq, a 1.65-to-1 ratio favored advancers.

The S&P 500 posted 40 new 52-week highs and 11 new lows; the Nasdaq Composite recorded 168 new highs and 52 new lows.

Volume on U.S. exchanges was 7.1 billion shares, compared with the 6.6 billion-share average over the last 20 trading days.

Energy Stocks Jump on Wall Street After US Quits Iran Deal

Wall Street surged on Wednesday as surging oil prices boosted energy stocks following U.S. President Donald Trump’s decision the previous day to quit a nuclear agreement with Iran.

Gains were broad and volume was high, with all but the utilities and telecom sectors advancing as investors who had moved to the sidelines in recent days ahead of Trump’s decision returned to the market.

“It’s classic ‘buy on the terrible news,’ ” said Ian Winer, director of trading at Wedbush Securities in Los Angeles, referring to the wider market’s rally. “People had gotten way too nervous about this.”

Trump’s decision for the United States pull out of the international agreement aimed at preventing Iran from obtaining a nuclear weapon was good news for investors betting on a rise in oil prices. Crude hit its highest level in 3½ years as investors bet the U.S. withdrawal would increase risks of conflict in the Middle East and curtail global oil supplies.

The S&P energy index jumped 2.03 percent, bringing its gain this quarter to 12.6 percent, more than any other sector.

“The rise in oil is helping energy sector, which is expected to be a pretty big growth sector. A lot of analysts are expecting strong earnings as oil rebounds, and that hasn’t really played out so much early this year,” said Shawn Cruz, senior trading specialist at TD Ameritrade in Chicago.

The Dow Jones industrial average rose 0.75 percent to end at 24,542.54 points, while the S&P 500 gained 0.97 percent to 2,697.79. The Nasdaq Composite added 1 percent to finish the session at 7,339.91.

Volatility Index down

The Cboe Volatility Index, the most widely followed barometer of expected near-term volatility for the S&P 500, closed down 1.29 points at 13.42, its lowest close since January  26.

Worries lingered that rising oil prices would perk up inflation. The U.S. 10-year Treasury yield rose to a two-week high and above the key 3 percent level on expectations of higher interest rates.

With March quarter reports mostly wrapped up, S&P 500 earnings per share appear to have surged by 25.9 percent, helped by deep corporate tax cuts introduced this year, according to Thomson Reuters I/B/E/S.

In stock trading, Google-owner Alphabet Inc. rose 2.87 percent, providing more lift than any other stock to the S&P 500. It was followed by Facebook Inc., which rose 2.09 percent.

Walmart Inc. fell 3.13 percent after the retailer took a majority stake in Indian e-commerce firm Flipkart for about $16 billion.

Walt Disney dipped 1.79 percent despite reporting a quarterly profit above Wall Street estimates.

Advancing issues outnumbered declining ones on the NYSE by a 1.71-to-1 ratio; on Nasdaq, a 1.65-to-1 ratio favored advancers.

The S&P 500 posted 40 new 52-week highs and 11 new lows; the Nasdaq Composite recorded 168 new highs and 52 new lows.

Volume on U.S. exchanges was 7.1 billion shares, compared with the 6.6 billion-share average over the last 20 trading days.

Russian Firm Tied to ‘Putin’s Cook’ Pleads Not Guilty in US

A Russian company accused by U.S. prosecutors of funding a propaganda operation to tilt the 2016 presidential election in President Donald Trump’s favor and stir disharmony in the United States pleaded not guilty Wednesday in federal court.

Concord Management and Consulting LLC is one of three entities and 13 Russian individuals indicted by Special Counsel Robert Mueller’s office in February in an alleged criminal and espionage conspiracy to tamper in the U.S. race, boost Trump and disparage his Democratic opponent Hillary Clinton.

The indictment said Concord is controlled by Russian businessman Evgeny Prigozhin, who U.S. officials have said has extensive ties to Russia’s military and political establishment.

The indictment said Concord controlled funding, recommended personnel and oversaw the activities of the propaganda campaign.

Prigozhin, also personally charged by Mueller, has been dubbed “Putin’s cook” by Russian media because his catering business has organized banquets for Russian President Vladimir Putin and other senior political figures. He has been hit with sanctions by the U.S. government.

“We plead not guilty. We exercise the right to a speedy trial,” the company’s U.S.-based defense lawyer Eric Dubelier said during the arraignment before Magistrate Judge G. Michael Harvey, who scheduled a May 16 status hearing.

Another business entity that prosecutors said was controlled by Prigozhin, Concord Catering, was named in the indictment, along with the Internet Research Agency, a St. Petersburg-based Russian troll farm.

Dubelier told the court he was not authorized to represent Concord Catering, adding that prosecutors had indicted a “proverbial ham sandwich” because the entity did not exist during the time the alleged misconduct occurred.

Mueller’s indictment said the Russian defendants adopted false online personas to push divisive messages, traveled to the United States to collect intelligence and orchestrated political rallies while posing as Americans. Moscow has denied meddling in the election.

Mueller also is investigating whether Trump’s campaign colluded with Russia and whether the president has unlawfully sought to obstruct the probe. Trump has denied collusion and obstruction, calling Mueller’s investigation a “witch hunt.”

Russia does not have an extradition agreement with the United States, making it difficult to apprehend the Russian defendants.

