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Trump's new defense chief's history as a Boeing executive is raising concerns, but he's not the only one with deep military-industrial ties

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Donald Trump Patrick Shanahan

Patrick Shanahan arrived at the Pentagon in July 2017 with more than 30 years of experience at Boeing.

It's not unusual for defense officials to have worked for private-sector defense firms for part of their career. But Shanahan's three decades at one of the largest defense contractors attracted scrutiny. The late Sen. John McCain, who chaired the Senate Armed Services Committee, expressed concern about an executive from one of the five firms that account for most of US defense spending taking a senior Pentagon post.

"I have to have confidence that the fox is not going to be put back into the henhouse," McCain said during Shanahan's confirmation hearing.

This month, as Shanahan took over the top Pentagon job after Jim Mattis' acrimonious departure, he said he would recuse himself from matters involving Boeing for the "duration of his service in the Department of Defense."

Read more: A retired general has twice turned Trump down to be defense secretary — a sign Trump has a self-inflicted personnel problem

But some accounts indicate he's rooting for his old team. According to a recent Politico report, in 18 months at the Pentagon, Shanahan has been heard to boost Boeing and trash its competitors, including Lockheed Martin, which Shanahan reportedly said "doesn't know how to run a program," referring to the F-35 program, which he reportedly called "f----- up."

While Shanahan spent his career with a defense contractor, other officials leading the Office of the Secretary of Defense have mixed backgrounds.

Ellen Lord, the head of acquisitions, spent nearly 15 years with Textron, another defense firm, before joining the Pentagon. John Rood, head of policy, worked in government for nearly 20 years before spending 10 years in the private sector. Joseph Kernan, the head of intelligence, spent his career in the Navy before retiring in 2013.

Below, you can see the backgrounds of the leadership in the defense chief's main staff office, responsible for developing policy, managing resources, and evaluating programs.

SEE ALSO: The Navy secretary made Trump a high-stakes promise: A major problem with the Navy's new carrier will be fixed 'or you can fire me'

Patrick Shanahan, acting secretary of defense, 31 years with Boeing.

After earning an undergraduate degree from the University of Washington and two master's degrees from the Massachusetts Institute of Technology, Shanahan joined Boeing in 1986, holding a number of positions there over the next three decades.

In 1995, he became the director of the tooling business unit for Boeing's fabrication division. Two years later he became director of Boeing's 767 manufacturing business unit and in 1999 served as program manager for the 767-400ER program.

In February 2000, he took over as vice president and general manager of Boeing Commercial Airplanes' 757 programs, overseeing the 757 family of planes' design, production, and profitability. 

In 2002 he moved to Boeing's Integrated Defense Systems unit, responsible for the division of the company that makes helicopters. Two years later, he became vice president and general manager of missile-defense systems.

In October 2007, he became vice president of Boeing and for the following year served as vice president and general manager of Boeing Commercial Airplanes' 787 program.

At the end of 2008, he became senior vice president and general manager of Airplane Programs and Boeing Commercial Airplanes. His last position at Boeing before leaving for government service was senior vice president of supply chain and operations, which he took in April 2017, reporting directly to the company's CEO.



David Norquist, acting deputy secretary of defense, 9 years with a private accounting firm.

David Norquist became undersecretary of defense, comptroller, and chief financial officer at the Pentagon in June 2017. He still holds that position and became acting deputy defense secretary this month.

Norquist graduated from the University of Michigan, where he was in the Reserve Officer Training Corps, in 1989 with a bachelor's and master's degrees. 

From 1989 to 1993, he was a budget analyst in the National Foreign Intelligence Program at the Department of the Army. From 1993 to 1995 he was senior budget analyst at the Consolidated Cryptologic Program for the US Army Intelligence and Security Command.

He spent the 1995-1996 period as director of resource management at Menwith Hill Station, a facility in the UK used to monitor Soviet communications during the Cold War, under the US Army Intelligence and Security Command.

From January 1997 to December 2002, Norquist was on the professional staff for the House Appropriations Committee's subcommittee on defense, a term he followed with a stint as deputy undersecretary of defense in the office of the undersecretary of defense, comptroller, from December 2002 to May 2006.

In summer 2006 he took over as CFO at the Department of Homeland Security, a position he held until December 2008. That month, he left the government to become a partner at Kearney and Company, a CPA firm providing audit, accounting, and consulting services to the federal government.

He was at Kearney until May 2017 and was sworn in at the Pentagon the following month.



Lisa Hershman, acting chief management officer, roughly 30 years with defense firms, service providers, and consultants.

Lisa Hershman became acting chief management officer at the Pentagon on December 1, taking over for John Gibson, who became the Pentagon's first CMO in early 2018 but was removed by Mattis in September for "lack of performance."

With Shanahan, Norquist, and Hershman, the Pentagon's top three officers are all in acting positions.

Hershman graduated from Clarkson University in upstate New York, where she studied engineering and management.

After college, she worked at General Electric in an engineering capacity, where she managed a portion of the Seawolf-class submarine program. She also worked as vice president at Icon Transportation, a private logistics provider for the home-entertainment industry, before joining Brightpoint, a telecommunications service provider, in 2002.

She left Brightpoint in April 2005, joining Avent, an electronic component distributor, as a senior vice president. She was there until March 2009, when she became CEO at Hammer and Company, a business education and research firm, holding that job until June 2011.

From January 2012 to April 2018, she was founder and CEO at The DeNovo Group, a business-consulting firm. Between January 2017 and April 2018, she was also interim CEO at Scrum Alliance, which offers education and support for the Scrum and Agile product-development systems.

In April 2018, the same month she took over as deputy chief management officer in the Office of the Secretary of Defense, Hershman became a member of the board of directors at 1st Source Bank, which has branches through Indiana and Michigan. According to Hershman's LinkedIn profile, she still holds that position.



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The potential bankruptcy of California's largest utility is a rude reminder of how devastating climate change can be for businesses

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  • Companies are being forced to deal with the consequences of a changing climate, which is leading to more frequent and destructive wildfires and other types of disasters than ever before.
  • PG&E's situation is a warning to other power companies and businesses around the country.

A battle between California politicians and PG&E, the state's largest utility, is being waged over who should have to pay the price of wildfire damage in recent years.

Why it matters: Companies are being forced to deal with the consequences of a changing climate, which is leading to more frequent and destructive wildfires and other types of disasters than ever before. PG&E's situation is a warning to other power companies and businesses around the country.

The big picture: Last year was the worst wildfire season in California's history.

  • The Camp Fire, which destroyed the town of Paradise, was the costliest catastrophe worldwide, with $16.5 billion in damages, per reinsurance company Munich Re.

PG&E could be on the hook for billions of dollars in liability costs related to last year and the prior year's wildfires, far more than its insurance would cover. The Camp Fire alone killed at least 86, and may have been triggered by a spark from PG&E's power lines.

The mounting costs have led the company to consider bankruptcy. Its share price has been cut in half and CEO Geisha Williams has abruptly left the company.

