Friday, October 25, 2024

More efficient public shaming through technology

American Airlines is trying out a new technology feature to identify line cutters. But first...Three things you need to know today:• Asian c
by Drake Bennett

American Airlines is trying out a new technology feature to identify line cutters. But first...

Three things you need to know today:

• Asian chip giant TSMC is finding success with its new US factory
• Apple confirms plans to unveil new Mac computers next week
• Tesla's stock has its best day in more than 11 years 

Hate the player or the game? 

You know those airline passengers who get on the plane before their assigned boarding group? Those people are the worst. Except, of course, when I am one of them. (I'm not going to be the sucker who has to gate-check a rolling suitcase! Also, I could have sworn they were about to call our group. And I was traveling with small children.)

American Airlines has decided to crack down on this behavior. The airline has begun to roll out a system that emits an admonishing noise when the gate agent scans the boarding pass of someone trying to board before their assigned group has been called. The gate agent is thus alerted to the scofflaw — as, of course, is everyone else in the boarding area.

The response on flier forums and social media has been overwhelmingly positive. This is understandable. There is nothing more galling than seeing someone else get away with something, and there's a particular satisfaction in seeing cheaters punished. That's why people used to flock to public executions, and now join social media dogpiles.

Still, it's worth keeping in mind why the airline boarding process is set up the way it is. If you were loading people into a cylindrical object purely with speed in mind, you would not board the people sitting nearest the doorway first. You would do something quite different. The reason people sitting in first and business class get priority — while everyone else sullenly watches — is because they (or their employers) paid an enormous amount of money for the privilege. 

Generally speaking, the less you pay the airline for your ticket, the more friction and anxiety you can expect. There's nothing necessarily immoral about this. Running an airline is a low-margin business, and if the company has limited opportunities to improve the experience, it makes sense to give the perks to people willing to pay for them. Plus, all in all, flying is more affordable today than in the good old days before airlines made a science of nickel-and-diming and upselling. 

That also means, however, that airlines aren't incentivized to make their basic offering all that great. Otherwise, why would you pay more for the peace of mind of knowing there will be room in an overhead bin for your suitcase when you board? Or pay even more for some legroom and a reheated meal? When airlines talk about "status," they mean it.

Airlines — and American and particular — were pioneers decades ago at using computers to collect and analyze the data that helped them figure out what people would pay for. Having the gate scanner emit a special sound when someone jumps the line is a technology for enforcing that system.

In their selfish, skulking way, people who refuse to board with their assigned group are rebelling against this, and against a demand-based business model that, having been refined by the airlines, has now made its way into everything else

Maybe, in a small way, we should root for them against the machines. —Drake Bennett

The big story

The White House is urging US agencies to accelerate adoption of artificial intelligence. Announcing the strategy, National Security Advisor Jake Sullivan said the US must extend its lead on AI while also managing the risks.

One to watch

Tesla's shares surged after the carmaker reported surprisingly strong earnings and forecast as much as 30% growth in vehicle sales next year. Truist analyst William Stein, who has taken several versions of the company's so-called full self driving feature for a ride, joins Caroline Hyde and Ed Ludlow on Bloomberg Technology.

Get fully charged

Palantir's AI-driven strategy has gone too far for Wall Street.

Nvidia's CEO is teaming up with Asia's richest man to build AI infrastructure in India.

Microsoft boss Satya Nadella sees his 2024 compensation jump 63% to $79.1 million.

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