As expected, no corporate representatives for Concord or any of the other corporate defendants appeared in court.

“Alas, they are not here,” prosecutor Jeannie Rhee said. “The government would be thrilled if they were here.”

Mueller’s office tried unsuccessfully to win a delay in the arraignment, saying it was unsure if Dubelier and another U.S. lawyer hired by Concord Management and Consulting were authorized to represent the company because the Office of the Prosecutor General of Russia declined to accept a court summons.

Russian Firm Tied to ‘Putin’s Cook’ Pleads Not Guilty in US

A Russian company accused by U.S. prosecutors of funding a propaganda operation to tilt the 2016 presidential election in President Donald Trump’s favor and stir disharmony in the United States pleaded not guilty Wednesday in federal court.

Concord Management and Consulting LLC is one of three entities and 13 Russian individuals indicted by Special Counsel Robert Mueller’s office in February in an alleged criminal and espionage conspiracy to tamper in the U.S. race, boost Trump and disparage his Democratic opponent Hillary Clinton.

The indictment said Concord is controlled by Russian businessman Evgeny Prigozhin, who U.S. officials have said has extensive ties to Russia’s military and political establishment.

The indictment said Concord controlled funding, recommended personnel and oversaw the activities of the propaganda campaign.

Prigozhin, also personally charged by Mueller, has been dubbed “Putin’s cook” by Russian media because his catering business has organized banquets for Russian President Vladimir Putin and other senior political figures. He has been hit with sanctions by the U.S. government.

“We plead not guilty. We exercise the right to a speedy trial,” the company’s U.S.-based defense lawyer Eric Dubelier said during the arraignment before Magistrate Judge G. Michael Harvey, who scheduled a May 16 status hearing.

Another business entity that prosecutors said was controlled by Prigozhin, Concord Catering, was named in the indictment, along with the Internet Research Agency, a St. Petersburg-based Russian troll farm.

Dubelier told the court he was not authorized to represent Concord Catering, adding that prosecutors had indicted a “proverbial ham sandwich” because the entity did not exist during the time the alleged misconduct occurred.

Mueller’s indictment said the Russian defendants adopted false online personas to push divisive messages, traveled to the United States to collect intelligence and orchestrated political rallies while posing as Americans. Moscow has denied meddling in the election.

Mueller also is investigating whether Trump’s campaign colluded with Russia and whether the president has unlawfully sought to obstruct the probe. Trump has denied collusion and obstruction, calling Mueller’s investigation a “witch hunt.”

Russia does not have an extradition agreement with the United States, making it difficult to apprehend the Russian defendants.

As expected, no corporate representatives for Concord or any of the other corporate defendants appeared in court.

“Alas, they are not here,” prosecutor Jeannie Rhee said. “The government would be thrilled if they were here.”

Mueller’s office tried unsuccessfully to win a delay in the arraignment, saying it was unsure if Dubelier and another U.S. lawyer hired by Concord Management and Consulting were authorized to represent the company because the Office of the Prosecutor General of Russia declined to accept a court summons.

Google Suspends Advertising Related to Irish Abortion Referendum

Google is suspending all advertising connected to Ireland’s abortion referendum as part of moves to protect “election integrity,” the company announced Wednesday.

The move came a day after Facebook banned foreign-backed ads in the Irish campaign, amid global concerns about online election meddling and the role of internet ads in swaying voters. 

Google said that starting Thursday, it would no longer display ads related to the May 25 vote on whether to repeal Ireland’s constitutional ban on most abortions.

The prohibition on ads connected to the Irish vote applies to both Google and YouTube, which the company owns.

The online search leader, which is based in Mountain View, California, declined to say how much advertising revenue it was giving up because of the decision.

Russian role

The role of online ads in elections is under scrutiny following revelations that Russian groups bought ads on leading services such as Google and Facebook to try to influence the 2016 U.S. presidential campaign. Many of the ads were designed to sow confusion, anger and discord among Americans through messages on hot-button topics.

Karin von Abrams, a London-based analyst with the research firm eMarketer, said banning ads represented a short-term safeguard from potential backlash and reputational damage.

“They won’t want to forgo election-related revenues in the longer term, but they do need to get their houses in order, rather than risk further troubles at this stage,” von Abrams said in an email Wednesday.

Google’s statement followed Facebook’s decision Tuesday to ban foreign advertisements around the abortion referendum, which has drawn worries about the influence of North American groups.

Both Google and Facebook are working on measures to improve transparency before November’s U.S. midterm elections, including tools to show the home country of advertisers.

Ireland bars political donations from abroad, but the law has not been applied to social media advertising. Anti-abortion groups based in the United States are among the organizations that have bought online ads in Ireland during the referendum campaign.

’11th hour’ effort

Irish lawmaker James Lawless, technology spokesman for the opposition Fianna Fail party, welcomed the moves by Google and Facebook, but said “they are rushed and they are coming at the 11th hour,” with just two weeks until voting day.

“It’s a step in the right direction, but it’s an awful pity we couldn’t have done this six months ago,” said Lawless, who has introduced a bill to Ireland’s parliament that would require all online advertisers to disclose the publishers and sponsors behind ads.

Largely Catholic Ireland has Europe’s strictest restrictions on abortion, which is legal only when a woman’s life is in danger. Several thousand Irish women travel each year to get abortions in neighboring Britain.

