China livestreaming sales skyrocket

Business

June 20, 2024

(ANN/THE CHINA DAILY) – This year’s June 18 shopping carnival has seen fierce competition in China’s booming livestreaming e-commerce sector. Major online retailers are ramping up efforts to boost sales and attract a more diverse customer base, leveraging advances in technologies such as 5G and artificial intelligence.

Data from Taobao, Alibaba Group’s online marketplace, revealed that sales from 38 livestreaming rooms on Taobao surpassed CNY100 million (USD13.8 million) as of midnight on May 31.

Meanwhile, turnover from livestreaming sessions related to electronic device sales hosted by e-commerce giant JD’s professional procurement and marketing teams surged tenfold year-on-year in the first hour of the midyear promotional gala, which began at 8 pm on May 31.

Dong Yuhui, a top livestreamer from East Buy, the livestreaming e-commerce arm of Chinese private tutoring company New Oriental, promoted a variety of products like smartphones, drones, projectors and floor-cleaning machines during a live broadcast via his Douyin livestreaming room on May 28.

The sales surpassed CNY10 million in just one hour, while orders placed by viewers exceeded 10,000 within 20 minutes.

Zhu Keli, founding director of the China Institute of New Economy, said e-commerce via livestreaming will not only improve the consumer shopping experience, but also attract more online traffic and bolster sales of e-commerce platforms.

With the rapid development of 5G, AI and other cutting-edge digital technologies, livestreaming will be more widely applied in e-commerce and become an important driving force promoting the growth of e-commerce, Zhu said.

Consultancy iiMedia Research said that revenue of China’s livestreaming e-commerce sector reached CNY1.7 trillion last year, up 16 per cent year-on-year. This figure is expected to reach CNY2.14 trillion in 2025.

“Livestreaming has become a key method widely adopted by consumer brands to retain existing users, attract new customers and boost sales revenue,” said Cui Lili, director of the Institute of E-commerce at the Shanghai University of Finance and Economics.

Cui said there is an interdependent relationship between top livestreaming influencers and platforms, and that livestreaming hosts or internet celebrities should disseminate high-quality content to attract more user traffic, not just sell products.

In addition, short-video platforms are doubling down on efforts to expand their presence in livestreamed shopping, and online traffic volume is shifting from traditional e-commerce platforms to apps such as Douyin and Kuaishou, as well as social media platform Xiaohongshu, said Mo Daiqing, a senior analyst at the Internet Economy Institute, a domestic consultancy.

Livestreaming offers a new model of operations for online marketplaces and could settle the problem of information asymmetry, said Chen Tao, an analyst with internet consultancy Analysys in Beijing, adding such services have gained popularity among younger consumers.

This promotional method can allow hosts to interact with customers in real time and answer their queries, which will significantly improve shopping experiences and encourage more shoppers to make purchases online, Chen said.

A seller promotes products through livestreaming in Haian, Jiangsu province, during this year’s June 18 shopping gala. PHOTO: ANN/CHINA DAILY

Global consultancy PwC said in a report that with only a few years of development, direct sales via livestreaming have emerged as a promising channel, leveraging the strength of both key opinion leaders and key opinion consumers.

“As competition in the livestreaming e-commerce sector heats up, livestreamers will no longer be limited to a certain online marketplace and will be able to choose different platforms to increase their exposure and rev up sales,” said Jiang Han, a senior analyst at market consultancy Pangoal.

Jiang said authorities should formulate and improve relevant laws and regulations to ensure the healthy development of the livestreaming e-commerce sector, strengthen the supervision and testing of product quality, and protect the legitimate rights and interests of consumers.

He also called for establishing a ranking system for livestreaming e-commerce providers and giving assessments of anchors and merchants to improve the transparency and integrity of the modality.

Livestreaming featuring virtual hosts has also emerged as a new trend. Global consultancy Forrester said more business-to-consumer (B2C) brands are using virtual hosts to attract digital-savvy and novelty-seeking young consumers, as they cost less than human talent and reduce risks such as celebrity scandals.