  • PG&E's electrical equipment was blamed for sparking 17 of California's major wildfires in 2017.
  • Edison International, whose subsidiary services southern California, is also facing scrutiny for its potential role in the Woolsey Fire that struck Malibu in 2018. Edison's share price has taken a hit in recent months.

Driving the news: California is one of the few states that hold utilities liable for damages tied to their equipment, even if the companies were in compliance with the state's safety rules. Lawmakers have to decide whether or not the state's utilities will be able to pass current — and what's sure to be future — liability costs onto customers.

Climate change is lengthening the wildfire season in California, and leading to larger, more severe fires. These trends are expected to continue, according to a comprehensive federal climate assessment released late in 2018. This means that PG&E's current woes may only intensify in coming years.

  • "Market participants have woken up to the reality that [wildfires] can happen again and probably will. The expected value of future wildfire liabilities is so much bigger [thanks to climate change]," Michael Wara, a research fellow at Stanford University's Energy and Policy program, tells Axios.
  • “The devastating impacts of extreme weather is one of the most important issues currently facing the state of California today,” a PG&E spokesperson tells Axios. “We are committed to working closely with the Governor, the California Public Utilities Commission, policymakers, and other stakeholders to continue to provide PG&E customers the safe gas and electric services they expect and need.”

Yes but: Some warn against the company using climate change to cover up potential acts of negligence, like failing to trim trees or properly maintain equipment.

Why you'll hear about this again: The rest of the U.S. is increasingly feeling the effects of climate change, from the Gulf Coast, where the Florida Panhandle was hit by its strongest hurricane on record just last year, to New England, where Boston observed its highest water level on record in 2018.

  • The National Climate Assessment found that the power sector is particularly vulnerable to climate change.
  • Utilities in hard-hit states could be increasingly cash strapped, and some will likely face stark questions about their liability in contributing to particular disasters.
  • The NCA found that a sea level rise of 1 meter, or 3.3 feet, by 2100 "would put an additional cumulative total of 25 gigawatts of operating or proposed power capacities at risk" of flooding.

The bottom line: PG&E's predicament could be repeated elsewhere as the impacts of climate change hit increasingly hard.

Join the conversation about this story »

NOW WATCH: The equity chief at $6.3 trillion BlackRock weighs in on the trade war, a possible recession, and offers her best investing advice for a tricky 2019 landscape

Janet Yellen warns that the government shutdown will make people less willing to shop

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Macy's

  • Janet Yellen, former chair of the Federal Reserve, said in a panel discussion on Monday that if the government shutdown continues, it could impact consumer sentiment and thus the retail sector. 
  • US consumer confidence remained strong throughout 2018 but dipped in December. 

It's day 24 of the government shutdown and nearly 800,000 federal workers are still without pay, lines are mounting at airports, and trash is piling up at national parks. Now experts say retail stores could be hit next. 

Read more:From airport lines to food inspections, here are all the ways the government shutdown is impacting the lives of average Americans

In a panel discussion at the National Retail Federation’s annual Big Show in New York on Monday, Janet Yellen, former chair of the Federal Reserve, said that if the shutdown continues it "could impact consumer psychology and consumer sentiment." 

While consumer sentiment has remained strong for the past year, it dipped in December, dropping to the lowest level in two years. Yellen pointed out that this was due to consumer expectations for the future, questions about the government remaining shut down, and the possibility of a market downturn.

"Almost all economists are forecasting a slowdown in 2019," she said. 

Last week, retail stocks took a battering after several stores reported weaker-than-expected sales numbers for the holiday season.  

Macy's stock dropped by as much as 18% on Friday on the release of its holiday sales data. It lowered its sales growth and profit forecasts for the year.

SEE ALSO: The government shutdown is in day 21 and just tied the record for the longest shutdown in history

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NOW WATCH: This fish sold for $1.8 million — here's why some koi fish are so expensive

Sophisticated black-and-white fashion dominated the blue carpet at the Critics' Choice Awards — here are 27 of the best looks

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TimothŽe Chalamet and Elsie Fisher

Sophisticated, monochromatic style dominated the blue carpet at the 24th annual Critics' Choice Awards, which took place at the Barker Hangar in Santa Monica, California on Sunday night.

The stars in attendance may have flaunted every variation of black-and-white fashion known to mankind.

Here are 27 of those stars wearing some of our favorite looks from the evening.

Chrissy Teigen looked stunning in a strapless white dress.

Chrissy Teigen's dress featured a daring leg slit — one of Teigen's famous looks— and an embellished, cinched waist. She topped the look with dark lipstick that appeared to match her husband's suit.



Nicole Kidman balanced black and white with an asymmetrical design.

Nicole Kidman accessorized with a black cubic purse.



Sandra Oh wore white on top and black on bottom.

Sandra Oh went for full coverage, save for a classy keyhole plunge.



See the rest of the story at Business Insider

Amazon's Prime Video service lets you curate your own cheap cable subscription — and popular channels like Starz and Showtime are discounted right now

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The Insider Picks team writes about stuff we think you'll like. Business Insider has affiliate partnerships, so we get a share of the revenue from your purchase.

sweetbitter Starz

  • Prime Video Channels is an Amazon Prime member perk that lets members subscribe to more than 100 TV networks for a monthly fee.
  • Amazon is currently offering a 40% discount on four Prime Video Channels: Showtime, PBS Masterpiece, Lifetime Movie Club, and Starz. New subscribers who sign up by January 17 will enjoy the discounted rate for three months.
  • Subscribers get access to a channel's back catalog, and in many cases, the ability to stream shows live through their computer and on other devices with the Prime Video app.

TV fans, take note: Amazon is currently offering a 40% discount on four Prime Video Channels— Showtime, PBS Masterpiece, Lifetime Movie Club, and Starz — to new subscribers who sign up by January 17. The discount applies to the first three months of your subscription.

Prime Video Channels is a little-known Amazon Prime perk that gives Prime members a la carte access to TV shows and movies from one of over 100 networks for a monthly fee without a long-term commitment. 

Each channel has a different price, so I've broken down how much you can save if you take advantage of this deal:

  • Showtime: $6.59 per month (originally $10.99) [You save $13.20]
  • Starz: $5.39 per month (originally $8.99) [You save $10.80]
  • PBS Masterpiece: $3.59 per month (originally $5.99) [You save $7.20]
  • Lifetime Movie Club: $2.39 per month (originally $3.99) [You save $4.80]

When you subscribe you get access to the channel's back catalogue and new episodes of its currently airing shows, which generally become available the day after they're broadcast. Many channels can also be streamed live on your computer, or any device with the Prime Video app.

Showtime is home to popular shows like "Shameless,""Homeland," and "I Feel Pretty," while Starz airs "American Gods,""The Girlfriend Experience," and "Breakfast At Tiffany's." PBS Masterpiece's "Northanger Abbey,""Bird Song," and "Point Blank" are well worth your time (I hear), and Lifetime Movie Club's "Whitney,""If Looks Could Kill," and "Flowers in the Attic" are other noteworthy shows to add to your streaming queue.

