Undecided Syrians Could Tip Balance of Rebellion





BEIRUT, Lebanon — At his government office in the Syrian capital, Damascus, the civil servant avoids discussing what Syrians call “the situation.” But he quietly ponders his own private endgame, toying with defecting to the rebels, yet clinging to his post, increasingly sure there are no fighters worth joining.




A multilingual former military officer, he says he is among many friends and colleagues who feel trapped: disenchanted with President Bashar al-Assad, disgusted by the violence engulfing Syria and equally afraid of the government and the rebels, with both sides, as he puts it, ready to sacrifice “the innocents.”


Mr. Assad remains in power in part because two years into the uprising, a critical bloc of Syrians remains on the fence. Among them are business owners who drive the economy, bankers who finance it, and the security officials and government employees who hold the keys to the mundane but crucial business of maintaining an authoritarian state. If they abandoned the government or embraced the rebels en masse, they might change the tide. Instead, their uncertainty contributes to the stalemate.


The Egyptian and Tunisian rebellions that inspired Syria’s initially peaceful uprising reached tipping points within weeks, with far less bloodshed. In those cases, widespread desire for change overwhelmed the fear of the unknown, and toppled governments — or rather, the dictatorial cliques that headed them. But in Syria, each side has bloodied the other while many stay on the sidelines, and a core contingent of supporters feels obligated to stick with the government even as their doubts grow. That is in part because the government’s ruthless crackdown has made protest far more risky than in other uprisings. But it is also because of doubts, among the urban elite and others, about the direction of the revolution and how a rebel-ruled Syria would look.


“Me and my neighbors, we were the first to go down to the street and scream that we want a country, a real country, not a plantation,” said Samar Haddad, who runs a Syrian publishing house. “But this armed revolution, I refuse it as much as I refuse the regime.”


Ms. Haddad, who is in her late 40s and now spends much of her time outside Damascus, said that she and her circle of intellectuals and professionals embrace unarmed Syrian protesters as heroes, but believe that the armed rebellion is creating warlords and cycles of revenge that will be hard to uproot.


The fence sitters include government employees, security forces, intellectuals and wealthy Syrians. Some, including members of Mr. Assad’s minority Alawite sect, say they fear the rule of Islamists, or the calls for vengeance from some factions of the Sunni Muslim-dominated uprising.


Some are former soldiers who say they defected only to be disappointed by rebels who lack discipline or obsess about religious ideology. One young man, Nour, said he gave up on revolution when he tried to join an Islamist brigade, Al Tawhid, but was rejected for wearing skinny jeans.


Others, like the Damascus civil servant, a Sunni, simply fear a post-Assad vacuum and are confused about the safest course for their families and the country.


Fewer and fewer Syrians appear to believe the government can restore order; the fraying of the country has become hard to miss. This has resulted in countless private debates over how to survive — amid growing alarm that without a political settlement or intervention, endless fighting will gut the Syrian state.


For those who support neither Mr. Assad nor his opponents, life has become a fearful wait.


In Damascus, little gets done in offices that tremble with explosions and empty out by dusk. Government salaries are still paid, the civil servant said, but fewer workers show up. Ms. Haddad said her publishing employees still come to work, in what has become an act of defiance to show that life goes on.


Many people express a wish for a political solution — perhaps a transitional government involving moderate government officials — but believe that decisions are being made by armed men on both sides who refuse to compromise.


“Both sides have the same mind,” said Abu Tony, a shopkeeper in central Damascus who favors a compromise and gave only a nickname for safety reasons.


“This is not life,” he said, “to spend half of the day without electricity, without heating oil and without even bread just because the two sides refuse to give up some of their demands.”


Ms. Haddad said she and like-minded friends were trying quietly to build civil society. But she said: “We feel depressed, useless, helpless. We are not the decision makers.”


Even as some Alawites grow frustrated with Mr. Assad — believing he has poisoned their future in Syria — many believe there is no safe place for them on the other side. In part for this reason, there have not been mass defections by senior Alawite military officers.


