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EU moves to ease subsidy rules for small media

19 August 2026 at 16:43

BRUSSELS — EU countries will be able to fund small local media without asking Brussels for permission, according to a draft of the bloc’s revised state aid rulebook obtained by POLITICO.

Government subsidies to businesses are strictly disciplined by Brussels under state aid rules, but there are exceptions. These are spelled out in frameworks, with the master one, the General Block Exemption Regulation (GBER), up for revision at the end of the year. 

The European Commission put out an initial draft for public consultation in February with a view to finalizing it by year’s end. The updated, 200-page draft gives a leg-up to local and independent journalism by allowing governments to fund small- and medium-sized outlets without formal vetting by Brussels.

“SMEs active in the press sector play an essential role in safeguarding media pluralism, cultural and linguistic diversity, democratic participation and citizens’ access to reliable information, particularly at local and regional level,” the Commission writes, highlighting structural challenges arising from the digital transformation of media markets.

To qualify for assistance, beneficiaries would need to fulfil at least one item in a Commission checklist that includes preserving media pluralism and diversity of opinion, transitioning to digital content while also preserving print editions. 

“The exemption covers aid pursuing cultural objectives — including linguistic diversity, the digitalization of press publications or the promotion of printed publications,” said Carole Maczkovics, of Counsel at Covington & Burling, of the press measures. 

Many European media outlets are struggling to stay viable, with print readership declining and publishers complaining that online platforms, such as search giant Google, are reducing referral traffic to their websites.

Broad scope

The GBER covers most sectors of the economy, from agriculture to transport, and is the target of intense lobbying from EU capitals, traditionally torn between big government spenders led by Germany and smaller member states, including the pro-free-trade Nordics, which complain that national subsidies distort the EU single market.

Countering the stereotype, Denmark was a leading advocate to extend GBER exemptions to the media. In a consultation response last year, the Danes said the state aid framework should be broadened to include private and public media providers “to promote harmonisation and simplify the general management of state aid in the media sector.”

The latest GBER draft focuses strongly on SMEs and innovation, as well as on the social dimension of state aid — as it expands on conditions for money that governments can put in training programs and the inclusion of disadvantaged workers. 

But it may not necessarily make things easier.

“Although the revision aims to simplify the State aid framework, it may ultimately make it more detailed and prescriptive,” warned Maczkovics. She added that the Commission’s gradual shift from broad aid categories to narrowly defined exemptions may sway EU countries to design measures that don’t quite fit the real needs of companies — for the sake of avoiding a notification.

Industry, for its part, is keeping a close eye on state aid exemptions, with airport lobby ACI Europe quick to react to the latest leak. 

“The revised GBER remains too restrictive for Europe’s smaller regional airports,” said Philippe Sacré, the association’s secretary general. He was referring to aid exemptions that would be restricted to airports handling over 500,000 passengers a year, according to the Commission’s draft. 

The Commission’s latest State aid Scoreboard shows that EU countries spent €168.2 billion in state aid in 2024, with Germany, France and Italy the top spenders. Capitals are increasingly taking advantage of block exemptions, with GBER representing close to 70 percent of all active exemption measures.

Tommaso Lecca contributed reporting.

Trump hits pause on new Canada tariffs

19 August 2026 at 05:14

President Donald Trump paused a 50 percent tariff on Canadian goods hours before it was scheduled to kick in, saying the two countries had reached a preliminary deal.

In a post on social media late Tuesday, Trump announced that he would delay the duties, set to go into effect at midnight on Wednesday, for three days “based on the fact that Canada and the U.S.A., subject to the finalization of documents, have a DEAL!”

The president teased that the agreement could include resurrecting the Keystone XL Pipeline, a long-stalled pipeline extension intended to pump crude oil from Alberta, Canada to the Midwest of the United States.

Malta leads fight against EU bid to tax Big Gambling

5 August 2026 at 17:49

Malta leads fight against EU bid to tax Big Gambling

The tiny Mediterranean island is clashing against the European Parliament and former football legend to oppose the levy.

By GREGORIO SORGI
in Paceville, Malta

PhotoIllustration by Natália Delgado/POLITICO

Brussels is bracing for an unusual fight between the EU’s smallest country and a British ex-footballing legend.