These four channels are the only ones that are part of Amazon's 40% discount, but premium networks like HBO and BritBox are also available as Prime Video Channels, both of which are available to steam for free for seven days as a trial. 

Keep up with the shows you like, amd never pay for a full cable package with 400 stations you don't need again. 

Sign up for a discounted Prime Video Channel subscription to Starz, Showtime, PBS Masterpiece, and Lifetime Movie Club here.

SEE ALSO: Amazon Prime costs $119 a year — here are 14 reasons that more than justify its price

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A look at the global fintech landscape and how countries are embracing digital disruption in financial services

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This is a preview of the “Global Fintech Landscape” premium research report from Business Insider Intelligence, Business Insider's premium research service. To learn more about Business Insider Intelligence,  click here.

Digitally active customers who use fintech

Since sprouting in the US and UK around 10 years ago, fintech has spread globally. Now, after years of proliferation, countries around the world are starting to see their fintech industries mature. Additionally, we continue to see the emergence of new hotbeds for fintech. This indicates that the space is still far from being fully developed, and that there are many new ways in which startups and their technologies continue to change financial services.

The fact that many new players are emerging in the space also suggests that attention is shifting away from the main countries where fintech is prevalent, and that investors are seeing the potential of newer, conventionally untapped markets.

The spread of fintech can be largely seen in the emergence of fintech hubs — cities where startups, talent, and funding congregate — which are proliferating globally in tandem with ongoing disruption in financial services. These hubs are all vying to become established fintech centers in their own right, and want to contribute to the broader financial services ecosystem of the future. Their success depends on a variety of factors, including access to funding and talent, as well as the approach of relevant regulators.

In this report, Business Insider Intelligence compiles various fintech snapshots, which together show the global proliferation of fintech, and illustrate where fintech is starting to mature and where it is just breaking onto the scene. Each snapshot provides an overview of the fintech industry in a particular country, and details what is contributing to or hindering its further development. We also include notable fintechs in each geography, and discuss what the opportunities or challenges are for that particular domestic industry.

Here are some of the key takeaways from the report:

  • Besides the US and UK, there are plenty of other countries developing strong fintech hubs. Australia, Switzerland, and China, which are profiled in this report, have managed to leverage their stable financial centers of Sydney, Zurich, and Shanghai, respectively, to spur fintech development and attract funding.
  • There are also a number of emerging fintech markets, including Brazil, Israel, and Canada, that are likely to play a big part in the global fintech ecosystem in the future. These countries have nascent but rapidly developing fintech hubs, as well as supportive regulatory environments, that could help them cement strong positions in the broader fintech scene.
  • Many more fintech hubs will likely morph into big fintech players. This could push investors to increasingly wake up to the opportunities in new markets, leading fintech funding to become more diversified in the future, particularly outside of the UK and US.

 In full, the report:

  • Outlines how the fintech industry has changed over the past 10 years.
  • Details which cities are the most likely to succeed as fintech hubs at present and going forward.
  • Highlights notable fintech startups in each of these markets.
  • Discusses the potential opportunities and challenges these countries are facing today and in the future.

Interested in getting the full report? Here are two ways to access it:

  1. Purchase & download the full report from our research store. >>Purchase & Download Now
  2. Subscribe to a Premium pass to Business Insider Intelligence and gain immediate access to this report and over 100 other expertly researched reports. As an added bonus, you'll also gain access to all future reports and daily newsletters to ensure you stay ahead of the curve and benefit personally and professionally. >> Learn More Now

The choice is yours. But however you decide to acquire this report, you've given yourself a powerful advantage in your understanding of the fast-moving world of Fintech.

SEE ALSO: Latest fintech industry trends, technologies and research from our ecosystem report

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There are 114% more women entrepreneurs than there were 20 years ago, but the reason why is troubling

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woman computer laptop working

  • In the past 20 years, the number of women-owned firms in the US has increased 114%.
  • Research shows that many women start businesses because it just seems like a better alternative to the demands of corporate life.
  • In the traditional workplace, women often face gender discrimination and have a hard time balancing work and childrearing. 
  •  Yet while entrepreneurship seems to offer greater autonomy and flexibility, it can also contribute to economic insecurity.


Every day in the US, women start about 849 new businesses.

And over the past 20 years, the number of women-owned firms has increased 114%.

You could herald these developments as signs that the world of American entrepreneurship is, finally, becoming more open to women. But the statistics obscure a more troubling trend.

For many women business owners, starting a company is a way to escape the often-unmeetable demands of corporate life. But more women becoming business owners isn’t necessarily good for the economy — or for the women themselves.

Women often start businesses out of necessity

A 2017 report from the National Women’s Business Council uses the term “necessity entrepreneurship” to explain what’s happening among women business owners.

Typically, that term describes people who start businesses out of economic need — but the NWBC proposes expanding the definition to include non-economic factors as well. Based on interviews with women business owners, the report highlights workplace discrimination and the fact that childrearing and household management typically fall to women.

The American workplace may be especially inhospitable to women. Consider a 2014 PayPal survey of women business owners in the US, China, France, and Mexico: In France and Mexico, 61% and 66% of women said they wanted to be entrepreneurs to have pride in themselves. In the United States, 55% said they wanted better work-life balance.

Having more autonomy is a key motivator

Morra Aarons-Mele has researched the reasons women start their own businesses, and has found that women frequently say they did so to gain more control over their time. In fact, that was part of the reason why she started her own companies: Women Online and The Mission List.

It wasn’t so much the desire to be the next Elon Musk that motivated her — “I just wanted to make a living,” she told me, and “I just never wanted to go to an office again for 10 hours a day.”

Yet in a 2014 Harvard Business Review article, Aarons-Mele writes that “the economic impact of most women’s small businesses may not be what’s best for women, their families or the economy in the long run.” She adds that “women-owned businesses are disproportionately in industries where the median receipts are less than $225,000 (and businesses with receipts less than $100,000 are more likely to fail).” 

On the individual level, most women have a hard time replacing the salary they were earning in the corporate world, Aarons-Mele writes.

That’s why Aarons-Mele suspects that many women would in fact prefer to stay in companies — provided they earned more money, had more autonomy, and saw greater leadership opportunities.

Disappointingly, and perhaps surprisingly, gender discrimination may be a problem in the entrepreneurial world as well. As Business Insider France’s Elisabeth Hu reported, enterprises founded or co-founded by women receive about $935,000 in investments on average, while those founded by men receive an average of about $2.1 million.

However, Hu reported, for every dollar of funding, startups founded by women generate 78 cents, compared to 31 cents for startups founded by men.