Experts said the use of virtual hosts in livestreaming sessions can bring a feeling of freshness to users, while brand owners can attract new consumers via this innovative method.

Epic ‘Three-Body’ film announced

Entertainment

June 20, 2024

66728668a31095c551b3b11e — Zhang Yimou, who is now in his 70s, has won dozens of awards around the world. PHOTO: ANN/CHINA DAILY SOURCE

(ANN/THE CHINA DAILY) – Following the tremendous success of Netflix’s adaptation of “The Three-Body Problem,” which premiered to rave reviews this year, fans of Liu Cixin’s sci-fi magnum opus have even more to look forward to.

Beijing Enlight Media Co, Ltd announced on Tuesday that its movie adaptation will enjoy “limitless” investment, promising a cinematic experience that remains loyal to the original story.

Wang Changtian, chairman of Beijing Enlight Media, made this announcement during the 26th Shanghai International Film Festival (SIFF). He emphasised that the production will place no upper limit on investment, ensuring a high-quality adaptation.

In a highly anticipated move, acclaimed Chinese director Zhang Yimou has been confirmed to lead the film adaptation.

Known for his work on “Red Sorghum,” “Hero,” and “The Great Wall,” Zhang’s involvement has been years in the making. Wang revealed that the company had been discussing the project with Zhang for many years before he finally agreed to join.

Zhao Jilong, CEO of the copyright holder Three-Body Universe Cultural Development Co, Ltd, expressed hope that the project could eventually spawn a movie series.

The film adaptation will be a joint venture between Beijing Enlight Media and Three-Body Universe, which manages the copyright of “The Three-Body Problem,” except for the original book publication.

Liu Cixin’s Hugo Award-winning trilogy has been translated into more than 30 languages and has seen adaptations in animation, television, and radio dramas.

With Zhang Yimou at the helm and limitless investment backing the project, the film adaptation of “The Three-Body Problem” is poised to be a monumental achievement in sci-fi cinema.

Zhang Yimou, who is now in his 70s, has won dozens of awards around the world. PHOTO: ANN/CHINA DAILY SOURCE

Air pollution caused 8.1m deaths in 2021

World

June 20, 2024

NEW YORK (Bernama-Xinhua) – Air pollution is becoming the second leading risk for death globally for adults and children, according to the State of Global Air (SoGA) report released on Wednesday.

The study, produced for the first time in cooperation with the UN Children’s Fund (UNICEF) and released by the Health Effects Institute (HEI) and UNICEF, found that air pollution accounted for 8.1 million deaths globally in 2021, reported Xinhua.

The report indicated that high blood pressure was the leading global risk factor for adults’ death while malnutrition was the leading risk for children’s death.

“Beyond these deaths, many more millions of people are living with debilitating chronic diseases, putting tremendous strains on health care systems, economies, and societies,” the study said.

“The report finds that children under five are especially vulnerable, with health effects including premature birth, low birth weight, asthma and lung diseases.

It said that in 2021, exposure to air pollution was linked to more than 700,000 deaths of children under five, making it the second-leading risk factor for death globally for this age group.

For illustration purposes only. PHOTO: UNSPLASH

More than 500,000 of those deaths were attributed to cooking indoors using smoky, high emmisions fuels such as coal, wood or dung, mostly in Africa and Asia.

The new SoGA report analysed recently, released data from the 2021 Global Burden of Disease study, showing the severe health impacts of pollutants like outdoor fine particulate matter, household air pollution, ozone, and nitrogen dioxide on human health worldwide.

The report includes data for more than 200 countries and territories, indicating that nearly every person on Earth breathes unhealthy levels of air pollution daily, with far-reaching health implications.

“More than 90 per cent of these global air pollution deaths, or 7.8 million people, are attributed to particulate matter (PM) air pollution, including from ambient PM and household air pollution,” the report said.