Peter Shilton, the England goalkeeper who conceded the “Hand of God” goal from Diego Armando Maradona in 1986, has started a new life as an anti-gambling advocate after overcoming a decades-long addiction.

Despite being a diehard Brexit supporter, he’s become the poster boy of the European Parliament’s push to tax online betting in a bid to raise some much-needed funds to finance the bloc’s next €2 trillion budget.

But the campaign has run into strong opposition from Malta. The tiny island in the Mediterranean Sea, with a population of just over half a million people, is home to a burgeoning betting sector. It says that higher taxes will cripple its gambling industry, boost illegal operators and drive firms outside the bloc.

“[Malta] will not accept the introduction of any EU-level taxes designed to sustain the bloc’s spending,” the country’s Prime Minister, Robert Abela, told the Maltese Parliament in June.

But Shilton, who lost more than £1 million in betting on horse racing over 45 years and now runs his own gambling addiction charity, dismisses the arguments by Malta and the gambling lobbies as “window dressing.” He’s in favor of higher taxes as he wants to shrink advertising revenue that is used to lure in new gamblers.

“Deep down they’re after everybody’s money. Simple as that,” he told POLITICO during a visit to Brussels in June.

Former England goalkeeper Peter Shilton lost more than £1 million in betting on horse racing over 45 years and now runs his own gambling addiction charity. | David Cannon/Allsport/Getty Images

The topic has split the EU’s 27 governments, pitting gambling-heavy Southern European countries against their more supportive Western European peers, led by France. Capitals are already fighting even though the Commission hasn’t yet issued a formal proposal for the possible tax, which would ultimately need to be unanimously approved by governments.

It’s one of numerous budget battle lines being drawn, with Ireland — which is steering the talks as chair of the rotating Council presidency — set to restart negotiations to facilitate an overall deal on the EU budget before the end of the year.

That’s no mean feat given Dublin’s task to mesh competing spending priorities into a single budget — financing everything from farmers’ subsidies to foreign aid — that is acceptable for each of the EU’s 27 governments.

National capitals will have to unanimously approve new EU-wide taxes — known as own resources — to pay for soaring defense spending and post-Covid debt repayments if they want to avoid drastically increasing national contributions to Brussels.

Supporters of the gambling levy point to the fact that it would rake in over €13 billion throughout the next budget cycle and — for some, more importantly — address a serious public health issue. An estimated 80 million adults globally have experienced a gambling addiction, according to experts.

“We look on it [gambling] as an illness. It’s something that’s inborn in you and that can be ignited,” Shilton said.

Malta’s game plan

Malta has invested heavily in the gambling industry — including lotteries, betting and casinos increasingly operating online — which now accounts for around 12 percent of its gross domestic product.

These firms have relocated to Malta because of its light-touch licensing regime, business-friendly tax regime and balmy weather.

The country is “as dependent on the online gambling industry as Germany is on cars,” said an EU diplomat, granted anonymity to speak freely.

While gambling firms need local authorization to operate in most other European countries, securing the Maltese license is crucial to access banking services and gain a foothold in the EU market.

Malta-based firms dominated the German and Austrian online gambling markets before national regulators cracked down. This has prompted the Maltese government to refuse to recognize some court rulings and sanctions issued by other EU countries against its gambling firms.

Betting lobbies say they oppose higher gambling rates on the grounds that they will fuel appetite for the illegal market. | Photo illustration by Graeme Robertson/Getty Images

Given its influence, it is hardly surprising that the gambling industry has found a friendly ear among Malta’s politicians in Brussels.

The Maltese president of the European Parliament, Roberta Metsola, last year gave the opening speech at an international gambling conference in Rome that also featured Italian Foreign Affairs Minister Antonio Tajani.

“I’m more than a little proud that it started in my island home of Malta,” she said, referring to SiGMA, a Maltese events company that focuses on online gambling founded by Eman Pulis, a university friend of Metsola.

Betting lobbies say they oppose higher gambling rates on the grounds that they will fuel appetite for the illegal market, away from the grasp of EU rules.