SEE ALSO: 'Entrepreneurship porn' lures young people with a pretty picture of startup life, but it glosses over the most dangerous parts

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NOW WATCH: 80% of startup money goes to 3 states — here's what one visionary is doing to help spread the wealth

How retailers are using mobile AR to blend the online and in-store shopping journeys

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This is a preview of a research report from Business Insider Intelligence, Business Insider's premium research service. To learn more about Business Insider Intelligence, click here.

The mobile augmented reality (AR) market is quickly becoming primed for the retail space. By blending the online and in-store shopping journeys, mobile AR promises to provide an immersive digital shopping experience unlike anything shoppers have seen before.

Technologies Consumers in the UK desire in retail

Mobile AR is one of the most coveted technologies for improving the digital shopping experience among consumers. That’s because mobile AR can be used to bring the in-store experience to consumers’ homes by recreating the try-on experience. It allows online shoppers to test out multiple sizes and variations of products, or just see what a product looks like overlaid into their home — without making a true commitment to the purchase or a trip to the store. It can also be used in-store to quickly provide product information or guide users to the right item using location-based services.

Retailers that meet this need for mobile AR stand to pull ahead of the competition. Mobile AR can help build brand loyalty, heighten engagement, increase geographical customer reach, shorten conversion times, boost purchases of larger items, and cut down on returns.

In a new report, Business Insider Intelligence examines the importance of mobile AR to businesses in the retail space, explores the various ways brands are utilizing mobile AR to enhance the customer experience as well as their own, and determines the factors retailers should consider when devising a mobile AR strategy.

Here are some of the key takeaways from the report:

  • Nearly 75% of consumers already expect retailers to offer an AR experience. Mobile AR retail experiences are more likely to come to fruition as Apple and Google continue to build out their AR developer platforms, ARKit and ARCore, respectively, which will expand the addressable market exponentially.
  • Retailers in certain segments, including furniture and home improvement, as well as beauty and fashion, have been the first to jump on the mobile AR bandwagon through their own apps. These sectors appear to have the most immediate need for mobile AR strategies, as trying out furniture and clothes are two of the most coveted AR use cases by consumers.
  • Social media is emerging as a prominent channel for retailers to reach consumers through mobile AR experiences. Platforms like Facebook and Snapchat continue to build out tools that businesses and developers can utilize to enhance their advertising strategies with immersive experiences.
  • But retailers will have to consider several factors before implementing their mobile AR strategies. These include the cost of building AR experiences, the availability of AR-compatible smartphones, consumer awareness of mobile AR apps, and the quality of mobile AR content.

In full, the report:

  • Explores the ways mobile AR brings value to the customer shopping experience. 
  • Highlights how the consumer benefits of mobile AR can be transformed into valuable outcomes for retailers.
  • Discusses how major retail brands are leveraging mobile AR to enhance the customer journey, and what goals they are striving to achieve.
  • Outlines the several factors retailers and brands will have to consider before implementing their mobile AR strategies.

Subscribe to an All-Access pass to Business Insider Intelligence and gain immediate access to:

This report and more than 250 other expertly researched reports
Access to all future reports and daily newsletters
Forecasts of new and emerging technologies in your industry
And more!
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4 biotech companies just announced that they're going public, braving treacherous markets and a government shutdown

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Scientists Researchers Biotech Pharma Healthcare

  • Despite a large amount of uncertainty, biotechs aiming to go public are pressing forward, with four new filings so far in 2019.  
  • The companies aim to raise a combined $422 million by entering the public markets, their filings show.
  • Going into 2019, some healthcare experts had expected a slowdown as the IPO markets have started to look more uncertain because of a volatile stock market.

The biotech initial public offering slowdown that some on Wall Street were expecting this year hasn't happened yet. 

Going into 2019, some investing experts had expected a slowdown as the IPO market started to look more uncertain amid a tumultuous public market. The government shutdown has added additional challenges.

Companies in 2018 raised more than $6.3 billion in 58 deals, according to Renaissance Capital. It was the highest number of initial public offerings in a year since 2014, when there were 71 biotech IPOs that raised a combined $5.2 billion.

Through the first few days of 2019, a number of biotechs laid out their plans to go public in the coming months. 

Read more: Companies hunting for new ways to tackle cancer and Alzheimer's raised $6.3 billion going public in 2018 — here are the 10 biggest deals of the year

"It's going to be really interesting to see what the pricing action is on those IPOs," Steve Elms, managing partner of venture-capital firm Aisling Capital, told Business Insider in early January.

If you "look over the last couple of years, a lot of very early stage companies went public," Elms said. "I don't know that pre-clinical companies are going to be able to continue going public in this kind of treacherous market."

Going forward with IPOs, however, has been made more difficult by the ongoing partial government shutdown, the longest in US history, which has left the Securities and Exchange Commission shuttered.

As a result, lawyers can't get crucial paperwork for IPO filings approved, Business Insider has previously reported

In the meantime, here are the biotech companies starting off 2019 with a plan to go public:

  • Harpoon Therapeutics, a cancer-drug maker that's looking to harness the power of the body's T cells to go after cancerous cells, filed January 4. The South San Francisco-based company is looking to raise $86.2 million. 
  • Alector,a startup that's trying to harness the body's immune system to treat neurologic diseases like Alzheimer's filed to go public on January 7. The Bay Area biotech is aiming to raise $150 million.
  • Kaleido Biosciences, a company using the microbiome to treat metabolic conditions, filed on Friday. The Lexington, Massachusetts-based company is aiming to raise $100 million. 
  • Cirius Therapeutics, a company developing treatments for liver conditions including NASH, a type of liver disease in which liver fat builds up in people, filed on Friday. The San Diego-based company is looking to raise $86.25 million. 

SUBSCRIBE: Dispensed: A weekly dose of pharma, biotech, and healthcare news.

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NOW WATCH: I went on Beyoncé's 22-day diet — and I lost 15 pounds

Cannabis producer Canopy Growth pops after receiving a license to process hemp in New York (CGC)

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canopy growth

  • Canopy Growth announced Monday that it has received a license from New York state to process hemp, a source of the popular ingredient cannabidiol.
  • The Canadian marijuana producer intends to invest $100 million to $150 million in an operation site in the southern tier of New York, its first extraction and processing facility outside Canada.
  • Canopy is entering into the US market one month after President Donald Trump signed the US Farm Bill into law, legalizing hemp.
  • Watch Canopy Growth trade live.

Canopy Growth was up 8.18% at $41.40 a share Monday after the company said it has received a license from New York state to process and produce hemp, a source of the popular ingredient cannabidiol, or CBD. 

The Canadian marijuana producer intends to invest $100 million to $150 million in an operation site in the southern tier of New York, a part of its plan to establish a Hemp Industrial Park that can achieve large-scale production capabilities focused on hemp extraction and product manufacturing within the US. The New York site will become Canopy's first extraction and processing facility outside Canada, according to the company.

"Canopy Growth was founded to drive innovation within the cannabis and hemp industries," said Chairman Bruce Linton in a press release."In New York we see an opportunity to create products that improve people's lives.