But even Sunni soldiers under strong pressure to defect sometimes feel that “we can’t offer them much,” said one rebel commander based in the northern province of Idlib.


He said many were in touch with colleagues who defected earlier, who recount months without salaries, and the humiliation of former colonels commanded by junior fighters with swollen egos.


One such disappointed defector is Nour, who said he served in the feared Fourth Division commanded by Mr. Assad’s brother Maher. He said he defected after security forces raped and killed his fiancĂ©e and many friends begged him to join the rebels.


But he was let down, first by fighters who drank and took drugs and offered him money for sexual acts; then by Al Tawhid Brigade, whose fighters, he said, taunted him, saying “You want to join us and you’re wearing skinny trousers?” He said he had decided to stay in Turkey and avoid both sides in the conflict.


The Damascus civil servant and would-be defector — who has talked for months about defecting, first to rebels from his hometown and then to a reporter — said he hesitates over many questions about the rebels and their plans: “Are the people aware enough? Can they practice self-control? Can the rebels set up a security zone?”


“Many questions need answers,” he said.


The government, he added, long ago stopped forcing him to attend pro-Assad demonstrations, but rebel supporters call him a traitor for asking questions.


“Why should I join a group where I am obliged to curtsy?”


An employee of The New York Times contributed reporting from Damascus, Syria, and Hania Mourtada from Beirut.



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Cricketer Herath alive and bowling despite death rumors






SYDNEY (Reuters) – As Mark Twain might have said, rumors of the death of Sri Lankan spinner Rangana Herath which spread like wildfire across social media late on Friday proved to be greatly exaggerated.


Far from lying in a Sydney morgue alongside former test bowler Chaminda Vaas after perishing in a car crash as the reports had suggested, Herath was very much alive when he pitched up for work at the Sydney Cricket Ground on Saturday.






The most prolific wicket-taker in test cricket last year, the 34-year-old leg spinner claimed two Australian wickets to seal a haul of four for 95 and then contributed nine runs with the bat.


Team mate Dimuth Karunaratne told reporters at the conclusion of the day’s play that the team had been dumbfounded by the rumors.


“I heard about it when we having breakfast but I had no idea where that came from,” he said with a laugh.


“Guys from Sri Lanka were calling us asking ‘when is the funeral?’ and stuff like that.


“Rangana is alive,” he added, somewhat unnecessarily.


Herath’s efforts were not enough to prevent Australia taking an iron grip on the third test match on Saturday and move to the brink of a 3-0 series sweep.


That could all change, however, if he and Dinesh Chandimal, who finished the third day unbeaten on 22, are able to dig in on Sunday, inflate their lead beyond the current 87 and give Sri Lanka a decent target to bowl at.


The Sydney track has traditionally offered a lot of turn for spinners in the last couple of days of a test and, as Herath’s 60 wickets last year showed, there are few better spinners operating in test cricket at the moment.


“The wicket is turning a lot now and the Aussie guys are playing the fourth innings, so I think Rangana… can do something,” said Karunaratne.


Vaas has no position with the test team and remains, also unharmed, in Sri Lanka, Sri Lankan reporters said.


(Editing by John O’Brien)


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'McDreamy' says he beat Starbucks for coffee chain


SEATTLE (AP) — "Grey's Anatomy" star Patrick Dempsey may be the real "McSteamy."


The actor, who was dubbed "McDreamy" as a star of the hospital drama while his co-star was called "McSteamy," may soon be serving hot, steaming cups of Joe.


Dempsey won a bankruptcy auction to buy Tully's Coffee, a small coffee chain based in Seattle. Among those he beat out is Tully's much bigger Seattle neighbor, Starbucks Corp., which is known for its ubiquitous white cups with a circular green mermaid logo.


Dempsey, whose company Global Baristas LLC plans to keep the Tully's name, declared victory on the social media site Twitter: "We met the green monster, looked her in the eye, and...SHE BLINKED! We got it! Thank you Seattle!