“These tiny particles, measuring less than 2.5 micrometres in diameter, are so small they remain in the lungs and can enter the bloodstream, affecting many organ systems and increasing the risks for noncommunicable diseases in adults like heart disease, stroke, diabetes, lung cancer, and chronic obstructive pulmonary disease.”

According to the report, PM 2.5 has been found to be the most consistent and accurate predictor of poor health outcomes worldwide.

“We hope our State of Global Air report provides both the information and the inspiration for change,” said HEI President Dr. Elena Craft. “Air pollution has enormous implications for health. We know that improving air quality and global public health is practical and achievable.”

The HEI is an independent US-based nonprofit research organisation.

Malaysia-China rail project launched

Southeast Asia

June 20, 2024

KUALA LUMPUR (ANN/THE STRAITS TIMES) – In a significant milestone for Malaysia’s infrastructure development, Malaysian Prime Minister Anwar Ibrahim and Chinese Premier Li Qiang officiated the groundbreaking ceremony of the Gombak terminal for the East Coast Rail Link (ECRL) on June 19.

This event marked the highlight of Premier Li’s visit to Malaysia, during which 14 agreements for bilateral collaboration across various fields were signed.

Premier Li, the highest-ranking Chinese official to visit Malaysia in nearly a decade, began his three-day official visit on June 18. His trip coincided with the 50th anniversary of diplomatic relations between Malaysia and China, underscoring the deepening ties between the two nations.

The groundbreaking ceremony, held on the outskirts of Kuala Lumpur, symbolised Beijing’s strong support for the ambitious ECRL project.

Once completed, this rail link will connect the east and west coasts of Peninsular Malaysia, enhancing connectivity and economic integration within the region. Currently, the project is approximately 70 per cent complete.

Ahead of Li’s visit, Datuk Seri Anwar said Malaysia is ready to join Brics, the expanding bloc of emerging economies seen to be challenging the Western-led global order.

Brics, which originally comprised Brazil, Russia, India, China and South Africa, doubled in size at the start of 2024 with the entry of Saudi Arabia, Iran, the United Arab Emirates, Ethiopia and Egypt.

Chinese Premier Li Qiang (left) with Malaysian Prime Minister Anwar Ibrahim in Putrajaya on June 19. PHOTO: ANN/THE STRAITS TIMES SOURCE

“We believe that it is in Malaysia’s strategic interests to forge amity and cooperation with China, not against it,” said Anwar on June 19, speaking at a dinner celebrating the two nations’ 50 years of ties attended by Premier Li.

“We make every effort to diplomatically engage China and integrate it into regional affairs, not because it is always straightforward, but because it is crucial for our shared future,” he added.

China has been Malaysia’s top trading partner for the past 15 years, with 2023’s total trade valued at MYR450.84 billion.

The MYR50.27 billion (SGD14.4 billion) ECRL is being built by a Chinese firm with loans from China’s Exim Bank. The 665km line will connect Malaysia’s main Port Klang in Selangor to the east coast states of Pahang, Terengganu and Kelantan.

On June 10, Malaysia’s Transport Minister Anthony Loke said his ministry is exploring the possibility of extending the railway to join Thailand’s rail network, “paving the way for the ECRL to be part of the Pan-Asian rail network that can link Malaysia with China, realising the vision of the Belt and Road Initiative (BRI)”.

On June 19, Li said China is willing to study a plan to connect the rail link to other China-backed railway projects in Laos and Thailand.

He said the proposal would make the central line of a proposed Pan-Asia Railway, running from Kunming in China to Singapore, a reality.

“This will better promote the construction of new international land and sea trade corridors, enhance regional connectivity, and deepen the building of the Asean community,” Mr Li said.

The ECRL is one of several BRI projects announced during the tenure of disgraced prime minister Najib Razak from 2009 to 2018.

Najib’s father Tun Razak Hussein, as prime minister, formalised diplomatic relations between Kuala Lumpur and Beijing on May 31, 1974.

The 14 memoranda of understanding signed on June 19 span the sharing of expertise in economy, tourism, trade and housing. The two countries also pledged to review visa-free travel arrangements.

