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Threads Becomes Most Rapidly Downloaded App, Raising Twitter’s Ire

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Threads Becomes Most Rapidly Downloaded App, Raising Twitter’s Ire

Two hours after pressing the launch button on Wednesday on Threads, Instagram’s new app for real-time, public conversations, Mark Zuckerberg posted that more than two million people had downloaded his latest creation.

That was just the beginning.

Another two hours later, five million people had downloaded Threads. By the time Mr. Zuckerberg, the chief executive of Meta, went to bed on Wednesday night, the number of downloads had soared to 10 million. When he woke on Thursday morning, the app had been downloaded more than 30 million times, he said.

In less than a day, Threads — which is aimed as a rival to Twitter — appears to have taken the crown as the most rapidly downloaded app ever. It easily outstripped ChatGPT, the chatbot, which was downloaded one million times within its first five days, according to OpenAI, ChatGPT’s maker. And Threads is on a pace to exceed 100 million users within two months, a feat achieved only by ChatGPT, according to the analytics firm Similarweb.

Some of Twitter’s most-followed users — such as Ellen DeGeneres, Bill Gates, Shakira and Oprah Winfrey — immediately joined Threads and began posting. The atmosphere was celebratory, with users writing welcome messages and expressing eagerness to read one another’s posts. At one point, the new app was so inundated with users that it appeared unstable.

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“This is as good of a start as we could have hoped for!” Mr. Zuckerberg, whose company owns Instagram, Facebook, Messenger and WhatsApp, said in a post on Threads on Thursday. He later added, “Feels like the beginning of something special.”

The early momentum underscored people’s desire to find an alternative to Twitter, the 17-year-old digital town square that has long been the central place for public conversation online. Since Elon Musk bought Twitter last year, the billionaire has instituted changes that have angered the social platform’s longtime users, especially those who do not care for his laissez-faire approach to content moderation. Twitter has also suffered from more outages and bugs.

Mr. Musk isn’t taking Mr. Zuckerberg’s actions lying down. In a letter dated Wednesday, lawyers for Twitter threatened legal action against Meta, accusing it of using trade secrets from its former employees to build Threads. Twitter also asked Meta to preserve internal documents relevant to a dispute between the two companies. The letter was earlier reported by Semafor.

“Competition is fine, cheating is not,” Mr. Musk tweeted on Thursday.

Jack Dorsey, Twitter’s co-founder, also jabbed at Mr. Zuckerberg’s new app. “We wanted flying cars, instead we got 7 Twitter clones,” he tweeted on Thursday.

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In a post to Threads, Andy Stone, a Meta spokesman, said that no former Twitter engineers were working on Threads. “That’s just not a thing,” he wrote.

Threads was a surprise hit for Meta, which has been badly in need of a win after being scrutinized for spreading misinformation and other toxic content across the internet. While Mr. Zuckerberg’s social network was celebrated in its early days, it has in recent years been criticized by regulators, activists and users upset with how the company handles data and its products. Meta has also faced questions about its move into the still-emerging immersive digital world of the so-called metaverse.

But this week was a reprieve — at least briefly — for Mr. Zuckerberg and his company. Inside Meta on Wednesday evening, employees rejoiced in the launch of Threads, sharing inside jokes and memes with one another, according to screenshots of the conversations viewed by The New York Times.

One employee noted that morale was soaring internally after a year of layoffs and retrenching at the company. Another shared a meme of two characters from the 1999 film “The Mummy,” telling each other that Twitter has been “replaced by Meta,” according to a screenshot.

Threads was a crash project that spun out of Instagram seven months ago, after the company decided it wanted to “make a bet” and take on Twitter, said Adam Mosseri, the head of Instagram.

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The project, code-named “Project 92,” was a closely held secret, two people familiar with the project said. The team was small, and other parts of Meta did not have access to initial versions of the app, they said.

Celebrities, brands and influencers were given early access to the app over the past few days, a move by Meta to kick-start a freewheeling culture of fun and discussion. Mr. Mosseri said that he wanted Threads to be a “friendly place” for public conversation.

“Can’t get enough of your threads,” the actress Jennifer Lopez said in a Threads post, adding an emoji of musical notes. Ms. DeGeneres, in her first Threads post, wrote, “Welcome to Gay Twitter!”

Yet such early momentum does not necessarily translate to long-term engagement and success. Twitter still has the lead, with more than 237 million daily users, according to the most recent public figures cited by the company last year. Meta also continues to face questions about its data privacy policies.

Some Threads users were also put off by an issue that may require them to delete their connected Instagram account if they wish to delete their Threads account. Instagram said it was looking into alternate ways that Threads users can deactivate their accounts.

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Instagram appears to be taking a hands-on approach to what can and can’t be posted to Threads to create a “friendly” app for conversations, Mr. Zuckerberg has said.

Across the app, Threads obscured some posts behind a warning box indicating that the content was “reviewed by independent fact checkers” and ruled misleading. Users could click a button on the warning box to reveal the content. An additional pop-up box included a brief explanation about why the content was hidden and a link to a post by the fact checkers who made the ruling.

