Connect with us

Business

The teen who started a Twitter account tracking Elon Musk’s private jet reveals what’s behind those super-short flights by Kylie Jenner and Drake

Published

on

The teen who started a Twitter account tracking Elon Musk's private jet reveals what's behind those super-short flights by Kylie Jenner and Drake

When Jack Sweeney refused a $5,000 offer from Elon Musk to stop tweeting about the billionaire’s private jet activity, he didn’t know how fast his flight-tracking endeavor would scale. 

Now, the 19-year-old University of Central Florida sophomore has 30 accounts and a new target: the flight paths of private jets belonging to celebrities and the polluting carbon emissions their trips rack up. Earlier this month, Sweeney’s brainchild, the @CelebJets automated Twitter account, revealed a 17-minute journey flown by Kylie Jenner’s plane from one Californian city to another. 

Jenner quickly got singled out as an example of how the lifestyles of the rich and famous contribute to our climate crisis far more than ordinary people’s do, and Twitter users branded her a “climate criminal.” Asked for his thoughts on the criticism, Sweeney told Fortune that he agreed the “climate criminal” label is fitting but cautioned the focus shouldn’t solely be on the length of the flights.

“Even the Kylie Jenner flight, she probably wasn’t on that flight,” Sweeney said.

Something else is going on, he said, not that it’s any better for the climate.

‘They say one thing and then do another’

These short flights are likely just for parking the jet. “It’s probably the plane being moved to be parked,” Sweeney admitted. “I still think it’s bad because it’s being flown, and it’s her plane, but people think she’s just going to another part of town.” 

Few have received as much backlash as Jenner but she is far from alone in her frequent private jet use. According to @CelebJets, celebrities such as Drake, Mark Wahlberg, and especially Musk have contributed at least as many emissions in a single jet ride as the average person does in a year. 

On Sweeney’s Twitter account, he has speculated that it’s cheaper to park in Camarillo, California, where the flight went, than in Van Nuys. A report from the California Globe backs up this theory—airports in Burbank, Hawthorne, and Van Nuys have received the brunt of jet traffic from private planes looking to avoid expensive fees at LAX and other larger airports. Drake gave a similar explanation when defending his own reported 14-minute private jet ride in an Instagram comment. 

“This is just them moving planes to whatever airport they are being stored at for anyone who was interested in the logistics,” the Canadian rapper wrote under a post about the controversy from the Real Toronto Newz. “Nobody takes that flight.”

Jenner’s flight—which covered the distance of a 45-minute car ride—is estimated to have produced a ton of carbon dioxide emissions. Adding more fuel to the fire, Jenner posted an Instagram photo with her partner, rapper Travis Scott, between two private jets and captioned it, “you wanna take mine or yours?” 

Rather than the short rides, it’s the hypocrisy of celebrities that gets to Sweeney. Many including Drake and Kim Kardashian previously preached the importance of combating global warming before turning around to parade their private jets. 

“They say one thing and then do another,” Sweeney said. “They are just showing off but yeah, they shouldn’t be when it is wasteful, and it’s just like ‘look at me.’”

Drake did not respond to Fortune’s requests for comment sent to his music label and brands. A spokesperson for Jenner and Kardashian declined to comment on the record. 

Climate advocacy was never Sweeney’s main motivator for starting the @CelebJets account. In fact, the bot didn’t start reporting estimated fuel use or carbon emissions until this spring. Initially, he was just interested in visibility—“putting the information out there for people to see”—and later added the extra features because watchers requested them.

“I was in it for all kinds of reasons,” Sweeney said. “I think it’s good to bring awareness to that, that these people are flying around, but it wasn’t my number one thing.” 

“Kylie and Kim—they’re posting these pictures. They should expect to be tracked. They’re putting it right out there,” he added. “The data is there. I’m just putting it on Twitter, making it easier to see.” 

At times, celebrities have tried blocking Sweeney’s efforts. He said both Kardashian and Jenner placed jets in the Federal Aviation Administration’s Limiting Aircraft Data Displayed program to avoid his real-time updates. Sweeney, though, no longer uses FAA data. 