"In the process, we will create jobs in an exciting, highly profitable new industry. I applaud the political leadership at the federal and state level that has allowed today's announcement to become reality."

Canopy 's investment was supported by a recent deal with Constellation Brands, the maker of Corona beer based in New York, the company said. In November, Constellation closed its deal to invest $4 billion in Canopy. 

Canopy's entering into the US market comes one month after President Donald Trump signed the US Farm Bill into law, legalizing hemp. The US CBD market currently generates $418 million in sales and is expected to be worth $1.6 billion by 2021, Vivien Azer, an analyst at Cowen, said in December. 

Canopy Growth shares were up 32% in the past year.

Now read:

Canopy Growth

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NOW WATCH: The equity chief at $6.3 trillion BlackRock weighs in on the trade war, a possible recession, and offers her best investing advice for a tricky 2019 landscape

5 reasons I signed up for a Delta credit card even though the SkyMiles program no longer publishes an award chart

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The Insider Picks team writes about stuff we think you'll like. Business Insider may receive a commission from The Points Guy Affiliate Network.

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  • The Delta SkyMiles program stopped offering an award chart a few years ago, much to the chagrin of loyalty members. This means that, when you use Delta SkyMiles, you never really know how many miles a flight will cost until you're ready to book.
  • Still, the program can offer outsized value if you know where to look. Delta really does offer some great deals on award flights and they also have monthly specials that can help you stretch your miles further.
  • Consider the Gold Delta SkyMiles® Credit Card from American Express if you can score a huge sign-up bonus. Also note that you'll get priority boarding, a free checked bag, discounted Delta Sky Club entry, and other perks.

Most frequent flyers have a love-hate relationship with airline loyalty programs. They love them when they're able to cash in their miles for flights on their own terms, but they hate it when airline programs announce a big devaluation, they can't find the award availability they want, or burdensome program rules make it harder to get the most from their miles.

Still, some airlines catch more flack than others. Delta SkyMiles is one loyalty program that probably gets more than their share of ire from rewards enthusiasts, mainly because they no longer publish an award chart. It's insanely difficult to plan a rewards strategy when you have no idea how much a flight will cost when you're ready to book, let alone whether the price will change from one day to the next.

Many rewards enthusiasts also complain incessantly about the high cost of Delta One flights in points, particularly on international routes. And of course it went over like a lead fart last year when Delta began offering award tickets in Basic Economy.

Every reason I signed up for the Delta Gold AmEx

But, despite these changes, I still signed up for the Delta Gold AmEx a few weeks ago! Call me crazy, but I truly believe I can get excellent value out of Delta SkyMiles if I am patient and flexible enough. Here's every reason I signed up, and why you may want to consider doing the same.

1. I scored a huge sign-up bonus 

Because American Express credit cards come with a restrictive "once per lifetime rule," it always makes sense to sign up for one of their credit cards when the sign-up bonus is the highest available. While I have considered the Delta Gold AmEx before, I was tempted into signing up this time by a targeted offer I received in the mail.

Instead of the 35,000 to 50,000-mile bonus offered most of the time, my targeted offer came with 75,000 Delta SkyMiles — 50,000 miles after spending $2,000 on purchases within three months and another 25,000 miles after spending an additional $1,000 within the first six months of account opening. I also received a $200 statement credit for spending $1,000 on flights within the airline within the first six months, which I was able to take advantage of right away.

2. Free checked bags

In addition to a sign-up bonus, the Delta Gold AmEx comes with another perk I can take advantage of quite often. Cardholders receive a free checked bag on Delta flights, which typically means a savings of at least $30 for each leg you fly.

While I'm not huge on checking baggage and prefer to pack carry-on luggage instead, I have several long trips this year where I will probably need to pack more than usual. I anticipate this perk saving me at least $240 on eight separate Delta one-ways I have planned this year.

3. Priority boarding

Another perk the Delta Gold AmEx offers is Priority Boarding. I'm usually slumming it back in economy, so for me it's not about where I sit. I do prefer boarding the plane as early as possible for a few reasons. Not only do I like getting on early so the plane doesn't run out of room for carry-on luggage, but I prefer to claim the luggage bin directly above my seat (versus having my carry-on stored somewhere else on the plane).

It's also nice to get acclimated to my surroundings and to prepare myself with noise-cancelling headphones before herds of other people settle into their seats.

4. Discount entry to Delta Sky Clubs

While I already have a Priority Pass Select Membership that grants access to over 1,000 airport lounges worldwide thanks to my Chase Sapphire Reserve card, I do have a penchant for Delta Sky Clubs. I used to get access for free when I flew Delta when I had the Platinum Card® from American Express, but I no longer carry that card. The lounges are usually spacious, and they almost always offer a selection of food broad enough to avoid a pricey meal.

The Delta Gold AmEx comes with discounted Sky Club access to the tune of $29 per person for the cardholder and up to two traveling companions. I wouldn't feel comfortable paying $29 if I only needed to kill an hour between flights, but I think this perk offers tremendous value if you have a long layover like I sometimes do.

5. Delta has plenty of deals

Finally, Delta SkyMiles really does offer some decent award fares for both domestic and international travel despite their lack of an award chart. I've found round-trip flights to Europe in the main cabin for as little as 32,000 miles (plus taxes and fees) and domestic flights for less than 20,000 miles round-trip in economy during recent searches. Heck, an open-jaw flight I'm considering for late winter out of Indianapolis to Paris (CDG) and home from London (LHR) is currently 38,000 miles!

Delta's SkyMiles deals program also rolls out an array of sale fares that change every month. If your dates are flexible, you can frequently find round-trip economy flights to Europe for as little as 32,000 miles and round-trip flights for as little as 16,000 miles. You do have to act quickly on these deals, but they can work well if your dates are flexible and you are ready to book when one you like comes along.

The bottom line

Delta may no longer offer an award chart, but the SkyMiles program still offers enormous value — at least for some flights. That's part of the reason I signed up for the Delta Gold AmEx. With my sign-up bonus of 75,000 miles, I should have at least enough miles for two-round trip flights to Europe or three to four domestic flights. The fact that this airline credit card offers free checked bags, priority boarding, and discounted Sky Club admission was just icing on the cake.

Click here to learn more about the Delta Gold AmEx from Insider Picks' partner: The Points Guy.

SEE ALSO: I've had the Southwest Companion Pass, and it's a game changer for family vacations — you can get one now easier than ever before

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A look inside 15 of the most stunning libraries around the world

The smartphone camera could become the new way consumers find products online

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bii importance of smartphone cameraThis is a preview of a research report from BI Intelligence, Business Insider's premium research service. To learn more about BI Intelligence, click here.

The smartphone is getting smarter as tech and internet companies inject increasingly sophisticated computer vision and object recognition functions into their hardware and software. The ability to “understand” what the user is pointing their mobile camera at and “read” the image has opened the door for visual search.

Foreseeing the potential for mobile visual search to create new revenue opportunities, brands are attempting to harness the smartphone camera’s increasing sophistication to engage with consumers and drive sales.