“A higher tax would lead to worse odds for the customers … and it is relevant because access to the illegal markets in Europe is, obviously, one click away,” said secretary general of the European Gaming and Betting Association, Maarten Haijer.

Nicola Matteucci, an economist at the Università Politecnica delle Marche in Italy who has undertaken extensive research on the gambling sector, argued there is a “point where prices exceed a certain level and the demand [for gambling] diminishes. But it’s not as immediate as suggested by the industry.”

Matteucci said that most gamblers will be undeterred by slightly higher taxes and worse odds as they are not fully rational consumers.

Anti-gambling groups reason instead that higher taxes will reduce the sector’s spending on commercials, preventing would-be punters from getting sucked in to gambling in the first place.

“Higher taxes will therefore mean less gambling advertising overall and many people would regard that as a public benefit,” said Derek Webb, the founder of the Campaign for Fairer Gambling advocacy group.

Club Med joins Malta

Malta has joined forces with fellow Mediterranean countries — Italy, Portugal and Spain — to challenge the mooted tax which was first proposed by the Parliament’s socialist lawmaker Victor Negrescu, said four diplomats with knowledge of the discussions.

According to the European Commission’s estimates, seen by POLITICO, a 3 percent tax on the net turnover of the online gambling sector would generate an estimated €1.9 billion per year.

With its big online gambling market, Spain is expected to be among the biggest financial losers, should the tax go ahead. It is estimated to be on the hook for €414 million per year, almost a quarter of the total amount. That compares to a projected bill of €165 million per year for Malta— a disproportionality high amount for such a small country.

Portugal is also reluctant to back the levy. It fears that higher taxes would eat into revenue brought in by state-run betting and lotteries that is currently channeled to the charity Santa Casa da Misericórdia de Lisboa‘s healthcare and youth support programs, said a Portuguese official.

Meanwhile, given the relatively low uptake of online gambling, Italy’s misgivings have surprised anti-betting advocates. Rome is expected to pay a mere 7 percent of the proposed new levy — a significantly lower proportion than its regular EU budget contributions.

However, Prime Minister Giorgia Meloni’s Brothers of Italy party has previously been receptive to the gambling industry. Last year its MPs passed a resolution encouraging the reversal of a ban on professional football clubs advertising gambling firms.  

Democratic-led states sue to block Trump’s latest wave of tariffs

4 August 2026 at 03:14

A group of 25 Democratic-led states sued President Donald Trump’s administration Monday to block the latest round of tariffs imposed on goods from dozens of countries.

The lawsuit in the U.S. Court of International Trade marks the latest in a growing list of legal actions that accuse the White House of exceeding its authority when it used Section 301 of the Trade Act of 1974 — which allows a president to impose tariffs over unfair trade practices — to penalize countries over the alleged use of forced labor after prior trade penalties had either expired or been invalidated by the Supreme Court.

“The Plaintiff States oppose forced labor in all its forms and support protections for workers around the globe,” the states said in their lawsuit. “But the Administration cannot use forced labor as a pretext to continue its illegal tariff scheme.”

Monday’s complaint contests tariffs of 10 or 12.5 percent the administration slapped on goods from 60 economies, including China and the European Union, that took effect last month.

“President Trump is so intent on raising the cost of living for Americans that he is willing to break law after law after law to do so,” said California Attorney General Rob Bonta, whose state is among the plaintiffs, in a statement announcing the lawsuit.

“Tariffs are taxes,” Bonta said. “And the American people cannot and should not shoulder the extra costs that come from the President’s failed and illegal economic policy — no matter how much the President wants them to.”

The effort to block Trump’s third crack at rebuilding his global tariff regime comes after the Supreme Court in February knocked down tariffs the president imposed on countries under the 1977 International Emergency Economic Powers Act, and after the Court of International Trade ruled in May that the Section 122 surcharge Trump imposed in their place was also illegal. The trade court’s May ruling was stayed, allowing the duties to keep being collected pending appeal. Those tariffs expired last month.

The White House defended the tariffs, saying the administration was using its “lawful authority” to crack down on practices that burden American commerce.