The win for Dempsey deals a rare setback for Starbucks on its home turf. Starbucks has long been both praised for bringing "coffeehouse culture" to the U.S. and criticized for crushing smaller chains. The coffee giant, which had planned to convert the Tully's cafes to its own brand, last month announced plans to expand its global footprint to 20,000 cafes over the next two years, up from the current 18,000.


Dempsey said in an interview on Friday that as the underdog in Seattle, Tully's will need to find its identity.


"It's a much smaller chain that has a lot of potential that hasn't been given the proper care," he said.


But in a statement shortly after the auction on Thursday, Starbucks insinuated that Dempsey shouldn't celebrate just yet.


Starbucks, which wanted to convert the Tully's cafes to its own brand, said that a final determination on the winning bid won't be made until a court hearing on Jan. 11. Starbucks said it's in a "backup" position" to buy 25 of the 47 Tully's cafes, with another undisclosed bidder making an offer for the remainder.


The combined bids of Starbucks and the undisclosed bidder come to $10.6 million, above the $9.2 million Dempsey's company is offering to pay through his company, which was formed in order to purchase Tully's. The other investors in Global Baristas aren't being disclosed.


Tully's Coffee, which is known for serving Joe with a milder taste than Starbucks brand, filed for Chapter 11 bankruptcy protection in October, citing lease obligations and underperforming stores. Tully's wholesale business, which includes Tully's Coffee in bags and single serve K-cup packs that are sold in supermarkets and other stores, is owned separately by Green Mountain Coffee Roasters Inc.


TC Global Inc., the parent company of Tully's, said in a release Friday that it was "encouraged and excited" about Dempsey's commitment to the chain.


Tully's President and CEO Scott Pearson called the deal a "great match" and that the goal is to make sure creditors get paid and to keep as many people employed as possible.


A bankruptcy court document signed late Friday by Pearson and Dempsey said TC Global had determined that Global Baristas submitted the successful bid.


"With this court filing, it's official - our group has been chosen as the successful bidder," Dempsey said in a statement. "We look forward to the court's final approval on Jan. 11."


Earlier in the day, Dempsey said he planned to be very involved in the running of the company, adding that the immediate challenges were to address bookkeeping issues, staff morale and sprucing up the coffee shops. Once the business is stabilized, Dempsey said the long-term goal would be to take the chain national.


"We can pull this off. We just have to take steps that are slow and smart," he said. "I'm going to get behind the counter. I'm going to serve coffee...I'm going to give the company a boost of energy."


Although Dempsey lives in Los Angeles, he plans to spend more time in Seattle, the city where "Grey's Anatomy" is set in. Dempsey said he believed there is room in the city for Tully's and the much larger Starbucks; he noted there might be people who are rooting for the underdog.


"In a society where there are so many big corporations that swallow the little guy, we thought, let's not let this happen to this company," he said.


Dempsey made an appearance Friday morning at a Tully's near Pike Place Market, shaking hands with workers and greeting customers before visiting other stores. Several dozen people, mostly women, came into the store.


Patrease Estelle, 45, works nearby, and came in with a small group from her office.


"I will take whatever I can get. A photo, a hug, a 'hey, how you doing,' a wink," said Estelle, who got a picture and handshake with the actor.


___


Blankinship reported from Seattle and Choi from New York.


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Scare Amplifies Fears That Clinton’s Work Has Taken Heavy Toll


Pool photo by Brendan Smialowski


Hillary Rodham Clinton with Field Marshal Mohamed Hussein Tantawi in Cairo in July.







WASHINGTON — When Secretary of State Hillary Rodham Clinton fractured her right elbow after slipping in a State Department garage in June 2009, she returned to work in just a few days. Her arm in a sling, she juggled speeches and a trip to India and Thailand with physical therapy, rebuilding a joint held together with wire and pins.




It was vivid evidence of Mrs. Clinton’s indomitable stamina and work ethic — as a first lady, senator, presidential candidate and, for the past four years, the most widely traveled secretary of state in American history.