Threads also appeared to hide some comments entirely. Tomi Lahren, a right-wing influencer, asked in her first post on the app, “Will Meta be censoring conservative thought here too?” — a jab against mainstream social networks that have moderated false and misleading content in the past. At the bottom of the comments section on her post, a label appeared that read: “Some replies aren’t available.”

Another warning appeared when users tried to follow some influencers that Meta had previously flagged for publishing false or misleading content.

“Are you sure you want to follow” the person, the warning asked. “This account has repeatedly posted false information that was reviewed by independent fact-checkers or went against our Community Guidelines.” The same warning appeared during attempts to follow those users’ Instagram profiles.

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For new Threads users like Kate Stone, a 63-year-old lawyer in North Carolina, having proper content moderation is important. She had a dormant Twitter account and had once dreamed of owning a Tesla, the electric cars made by Mr. Musk, but had given up on both when the tech billionaire began tweeting more politically conservative messages. But she wanted to be part of the public conversation online, and she thought Threads might be a way to do that.

“I read about Threads, and I don’t like Zuckerberg very much, but I saw it was easy to do if you have an Instagram account,” Ms. Stone said in an interview. “So I thought I’d give it a try.”

Stuart A. Thompson and Cade Metz contributed reporting.

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Albania Gives Jared Kushner Hotel Project a Nod as Trump Returns

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Albania Gives Jared Kushner Hotel Project a Nod as Trump Returns

The government of Albania has given preliminary approval to a plan proposed by Jared Kushner, Donald J. Trump’s son-in-law, to build a $1.4 billion luxury hotel complex on a small abandoned military base off the coast of Albania.

The project is one of several involving Mr. Trump and his extended family that directly involve foreign government entities that will be moving ahead even while Mr. Trump will be in charge of foreign policy related to these same nations.

The approval by Albania’s Strategic Investment Committee — which is led by Prime Minister Edi Rama — gives Mr. Kushner and his business partners the right to move ahead with accelerated negotiations to build the luxury resort on a 111-acre section of the 2.2-square-mile island of Sazan that will be connected by ferry to the mainland.

Mr. Kushner and the Albanian government did not respond Wednesday to requests for comment. But when previously asked about this project, both have said that the evaluation is not being influenced by Mr. Kushner’s ties to Mr. Trump or any effort to try to seek favors from the U.S. government.

“The fact that such a renowned American entrepreneur shows his interest on investing in Albania makes us very proud and happy,” a spokesman for Mr. Rama said last year in a statement to The New York Times when asked about the projects.

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Mr. Kushner’s Affinity Partners, a private equity company backed with about $4.6 billion in money mostly from Saudi Arabia and other Middle East sovereign wealth funds, is pursuing the Albania project along with Asher Abehsera, a real-estate executive that Mr. Kushner has previously teamed up with to build projects in Brooklyn, N.Y.

The Albanian government, according to an official document recently posted online, will now work with their American partners to clear the proposed hotel site of any potential buried munitions and to examine any other environmental or legal concerns that need to be resolved before the project can move ahead.

The document, dated Dec. 30, notes that the government “has the right to revoke the decision,” depending on the final project negotiations.

Mr. Kushner’s firm has said the plan is to build a five-star “eco-resort community” on the island by turning a “former military base into a vibrant international destination for hospitality and wellness.”

Ivanka Trump, Mr. Trump’s daughter, has said she is helping with the project as well. “We will execute on it,” she said about the project, during a podcast last year.

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This project is just one of two major real-estate deals that Mr. Kushner is pursuing along with Mr. Abehsera that involve foreign governments.

Separately, the partnership received preliminary approval last year to build a luxury hotel complex in Belgrade, Serbia, in the former ministry of defense building, which has sat empty for decades after it was bombed by NATO in 1999 during a war there.

Serbia and Albania have foreign policy matters pending with the United States, as both countries seek continued U.S. support for their long-stalled efforts to join the European Union, and officials in Washington are trying to convince Serbia to tighten ties with the United States, instead of Russia.

Virginia Canter, who served as White House ethics lawyer during the Obama and Clinton administrations and also an ethics adviser to the International Monetary Fund, said even if there was no attempt to gain influence with Mr. Trump, any government deal involving his family creates that impression.

“It all looks like favoritism, like they are providing access to Kushner because they want to be on the good side of Trump,” Ms. Canter said, now with State Democracy Defenders Fund, a group that tracks federal government corruption and ethics issues.

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Craft supplies retailer Joann declares bankruptcy for the second time in a year

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Craft supplies retailer Joann declares bankruptcy for the second time in a year

The craft supplies and fabric retailer Joann filed for bankruptcy for the second time in less than a year, as the chain wrestles with declining sales and inventory shortages, the company said Wednesday.

The retailer emerged from a previous Chapter 11 bankruptcy process last April after eliminating $505 million in debt. Now, with $615 million in liabilities, the company will begin a court-supervised sale of its assets to repay creditors. The company owes an additional $133 million to its suppliers.

“We hope that this process enables us to find a path that would allow Joann to continue operating,” said interim Chief Executive Michael Prendergast in a statement. “The last several years have presented significant and lasting challenges in the retail environment, which, coupled with our current financial position and constrained inventory levels, forced us to take this step.”