“A foreign country’s failure to impose and effectively enforce a prohibition on the importation of goods produced with forced labor is unreasonable and burdens U.S. commerce, including American workers, and must be addressed,” White House spokesperson Kush Desai said in a statement. “Section 301 tariffs have proven to be a legally durable tool since the President’s first term, and they remain so now.”

The lawsuit also accuses the U.S. of bypassing country-specific consultations and failing to explain why duties on countries with such varied forced-labor measures were set in a “nearly uniform manner.”

And it comes on the heels of lawsuits from two groups of small businesses that challenged the tariffs the day they took effect: one led by Burlap & Barrel, a New York spice importer, and a separate suit led by Learning Resources, an educational-products maker that was the named plaintiff in the Supreme Court case that invalidated Trump’s IEEPA tariffs.

Background: The dispute centers on Trump’s use of Section 301, an authority widely viewed as far more legally durable than the other powers Trump tapped to impose tariffs.

Duties from one Section 301 investigation into China during Trump’s first term have now lasted more than seven years. But Section 301’s durability does not give the president unlimited discretion, because the law requires the USTR to identify specific foreign acts, policies or practices and show that they burden or restrict U.S. commerce.

Matthew Seligman, founder of Grayhawk Law and an attorney representing importers seeking tariff refunds, said the states’ challenge is strong but faces a harder legal path than the challenges to the IEEPA and Section 122 tariffs.

“Unlike those prior cases, this case will turn on how much the courts defer to the administration’s seemingly pretextual rationalization that these tariffs are aimed at combatting forced labor,” Seligman said.

“Typically, courts grant substantial deference to the executive branch about these sorts of policy judgments — especially when it implicates foreign affairs —but, as is so often the case with the Trump administration, this case will really test the limits of that judicial deference,” he added.

Pluralistic: The three armies fighting for the post-American world (05 May 2026)


Today's links



'The Spirit of 76,' a famous painting depicting three soldiers marching after a US Revolutionary War battle. The figures' heads have been swapped for a man in a top hat, Che Guevara, and a 19th century European general in a silly hat. The US flag in the background has been replaced with the EU flag. The fallen soldier at their feet sports a Trump wig and his skin has been tinted Cheeto orange.

The three armies fighting for the post-American world (permalink)

Political change is downstream of coalition building, and coalitions are fragile things, because by definition they are not fully aligned; they share some goals but often violently disagree about others. A coalition forms when groups set aside their differences to pursue the common elements of their agenda.

Trump is a master coalition builder. He wouldn't have been able to seize and wield so much power without a coalition that includes people who absolutely hate each other and want each other to die. Let's face it, Nick Fuentes wants to turn Ben Shapiro into a lampshade, but they both sent their followers to the ballot box for Trump. We've all seen those videos of Trump supporters railing against "elites" after watching the richest man on Earth cavorting with Trump while promising to give all of their jobs to AI and robots.

This contradiction isn't a bug, it's a feature: the bigger a coalition gets, the more power it has – provided you've got a Trump figure at the top, using his cult of personality to coerce and flatter his coalition members into playing nice with each other.

But Trump's incontinent belligerence, his bullying, and his cognitive decline mean that he's conjuring a new anti-Trump coalition into existence: groups of people who don't agree on much, but do agree on fighting Trumpismo and its leader. This is very visible in US domestic politics, where "Never-Trumper" conservatives find themselves on the same side as Democratic Socialists, at least on this narrow issue. The anti-Trump mass mobilizations – the Women's March, the anti-ICE demonstrations, the No Kings rallies – are visibly, palpably coalitional, made up of people carrying signs and banners for groups that are often at odds with one another…except when it comes to Trump.

But I'm much more interested in the international coalitions that are forming to fight Trump. It started with my longstanding fight for a good internet, free from surveillance, extraction and manipulation, the three evils inherent to the business models of America's shitty, enshittifying tech companies.

Under normal circumstances, you'd expect tech companies in other countries to capitalize on the fact that America exports its obviously defective tech products around the world. As Jeff Bezos often reminds his suppliers: "Your margin is my opportunity." Whether it's Apple taking a 30% margin on iPhone payments, Apple and Meta creaming 51 cents off every ad dollar, Amazon harvesting 50-60% from every platform seller, or inkjet printer companies marking up the colored water you use to print your grocery list by 25 quattuordecillion percent, there's a ton of opportunities to disrupt these comfortable ex-disruptors.

