[[ Read Pdf ]] ò Bad Blood: Secrets and Lies in a Silicon Valley Startup ô eBook or Kindle ePUB free

[[ Read Pdf ]] Î Bad Blood: Secrets and Lies in a Silicon Valley Startup å The full inside story of the breathtaking rise and shocking collapse of a multibillion dollar startup, by the prize winning journalist who first broke the story and pursued it to the end in the face of pressure and threats from the CEO and her lawyersIn , Theranos founder and CEO Elizabeth Holmes was widely seen as the female Steve Jobs a brilliant Stanford dropout whose startup unicorn promised to revolutionize the medical industry with a machine that would make blood tests significantly faster and easier Backed by investors such as Larry Ellison and Tim Draper, Theranos sold shares in a fundraising round that valued the company atbillion, putting Holmes s worth at an estimatedbillion There was just one problem The technology didn t workFor years, Holmes had been misleading investors, FDA officials, and her own employees When Carreyrou, working at The Wall Street Journal, got a tip from a former Theranos employee and started asking questions, both Carreyrou and the Journal were threatened with lawsuits Undaunted, the newspaper ran the first of dozens of Theranos articles in lateBy early , the company s value was zero and Holmes faced potential legal action from the government and her investors Here is the riveting story of the biggest corporate fraud since Enron, a disturbing cautionary tale set amid the bold promises and gold rush frenzy of Silicon Valley Lessons learned 1 Elizabeth Holmes speaks in an unusually deep voice.2 What matters is who you know If you look good and have the right connections, you can get millions of dollars for your imaginary device, particularly if you model it on the iPhone and dress like Steve Jobs.3 Even very rich people can be stupid with money.4 Sometimes the people that aren t stupid are only supporting you for the money.Rather outside my normal genres of mystery, sci fi and fantasy, Bad Blood intrigued me bo Lessons learned 1 Elizabeth Holmes speaks in an unusually deep voice.2 What matters is who you know If you look good and have the right connections, you can get millions of dollars for your imaginary device, particularly if you model it on the iPhone and dress like Steve Jobs.3 Even very rich people can be stupid with money.4 Sometimes the people that aren t stupid are only supporting you for the money.Rather outside my normal genres of mystery, sci fi and fantasy, Bad Blood intrigued me both because of its medical focus and because I heard it was a particularly well done story Although I will once again offer up aappropriate title Bad Blood Tech, because the blood itself here is perfectly fine Absolutely normal, in fact Perfectly healthy blood that s put into a nefarious machine, sold by a flim flam operator of the highest level.The storytelling is very straight forward, generally devoid of literary flourishes and with only minor asides In fact, at times the writing seems simplistic On reflection, I think Carreyrou had to keep his sentences as factual as possible, knowing that Holmes lawyers would go over every word looking to dispute it As such, it reads quickly Until, that is, you you develop Toxic Exposure Syndrome, the experience of immersing yourself in the world of unrepentant and awful people I found I had to take a break, and once stopped, was reluctant to pick it up I solved my little dilemma by reading backwards, and was relieved to discover that the narrative eventually switches from the meteoric rise of Thantos to the development of the Wall Street Journal s expose That s when the crazy took an actively evil direction with Thantos harassing former employees, potential sources, and anyone who might speak to Carreyrou about Thantos.What surprised me the most about this story is how many people Elizabeth Holmes was able to convince to part with their money Sure, it seems she genuinely believed in her product and its potential But the goal was a product used to test blood for diagnostic purposes Even the most simple nurse cough cough could tell you that there s certification involved This isn t a Kickstarter for your new book, or a new design for luggage, or even an up and coming app that will tell you if the concert you are at will burst your eardrums this is a thing Tests almost always have to be run past the FDA And Holmes never showed anyone proof of such things Essentially, thanks to an impressive amount of seed money through family connections, she was able to keep her pyramid scam going by finding new people and just enough opportunities to parlay small successes into looking like big ones Until they turned to outright lies I will note that many of the scientists and engineers she hired did ultimately quit after sharing their ethical concerns with their boss, whose response seems to have been, don t worry about it I do have to thank Carreyrou, though We were sitting around work in the break room the other day, in our fifteen by fifteen space shared by roughly twenty people a shift, and someone was commiserating on how awful our jobs were right now Well, I said, at least we have our