A deal was also inked to allow Malaysia to export fresh durians to China starting in 2024, where it had been previously limited to durian products and frozen whole durians.

This will give Malaysia, one of the world’s biggest producers of the pungent fruit, a slice of the multibillion-dollar market for fresh durians in China already tapped by its neighbours Thailand and Vietnam.

Li met Mr Anwar in the administrative capital Putrajaya on June 19, and also had an audience with Malaysia’s King, Sultan Ibrahim Iskandar, at the Istana Negara. He is slated to attend a luncheon with the business community from both countries on June 20 before concluding his official visit.

Booking.com sounds alarm on AI-enabled travel scams

Business

June 20, 2024

134832-01-02 — Marnie Wilking, the chief information security officer of Booking.com is photographed during an interview at Collision 2024 in Torontoon June 18, 2024. As travellers rush to book their summer getaways, Booking.com's internet safety boss says watch out for supercharged AI scams. Marnie Wilking, Chief Information Security Officer at the Netherlands-based travel giant, said generative AI had sparked an explosion in online phishing scams, and that the hospitality industry, long spared, had also become a target. (Photo by Cole BURSTON / AFP)

TORONTO, Canada (AFP) – As travellers rush to book their summer getaways, Booking.com’s internet safety boss says watch out for supercharged AI scams.

Marnie Wilking, Chief Information Security Officer at the Netherlands-based travel giant, said generative AI had sparked an explosion in online phishing scams, and that the hospitality industry, long spared, had also become a target.

“Over the course of the last year and a half, throughout all industries, there’s been anywhere from a 500 to a 900 per cent increase in attacks, in phishing in particular, across the globe,” Wilking told AFP on the sidelines of the Collision technology conference in Toronto.

Phishing scams are a type of cyber attack where criminals attempt to trick victims into revealing sensitive information such as login credentials or financial account details.

Marnie Wilking, the chief information security officer of Booking.com is photographed during an interview at Collision 2024 in Toronto on June 18, 2024. PHOTO: AFP

Travel websites can offer a rich bounty to phishing scammers since travelers are often asked to share credit card and family details or upload ID.

“Of course, we’ve had phishing since the dawn of email. But the uptick started shortly after ChatGPT got launched. The attackers are definitely using AI to launch attacks that mimic emails far better than anything that they’ve done to date,” she said.

With generative AI tools, the scammers can now work in multiple languages and with good grammar, Wilking said.

They are also “really taking advantage of the helpful nature of hospitality.”

To be helpful to a supposed guest, a hotel owner is “probably going to open up the attachment” that is actually malware, she said.

Wilking said that in order to stay safe travelers and hosts should sign up for two-factor authentication when surfing online.

In addition to providing a username and password, two-factor authentication requires users to verify their identity through an added factor, such as a one-time code sent to their mobile device or generated by an authenticator app.

“I know it can be a little bit painful just to set up and then you have to remember which phone it’s on and everything,” she said.

However, the extra step “is still hands down the best way to combat phishing and credential stealing,” she said.

And “don’t click on anything that looks suspicious, even if you think it might be real. If there’s even a little bit of doubt, call the property, hosts, and customer support,” she said.

Fake property?

Wilking said Booking.com and other major companies are cooperating closely and increasingly relying on AI to help in the fight.

AI, for example, is helping thwart the proliferation of fake properties on platforms that are actually a bid to scam the user.

Scammers “set up a fake property that looks like it’s in the Swiss Alps. Every other property around it is USD1,000 a night and this one’s on sale for USD200.”

“We’ve set up AI models to detect those and either block them from getting on there to begin or take it down before there’s any booking,” she said.

Though it remains modest for now, travel sites have seen the rise of suspected state actors, that are trying to cause online mischief or snoop on customers.

“Why would a nation state go after a hotel chain? Well, if it’s a hotel chain that they know is frequented by a US senator, why wouldn’t they go after that?” she said.