In this report, Business Insider Intelligence analyzes the developing technologies behind mobile visual search and its value to businesses and brands. The report also assesses risks and opportunities inherent in developing a visual search strategy, provides a list of companies that are working in the space, and discusses what they've accomplished so far.

Here are some of the key takeaways from the report:

  • There is strong evidence that mobile visual search technology will take off in the near future, including growing access to technology, strong usage rates of camera-related apps, and early indication of potential revenue growth. 
  • In some instances, visual search is faster and more accurate than text or voice, as it cuts through consumer-introduced ambiguities. 
  • The mobile visual search ecosystem is growing, with a slew of enabling platforms, native apps, and internet companies all broadening their expertise in the field.  
  • Leading internet search companies, including Google and Baidu, are in a race to capture the mobile visual search market as it begins to eat into traditional forms of search.   
  • The smartphone is the perfect launchpad for visual search technology, but new form factors, like smartglasses, hold great potential.

 In full, the report:

  • Provides an argument for the potential uptake of mobile visual search technology by tech companies, brands, and consumers. 
  • Outlines the current mobile visual search landscape.
  • Explains how startups and tech companies with mobile visual search products are evolving their business strategies. 
  • Provides an outlook for the future of the mobile visual search industry. 

Interested in getting the full report? Here are two ways to access it:

  1. Subscribe to an All-Access pass to BI Intelligence and gain immediate access to this report and over 100 other expertly researched reports. As an added bonus, you'll also gain access to all future reports and daily newsletters to ensure you stay ahead of the curve and benefit personally and professionally. >>Learn More Now
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Lifetime's creepy TV show 'You' has risen dramatically in popularity since debuting on Netflix, and season 2 will be a Netflix exclusive

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you netflix

  • Data shows that online conversation for "You" has increased significantly since it debuted on Netflix.
  • The show's audience demographic has shifted, as well.
  • The series originated on Lifetime, but Netflix will exclusively air its second season.

Like with so many shows before it, Lifetime's creepy drama "You" has found new life on Netflix.

The series debuted on Lifetime in September, and became available to stream on Netflix December 26. Since then, the series — about a book store manager named Joe (Penn Badgley) who goes to great lengths to make struggling writer Beck (Elizabeth Lail) fall for him — has risen dramatically in popularity.

READ MORE: Netflix's 'Sex Education' is its latest hit British TV show

Data from consumer-insights company Crimson Hexagon provided to Business Insider shows that daily social-media posts for "You" were declining before it went to Netflix. But as soon as it was available to stream, the show saw a big spike. The online conversation around the series has been consistent, and has seen 15,000 total posts since December 26.

you lifetime netflix data

Netflix has helped expand the audience demographic for the show, too. The show still skews toward women, as it did while on Lifetime, but more men have now watched the series on Netflix (28% of its audience) than they did while it was on Lifetime (23%).

Viewers 18 or below were the biggest age demographic for the show on Lifetime. On Netflix, the primary demographic has shifted to ages 18-24, as seen in the graph below.

you netflix lifetime data

"You" will return for its second season exclusively on Netflix rather than Lifetime.

It's not the first show to get a big boost from Netflix. "Breaking Bad" was the first major show to feel the "Netflix Effect." When the second half of its final season premiered on AMC in 2013, it doubled the ratings of the first half's premiere with a series' best 5.9 million viewers, according to Variety. The show's past seasons had been streaming after AMC signed a licensing deal with Netflix in 2011. 

The second season of "Riverdale" premiered to series-best ratings in 2017 — 67% above the series premiere and double the first season finale — after the first season had been available on Netflix, according to Vulture.

SEE ALSO: Netflix and Hulu are releasing competing documentaries on the Fyre Festival debacle, but Netflix is dominating Google search interest

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Netflix just had its best quarter for content — but it still faces several big risks, JPMorgan says (NFLX)

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Netflix's Chief Executive Officer Reed Hastings speaks during an interview with Reuters in Buenos Aires September 7, 2011.

  • Netflix's quarterly results are due out later this week, and JPMorgan views the streaming giant pretty positively.
  • But in a new report out Monday, the firm lowered its year-end price target and listed several risks Netflix may still have to grapple with.
  • Two fourth-quarter-specific risks are the impact from foreign-exchange fluctuations and the addition of fewer net additions than Netflix had previously forecast. 
  • Netflix shares have fallen 21% from their record high last June, but they're still up 50% in one year.
  • Watch Netflix trade live.

JPMorgan analysts are pretty optimistic on Netflix in the long-run. They like its program offerings, its growth both in the US and internationally, and its key position as a beneficiary of television disruption. The firm even thinks this last quarter was its best for content.

But in a note sent to clients Monday, JPMorgan adjusted its outlook ahead of Thursday's fourth-quarter earnings report. The bank trimmed its year-end price target on the stock, lowered their fourth-quarter revenue and operating income estimates, and detailed several key risks surrounding the streaming giant.

"While we are more focused on total net adds in 4Q, we lowered our 4Q paid net adds estimates and are now modestly below [management's] guide due to a back-end loaded content schedule with 'Bird Box' released on 12/21 and 'Black Mirror: Bandersnatch' on 12/28," analysts led by Doug Anmuth told clients Monday.

Anmuth and his team added that splashy titles like those, and others like "The Haunting of Hill House" and "Narcos: Mexico," lead them to believe the fourth-quarter was the strongest content quarter ever. They highlight, specifically, Google Trends showing "Bird Box" became the second-most-searched Netflix original title behind "Stranger Things."

Read more: Morgan Stanley predicts when Netflix will stop burning money and start generating billions in free cash flow

Still, a main driver for their tempered outlook is foreign-exchange fluctuations. A strong US dollar relative to foreign currencies in the fourth-quarter likely impacted their sales and operating income, JPMorgan said. The upcoming report comes on the heels of a brutal few months for the market more broadly, with Wall Street expecting a slowdown in earnings growth.

Here's a breakdown of some of the other central risks facing Netflix ahead of its Q4 results, and in the long-term, according to the analysts.

  • Fewer paid net additions. The firm lowered its fourth-quarter paid net additions to 1.28 million for the US and 5.97 million internationally, versus the company's guidance of 1.5 million and 6.1 million, respectively. This was mostly driven by a content slate that ramped up late in the quarter.
  • Cash burn. Netflix's stock could underperform if the company's widely noted free-cash-flow burn is "greater than expected." Netflix said in October that its negative free-cash-flow burn reached $3 billion in 2018, up from $2 billion the year before.
  • Competition. Shares could also underperform if increased competition from Amazon, Disney, Hulu, and AT&T impact Netflix's net additions.

Now read:

Netflix shares.