But no one does that, because the US Trade Representative bullied every US trading partner into enacting an "anticircumvention" law that makes it a crime to modify America's tech exports. The quid pro quo for this? Free trade with the USA – and tariffs for any country that didn't fall into line. Well, they all fell into line, and Trump tariffed them anyway.

That means that America's tech giants' margins are now everyone else's opportunity. The trillions that US tech companies extract could be someone else's billions – all they'd have to do is offer the interoperable goods and services that disenshittify America's tech products. They could sell the tools that let anyone in the world use independent app stores, or fix their cars and tractors, and put generic ink in their printers. A year ago, no country could afford to allow a company headquartered in its borders to get into this business, lest they be clobbered with tariffs. Today, any country that isn't thinking about this is a sucker that will end up buying these tools from another country that gets there first.

This means that digital rights hippies like me (who've been banging this drum for 25 years), suddenly have a new ally in the fight against enshittified tech products. Today, there are people who want to help you protect your pocketbook and your privacy, but not because they believe in human rights – rather, because they want to get really, really rich. They see Big Tech's margin as their opportunity.

But it's not just entrepreneurs and activists who want a post-American internet – we have a third member of our coalition: national security hawks. Trump wants to steal Greenland. He wants to steal Alberta. He wants to steal all the oil in Venezuela. He wants to interfere in foreign elections to keep his dictator cronies in office, lest they lose power and find themselves facing prison. And when Trump's allies do face justice, he wants to fire the judges who dare hold these corrupt, powerful men to account.

So when the International Criminal Court issued an arrest warrant for the genocidaire Benjamin Netanyahu, Trump had Microsoft shut down the court's IT systems. The Chief Justice of the ICC lost his Office 365 account, which means he can't access his email archives, his working files, his calendar or his address books. He can't even log in to his non-Microsoft accounts because they're tied to his Outlook email address.

The ICC was just a warmup: Trump did the same thing to the Brazilian high court judge who sentenced the dictator Jair Bolsonaro to prison for attempting a coup after he lost his re-election bid, having presided over a term of gross misrule.

All of this has inflamed concerns within every (former) US ally's national security establishment. These people all understand that Trump doesn't need to roll tanks to take over their countries: he can just brick their key ministries, major firms, and households. He doesn't need to send an army to steal Greenland, he can just shut down Denmark and cut off the world's supply of Lego, Ozempic and ferociously strong black licorice.

Combine the natsec hawks; the economic development wonks, entrepreneurs and investors; and the privacy and digital and human rights activists, and you've got a hell of an anti-Trump coalition around the world, all pulling together to build the post-American internet, a disenshittified and enshittification-resistant internet built on international digital public goods and running on servers outside of the USA:

https://pluralistic.net/2026/01/01/39c3/#the-new-coalition

But this coalition isn't limited to the post-American internet – you'll find a coalition much like it in every place where Comrade Trump is calling forth a post-American world. That's the shape of the coalition that's winning Trump's war on fossil fuels: climate activists (hippies), electrification manufacturers and installers (businesses) and national security hawks who don't want to get hormuzed:

https://pluralistic.net/2026/05/04/hope-in-the-dark/#hormuzed-into-the-gretacene

I'm not as plugged into the other areas where Trump has dismantled US hegemony, but it wouldn't surprise me to learn that a coalition much like this one is popping up in the countries where Trump and Musk doged the public health system into oblivion. The global south is full of countries that signed up to enforce US agricultural and pharmaceutical patents and US restrictions on birth control and abortion in exchange for the food-aid and health-aid that Elon Musk and his merry band of broccoli-haired brownshirts killed. It's easy to imagine that reproductive rights and health justice advocates in those countries are now on the same side as investors who'd like to get into business selling generic pharmaceuticals and agricultural inputs, and that they're being backed by people worried that their country's food and health sovereignty are at risk unless they hasten the transition to a post-American world.