souls Three stars, through no fault of the Author I just didn t enjoy reading about a rampant narcissist and her team of parasitic lawyers I don t read a lot of page turners I often find myself unable to put a book down but they re not the kinds of books that would keep most people glued to their chairs Still, I recently found myself reading a book so compelling that I couldn t turn away Bad Blood Secrets and Lies in a Silicon Valley Startup by John Carreyrou details the rise and fall of Theranos If you aren t familiar with the Theranos story, here s the short version the company promised to quickly give you a complete picture I don t read a lot of page turners I often find myself unable to put a book down but they re not the kinds of books that would keep most people glued to their chairs Still, I recently found myself reading a book so compelling that I couldn t turn away Bad Blood Secrets and Lies in a Silicon Valley Startup by John Carreyrou details the rise and fall of Theranos If you aren t familiar with the Theranos story, here s the short version the company promised to quickly give you a complete picture of your health using only a small amount of blood Elizabeth Holmes founded it when she was just 19 years old, and both she and Theranos quickly became the darlings of Silicon Valley She gave massively popular TED talks and appeared on the covers of Forbes and Fortune.By 2013, Theranos was valued at nearly 10 billion and even partnered with Walgreens to put their blood tests in stores around the country The problem Their technology never worked It never came close to working But Holmes was so good at selling her vision that she wasn t stopped until after real patients were using the company s tests to make decisions about their health She and her former business partner are now facing potential jail time on fraud charges, and Theranos officially shut down in August.The public didn t know about Theranos deception until Carreyrou broke the story as a reporter at the Wall Street Journal Because he was so integral to the company s demise, Bad Blood offers a remarkable inside look.Some of the details he shares are for lack of a better word insane Holmes would invite prospective investors to the lab, so they could get their blood tested on a Theranos machine The device had been programmed to show a really slow progress bar instead of an error message When results didn t come back right away, Holmes sent the investors home and promised to follow up with results.As soon as they left, an employee would remove the blood sample from the device and transfer it to a commercial blood analyzer Her investors got their blood tested by the same machines available in any lab in the country, and they had no idea.There s a lot Silicon Valley can learn from the Theranos mess To start, a company needs relevant experts on its board of directors The Theranos board had some heavy hitters including several former Cabinet secretaries and senators but for most of the company s existence, none of them had any expertise in diagnostics If they had, they might have noticed the red flags a lot sooner.Health technology requires a different approach than other kinds of technology, because human lives are on the line Carreyrou writes a lot about how Holmes idolized Steve Jobs and his unwillingness to compromise on his vision That approach is okay for consumer electronics if a new phone doesn t work as promised, no one gets hurt but it s irresponsible for a health company Holmes pushed a vision of what Theranos could be, not what it actually was, and people suffered as a result Bad Blood is also a cautionary tale about the virtues of celebrity On the surface, Holmes was everything Silicon Valley loves in a CEO charismatic and convincing with a memorable personal story made for magazine profiles There s nothing wrong with that on its own A rock star CEO can be a huge boon for a startup But you can t let fame become the most important thing.Theranos is the worst case scenario of what happens when a CEO prioritizes personal legacy above all else but I hope that people don t use it as an excuse to write off the next young woman with a big idea I also don t want Bad Blood to scare people away from next gen diagnostics Theranos went to extraordinary lengths to get around quality standards The industry is highly regulated, and new diagnostics undergo rigorous testing Bad Blood tackles some serious ethical questions, but it is ultimately a thriller with a tragic ending It s a fun read full of bizarre details that will make you gasp out loud The story almost feels too ridiculous to be real at points no wonder Hollywood is already planning to turn it into a movie I think it s the perfect book to read by the fire this winter Fascinating accounting of the Theranos scam and I do mean SCAM Exhaustively reported I do wish there had beenanalysis of how a scam of this magnitude was made possible and enabled This girl dropped out of college and convinced Henry Kissinger, George Schulz, Rupert Murdoch and a bunch of other famous and or incredibly talented people to give her money or work with her even though there was no there, there WHAT There are so many