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NOW WATCH: The equity chief at $6.3 trillion BlackRock weighs in on the trade war, a possible recession, and offers her best investing advice for a tricky 2019 landscape


We talked to a top executive at Aurora Cannabis about why it's buying an organic medical marijuana company in the latest pot M&A tie-up

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Aurora

  • Aurora Cannabis announced its intention to acquire the organic marijuana producer Whistler Medical Marijuana Corporation on Monday.
  • The all-stock deal is valued at up to $132 million ($175 million CDN).
  • Analysts say the deal gives Aurora a leg-up on branding power, as advertising is heavily restricted in the Canadian marijuana industry.

Aurora Cannabis on Monday said it's acquiring Whistler Medical Marijuana Corporation, an organic cultivator based in Whistler, British Columbia, in an all-stock deal worth up to $132 million ($175 million CDN).

The deal follows a string of high-profile acquisitions Aurora made in building out its domestic and international footprint last year, including the takeover of publicly traded MedReleaf in a $2.3 billion stock deal. It's also the latest deal in what has already been a hot few weeks for M&A in the cannabis industry. 

"Whistler's brand is golden," said Cam Battley, Aurora's Chief Corporate Officer in a Monday interview with Business Insider. 

Organic-certified marijuana is a "distinct market segment that delivers higher margins," said Battley. "Their products command a significant price premium in stores." 

Read more: Marijuana M&A is already hot in 2019, with a pot tech-vape tie-up worth $210 million

Whistler is "one of the last pieces of the puzzle," to be a fully-integrated cannabis company, Battley said, adding that Aurora expects to make "fewer significant acquisitions" for the domestic marijuana market.

As well, Aurora hopes to be the first major cannabis player to sell organic, Canadian-grown marijuana in international markets like Germany, Battley said. 

Capitalizing on 'brand appeal'

Analysts said the Whistler deal gives Aurora a leg-up on branding power, in an industry where advertising is heavily restricted. 

Aurora hopes to capitalize on Whistler's "brand appeal"— Whistler is a world-famous ski town and vacation destination — and expand its footprint into Western Canada, the company said. And British Columbia has long been famous for the quality of its marijuana.

"Due to the nascent stage of the industry, we believe Whistler provides Aurora with one of only a few established brands in Canada (albeit a modest one) in an industry that imposes strict regulations on branding/advertising," Matt Bottomley, an analyst at the investment bank Canaccord Genuity said in a Monday note to clients.

Founded in 2013, Whistler is one of Canada's original 10 licensed marijuana cultivators. The company operates two indoor marijuana cultivation facilities in British Columbia, including one under construction in Pemberton. Once running up to full capacity, Whistler expects to have a combined production capacity of 5,000 kg per year, and the company holds agreements to sell medical cannabis to the Cayman Islands and Australia.

Read more: One of the largest publicly traded marijuana companies says the Farm Bill provides a 'pathway' for entering the lucrative US market

Aurora's stock was up around 2.5% at midday on Monday, after hitting a high of $6.77 per share.

As well, Whistler has a suite of organic-certified derivative products, including high-THC and CBD oils, which Aurora says would expand its product offerings.

"This transaction adds an iconic, organic certified BC-based brand with exceptional traction and a significant price premium in both the medical and retail markets," said Terry Booth, Aurora's CEO, in a press release.

Stoic Advisory, a boutique investment bank, acted as an advisor on the deal and McMillan LP acted as legal counsel to Aurora.

In an interesting wrinkle to the deal, Cronos Group, another publicly traded marijuana cultivator and a rival to Aurora, owns a 21.5% equity stake of Whistler. Altria, the tobacco-maker behind Marlboro, invested $1.8 billion into a 45% equity stake of Cronos Group late last year.

Entering the US market 

In terms of what's next for Aurora, Battley said the firm is "all over the Farm Bill." 

"We'll be unveiling our strategy to enter the US market over the next few months," said Battley. The Farm Bill, signed into law by President Donald Trump last year, legalized hemp nationwide.

Canopy Growth, a publicly traded Canadian marijuana cultivator and one of Aurora's competitors, on Monday unveiled a plan to produce hemp in New York state

Hemp is a source of CBD, or cannabidiol, a non-psychoactive component of marijuana that's become a popular ingredient in many food-and-beverage products. 

This story has been updated with comments from Cam Battley, Chief Corporate Officer at Aurora Cannabis. 

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NOW WATCH: Bernie Madoff was arrested 10 years ago — here's what his life is like in prison

Cadillac revealed a futuristic electric SUV concept that will rival Tesla's Model X — and it looks awesome (GM)

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Cadillac EV 2019 Detroit Auto Show


DETROIT — Last week, GM announced that its 116-year-old Cadillac luxury brand would take the lead on the carmaker's electrification strategy.

On Sunday, Cadillac revealed its first all-electric design, an SUV that will be based on a fresh EV platform. 

"Cadillac's EV will hit the heart of the crossover [SUV] market and meet the needs of customers around the world," Cadillac president Steve Carlisle said in a statement.

"It will represent the height of luxury and innovation while positioning Cadillac as the pinnacle of mobility."

Cadillac EV 2019 Detroit Auto ShowThe vehicle showcased on Sunday doesn't yet have a name, but Cadillac did provide limited details on the engineering concept.

"GM's future EV platform, which Cadillac will be the first to use, will be flexible, allowing the company to respond quickly to customer preferences with a relatively short design and development lead time," the automaker said.

"The Cadillac portfolio will eventually benefit from a variety of body styles that can be spun off this architecture."

Read more:GM is defying naysayers with a bullish 2019 outlook, and plans to take on Tesla with Cadillac

The new design will compete directly with Tesla's Model X, the main all-electric crossover currently in the market.

It's been a big 2019 Detroit auto show for Cadillac; the brand also revealed a three-row SUV, the XT6, and suggested that the legendary Escalade SUV may be updated soon. 

"Overall, Cadillac will introduce new models at the rate of roughly one every six months through 2021," Cadillac said in a statement.

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A surgeon has been fined $3,000 for removing a woman's kidney because he believed it was a tumor

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organ donor surgery cancer

  • A surgeon has been fined $3,000 for removing a woman's kidney because he believed it was a tumor.
  • Ramon Vazquez, who was tasked with creating the incision on Maureen Pacheco’s back, removed her healthy kidney without her consent because he believed it was a cancerous tumor.
  • Vazquez did not read Pacheco’s medical records before the operation.

A Florida surgeon has been fined $3,000 for removing a woman's kidney because he believed it was a tumor, the Palm Beach Post reports.

In 2016, Ramon Vazquez was tasked with creating the incision on Maureen Pacheco’s back for a spinal fusion surgery, according to the outlet. But the doctor, who was assisting two other surgeons at the time, saw something that didn't look right to him.

Pacheco has a life-long condition that kept one of her kidneys from ascending into her abdomen. However, Vazquez mistook the organ for a cancerous tumor. So, without the woman's consent, he removed the organ.

But Pacheco's surgery was entirely unrelated to the kidney. According to the Palm Beach Post, Vazquez said that he did not review Pacheco's medical records before the operation.