But after a fall at home in December that caused a concussion, and a subsequent diagnosis of a blood clot in her head, it has taken much longer for Mrs. Clinton to bounce back. She was released from a hospital in New York on Wednesday, accompanied by her daughter, Chelsea, and her husband, former President Bill Clinton. On Thursday, she told colleagues that she hoped to be in the office next week.


Her health scare, though, has reinforced the concerns of friends and colleagues that the years of punishing work and travel have taken a heavy toll. Even among her peers at the highest levels of government, Mrs. Clinton, 65, is renowned for her grueling schedule. Over the past four years, she was on the road for 401 days and spent the equivalent of 87 full days on a plane, according to the State Department’s Web site.


In one 48-hour marathon in 2009 that her aides still talk about, she traveled from talks with Palestinian leaders in Abu Dhabi to a midnight meeting with Prime Minister Benjamin Netanyahu in Jerusalem, then boarded a plane for Morocco, staying up all night to work on other issues, before going straight to a meeting of Arab leaders the next morning.


“So many people who know her have urged me to tell her not to work so hard,” said Melanne S. Verveer, who was Mrs. Clinton’s chief of staff when she was first lady and is now the State Department’s ambassador at large for women’s issues. “Well, that’s not easy to do when you’re Hillary Clinton. She doesn’t spare herself.”


It is not just a matter of duty, Ms. Verveer and others said. Mrs. Clinton genuinely relishes the work, pursuing a brand of personal diplomacy that, she argues, requires her to travel to more places than her predecessors.


While there is no medical evidence that Mrs. Clinton’s clot was caused by her herculean work habits, her cascade of recent health problems, beginning with a stomach virus, has prompted those who know her best to say that she desperately needs a long rest. Her first order of business after leaving the State Department in the coming weeks, they say, should be to take care of herself.


Some even wonder whether this setback will — or should — temper the feverish speculation that she will make another run for the White House in 2016.


“I am amazed at the number of women who come up to me and tell me she must run for president,” said Ellen Chesler, a New York author and a friend of Mrs. Clinton’s. “But perhaps this episode will alter things a bit.”


Given Mrs. Clinton’s enduring status as a role model, Ms. Chesler said women would be watching which path she decides to take, as they plan their own transitions out of the working world.


“Do remember that women of our generation are really the first to have worked through the life cycle in large numbers,” she added. “Many seem to be approaching retirement with dread.”


For now, aides say, Mrs. Clinton’s focus is on wrapping up her work at the State Department. She would like to take part in a town hall-style meeting, thank her staff and sit for some interviews. But first she has to get clearance from her doctors, who are watching her to make sure that the blood thinners they have prescribed for her clot are working.


Speaking to a meeting of a foreign policy advisory board from her home in Chappaqua, N.Y., on Thursday, Mrs. Clinton said she was crossing her fingers and encouraging her doctors to let her return next week. “I’m trying to be a compliant patient,” she said, according to a person who was in the room. “But that does require a certain level of patience, which I’ve had to cultivate over the last three and a half weeks.”


While convalescing, Mrs. Clinton has spoken with President Obama and has held a 30-minute call with Senator John Kerry, Democrat of Massachusetts, whom Mr. Obama nominated as her successor.


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After Fiscal Deal, Tax Code May Be Most Progressive Since 1979





WASHINGTON — With 2013 bringing tax increases on the incomes of a small sliver of the richest Americans, the country’s top earners now face a heavier tax burden than at any time since Jimmy Carter was president.




The last-minute deal struck by the departing 112th Congress raised taxes on a handful of the highest-earning Americans, with about 99.3 percent of households experiencing no change in their income taxes. But the Tax Policy Center estimates that the average family in the top 1 percent will pay a federal tax rate of more than 36 percent this year, up from 28 percent in 2008. That is the highest rate since 1979, at least.


By some measures, the tax code might now be the most progressive in a generation, tax economists said, while noting that every American is paying a lower burden currently than they did then. In fact, the total federal tax rate is still vastly lower for the very rich than it was at any point in the 1940s through 1970s. It has risen from historical lows, but is still closer to those lows than where it was in the postwar decades.