incredible WTF moments Just wow Privilege is a hell of Fascinating accounting of the Theranos scam and I do mean SCAM Exhaustively reported I do wish there had beenanalysis of how a scam of this magnitude was made possible and enabled This girl dropped out of college and convinced Henry Kissinger, George Schulz, Rupert Murdoch and a bunch of other famous and or incredibly talented people to give her money or work with her even though there was no there, there WHAT There are so many incredible WTF moments Just wow Privilege is a hell of a drug, I guess The resignations infuriated Elizabeth and Sunny The following day, they summoned the staff for an all hands meeting in the cafeteria Copies of The Alchemist by Paulo Coelho had been placed on every chair Elizabeth told the gathered employees that she was building a religion If there was anyone not prepared to show complete devotion and unmitigated loyalty to the company they should get the fuck out The Steve Jobs SyndromeI have covered Silicon Valley as a journalist and author for three d The resignations infuriated Elizabeth and Sunny The following day, they summoned the staff for an all hands meeting in the cafeteria Copies of The Alchemist by Paulo Coelho had been placed on every chair Elizabeth told the gathered employees that she was building a religion If there was anyone not prepared to show complete devotion and unmitigated loyalty to the company they should get the fuck out The Steve Jobs SyndromeI have covered Silicon Valley as a journalist and author for three decades now I m not big on attending conferences, but made a point to go to an awards event at a favorite forum in September 2015 Among the recipients that year was Silicon Valley legend, Andy Grove, getting the lifetime achievement award.Also on the list, getting the global benefactor award, was someone I had never heard of, Elizabeth Holmes I had also never heard of her company, Theranos Though I once worked for a business magazine, I never read any others And Theranos was in the medical device space, which is pretty different from software and social media.Her presentation was last Joining her on stage was her Stanford professor and mentor, Channing Robertson He spoke first He told this story of Holmes as a kind of prodigy who camped out at the doors of his office and lab until he admitted her as a freshman into his upper division courses in chemical engineering I would learn later that he considered Holmes a once in a generation genius, comparing her to Newton, Einstein, Mozart, and Leonardo da Vinci Heavy praise, indeed.Holmes was up next She wore a black, mock turtleneck that reminded me of Steve Jobs Her dyed blond hair was up, slightly skewed, that struck me as a bit calculated She had large, unblinking blue eyes and spoke in a low baritone By the end of her talk, it struck me that she had essentially said nothing of substance about her product or her company Instead, it was high falutin claims that reminded me of the rhetoric Steve Jobs used when rolling out a new product, except that he had a real product he was demonstrating each time I was immediately suspicious of Holmes and Theranos I had seen too much over the years to take something like this at face value.When I got home, I did a computer search and learned that Holmes had been on the cover of numerous business magazines as the first female tech billionaire My wife would always add on paper In some photos she posed with a tiny vial of blood that was supposed to represent all that would be needed to do numerous tests with the company device.Almost a month later, the first in a series of Wall Street Journal articles about Theranos, by the author of this book, was published It reported that their technology did not work I was to learn later that the author interviewed 60 former Theranos employees for his research My suspicions were confirmed I eagerly read every new installment of the WSJ series.But Bad Blood goes much deeper than those articles It turns out that Channing Robertson was not the only older man over whom Holmes had a kind of hypnotic power, like the mythical Mata Hari There was veteran venture capitalist, Donald L Lucas, whose backing and connections enabled Holmes to keep raising money Then Dr J and Wade Miquelon at Walgreens and Safeway CEO Steve Burd, as well as General James Mattis now Trump s Secretary of Defense , George Shultz, and Henry Kissinger All of these men served as enablers, when they were in positions where they could have put a stop to the fraud Most of these operations had experts who knew the science and tried to warn their superiors, but were ignored And there s no doubt that the medical miracles Theranos promised were very appealing to these older men, as well as to so many others who heard her spiel One of the most important older men was Sunny Balwani, her romantic partner 20 years her senior He knew nothing about science, but was essentially her primary henchman for bullying dissenters in the company, heading up employee surveillance and doing the dirty work of firing people He also subbed as CFO after the only one they had was fired for questioning company honesty Balwani would pull numbers out of his