It’s undeniable that Sweeney has made a splash in the ongoing conversation about personal responsibility and climate change. People have credited the minutes-long flights for radicalizing them toward climate advocacy. Sweeney’s jet tracker tools were labeled the new climate accountability tool. And some even called for an outright ban on personal private jets. 

The teen sees himself as falling somewhere in the middle of the debate. He still thinks private jet travel should be allowed: “That’s the best we have to be the quickest transportation. We can’t just get rid of it instantly.” 

Instead, Sweeney suggested that celebrities follow the lead of billionaires Bill Gates and Jeff Bezos in purchasing carbon offsets—financial credits supposedly meant to shrink one’s carbon footprint through funding environmental projects or other actions. 

Unlike with his @ElonJet bot, no one has contacted Sweeney yet asking or bribing him to stop tracking them. But the teen said he’s open to messages of another sort.

“There are already companies that do offsets for various things. You could connect these people that have private jets with offsets,” Sweeney said. “If they paid for it, then I could display that on the tweets actually.”

“Then they don’t have to be ridiculed.” 

Sign up for the Fortune Features email list so you don’t miss our biggest features, exclusive interviews, and investigations.



Business

Coinbase’s near-term outlook is ‘still grim’, JPMorgan says, while BofA is more positive about firm’s ability to face crypto winter

Published

on

Coinbase's near-term outlook is 'still grim', JPMorgan says, while BofA is more positive about firm's ability to face crypto winter

Coinbase is well positioned to successfully navigate this crypto winter and take market share, Bank of America said in a research report Tuesday. It maintained its buy recommendation following the exchange’s second-quarter results.

The results warrant “a muted stock reaction,” the report said. Net revenue of $803 million was below the bank’s and consensus estimates, while its adjusted $151 million loss before interest, tax, depreciation and amortization was better than the street expected. Importantly, the company remains “cautiously optimistic” it can reach its goal of no more than $500 million of adjusted EBITDA loss for the full year, the report added.

Coinbase shares fell almost 8% in premarket trading to $80.74.

Bank of America notes that Coinbase had no counterparty exposure to the crypto insolvencies witnessed in the second quarter. The company also has a “history of no credit losses from financing activities, holds customer assets 1:1, and any lending activity of customer crypto is at the discretion of the customer, with 100%+ collateral required.” These rigorous risk-management practices will be a “positive long-term differentiator” for the stock, the bank said.

JPMorgan said Coinbase had endured another challenging quarter, while noting some positives.

Trading volume and revenue were down materially. Subscription revenue was also lower, but would have been much worse were it not for higher interest rates, it said in a research report Wednesday.

The company is taking steps on expense management, and in addition to the June headcount reductions, is scaling back marketing and pausing some product investments, the note said.

The bank says the company’s near-term outlook is “still grim,” noting that the exchange expects a continued decline in 3Q 2022 monthly transacting users (MTUs) and trading volumes, but says Coinbase could take more “cost actions” if crypto prices fall further.

JPMorgan is less optimistic than Bank of America about the company in the near term, saying pressure on revenue from falling crypto markets will have a negative impact on the stock price. Still, it sees positives including higher interest rates, from which the firm will generate revenue. It also sees opportunities for the exchange to grow its user base, leveraging almost $6 billion of cash. The surge in crypto prices in July, and the forthcoming Ethereum Merge are also seen as positive catalysts, it added.

The bank maintained its neutral rating on the stock and raised its price target to $64 from $61.

Sign up for the Fortune Features email list so you don’t miss our biggest features, exclusive interviews, and investigations.

Continue Reading

Business

Elon Musk sold $6.9B in Tesla stock in case he’s forced to buy Twitter

Published

on

Elon Musk sold $6.9B in Tesla stock in case he's forced to buy Twitter

Elon Musk sold $6.9 billion of his shares in Tesla Inc., the billionaire’s biggest sale on record, saying he needed cash in case he is forced to go ahead with his aborted deal to buy Twitter Inc.

“In the (hopefully unlikely) event that Twitter forces this deal to close *and* some equity partners don’t come through, it is important to avoid an emergency sale of Tesla stock,” Musk tweeted late Tuesday after the sales were disclosed in a series of regulatory filings. 

Asked by followers if he was done selling and would buy Tesla stock again if the $44 billion deal doesn’t close, Musk responded: “Yes.”