“We made the system more progressive by raising rates at the top and leaving them for everyone else,” said Roberton Williams of the Tax Policy Center, a research group based in Washington. “The offsetting issue is that the rich have gotten a lot richer.”


Indeed, over the last three decades the bulk of pretax income gains have gone to the wealthy — and the higher up on the income scale, the bigger the gains, with billionaires outpacing millionaires who outpaced the merely rich. Economists doubted that the tax increases would do much to reverse that trend.


With the recovery failing to improve incomes for millions of average Americans and the country running trillion-dollar deficits, President Obama made “tax fairness” a centerpiece of his re-election campaign. In the heated negotiations with House Speaker John A. Boehner, that translated into the White House’s insistence on tax increases for the top 2 percent of households and a continuation of tax breaks and cuts for a vast number of taxpayers.


Republicans resisted increasing tax rates and aimed for lower revenue targets, arguing that spending was the budget’s primary problem and that no American should see his or her taxes go up too much in such a sluggish economy. But ultimately they relented, and Congress cut a last-minute deal.


“A central promise of my campaign for president was to change the tax code that was too skewed towards the wealthy at the expense of working middle-class Americans,” Mr. Obama said after Congress reached an agreement.


That deal includes a host of tax increases on the rich. It raises the tax rate to 39.6 percent from 35 percent on income above $400,000 for individuals, and $450,000 for couples. The rate on dividends and capital gains for those same taxpayers was bumped up 5 percentage points, to 20 percent. Congress also reinstated limits on the amount households with more than $300,000 in income can deduct. On top of that, two new surcharges — a 3.8 percent tax on investment income and a 0.9 percent tax on regular income — hit those same wealthy households.


As a result of the taxes added in both the deal and the 2010 health care law, which came into effect this year, taxpayers with $1 million in income and up will pay on average $168,000 more in taxes. Millionaires’ share of the overall federal tax burden will climb to 23 percent from 20 percent.


The result is a tax code that squeezes hundreds of billions of dollars more from the very well off — about $600 billion more over 10 years — while leaving the tax burden on everyone else mostly as it was. And the changes come after 30 years of both Republican and Democratic administrations doing the converse: zeroing out federal income taxes for many poor working families while also reducing the tax burden for households on the higher end of the income scale.


“Back at the end of the Carter and beginning of the Reagan administrations, we had a pretty severe income-tax burden for people at a low level of income. It was actually kind of appalling,” said Alan D. Viard, a tax expert at the American Enterprise Institute, a right-of-center research group in Washington. “Policy makers in both parties realized that was bad policy and started whittling away at it” by expanding credits and tinkering with tax rates.


After those changes and the new law, comparing average tax rates for poor households and wealthy households, 2013 might be the most progressive tax code since 1979. But economists cautioned that measuring progressivity is tricky. “It’s not like there is some scientific measure of progressivity all economists agreed upon,” said Leonard E. Burman, a professor of public affairs at Syracuse University. “People look at different numerical measures and they’ve changed in different ways at different income levels.”


Mr. Viard said that over time the code had become markedly more progressive for the poor compared with the middle class. But it arguably did not become much more progressive for the rich compared with the middle class, or the very rich compared with the rich, in part because of the George W. Bush-era tax cuts on investment income.


An anesthesiologist who earns a $500,000 salary subject to payroll and income taxes might pay a higher tax rate than a hedge fund manager making $1 billion subject mostly to capital-gains taxes, for instance.


Economists are also divided on the ultimate effect of those tax increases on the wealthy to income growth and income inequality in the United States. The recession hit the incomes of the rich hard, but they have snapped back much more strongly than those for middle or low-income workers.


“I’d still rather be really rich, even if I’m getting taxed much more than a low-income person” would be, Mr. Williams of the Tax Policy Center added.


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Pakistani Girl Shot by Taliban Leaves British Hospital


Dylan Martinez/Reuters


Malala Yousafzai, 15, was discharged from Queen Elizabeth Hospital in Birmingham on Thursday but is due to be readmitted in late January or early February for reconstructive surgery to her skull, doctors said.