butt and claim they were legitimate revenue projections.Those who weren t fooled were veteran venture capitalists who had been investing in the medical device space for years During one of her pitches to these firms, she was asked so many questions she couldn t answer that she stormed out of the conference room In a one on one encounter with another successful venture capitalist he asked to see her device Instead, she slapped her notebook shut and said if you can t trust me, I can t work with you and slammed the door behind her as she departed.In turns out that in spite of her time at Stanford, Holmes didn t know much science She described the process of her device as follows A chemistry is performed so that a chemical reaction occurs and generates a signal from the chemical interaction with the sample, which is translated into a result, which is then reviewed by certified laboratory personnel The selling point was noneedles, just a slight lance of a fingertip could provide enough blood to do countless tests When the author queried Timothy Hamill, from the UCSF Department of Laboratory Science, he told him.the pitfalls of using blood pricked from a finger Unlike venous blood drawn from the arm, capillary blood was polluted by fluids from tissues and cells that interfered with tests and made measurements less accurate I d be less surprised if they told us they were time travelers who came back from the twenty seventh century than if they told us they cracked that nut, he added.The whole concept was flawed from the beginning Holmes used non company technology to try to cover this up In a PowerPoint presentation she made to investors one slide showed scatter plots purporting to favorably compare test data from Theranos s proprietary analyzers to data from conventional lab machines But all the data came from non Theranos technology They often used other tech than company technology that could not generate accurate results for patients Theranos even resorted to using hypodermic needles, instead of the promised fingertip prick Meanwhile, Holmes continued to expand her Steve Jobs persona She drank green kale shakes Jobs was vegan , leased cars with no license plates as he had , had several bodyguards who referred to her as Eagle1 Eagle2 was Bulwani and flew in a Gulfstream Jet She referred to her device as the i Pod of Health And even hired the ad and pr firm that Apple once used, Chiat Day, even though Theranos could not afford them And looking back, it appeared that her dropping out of college was part of a script, just the way Jobs and Gates dropped out to pursue their entrepreneurial dreams.When she went on the Jim Cramer s Mad Money show to denounce the WSJ, she sounded very Jobs like when she said First they think you re crazy, then they fight you, and then, all of a sudden, you change the world Not surprisingly, Theranos kept missing their deadlines Its contract with Safeway fell through, but Walgreen s wasimportant to them Several stores in Arizona went live with testing Most tests done there were way off, resulting in unnecessary trips to the ER and potential over treatment Various doctors and patients published negative reviews on Yelp This put the company in the realm of reckless endangerment a crime consisting of acts that create a substantial risk of serious physical injury to another person This reality upset many employees who wanted no part of a fraud that would harm people At company meetings, Holmes would say If anyone here believes you are not working on the best thing humans have ever built, then you should leave Many took her up on that, but it was never without controversy Meanwhile, bulldog Sunny was dispatched to Arizona to intimidate those who had posted negative Yelp reviews And the company had hired super lawyer David Boies to threaten suit against anyone who revealed insider info on the company Just as one example, it cost the Schulz family 400k in legal fees to defend George s nephew Tyler Theranos knew Tyler had met with the author because they had a tail on both Tyler and the author.When I finished the book I thought back on that awards ceremony I had attended where I first saw Holmes I recalled Andy Grove, whose lifetime achievement award represented the original Silicon Valley of sweat equity Grove lived through the Nazi occupation of his native country of Hungary and escaped after it became Communist In New York, he worked as a busboy while he learned English and obtained a bachelor s degree in chemical engineering from City College of New York Graduate work took him to the west coast, where he earned a Ph.D from U.C Berkeley in chemical engineering He would go on to help found chip maker, Intel, a company that truly changed the world.These days, what I see in Silicon Valley is an increasing obsession with wealth and an absence of ethics, and the spread of the Steve Jobs Syndrome, like some kind of disease Theranos epitomized all of this The result is a lack of the honest work that Grove epitomized, in which wealth and notoriety were by products not goals The real goal was to do good work, first and foremost And always tell the truth The beat goes on.https nymag.com intelligencer 2019