Voters are being asked whether they want to retain the constitutional ban or repeal it and make parliament responsible for creating abortion laws.

Lawless said he had concerns about some of the online advertising from both sides in the referendum campaign.

“Some quite disingenuous ads have been going around in recent weeks targeting people who are in the middle that aren’t always from who they seem to be from,” he said.

“What we really need is legislation and we need a proper, robust, thought-out approach” to the problem, he said.

Google Suspends Advertising Related to Irish Abortion Referendum

Google is suspending all advertising connected to Ireland’s abortion referendum as part of moves to protect “election integrity,” the company announced Wednesday.

The move came a day after Facebook banned foreign-backed ads in the Irish campaign, amid global concerns about online election meddling and the role of internet ads in swaying voters. 

Google said that starting Thursday, it would no longer display ads related to the May 25 vote on whether to repeal Ireland’s constitutional ban on most abortions.

The prohibition on ads connected to the Irish vote applies to both Google and YouTube, which the company owns.

The online search leader, which is based in Mountain View, California, declined to say how much advertising revenue it was giving up because of the decision.

Russian role

The role of online ads in elections is under scrutiny following revelations that Russian groups bought ads on leading services such as Google and Facebook to try to influence the 2016 U.S. presidential campaign. Many of the ads were designed to sow confusion, anger and discord among Americans through messages on hot-button topics.

Karin von Abrams, a London-based analyst with the research firm eMarketer, said banning ads represented a short-term safeguard from potential backlash and reputational damage.

“They won’t want to forgo election-related revenues in the longer term, but they do need to get their houses in order, rather than risk further troubles at this stage,” von Abrams said in an email Wednesday.

Google’s statement followed Facebook’s decision Tuesday to ban foreign advertisements around the abortion referendum, which has drawn worries about the influence of North American groups.

Both Google and Facebook are working on measures to improve transparency before November’s U.S. midterm elections, including tools to show the home country of advertisers.

Ireland bars political donations from abroad, but the law has not been applied to social media advertising. Anti-abortion groups based in the United States are among the organizations that have bought online ads in Ireland during the referendum campaign.

’11th hour’ effort

Irish lawmaker James Lawless, technology spokesman for the opposition Fianna Fail party, welcomed the moves by Google and Facebook, but said “they are rushed and they are coming at the 11th hour,” with just two weeks until voting day.

“It’s a step in the right direction, but it’s an awful pity we couldn’t have done this six months ago,” said Lawless, who has introduced a bill to Ireland’s parliament that would require all online advertisers to disclose the publishers and sponsors behind ads.

Largely Catholic Ireland has Europe’s strictest restrictions on abortion, which is legal only when a woman’s life is in danger. Several thousand Irish women travel each year to get abortions in neighboring Britain.

Voters are being asked whether they want to retain the constitutional ban or repeal it and make parliament responsible for creating abortion laws.

Lawless said he had concerns about some of the online advertising from both sides in the referendum campaign.

“Some quite disingenuous ads have been going around in recent weeks targeting people who are in the middle that aren’t always from who they seem to be from,” he said.

“What we really need is legislation and we need a proper, robust, thought-out approach” to the problem, he said.

Russian Tycoon Known for Faberge Eggs Tied to Cohen Payment

Outside the rarified sphere of the super-rich, tycoon Viktor Vekselberg is mostly known in Russia for spending more than $100 million to bring cultural artifacts back to their homeland, including an array of Faberge eggs glittering with gold and jewels.

By Vekselberg’s standards, the money he laid out wasn’t all that much: His fortune has been estimated at about $14.6 billion.

But after his holding company Renova was hit by U.S. sanctions against Russia in April, his worth appeared to shrink markedly, and he reportedly has asked the Russian government for help to stay afloat.

Now Vekselberg is facing new scrutiny.

U.S. news reports said he has been questioned by the staff of Robert Mueller, the special counsel investigating alleged Russian interference in the U.S. election in 2016 and any possible coordination with associates of President Donald Trump. And documents reviewed by The Associated Press suggest that a company associated with Vekselberg routed money to Trump lawyer Michael Cohen’s consulting firm in 2017.

Vekselberg, 61, was born in Soviet Ukraine. After graduating from the Moscow Transportation Engineering Institute, he reportedly made his first significant money by selling copper salvaged from scrapped cables during the period of economic reforms under Soviet leader Mikhail Gorbachev.

He built his fortune by investing in the aluminum and oil industries, taking advantage of the wide-open and often-questionable privatization of state companies after the collapse of the Soviet Union in 1991.

He secured a controlling interest in the Tyumen Oil company, one of Russia’s largest oil operations, and his holding company Renova Group and two other holding companies later merged their assets and established the TNK-BP joint venture with British Petroleum, which later was acquired by state oil giant Rosneft. More recently, he has expanded his assets to include industrial equipment and high technology.

Renova has sizable investments in the U.S. through its subsidiary, the investment management company Columbus Nova. The firm’s operations include tech investments, real estate management and merchant banking, according to corporate and web documents.

Vekselberg’s U.S. operation, Columbus Nova, is headed by Andrew Intrater. The documents reviewed by AP and other media reports have said the two men are cousins.

Washington influence

Intrater donated $250,000 to Trump’s inauguration in 2017, presidential finance documents show. And both Vekselberg and Intrater attended Trump’s inauguration, according to a 2017 Washington Post report.