Police looking for missing teen

National

June 20, 2024

The Royal Brunei Police Force (RBPF) is requesting public assistance to locate a 14-year-old girl who has been reported missing.

A missing persons report was filed at the Sengkurong Police Station for Nur Farhana Nadhirah binti Marzuki, who is believed to have left home. She holds a yellow identification card with the number 01-170955.

Anyone with information on her whereabouts is urged to contact the Sengkurong Police Station at 2661334, call the emergency number 993, or reach out to any nearby police station.

Nur Farhana Nadhirah binti Marzuki. PHOTO: RBPF

Age-old wisdom: Eating with the seasons

Lifestyle

June 20, 2024

(AP) – As peak summer approaches in Sicily, Anna Fiannaca prefers the peppers, eggplants and zucchini her brothers grow over the packaged food in the supermarket.

The 89-year-old cooks everything from scratch and eats mostly vegetarian. But she attributes much of her continued good health to adjusting her diet to what is most available throughout the year.

“It was just the way of life in Sicily, taking whatever the seasons will give you,” said Fiannaca, who lives near Agrigento.

Eating a variety of fruits and vegetables is one of many aspects that makes the Mediterranean diet healthy. It also includes an abundance of nuts, legumes, beans and healthy fat from olive oil and fish.

But nutrition experts say no matter where you are, buying in-season produce is an easy step toward better eating habits.

“Seasonal eating is kind of a pathway to build a broader diet variety,” said Sharon Gray, a registered dietician who supervises the University of Connecticut’s community nutrition programme.

Why is seasonal eating better for you?

Consuming a high variety of fruits and vegetables is an important part of good nutrition, lowering the risk of heart disease, obesity and other ailments.

Choosing whatever is most abundant in the market each month is a good way to start, said Gray, who offers healthy cooking workshops to low-income Hartford residents.

In New England, the summer’s tomatoes, berries and peaches give way to autumn’s pumpkins, squash and cranberries. All are high in antioxidants and fiber, and provide a wide range of vitamins, minerals and complex carbohydrates.

It helps that in-season produce tastes better.

“A lot of adults don’t like a lot of fruits and vegetables, so if you can get them to like something, then they build it into their diet,” she said. “That is moving people away from processed food to preparing more food at home.”

Eating seasonally often also means eating locally, said Julia Zumpano, a registered dietician at the Cleveland Clinic, specializing in disease prevention and management.

Besides the environmental benefits, local produce generally has more nutrients because it has naturally ripened and is consumed soon after being picked.

“You’re going to maximise your vitamins and minerals in there, the polyphenols and antioxidants that are the foundations of how we decrease the risk of disease,” Zumpano said.

Experts caution that eating seasonally isn’t a cure-all, and some studies have found people in colder climates suffer from nutritional deficiency in the winter. That means you should still continue to buy leafy greens and other vegetables all year.

“We need seven to nine servings of fruits and vegetables every day,” Zumpano said. “Ninety per cent of us don’t eat enough of them.”

Malaysia initiates cloud-seeding operations in Kelantan

Southeast Asia

June 20, 2024

PUTRAJAYA (ANN/THE STAR) – Malaysia will undertake a three-day cloud-seeding operation in Kelantan starting Friday.

This initiative aims to address the depletion of the Kelantan River and mitigate the effects of adverse weather phenomena and the ongoing southwest monsoon.

Deputy Prime Minister Datuk Seri Dr Ahmad Zahid Hamidi announced that the decision was made following a request from the Kemubu Agricultural Development Authority (Kada).

The operation will be a coordinated effort involving the National Disaster Management Agency (Nadma), the Agriculture and Food Security Ministry, the Meteorological Department, and the Royal Malaysian Air Force, according to Bernama.

Ahmad Zahid, who also chairs the Central Disaster Management Committee, has approved the allocation of MYR5 million from the National Disaster Relief Trust Fund for this operation.

“The three-day operations are aimed at increasing the level of the Kelantan River to irrigate affected agricultural areas.