I have been an activist all my life, and a digital rights activist for the majority of my adult life. I'm sure there are members of this post-American coalition who want things that are absolutely antithetical to my agenda. That's what makes us a coalition – we disagree about so much, but we all agree on this: it's past time for a post-American world, and Comrade Trump is delivering it.


Hey look at this (permalink)



A shelf of leatherbound history books with a gilt-stamped series title, 'The World's Famous Events.'

Object permanence (permalink)

#25yrsago North Korean dictator's son arrested trying to sneak into Tokyo Disneyland https://www.nytimes.com/2001/05/03/world/japan-is-said-to-detain-son-of-north-korean-leader.html

#25yrsago Bruce Sterling on good design https://memex.craphound.com/2001/05/03/great-illustrated-bruce-sterling-rant/

#20yrsago Mainstream press: Colbert wasn’t funny at the White House Correspondents' Dinner, so we ignored him https://web.archive.org/web/20070207014019/http://www.salon.com/opinion/feature/2006/05/03/correspondents/index_np.html

#20yrsago Bush and cronies livid about Colbert’s White House gig https://web.archive.org/web/20060615113045/https://www.usnews.com/usnews/news/articles/060501/1whwatch.htm0

#20yrsago Identity thief rips off 3-week-old baby https://abcnews.com/US/story?id=155878&page=1

#20yrsago Network neutrality – why it matters, and how do we fix it? https://web.archive.org/web/20060507215106/http://www.slate.com/id/2140850/

#15yrsago Federal judge: open WiFi doesn’t make you liable for your neighbors’ misdeeds https://arstechnica.com/tech-policy/2011/05/after-botched-child-porn-raid-judge-sees-the-light-on-ip-addresses/

#10yrsago Taliban condemn Pakistan city’s first McDonald’s: “we don’t even consider it as a food.” https://www.nbcnews.com/news/world/mcdonald-s-opens-quetta-pakistan-taliban-isn-t-lovin-it-n564651

#10yrsago Norway’s titanic sovereign wealth fund takes a stand against executive pay https://www.bbc.co.uk/news/business-36185925

#10yrsago TSA lines grow to 3 hours, snake outside the terminals, with no end in sight https://www.nytimes.com/2016/05/03/business/airport-security-lines.html?smid=pl-share&_r=0

#10yrsago Inside a Supreme Court case on cheerleader uniforms, a profound question about copyright https://arstechnica.com/tech-policy/2016/05/supreme-court-to-hear-copyright-fight-over-cheerleader-uniforms/

#5yrsago Dishwashers have become Iphones https://pluralistic.net/2021/05/03/cassette-rewinder/#disher-bob


Upcoming appearances (permalink)

A photo of me onstage, giving a speech, pounding the podium.



A screenshot of me at my desk, doing a livecast.

Recent appearances (permalink)



A grid of my books with Will Stahle covers..

Latest books (permalink)



A cardboard book box with the Macmillan logo.

Upcoming books (permalink)

  • "The Reverse-Centaur's Guide to AI," a short book about being a better AI critic, Farrar, Straus and Giroux, June 2026 (https://us.macmillan.com/books/9780374621568/thereversecentaursguidetolifeafterai/)
  • "Enshittification, Why Everything Suddenly Got Worse and What to Do About It" (the graphic novel), Firstsecond, 2026

  • "The Post-American Internet," a geopolitical sequel of sorts to Enshittification, Farrar, Straus and Giroux, 2027

  • "Unauthorized Bread": a middle-grades graphic novel adapted from my novella about refugees, toasters and DRM, FirstSecond, April 20, 2027

  • "The Memex Method," Farrar, Straus, Giroux, 2027



Colophon (permalink)

Today's top sources:

Currently writing: "The Post-American Internet," a sequel to "Enshittification," about the better world the rest of us get to have now that Trump has torched America. Third draft completed. Submitted to editor.

  • "The Reverse Centaur's Guide to AI," a short book for Farrar, Straus and Giroux about being an effective AI critic. LEGAL REVIEW AND COPYEDIT COMPLETE.
  • "The Post-American Internet," a short book about internet policy in the age of Trumpism. PLANNING.

  • A Little Brother short story about DIY insulin PLANNING


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