Before reportedly retaining Cohen, Vekselberg’s U.S. corporate entities have spent nearly 15 years trying to gain influence in Washington. Renova, Columbus Nova and its real estate arm combined to pay nearly $1.8 million to lobbyists between 2001 and 2015, at first concentrating on “encouraging trade and cultural exchanges” between the U.S. and Russia and later on small business issues.

A spokeswoman for the Carmen Group Inc., a lobbying operation paid more than $1.7 million by the Vekselberg firms, declined to explain its work, saying, “we do not comment on client matters.”

Vekselberg was one of a group of Russian business leaders who met with former President Barack Obama in Moscow in 2007 during Obama’s visit with then-Russian President Dmitry Medvedev as well as then-Prime Minister Vladimir Putin.

Vekselberg was also in attendance when Putin sat during a Moscow gala in 2015 with retired U.S. Army General Michael Flynn, who was Trump’s national security adviser before he was fired. Flynn is now cooperating with the special counsel probe.

Payments to Cohen firm

Official documents reviewed Tuesday by the AP appeared to show that a company associated with Vekselberg routed eight payments totaling about $500,000 to Essential Consultants, established by Cohen between January and August 2017.

Vekselberg’s spokesman Andrey Shtorkh told the AP on Wednesday that “neither Viktor Vekselberg nor Renova has ever had any contractual relationship with Mr. Cohen” or his consulting company. In a statement on its website, Columbus Nova said it has managed assets for Renova, but has never been owned by Vekselberg.

As a wealthy and powerful Russian, Vekselberg is presumed to operate with the tacit approval of President Vladimir Putin. How deep his relations are with the Kremlin is an open question.

Anders Aslund, an expert on Russia’s economy, was quoted by the Russian business portal RBC as saying that Vekselberg’s ending up on the U.S. sanctions list was a surprise because “he has a good reputation. … He isn’t perceived to be especially close to Putin.”

But he apparently is close enough to the top to be willing to ask for help after the sanctions slashed the value of his holdings. According to the business newspaper Kommersant, he recently asked for state-owned banks to refinance 820 million euros ($967 million) in debt that he owes to Western banks and for preferential treatment in receiving state orders.

Vekselberg got wide public attention for buying nine Faberge eggs from the estate of Malcolm Forbes and bringing the czarist-era baubles back to Russia for display in a private museum.

He also heavily funded the establishment of a Jewish museum in Moscow and financed the return to a Moscow monastery of church bells that had been scrapped under Soviet dictator Josef Stalin.

Russian Tycoon Known for Faberge Eggs Tied to Cohen Payment

Outside the rarified sphere of the super-rich, tycoon Viktor Vekselberg is mostly known in Russia for spending more than $100 million to bring cultural artifacts back to their homeland, including an array of Faberge eggs glittering with gold and jewels.

By Vekselberg’s standards, the money he laid out wasn’t all that much: His fortune has been estimated at about $14.6 billion.

But after his holding company Renova was hit by U.S. sanctions against Russia in April, his worth appeared to shrink markedly, and he reportedly has asked the Russian government for help to stay afloat.

Now Vekselberg is facing new scrutiny.

U.S. news reports said he has been questioned by the staff of Robert Mueller, the special counsel investigating alleged Russian interference in the U.S. election in 2016 and any possible coordination with associates of President Donald Trump. And documents reviewed by The Associated Press suggest that a company associated with Vekselberg routed money to Trump lawyer Michael Cohen’s consulting firm in 2017.

Vekselberg, 61, was born in Soviet Ukraine. After graduating from the Moscow Transportation Engineering Institute, he reportedly made his first significant money by selling copper salvaged from scrapped cables during the period of economic reforms under Soviet leader Mikhail Gorbachev.

He built his fortune by investing in the aluminum and oil industries, taking advantage of the wide-open and often-questionable privatization of state companies after the collapse of the Soviet Union in 1991.

He secured a controlling interest in the Tyumen Oil company, one of Russia’s largest oil operations, and his holding company Renova Group and two other holding companies later merged their assets and established the TNK-BP joint venture with British Petroleum, which later was acquired by state oil giant Rosneft. More recently, he has expanded his assets to include industrial equipment and high technology.

Renova has sizable investments in the U.S. through its subsidiary, the investment management company Columbus Nova. The firm’s operations include tech investments, real estate management and merchant banking, according to corporate and web documents.

Vekselberg’s U.S. operation, Columbus Nova, is headed by Andrew Intrater. The documents reviewed by AP and other media reports have said the two men are cousins.

Washington influence

Intrater donated $250,000 to Trump’s inauguration in 2017, presidential finance documents show. And both Vekselberg and Intrater attended Trump’s inauguration, according to a 2017 Washington Post report.

Before reportedly retaining Cohen, Vekselberg’s U.S. corporate entities have spent nearly 15 years trying to gain influence in Washington. Renova, Columbus Nova and its real estate arm combined to pay nearly $1.8 million to lobbyists between 2001 and 2015, at first concentrating on “encouraging trade and cultural exchanges” between the U.S. and Russia and later on small business issues.

A spokeswoman for the Carmen Group Inc., a lobbying operation paid more than $1.7 million by the Vekselberg firms, declined to explain its work, saying, “we do not comment on client matters.”