“The move is an initial measure by the Federal Government to address the depletion of the Kelantan River and mitigate the impact of the hot weather and the southwest monsoon, which is expected to continue until the end of September,” he said in a statement yesterday.

Ahmad Zahid said low rainfall recorded from February to April had contributed to the depletion of the river level and disrupted the operation of pumps across the Kada area.

He said for the Kemubu pump house to operate fully, the Kelantan River needs to reach a level of 4.90m. However, Kada recorded only 2.19m in the second week of April.

“With this move, we hope to provide sufficient water resources in the catchment areas during the hot and dry weather, particularly in Kelantan.

“I also hope that this integrated effort can help increase water capacity in the catchment areas and ensure that the water supply can be delivered to users without any disruptions,” he added.

Ahmad Zahid also urged Nadma and the ministry to provide details of the cloud-seeding operations upon conclusion.

Shaqiri scores in Switzerland’s 1-1 draw with Scotland at Euro 2024

Sports

June 20, 2024

COLOGNE, GERMANY (AP) – “Shaq” did it again.

At the age of 32 and having left top-flight European soccer behind to play in MLS, Xherdan Shaqiri is back on the international stage and back scoring again.

His stunning first-half strike secured a 1-1 draw for Switzerland against Scotland at Euro 2024 on Wednesday.

It is the sixth-straight major international tournament in which Shaqiri has scored, dating back to the World Cup in 2014.

That’s three World Cups in a row and now three European Championships for the Chicago Fire forward.

“He proved tonight that he lives and breathes for moments like these,” Switzerland coach Murat Yakin said.

Shaqiri rolled back the years with a first-time curling effort from about 20 meters out at Cologne Stadium.

Scotland had led from the 13th minute when Scott McTominay’s shot took a wicked deflection off Fabian Schar to beat Switzerland goalkeeper Yann Sommer.

Switzerland’s Xherdan Shaqiri and team mates celebrate their side’s equalising goal during a Group A match between Scotland and Switzerland at the Euro 2024 soccer tournament in Cologne, Germany, Wednesday, June 19. PHOTO: AP

But Shaqiri pounced on Anthony Ralston’s loose pass in the 26th to even the match with a left-footed shot into the top corner and past Scotland keeper Angus Gunn.

“If that chance falls to any other player in the Swiss team, it’s not a goal,” Scotland manager Steve Clarke said.

“You knew when it was rolling towards Shaqiri it was destined for the back of the net. He’s a top, top player, so you don’t give top, top players that kind of chance.”

Shaqiri’s career has seen him play for some of Europe’s most iconic teams, including Bayern Munich, Inter Milan and Liverpool. He joined Chicago Fire two years ago, but in that time has continued to produce for his country on the biggest stage.

“Shaq always gives everything in training,” Switzerland defender Manuel Akanji said. “I don’t know how many other players are able to score that goal.”

The draw leaves Switzerland on four points, second in Group A behind Germany and likely to advance to the round of 16.

Switzerland’s Ricardo Rodriguez, right, fouls Scotland’s Billy Gilmour during a Group A match between Scotland and Switzerland at the Euro 2024 soccer tournament in Cologne, Germany, Wednesday, June 19. PHOTO: AP

Germany became the first nation to advance to the round of 16 after 2-0 win over Hungary.

Scotland’s hopes of making the knockout round depend on its final game against Hungary on Sunday and results elsewhere. No team has failed to advance from the group stage with four points.

Both teams had chances to win the game.

The Swiss should have taken the lead just before the hour mark when Dan Ndoye turned Kieran Tierney on the edge of the box. With just goalkeeper Angus Gunn to beat, Ndoye fired wide of goal.

Scotland’s Scott McTominay celebrates after Switzerland’s Fabian Schar scored an own goal during a Group A match between Scotland and Switzerland at the Euro 2024 soccer tournament in Cologne, Germany, Wednesday, June 19. PHOTO: AP

Grant Hanley then headed against the post from a Scotland free kick and Switzerland’s Zeki Amdouni headed wide at the far post late on.