Read more: A surgeon has admitted to burning his initials onto patients' livers

According to the Florida Board of Medicine, Vazquez has agreed to pay a $3,000 fine related to the botched procedure. He must also give an hour-long lecture on wrong-site surgery to the staff at a hospital where he works. Additionally, he is also required to attend a three-hour training on evaluating patients before operations and pay the $4,800 fees out of pocket.

According to the Palm Beach Post, the primary doctors who were in the operating room that day, John Britt and Jeffrey Kugler, were fined $250,000 each in a settlement.

This isn't the first instance of a doctor removing the wrong organ during surgery. 

In 2011, a Maryland OB/GYN was fined $1.42 million in a lawsuit after she removed the wrong ovary from a patient during surgery and lied about it, NBC-affiliated WBAL-TV reported. In 2013, Larry Mitchell Isaacs surrendered his medical license after removing a patient's healthy kidney during what was supposed to be colon surgery, according to the Journal Sentinel. And in 2016, a doctor in South Dakota removed an Iowa woman's kidney instead of a mass on her adrenal gland, as intended, Fox News reported.

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Tidal, Jay-Z's music streaming platform, is being investigated in Norway over allegations that it inflated streaming numbers for Beyonce and Kanye West albums

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Kanye West Jay Z Tidal

  • Tidal, the music streaming platform owned by Jay-Z, is being investigated by Norwegian authorities for allegedly manipulating and inflating streaming play counts, according to Reuters.
  • Although the official investigation was just launched, the Norwegian newspaper Dagens Naeringsliv has been investigating Tidal's numbers, and reported on the issue last year.
  • The newspaper claimed that Tidal had over-reported the play counts for Beyonce's "Lemonade" and Kanye West's "The Life of Pablo"by "several hundred million," and used over a million fake accounts to manipulate streaming numbers.

Norwegian police have launched an investigation into Jay-Z's music streaming service as a result of allegations that play counts were over-reported to make the platform seem more successful and popular than it actually is, according to Reuters.

Claims that Tidal was fabricating its numbers were first leveled against the platform last year by a Norwegian newspaper, but an official criminal investigation was launched Monday, Reuters reports. The newspaper, Dagens Naeringsliv, concluded after a year-long investigation that the listener numbers Tidal reported were "manipulated to the tune of several hundred million false plays."

Read more:Jay Z's music service Tidal says accusations it wildly inflated Beyoncé and Kanye West's streaming stats are a 'smear campaign'

Specifically, the publication found the biggest discrepancies in Tidal's reported numbers for two particular albums: Beyonce's "Lemonade" and Kanye West's "The Life of Pablo."

The albums, which were both released in 2016, premiered exclusively on Tidal. In its reported numbers, which are the same given to record labels and investors, Tidal said the albums had racked up hundreds of millions of streams within the first 15 days of release — 306 million for Beyonce and 205 million for West.

But the Norwegian paper worked with the Norwegian University of Science and Technology, and concluded the data didn't add up. By over-reporting numbers, Tidal could garner "massive royalty payouts at the expense of other artists," the newspaper said.

Tidal has called the allegations false, and slammed the Norwegian newspaper for launching a targeted "smear campaign." In a statement provided to Business Insider, Tidal said Monday it was "not a suspect" in the Norwegian police's investigation.

Norwegian authorities confirmed to Reuters they had opened an investigation into "whether someone has manipulated the number of times certain songs have been played." No one has been charged, but at least four former Tidal employees have already been questioned, Engadget reported.

Tidal has struggled, despite its impressive roster of well-known celebrity backers (including Madonna and Coldplay frontman Chris Martin). The streaming service was originally known as WiMP, but was acquired by Jay Z in 2015 and launched as Tidal to rival music streaming services from Spotify, Pandora, YouTube, and Apple Music.

Allegations of problems at Tidal were reported by Norway's Dagens Næringsliv newspaper first in 2016. The publication reported Tidal was behind on paying more than 100 outstanding bills to record labels, ad agencies, and banks. The newspaper then reported in 2017 that Tidal inflated the number of how many subscribers the service had.

Tidal grew in popularity by brokering deals with artists to exclusively release their music on the streaming platform. However, West cut ties with Tidal is 2017, and alleged the service owed him more than $3 million. West turned to a small streaming app called WAV when it was time to release his next album, "Ye,"in 2018.

SEE ALSO: Microsoft's Bing search engine reportedly had a child porn problem

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Infiniti just unveiled a striking electric SUV concept with Rolls-Royce-inspired coach doors and a marble interior trim

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Infiniti QX Inspiration

  • Infiniti unveiled its all-new QX Inspiration concept SUV at the 2019 Detroit auto show on Monday.
  • According to Nissan's Hong Kong-based luxury offshoot, the stylish concept is designed to give the public a sneak peek at the future of its electric SUV styling.
  • The QX Inspiration's most distinctive features include its coach doors and marble center console. 

Infiniti unveiled its all-new QX Inspiration concept SUV at the 2019 Detroit auto show on Monday. The stylish all-electric concept is designed to give the public a sneak peek at the future of Infiniti crossover SUV styling.

"The Infiniti QX Inspiration marks the beginning of a new generation of Infiniti cars and establishes a direct blueprint for the brand's first electric vehicle," the automaker's recently-promoted president and chairman Christian Meunier said in a statement. "Based on a new, dedicated electric vehicle architecture and inspired by Infiniti's Japanese DNA, the SUV concept previews a product portfolio which will offer high performance, ultra-low emissions, and range confidence."

Infiniti QX InspirationMeunier was promoted to the top job at Infiniti last week following Roland Krueger's departure after four years in charge of Nissan's luxury arm. Meunier previously served as the Hong Kong-based automaker's global head of sales and marketing. 

Read more: The legendary Toyota Supra sports cars has returned to America after a 20-year absence to take on Porsche, BMW, and Mercedes.

Infiniti hasn't released any technical specs for the SUV and that's on purpose. It's the concept's striking sheet metal and its futuristic interior that's on display. 

The QX Inspiration's standout features include its Rolls-Royce-style coach doors, which are complemented by a carpet of light emanating from its cabin. 

Infiniti QX Inspiration ConceptThe driver is then greeted by front seats that swing out 30 degrees. The interior is dominated by a massive "pillar-to-pillar" widescreen display that declutters the front dash. There's also an information screen at the center of the steering wheel.  The center console is made of Bianca Carrera marble and is decorated with a Japanese plum blossom. 

The overall feel of the cabin is meant to mimic that of a lounge. 

Infiniti QX Inspiration"For the interior, we followed the principle of omotenashi, or Japanese hospitality," Alfonso Albaisa, Nissan's senior vice president of global design, said in a statement. "It's a concept that we discussed a great deal during the development of the Infiniti QX Inspiration." 

"Technology is a window into broader horizons, and we want that window to be inviting, welcoming, enticing – staying true to our Japanese roots," Albaisa added. 

SEE ALSO: These are the cool cars we can't wait to see at the 2019 Detroit auto show

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