LONDON (Reuters) — A Pakistani girl shot in the head by the Taliban for advocating girls’ education has been discharged from a British hospital after doctors said she was well enough to spend time recovering with her family.




Fifteen-year-old Malala Yousafzai, who was shot by the Taliban in October and brought to Britain for treatment, was discharged on Thursday but is due to be re-admitted in late January or early February for reconstructive surgery to her skull, doctors said.


The shooting of Yousafzai, in the head at point blank range as she left school in the Swat valley, drew widespread international condemnation.


She has become a an internationally recognized symbol of resistance to the Taliban’s efforts to deny women education and other rights, and more than 250,000 people have signed online petitions calling for her to be nominated for a Nobel Peace Prize for her activism.


Doctors at the Queen Elizabeth Hospital in Birmingham where Yousafzai was treated said that although the bullet hit her left brow, it did not penetrate her skull but instead travelled underneath the skin along the side of her head and into her neck.


She was treated by doctors specializing in neurosurgery, trauma and other disciplines in a department of the hospital which has treated hundreds of soldiers wounded in conflicts in Afghanistan and Iraq.


“Malala is a strong young woman and has worked hard with the people caring for her to make excellent progress in her recovery,” said Dave Rosser, the hospital’s medical director.


“Following discussions with Malala and her medical team, we decided that she would benefit from being at home.”


Yousafzai has already been leaving the hospital on a regular basis on “home leave” in recent weeks to spend time with her parents and younger brothers, who have a temporary home in central England, Rosser said.


“During those visits assessments have been carried out by her medical team to ensure she can continue to make good progress outside the hospital,” Rosser said.


Yousafzai’s father said in October he was sure she would “rise again” to pursue her dreams after medical treatment.


(Editing by Robin Pomeroy)


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Poll finds people want an ‘iPhone 5S’ with new color options






The latest rumor surrounding Apple’s (AAPL) next-generation “iPhone 5S” is that it will launch in May or June with two different screen sizes and five different color options. So said Topeka Capital Markets analyst Brian White in a research note earlier this week. White has made some good early calls before — he was one of the first to report that Apple was working on the iPad mini — but nothing is official until Apple announces it on stage at a press conference. One thing we can say with some amount of certainty, though, is that a sizable portion of Apple fans would be interested in a next-generation iPhone made available with new color choices.


[More from BGR: Samsung confirms plan to begin inching away from Android]






In a poll published by BGR on Wednesday, 35% of respondents reported that they would purchase the next iPhone in either blue, pink or yellow if Apple were to launch the device in those colors, as suggested by White. Another 28.4% said they would be interested in the new color options, but they would want to see how they look before making a purchasing decision.


[More from BGR: Microsoft called a failing giant that only survives by charging prices that ‘bleed customers dry’]


More than 2,000 people voted in the poll and roughly 85% of respondents live in the United States.


The results are not scientific, however they do suggest that there would be significant demand for an iPhone with new color options in key markets like the U.S. And where the iPhone 4S had Siri and the iPhone 5 had a fresh new design with a larger display, Apple will certainly look to launch its next-generation smartphone with some key points of differentiation.


As they were with the iPod touch, new color options may be among the next iPhone’s key new features when it launches later this year — and if that is indeed the case, it looks like the new colors will be met with significant interest from consumers.


This article was originally published by BGR


Gadgets News Headlines – Yahoo! News





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Actor Dempsey: Coffee chain bid appears successful


SEATTLE (AP) — Actor Patrick Dempsey said it appears his bid to buy a small coffee chain has prevailed in a bankruptcy auction that included Starbucks Corp.


Late Thursday night, Dempsey announced that his company, Global Baristas LLC, made the winning bid for Tully's Coffee. He noted in a KOMO-TV interview that a bankruptcy judge will have the final say on Jan. 11. Still, Dempsey tweeted "We got it! Thank you Seattle!"


Dempsey's company will pay $9,150,000 for Tully's and complete the purchase later this month after the court hearing, he said in a statement.