Scotland has never advanced beyond the group stage of a World Cup or Euros on 11 previous attempts.

But repeated disappointment doesn’t seem to dampen optimism among its fans, who filled Cologne’s square before the game.

Swiss fans were out in numbers, too, creating a raucous atmosphere in the stadium.

It was certainly a more enjoyable evening for Scotland’s fans than the opening game of the Euros — a 5-1 loss to Germany.

“It was what we expected. It was a good reaction to a disappointing night. We’re still alive in the tournament,” Clarke said.

Goals from Jamal Musiala and İlkay Gündoğan made it two wins from two for host Germany after victory against Hungary and ensured there would be no repeat of its group stage exit from the 2022 World Cup.

Albania substitute Klaus Gjasula scored in the fifth minute of stoppage time to hold World Cup semifinalist Croatia to a 2-2 draw in Group B. Gjasula’s own goal, just four minutes after entering the game in the second half, had looked like handing Croatia the win until his late strike.

Snapchat to settle USD15m lawsuit

Business

June 20, 2024

California Snapchat Discrimination Settlement — FILE - The Snapchat app on a mobile device is seen in New York. Snap Inc., Wednesday, Aug. 9, 2017. The owner of Snapchat will pay $15 million to settle a lawsuit brought by California’s civil rights agency that claimed the company discriminated against female employees, failed to prevent workplace sexual harassment and retaliated against women who complained. (AP Photo/Richard Drew, File)

SAN FRANCISCO (AP) – Snapchat Inc will pay USD15 million to settle a lawsuit brought by California’s civil rights agency that claimed the company discriminated against female employees, failed to prevent workplace sexual harassment and retaliated against women who complained.

The settlement with Snapchat Inc, which owns the popular disappearing-message app by the same name, covers women who worked for the company in California between 2014 and 2024, the California Civil Rights Department announced Wednesday. The settlement is subject to court approval.

The agreement resolves a more than three-year investigation over claims that the Santa Monica, California-based company discriminated against female employees when it came to pay and promotions, the department said in a statement.

The bulk of the settlement money will go to employees who faced discrimination at Snapchat Inc., California officials said.

“In California, we’re proud of the work of our state’s innovators who are a driving force of our nation’s economy,” said Kevin Kish, director of California’s civil rights agency.

“This settlement with Snapchat demonstrates a shared commitment to a California where all workers have a fair chance at the American Dream. Women are entitled to equality in every job, in every workplace, and in every industry.”

Snapchat Inc. said it disagrees with the agency’s claims but that it decided to settle to avoid costly and lengthy litigation.

“We care deeply about our commitment to maintain a fair and inclusive environment at Snap, and do not believe we have any ongoing systemic pay equity, discrimination, harassment, or retaliation issues against women,” the company said in a statement.

Snapchat Inc grew from 250 employees in 2015 to over 5,000 in 2022. But the growth didn’t translate to advancement for female employees who “were told to wait their turn, were actively discouraged from applying for promotions, or lost promotion opportunities to less qualified male colleagues,” California officials said.

In particular, women in engineering roles, which account for about 70 per cent of Snap’s workforce, found barriers when trying to advance from entry-level positions, according to the complaint.

California’s civil rights agency also said in its lawsuit that women were sexually harassed and that when they spoke up, they faced retaliation that included negative performance reviews and termination. Male managers routinely promoted male employees over more qualified women, the agency said.

“Women were told, both implicitly and explicitly, that they were second-class citizens at Snap,” the agency said in its lawsuit.

The settlement will require the company to hire an independent consultant to evaluate its compensation and promotion policies and retain an outside auditor of its sexual harassment, retaliation, and discrimination compliance.

The company will also have to train its staff on preventing discrimination, retaliation and sexual harassment in the workplace, officials said.

Snapchat Inc. also agreed to provide information to all employees about their right to report harassment or discrimination without fear of retaliation.

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