Vekselberg was one of a group of Russian business leaders who met with former President Barack Obama in Moscow in 2007 during Obama’s visit with then-Russian President Dmitry Medvedev as well as then-Prime Minister Vladimir Putin.

Vekselberg was also in attendance when Putin sat during a Moscow gala in 2015 with retired U.S. Army General Michael Flynn, who was Trump’s national security adviser before he was fired. Flynn is now cooperating with the special counsel probe.

Payments to Cohen firm

Official documents reviewed Tuesday by the AP appeared to show that a company associated with Vekselberg routed eight payments totaling about $500,000 to Essential Consultants, established by Cohen between January and August 2017.

Vekselberg’s spokesman Andrey Shtorkh told the AP on Wednesday that “neither Viktor Vekselberg nor Renova has ever had any contractual relationship with Mr. Cohen” or his consulting company. In a statement on its website, Columbus Nova said it has managed assets for Renova, but has never been owned by Vekselberg.

As a wealthy and powerful Russian, Vekselberg is presumed to operate with the tacit approval of President Vladimir Putin. How deep his relations are with the Kremlin is an open question.

Anders Aslund, an expert on Russia’s economy, was quoted by the Russian business portal RBC as saying that Vekselberg’s ending up on the U.S. sanctions list was a surprise because “he has a good reputation. … He isn’t perceived to be especially close to Putin.”

But he apparently is close enough to the top to be willing to ask for help after the sanctions slashed the value of his holdings. According to the business newspaper Kommersant, he recently asked for state-owned banks to refinance 820 million euros ($967 million) in debt that he owes to Western banks and for preferential treatment in receiving state orders.

Vekselberg got wide public attention for buying nine Faberge eggs from the estate of Malcolm Forbes and bringing the czarist-era baubles back to Russia for display in a private museum.

He also heavily funded the establishment of a Jewish museum in Moscow and financed the return to a Moscow monastery of church bells that had been scrapped under Soviet dictator Josef Stalin.

Hedge Fund Founder Charged with Mismarking Securities

 A New York hedge fund founder was arrested Wednesday on charges that he exaggerated his company’s performance by over $200 million to impress and preserve investors.

Anilesh Ahuja, 49, of Manhattan, was charged with conspiracy, securities fraud and wire fraud.

Federal officials said that the founder, chief executive officer and chief investment officer of the investment firm Premium Point Investments LP had carried out a fraud from 2014 through 2016 that was designed to make investors believe that the firm’s hedge funds were doing much better than they were. Between 2008 and 2016, the firm managed billions of dollars in assets, exceeding $5 billion at one time at its peak, authorities said.

Amin Majidi, 52, of Armonk, New York, a former Premium Point portfolio manager, and Jeremy Shor, 46, of Manhattan, a former trader at the firm, also were charged. A lawyer for Ahuja did not immediately comment. A lawyer for Majidi declined comment. An attorney for Shor did not immediately return a message.

“By allegedly cooking the books, Ahuja and his co-defendants made the fund appear more attractive to would-be investors and dissuaded current investors from withdrawing their investments,” said Audrey Strauss, a federal prosecutor.

William F. Sweeney Jr., head of the New York FBI office, said in a release that the defendants’ “alleged practice of intentionally misleading investors and mismarking securities held in the funds they managed allowed them to charge higher fees and hold captive money that would have likely been withdrawn had their clients been aware of the hedge fund’s actual value.”

According to an indictment, Ahuja started his firm in 2008 and launched the company’s flagship mortgage credit fund a year later. After the firm began overstating the net asset value of its funds by more than $200 million at times, it was able to charge investors higher management and performance fees and could forestall redemptions, authorities said.

Prosecutors also announced Wednesday that the firm’s former chief risk officer and a former salesman at a broker-dealer have pleaded guilty to charges and are cooperating.

The Securities and Exchange Commission also filed civil charges against Ahuja, Majidi and Shor.

“Investors rely on their investment advisers to fairly and accurately value securities, and that is especially true when the securities trade in opaque markets,” said Daniel Michael, chief of the SEC’s Complex Financial Instruments Unit.  “As we allege, Premium Point masked its true performance, which denied investors the opportunity to make informed investment decisions.”

Hedge Fund Founder Charged with Mismarking Securities

 A New York hedge fund founder was arrested Wednesday on charges that he exaggerated his company’s performance by over $200 million to impress and preserve investors.

Anilesh Ahuja, 49, of Manhattan, was charged with conspiracy, securities fraud and wire fraud.

Federal officials said that the founder, chief executive officer and chief investment officer of the investment firm Premium Point Investments LP had carried out a fraud from 2014 through 2016 that was designed to make investors believe that the firm’s hedge funds were doing much better than they were. Between 2008 and 2016, the firm managed billions of dollars in assets, exceeding $5 billion at one time at its peak, authorities said.

Amin Majidi, 52, of Armonk, New York, a former Premium Point portfolio manager, and Jeremy Shor, 46, of Manhattan, a former trader at the firm, also were charged. A lawyer for Ahuja did not immediately comment. A lawyer for Majidi declined comment. An attorney for Shor did not immediately return a message.

“By allegedly cooking the books, Ahuja and his co-defendants made the fund appear more attractive to would-be investors and dissuaded current investors from withdrawing their investments,” said Audrey Strauss, a federal prosecutor.