Joann’s more than 800 stores and websites will remain open throughout the bankruptcy process, the company said, and employees will continue to receive pay and benefits. The Hudson, Ohio-based company was founded in 1943 and has stores in 49 states, including several in Southern California.

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According to court documents, Joann began receiving unpredictable and inconsistent deliveries of yarn and sewing items from its suppliers, making it difficult to keep its shelves stocked. Joann’s suppliers also discontinued certain items the retailer relied on.

Along with the “unanticipated inventory challenges,” Joann and other retailers face pressure from inflation-wary consumers and interest rates that were for a time the highest in decades. The crafts supplier has also been hindered by competition from others in the space, including Michael’s, Etsy and Hobby Lobby, said Retail Wire Chief Executive Dominick Miserandino.

“It did not necessarily learn to evolve like its nearby competitors,” Miserandino said of Joann. “Not many people have heard of Joann in the way they’ve heard of Michael’s.”

Joann is not the first retailer to continue to struggle after going through bankruptcy. The party supply chain Party City announced last month it would be shutting down operations, after filing for and emerging from Chapter 11 bankruptcy in 2023.

Over the last two years, more than 60 companies have filed for bankruptcy for a second or third time, Bloomberg reported, based on information from BankruptcyData. That’s the most over a comparable period since 2020, when the COVID-19 pandemic kept shoppers home.

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Discount chain Big Lots filed for bankruptcy last September, and the Container Store, a retailer offering storage and organization products, declared bankruptcy last month. Companies that rely heavily on brick-and-mortar locations are scrambling to keep up with online retailers and big-box chains. Fast-casual restaurants such as Red Lobster and Rubio’s Coastal Grill have also struggled.

High prices have prompted consumers to pull back on discretionary spending, while rising operating and labor costs put additional pressure on businesses, experts said. The U.S. annual inflation rate for 2024 was 2.9%, down from 3.4% in 2023. But inflation has been on the rise since September and remains above the Federal Reserve’s goal of 2%.

If a sale process for Joann is approved, Gordon Brothers Retail Partners would serve as the stalking-horse bidder and set the floor for the auction.

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U.S. Sues Southwest Airlines Over Chronic Delays

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U.S. Sues Southwest Airlines Over Chronic Delays

The federal government sued Southwest Airlines on Wednesday, accusing the airline of harming passengers who flew on two routes that were plagued by consistent delays in 2022.

In a lawsuit, the Transportation Department said it was seeking more than $2.1 million in civil penalties over the flights between airports in Chicago and Oakland, Calif., as well as Baltimore and Cleveland, that were chronically delayed over five months that year.

“Airlines have a legal obligation to ensure that their flight schedules provide travelers with realistic departure and arrival times,” the transportation secretary, Pete Buttigieg, said in a statement. “Today’s action sends a message to all airlines that the department is prepared to go to court in order to enforce passenger protections.”

Carriers are barred from operating unrealistic flight schedules, which the Transportation Department considers an unfair, deceptive and anticompetitive practice. A “chronically delayed” flight is defined as one that operates at least 10 times a month and is late by at least 30 minutes more than half the time.

In a statement, Southwest said it was “disappointed” that the department chose to sue over the flights that took place more than two years ago. The airline said it had operated 20 million flights since the Transportation Department enacted its policy against chronically delayed flights more than a decade ago, with no other violations.

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“Any claim that these two flights represent an unrealistic schedule is simply not credible when compared with our performance over the past 15 years,” Southwest said.

Last year, Southwest canceled fewer than 1 percent of its flights, but more than 22 percent arrived at least 15 minutes later than scheduled, according to Cirium, an aviation data provider. Delta Air Lines, United Airlines, Alaska Airlines and American Airlines all had fewer such delays.

The lawsuit was filed in the United States District Court for the Northern District of California. In it, the government said that a Southwest flight from Chicago to Oakland arrived late 19 out of 25 trips in April 2022, with delays averaging more than an hour. The consistent delays continued through August of that year, averaging an hour or more. On another flight, between Baltimore and Cleveland, average delay times reached as high as 96 minutes per month during the same period. In a statement, the department said that Southwest, rather than poor weather or air traffic control, was responsible for more than 90 percent of the delays.

“Holding out these chronically delayed flights disregarded consumers’ need to have reliable information about the real arrival time of a flight and harmed thousands of passengers traveling on these Southwest flights by causing disruptions to travel plans or other plans,” the department said in the lawsuit.

The government said Southwest had violated federal rules 58 times in August 2022 after four months of consistent delays. Each violation faces a civil penalty of up to $37,377, or more than $2.1 million in total, according to the lawsuit.

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The Transportation Department on Wednesday also said that it had penalized Frontier Airlines for chronically delayed flights, fining the airline $650,000. Half that amount was paid to the Treasury and the rest is slated to be forgiven if the airline has no more chronically delayed flights over the next three years.

This month, the department ordered JetBlue Airways to pay a $2 million fine for failing to address similarly delayed flights over a span of more than a year ending in November 2023, with half the money going to passengers affected by the delays.

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