"I'm thrilled that we won and I'm even more excited about saving Tully's Coffee and its hundreds of jobs," he said. "Tully's is a great company with committed employees, and with its base in Seattle, one of the world's greatest cities, I'm confident we will be able to successfully build the brand and help grow the economy. "


Tully's Coffee has 47 company-owned locations in Washington and California. The company, with more than 500 employees, filed for Chapter 11 bankruptcy protection in October.


Dempsey, who gained the nickname "McDreamy" on the TV show "Grey's Anatomy" set in a fictional Seattle hospital, has said he wants to rescue the chain.


"Seattle has been very good to me over my career, and I am honored to have the privilege to own Tully's and work closely with the company's employees," he said in his statement.


After Thursday's auction, Starbucks spokesman Zack Hutson confirmed his company participated and "is currently in a back-up position" for some of Tully's assets. The final certification of the winning bid won't occur until the Jan. 11 bankruptcy court hearing, Hutson said.


"We have to wait until next week to make sure everything — I believe the 11th — to make sure it's all finalized," Dempsey told KOMO-TV.


The Starbucks spokesman said his company made an offer for 13 of Tully's company-owned stores in the Puget Sound region plus 12 outlets at Boeing Co. sites. Hutson said another bidder made an offer for all other assets — and is in a back-up position for those.


Also in the running was Baristas Coffee, which operates a chain of drive-thru espresso stands featuring female employees in skimpy outfits.


Both Starbucks and Tully's are based in Seattle.


The auction process was not public.


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Google’s Lawyers Work Behind the Scenes to Carry the Day





SAN FRANCISCO — For 19 months, Google pressed its case with antitrust regulators investigating the company. Working relentlessly behind the scenes, executives made frequent flights to Washington, laying out their legal arguments and shrewdly applying lessons learned from Microsoft’s bruising antitrust battle in the 1990s.




After regulators had pored over nine million documents, listened to complaints from disgruntled competitors and took sworn testimony from Google executives, the government concluded that the law was on Google’s side. At the end of the day, they said, consumers had been largely unharmed.


That is why one of the biggest antitrust investigations of an American company in years ended with a slap on the wrist Thursday, when the Federal Trade Commission closed its investigation of Google’s search practices without bringing a complaint. Google voluntarily made two minor concessions.


“The way they managed to escape it is through a barrage of not only political officials but also academics aligned against doing very much in this particular case,” said Herbert Hovenkamp, a professor of antitrust law at the University of Iowa who has worked as a paid adviser to Google in the past. “The first sign of a bad antitrust case is lack of consumer harm, and there just was not any consumer harm emerging in this very long investigation.”


The F.T.C. had put serious effort into its investigation of Google. Jon Leibowitz, the agency’s chairman, has long advocated for the commission to flex its muscle as an enforcer of antitrust laws, and the commission had hired high-powered consultants, including Beth A. Wilkinson, an experienced litigator, and Richard J. Gilbert, a well-known economist.


Still, Mr. Leibowitz said during a news conference announcing the result of the inquiry, the evidence showed that Google “doesn’t violate American antitrust laws.”


“The conclusion is clear: Google’s services are good for users and good for competition,” David Drummond, Google’s chief legal officer, wrote in a company blog post.


The main thrust of the investigation was into how Google’s search results had changed since it expanded into new search verticals, like local business listings and comparison shopping. A search for pizza or jeans, for instance, now shows results with photos and maps from Google’s own local business service and its shopping product more prominently than links to other Web sites, which has enraged competing sites.


But while the F.T.C. said that Google’s actions might have hurt individual competitors, over all it found that the search engine helped consumers, as evidenced by Google users’ clicking on the products that Google highlighted and competing search engines’ adopting similar approaches.


Google outlined these kinds of arguments to regulators in many meetings over the last two years, as it has intensified its courtship of Washington, with Google executives at the highest levels, as well as lawyers, lobbyists and engineers appearing in the capital.


One of the arguments they made, according to people briefed on the discussions, was that technology is such a fast-moving industry that regulatory burdens would hinder its evolution. Google makes about 500 changes to its search algorithm each year, so results look different now than they did even six months ago.