William F. Sweeney Jr., head of the New York FBI office, said in a release that the defendants’ “alleged practice of intentionally misleading investors and mismarking securities held in the funds they managed allowed them to charge higher fees and hold captive money that would have likely been withdrawn had their clients been aware of the hedge fund’s actual value.”

According to an indictment, Ahuja started his firm in 2008 and launched the company’s flagship mortgage credit fund a year later. After the firm began overstating the net asset value of its funds by more than $200 million at times, it was able to charge investors higher management and performance fees and could forestall redemptions, authorities said.

Prosecutors also announced Wednesday that the firm’s former chief risk officer and a former salesman at a broker-dealer have pleaded guilty to charges and are cooperating.

The Securities and Exchange Commission also filed civil charges against Ahuja, Majidi and Shor.

“Investors rely on their investment advisers to fairly and accurately value securities, and that is especially true when the securities trade in opaque markets,” said Daniel Michael, chief of the SEC’s Complex Financial Instruments Unit.  “As we allege, Premium Point masked its true performance, which denied investors the opportunity to make informed investment decisions.”

Europe Vows to Defend Its Interests in Iran

A transatlantic diplomatic tussle appears to be looming after European leaders pledged to defend their countries’ commercial interests in Iran, following U.S. President Donald Trump’s decision to withdraw from the 2015 nuclear deal with Tehran. Fellow signatories Russia and China also said they would stick with the accord. Washington says it will begin phasing in sanctions on Iran in the coming months. Henry Ridgwell reports.

Europe Vows to Defend Its Interests in Iran

A transatlantic diplomatic tussle appears to be looming after European leaders pledged to defend their countries’ commercial interests in Iran, following U.S. President Donald Trump’s decision to withdraw from the 2015 nuclear deal with Tehran. Fellow signatories Russia and China also said they would stick with the accord. Washington says it will begin phasing in sanctions on Iran in the coming months. Henry Ridgwell reports.

OPEC Source: Saudi Arabia Will Not Act Alone to Fill Any Iran Oil Shortfall

Saudi Arabia is monitoring the impact of the U.S. withdrawal from the Iran nuclear deal on oil supplies and is ready to offset any shortage but it will not act alone to fill the gap, an OPEC source familiar with the kingdom’s oil thinking said.

U.S. President Donald Trump on Tuesday abandoned a nuclear deal with Iran and announced the “highest level” of sanctions against the OPEC member. The original agreement had lifted sanctions in exchange for Tehran limiting its nuclear program.

Iran is the third-largest oil producer in the Organization of the Petroleum Exporting Countries after Saudi Arabia and Iraq.

During the last round of sanctions, Iran’s oil supplies fell by around 1 million barrels per day (bpd), but the country re-emerged as a major oil exporter, especially to refiners in Asia, after sanctions were lifted in January 2016.

“People shouldn’t take it for granted that Saudi Arabia will produce more oil single-handedly. We need to assess first the impact if there is any, in terms of disruption, in terms of a reduction of Iran’s production,” the OPEC source said Wednesday.

“We have managed to put together this new alliance between OPEC and non-OPEC. Saudi Arabia will not in any way act independently of its partners.”

Riyadh is working closely with the United Arab Emirates (UAE), which holds OPEC’s presidency in 2018 and non-OPEC producer Russia for “coordination and market consultations,” the OPEC source said.

He said any action would be taken in coordination with all OPEC and non-OPEC partners, if needed.

OPEC’s oil supply-cutting deal with non-OPEC producers such as Russia has helped to clear a global oil supply glut and boost prices. The agreement is due to expire at the end of 2018.

OPEC officials from Saudi Arabia, the UAE and Russia along with few other producers in the pact are due to meet in Saudi Arabia on May 22-23 as part of a monthly meeting for the Joint Technical Committee which monitors the oil market.

Saudi Arabia, the world’s largest oil exporter and top OPEC producer, is concerned about any negative impact from the potential oil supply shortage for oil-consuming countries, the OPEC source said.

But Saudi Arabia has enough oil production capacity — currently at 12 million barrels per day (bpd) — to maintain oil market stability, the OPEC source also said.

Iran produces about 3.8 million bpd. Since the Iran nuclear deal went into effect, its exports have risen to about 2.5 million bpd, from less than 1 million bpd. A majority goes to Asia, with Europe receiving about 600,000 bpd.

Analysts now expect Iran’s supplies to fall by between 200,000 bpd and 1 million bpd, depending on how many other countries fall in line with Washington.

Trump and oil prices

Expectations that new U.S. sanctions could hit Iranian crude exports and feed tensions in the Middle East had pushed oil prices higher in the past few weeks.

Brent crude was trading about $77 at a 3-1/2 year high on Wednesday, raising concerns that prices were going too high too fast.

Trump accused OPEC last month of “artificially” boosting oil prices in a message on Twitter, the first time he has mentioned OPEC on social media.

His tweet was seen by OPEC sources as the U.S. president’s way to appease a domestic audience unhappy about a rise in gasoline prices.

A key U.S. ally, Saudi Arabia welcomed Trump’s decision to withdraw from the nuclear agreement with Iran and to reimpose economic sanctions.

Riyadh also said it would work with OPEC and non-OPEC to lessen the impact of oil shortages in a clear indication that the country has been coordinating with Washington ahead of time, sources familiar with the matter said.