Tesla’s chief executive officer offloaded about 7.92 million shares on Aug. 5, according to the new filings. The sale comes just four months after the world’s richest person said he had no further plans to sell Tesla shares after disposing of $8.5 billion of stock in the wake of his initial offer to buy Twitter.  

Musk last month said he was terminating the agreement to buy the social network where he has more than 102 million followers and take it private, claiming the company has made “misleading representations” over the number of spam bots on the service. Twitter has since sued to force Musk to consummate the deal, and a trial in the Delaware Chancery Court has been set for October. 

In May, Musk dropped plans to partially fund the purchase with a margin loan tied to his Tesla stake and increased the size of the equity component of the deal to $33.5 billion. He had previously announced that he secured $7.1 billion of equity commitments from investors including billionaire Larry Ellison, Sequoia Capital, and Binance. 

“I’ll put the odds at 75% that he’s buying Twitter. I’m shocked,” said Gene Munster, a former technology analyst who’s now a managing partner at venture-capital firm Loup Ventures. “This is going to be a headwind for Tesla in the near term. In the long term, all that matters is deliveries and gross margin.”

At the weekend, Musk tweeted that if Twitter provided its method of sampling accounts to determine the number of bots and how they are confirmed to be real, “the deal should proceed on original terms.” 

Musk, 51, has now sold around $32 billion worth of stock in Tesla over the past 10 months. The disposals started in November after Musk, a prolific Twitter user, polled users of the platform on whether he should trim his stake. The purpose of the latest sales wasn’t immediately clear.  

Tesla shares have risen about 35% from recent lows reached in May, though are still down about 20% this year. 

With a $250.2 billion fortune, Musk is the world’s richest person, according to the Bloomberg Billionaires Index, but his wealth has fallen around $20 billion this year as Tesla shares declined.    

Sign up for the Fortune Features email list so you don’t miss our biggest features, exclusive interviews, and investigations.



Continue Reading

Business

The rent is too d*mn high for Gen Z: Younger generations are ‘squeezed the most’ by higher rents, BofA says

Published

on

The rent is too d*mn high for Gen Z: Younger generations are 'squeezed the most' by higher rents, BofA says

Most of Gen Z is too young to remember the 2010 New York gubernatorial candidate Jimmy McMillan.

But over a decade later, they would probably agree with his signature issue (and catchphrase): the rent is too damn high.

This July, median rent payments were 7.4% higher than during the same period last year, according to a Bank of America report released Tuesday. 

The national median price for a one-bedroom apartment has been hitting new highs nearly every month this summer. It was $1,450 for July, according to rental platform Zumper. In the country’s largest city, New York, average rent exceeded a shocking $5,000 a month for the first time ever in June. 

But inflation in the rental market hasn’t hit each generation equally, and no one is getting squeezed harder by the higher monthly payments as Gen Z. Those born after 1996 have seen their median rent payment go up 16% since last July, compared to just a 3% increase for Baby Boomers, BofA internal data shows. 
“Younger consumers are getting squeezed the most by higher rent inflation,” BofA wrote.

The great rent comeback

Early in the pandemic, landlords slashed rents and gave significant COVID discounts to entice tenants to stay instead of leaving urban areas. Once those deals started expiring in 2021, many landlords suddenly raised payments once again, sometimes asking for over double their pandemic value. 

Young people across the board have been hit hard, and rent burdens compared to age can be seen even within a single generation. Younger millennials had their median rent payment grow 11% from last year, while the median payment for older millennials rose 7%. Gen X experienced a 5% median rent increase, according to BofA. 

It’s not a surprise, then, that Gen Z feels so strapped for cash. The majority of young people, 61%, said they want to receive their wages daily instead of twice a week, a practice typically reserved for workers living paycheck to paycheck, according to a report from the Center for Generational Kinetics, which specializes in research across the generations. Rising rent inflation has even priced nearly a third of Gen Zers out of the apartment search altogether. Around 29% of them have resorted to living at home as a “long-term housing solution,” according to a June survey from personal finance company Credit Karma.

It’s no wonder—the rent really is too high.

Sign up for the Fortune Features email list so you don’t miss our biggest features, exclusive interviews, and investigations.

Continue Reading

Copyright © 2021 Seminole Press.