The definition of competition in the tech industry is also different and constantly changing, Google argued.


For instance, just recently Amazon and Apple, which used to be in different businesses than Google, have become its competitors. Google’s share of the search market has stayed at about two-thirds even though competing search engines are “just a click away,” as the company repeatedly argued. That would become the company’s mantra to demonstrate that it was not abusing its market power.


Claire Cain Miller reported from San Francisco, and Nick Wingfield from Seattle.



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A Soaring Homicide Rate, a Divide in Chicago


Scott Olson/Getty Images


Anton Watson, center, with other children, parents and teachers at a Chicago peace vigil held amid a rising number of killings.







CHICAGO — This city’s 471st homicide of 2012 happened in the middle of the day, in the middle of a crowd, on the steps of the church where the victim of homicide 463 was being eulogized. Sherman Miller, who was 21, collapsed amid gunfire not far from the idling hearse that was there to carry away James Holman, 32, shot to death a week earlier.






Scott Olson/Getty Images

Marcell Carter, left, 19, and Samantha Boyd, 18, at a makeshift memorial to a friend who was fatally shot on Chicago’s West Side.






The funeral shooting at St. Columbanus Catholic Church on the South Side left neighbors fretting that no place, not even a church, felt safe any longer. “It’s become the Wild Wild West,” said Charles Childs Jr., who had watched from across the street as mourners screamed and scattered.


The shooting, on Nov. 26, was one more jarring reminder of just how common killings seem to have grown on the streets of Chicago, the nation’s third-largest city, where 506 homicides were reported in 2012, a 16 percent increase over the year before, even as the number of killings remained relatively steady or dropped in some cities, including New York.


But the overall rise in killings here blurs another truth: the homicides, most of which the authorities described as gang-against-gang shootings, have not been spread evenly across this city. Instead, they have mostly taken place in neighborhoods west and south of Chicago’s gleaming downtown towers.


Already, 2013 began with three gun homicides on New Year’s Day, two of them on the South Side. Like other cities, Chicago has long been a segregated place, richer and whiter on the North Side, and the city’s troubling increase in killings has accentuated a longstanding divide.


“It’s two different Chicagos,” said the Rev. Corey B. Brooks Sr., the pastor of New Beginnings Church on the South Side, who had led the funeral service for Mr. Holman the day shots rang out, then found himself leading Mr. Miller’s funeral service a week later. The authorities here have described both shootings as gang related. “If something like that had happened at the big cathedral in downtown Chicago or up north at a predominantly white church, it would still be on the news right now, it would be such a major thing going on.”


More than 80 percent of the city’s homicides took place last year in only about half of Chicago’s 23 police districts, largely on the city’s South and West Sides. The police district that includes parts of the business district downtown reported no killings at all. And while at least one police district on the city’s northern edge saw a significant increase in the rate of killings, the total number there still was dwarfed by deaths in districts on the other sides of town, and particularly in certain neighborhoods.


Along the streets downtown and in neighborhoods on the North Side not far from Lake Michigan, some residents acknowledged that they had heard about a rise in the city’s homicide rate, but said it not had affected their own sense of safety. “This area is a bit of a Garden of Eden,” said Gwen Sylvain, as she walked dogs along a residential street not far from the Loop.


Others said they rarely had reason to go to the Chicago’s South or West Sides, only a few miles away, and some longtime residents said they had never once ventured to such neighborhoods. Police business on the North Side rarely seems to rise beyond an overly enthusiastic Cubs fan or a parking quibble, said Kyong Lee, who said that in the past he had, without consequence, forgotten to lock up his family’s shoe repair business.


In Back of the Yards, a South Side neighborhood near the city’s old meatpacking district, the tenor was far different. Mothers spoke of keeping their children inside from the moment school ended, and businessmen of decisions to lock the front doors of their shops during business hours. “I don’t go out at night,” said Jesse Martinez, who recalled the gun pressed to his head as he was robbed a few years ago inside the hat and boot store he has run for 32 years.


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