“You need to work with your partners in dealing with any potential effect on supply,” the OPEC source said.

“But it should be done in a collective coordinated way and that can only happen when you start to be able to assess what would be the impact.”

OPEC and non-OPEC meet next in June and they are widely expected to keep supply curbs in place until the end of 2018.

But a drop in Iranian exports due to U.S. sanctions, plus supply disruptions in other OPEC members, such as Venezuela, could reduce supply more than planned, leading to a potential price spike.

But the OPEC source said a rise in prices due to the market’s worries about supply should not be the parameter for OPEC to adjust output.

The OPEC source said any decision in June to raise output “should be driven by a potential physical shortage or reduction in production from any oil supply source not only Iran.”

“You only handle [output] when you have a semi-clear idea of what would be the potential impact. It is too early now to do that,” the source said.

He also said Saudi Arabia does not expect any physical impact on the oil market from the U.S. Iran sanctions until the third or fourth quarter of this year.

OPEC’s objective is still to reduce global oil inventories to an acceptable level, and any adjustment in production targets should be done in a coordinated way, the OPEC source said.

“This way you do not disrupt a mechanism that we have worked hard to put together and to sustain just to address a short-term issue,” the source said.

OPEC Source: Saudi Arabia Will Not Act Alone to Fill Any Iran Oil Shortfall

Saudi Arabia is monitoring the impact of the U.S. withdrawal from the Iran nuclear deal on oil supplies and is ready to offset any shortage but it will not act alone to fill the gap, an OPEC source familiar with the kingdom’s oil thinking said.

U.S. President Donald Trump on Tuesday abandoned a nuclear deal with Iran and announced the “highest level” of sanctions against the OPEC member. The original agreement had lifted sanctions in exchange for Tehran limiting its nuclear program.

Iran is the third-largest oil producer in the Organization of the Petroleum Exporting Countries after Saudi Arabia and Iraq.

During the last round of sanctions, Iran’s oil supplies fell by around 1 million barrels per day (bpd), but the country re-emerged as a major oil exporter, especially to refiners in Asia, after sanctions were lifted in January 2016.

“People shouldn’t take it for granted that Saudi Arabia will produce more oil single-handedly. We need to assess first the impact if there is any, in terms of disruption, in terms of a reduction of Iran’s production,” the OPEC source said Wednesday.

“We have managed to put together this new alliance between OPEC and non-OPEC. Saudi Arabia will not in any way act independently of its partners.”

Riyadh is working closely with the United Arab Emirates (UAE), which holds OPEC’s presidency in 2018 and non-OPEC producer Russia for “coordination and market consultations,” the OPEC source said.

He said any action would be taken in coordination with all OPEC and non-OPEC partners, if needed.

OPEC’s oil supply-cutting deal with non-OPEC producers such as Russia has helped to clear a global oil supply glut and boost prices. The agreement is due to expire at the end of 2018.

OPEC officials from Saudi Arabia, the UAE and Russia along with few other producers in the pact are due to meet in Saudi Arabia on May 22-23 as part of a monthly meeting for the Joint Technical Committee which monitors the oil market.

Saudi Arabia, the world’s largest oil exporter and top OPEC producer, is concerned about any negative impact from the potential oil supply shortage for oil-consuming countries, the OPEC source said.

But Saudi Arabia has enough oil production capacity — currently at 12 million barrels per day (bpd) — to maintain oil market stability, the OPEC source also said.

Iran produces about 3.8 million bpd. Since the Iran nuclear deal went into effect, its exports have risen to about 2.5 million bpd, from less than 1 million bpd. A majority goes to Asia, with Europe receiving about 600,000 bpd.

Analysts now expect Iran’s supplies to fall by between 200,000 bpd and 1 million bpd, depending on how many other countries fall in line with Washington.

Trump and oil prices

Expectations that new U.S. sanctions could hit Iranian crude exports and feed tensions in the Middle East had pushed oil prices higher in the past few weeks.

Brent crude was trading about $77 at a 3-1/2 year high on Wednesday, raising concerns that prices were going too high too fast.

Trump accused OPEC last month of “artificially” boosting oil prices in a message on Twitter, the first time he has mentioned OPEC on social media.

His tweet was seen by OPEC sources as the U.S. president’s way to appease a domestic audience unhappy about a rise in gasoline prices.

A key U.S. ally, Saudi Arabia welcomed Trump’s decision to withdraw from the nuclear agreement with Iran and to reimpose economic sanctions.

Riyadh also said it would work with OPEC and non-OPEC to lessen the impact of oil shortages in a clear indication that the country has been coordinating with Washington ahead of time, sources familiar with the matter said.

“You need to work with your partners in dealing with any potential effect on supply,” the OPEC source said.

“But it should be done in a collective coordinated way and that can only happen when you start to be able to assess what would be the impact.”

OPEC and non-OPEC meet next in June and they are widely expected to keep supply curbs in place until the end of 2018.

But a drop in Iranian exports due to U.S. sanctions, plus supply disruptions in other OPEC members, such as Venezuela, could reduce supply more than planned, leading to a potential price spike.

But the OPEC source said a rise in prices due to the market’s worries about supply should not be the parameter for OPEC to adjust output.

The OPEC source said any decision in June to raise output “should be driven by a potential physical shortage or reduction in production from any oil supply source not only Iran.”

“You only handle [output] when you have a semi-clear idea of what would be the potential impact. It is too early now to do that,” the source said.

He also said Saudi Arabia does not expect any physical impact on the oil market from the U.S. Iran sanctions until the third or fourth quarter of this year.

OPEC’s objective is still to reduce global oil inventories to an acceptable level, and any adjustment in production targets should be done in a coordinated way, the OPEC source said.

“This way you do not disrupt a mechanism that we have worked hard to put together and to sustain just to address a short-term issue,” the source said.

New Shoppers Can Try Alexa in Amazon Model ‘Smart’ Homes

Amazon.com Inc on Wednesday said it has set up model “smart” homes across the United States for shoppers to experience what it’s like for voice aide Alexa to dim the lights, turn on the TV or order more laundry detergent.

The rollout underscores how Amazon aims to make Alexa and the company’s growing list of services, from shopping and entertainment to home security, an everyday part of consumers’ lives. It also steps up competition with retailers such as Best Buy Co Inc that focus on showcasing technology and advising shoppers.

Amazon, the world’s largest online retailer, said it has partnered with Lennar Corp to convert some of the home construction company’s model homes into showrooms for Alexa. The so-called “Amazon Experience Centers” are now open near 15 cities including Los Angeles, Dallas and Washington, with more to come.

“Today, the choices open to customers are, you can go to a brick-and-mortar store and you can see devices on demo tables. You go online and do your research. But you fundamentally are left to imagine what an integrated home would look like,” said Nish Lathia, general manager of Amazon Services, in the company’s Vallejo, California, experience center outside San Francisco.

The centers are “intended to educate and inspire. On the secondary benefit, yes, if it drives sales, we’re not complaining,” he said.

David Kaiserman, president of Lennar Ventures, said the centers should increase traffic to Lennar’s model homes and spark ideas for potential home buyers. Lennar will get a standard commission for Amazon sales to customers it helped acquire, too.

The global smart home market is expected to reach an estimated $107.4 billion by 2023, according to market research firm ReportLinker.

Best Buy is betting big on this trend. It has expanded its In-Home Advisor program to all major U.S. markets and employs more than 350 advisers under the initiative, its most recent annual report said.

Experts visit customers’ homes and consult on issues from increasing appliance efficiency to setting up connected gadgets — similar in nature to Amazon’s 1.5-year-old “Smart Home Services,” which is poised to gain from the new experience centers.

“We’re excited about Best Buy’s program,” said Amazon’s Lathia. “The more customers that get educated about smart home, the better it is for everybody.”

Philippe Ferrey, an Amazon Expert present at the Vallejo center, previously worked five years for Best Buy as a Geek Squad agent, he said.

New Shoppers Can Try Alexa in Amazon Model ‘Smart’ Homes

Amazon.com Inc on Wednesday said it has set up model “smart” homes across the United States for shoppers to experience what it’s like for voice aide Alexa to dim the lights, turn on the TV or order more laundry detergent.

The rollout underscores how Amazon aims to make Alexa and the company’s growing list of services, from shopping and entertainment to home security, an everyday part of consumers’ lives. It also steps up competition with retailers such as Best Buy Co Inc that focus on showcasing technology and advising shoppers.

Amazon, the world’s largest online retailer, said it has partnered with Lennar Corp to convert some of the home construction company’s model homes into showrooms for Alexa. The so-called “Amazon Experience Centers” are now open near 15 cities including Los Angeles, Dallas and Washington, with more to come.

“Today, the choices open to customers are, you can go to a brick-and-mortar store and you can see devices on demo tables. You go online and do your research. But you fundamentally are left to imagine what an integrated home would look like,” said Nish Lathia, general manager of Amazon Services, in the company’s Vallejo, California, experience center outside San Francisco.

The centers are “intended to educate and inspire. On the secondary benefit, yes, if it drives sales, we’re not complaining,” he said.

David Kaiserman, president of Lennar Ventures, said the centers should increase traffic to Lennar’s model homes and spark ideas for potential home buyers. Lennar will get a standard commission for Amazon sales to customers it helped acquire, too.

The global smart home market is expected to reach an estimated $107.4 billion by 2023, according to market research firm ReportLinker.

Best Buy is betting big on this trend. It has expanded its In-Home Advisor program to all major U.S. markets and employs more than 350 advisers under the initiative, its most recent annual report said.

Experts visit customers’ homes and consult on issues from increasing appliance efficiency to setting up connected gadgets — similar in nature to Amazon’s 1.5-year-old “Smart Home Services,” which is poised to gain from the new experience centers.

“We’re excited about Best Buy’s program,” said Amazon’s Lathia. “The more customers that get educated about smart home, the better it is for everybody.”

Philippe Ferrey, an Amazon Expert present at the Vallejo center, previously worked five years for Best Buy as a Geek Squad agent, he said.

A New Silicon Valley Where You’d Least Expect It

Silicon Valley — the U.S. hub of technology– is getting so expensive that tech workers are struggling to get by, and start up companies are questioning whether to locate there. One city thousands of kilometers away is ready to welcome tech companies with an experienced workforce in hopes of becoming the next Silicon Valley. VOA’s Carolyn Presutti takes us to the city and shows us a new tech university that could be replicated anywhere in the world.