00:24:44 · Ruby Justice Thelot
What's interesting about paratechnology is that it in many ways provides people the ability to of course go on about their day as I said in my anecdote and you know just start to they just you just can't go on social media essentially, right? So you can't do the thing that you're usually drawn to do in a moment of boredom, in a moment of of of quiet. You just have to sit or talk to your friend or do whatever else. The first data point that's very interesting is that the Pew Research Center, a lot of the data is going to be from Pew in the show because they do amazing work and research. Pew surveyed 9,050 adults The U. S. In 2020 and they found that about fifty three percent said that they spent too much time on their phone and that number jumped to seventy percent of people who were aged 18 to 29. Now out of these people forty five percent tried to cut back, meaning there was an intentional desire to pare back the person's use of technology. And so of that forty five percent only twenty five were successful. So the rise of paracetamology comes at a very good inflection point, a very good moment of convergence of multiple behaviors. The first is that people say they spend too much time on their phone. The second is that people say they tried to cut back. And the third is that only twenty five percent of people who try are successful. So this product, these services, this software is marketed to that 75% who did not succeed. And that's how that's where they operate. I think one thing that's also very interesting is that this overall aversion, of course, is not only present in individuals. Ballotpedia counted the number of states which had bans or phone limits in schools and only nine districts have policies that encourage 37 states now have a ban or a limit on phones in school. So this desire to control phone usage is not only existing at the level of the individual but also at the state level, at the department level, which I think is very interesting. This has been sort of heavily debated of course. You have perhaps seen the book Anxious Generation by Jonathan Haidt in which Jonathan makes the case that the phones have been a net negative for children. There is a lot of very interesting conversations happening right now around Haidt. I quite like the response that Dana Boyd had against Haidt's work.
00:27:51 · Ruby Justice Thelot
By and large what is very hard to do in a lot of these studies and people have written rebuttals and a lot of op eds trying to debunk or making a claim that they debunked a lot of the work that Haidt has done. It is really that phones are like most technology dual purpose and they can be used for good, they can be used for bad. There is a Tyler Cowen interview with Jonathan Haidt in which Tyler talked about the kids that he works with in Emergent Ventures and some of his granting or fellowship programs. And for many of these kids of course their early life success, their ability to of be Wunderkind at a very early age is driven by the fact that they had access to the internet and they could share their ideas. They could post on Twitter about their latest project, they got seen and of course were brought, started a company at 15 or 16. I think Haidt's idea is more that this is rather marginal and so the limit and the bans of course prevent these outlier cases from actually occurring and actually popping up in culture at large. Large. The other thing that's very difficult with this idea of the ban is that modern life is filled with phones. Part of why maybe paratechnology exists now and why it's become such a large consumer category is in part because we haven't let's say taught children, especially in my generation where like phones were just kind of broadened to our lives, on how to regulate our usage of the phones. And so much like we might tell a child do not eat too much candy or don't do too much of a specific thing, there may be room to learn or to build an educational curriculum on let's call it conscientious phone use, right? And that's I think the thing where that's maybe missing as part of the discourse. An outright ban does not acknowledge the reality that we have phones in the real world. If you spend K-twelve without a phone and then you get a phone as soon as you enter college, I think it is going to mess you up a little bit because the phone is extremely powerful in the good and the bad ways. I think something more conscientious is developing a healthy relationship with the phone. How do we teach a young child that like it is okay to want to watch a funny video on YouTube, but you should maybe just watch them for thirty minutes.
00:30:53 · Ruby Justice Thelot
How do we build the regulation, the self regulation, self discipline at an early age so that twenty five years later my friend doesn't need to have a brick. The brick exists because of the seventy five percent failure that we just saw in the previous statistics. And that is something that I think is learned. We learn a lot of things in school and a lot of these things are behavioral. They're about how to be a good citizen and being a good citizen maybe also now includes in 2026 how do you stay self regulated in an age of advanced technology. The Yondr patch that I just talked about, of course, eggs were very marginal in 2021. This is government records, right, from government spending from probably departments of education in US schools. In 2021, only $174,000 were spent on these Yondr pouches. These are pouches in which you put your phone, you lock them, put the phone away. The pouches were shipped to about 2,000 schools in 2023. It jumped to $2,130,000 and in 2025 they are now at $19,000,000 of phone pouches because these laws have spread. And so a big drive in sort of paratechnological adoption and the increase in the revenues of that area is driven by a lot of these government contracts. Okay. What's interesting also and why I advocate for a, let's call it, more conscientious, more holistic approach to our phone uses instead of these external devices or software is that when we take a look at the data, we take a look at how many people install the app and how many active monthly users there are based on... Okay. This is a little skewed because this is all installs. But based on all the installs we are only seeing 6% to 7% adoption on a monthly basis of these different tools. This is ScreenZen, Blankspaces and JoMo. There's a bunch of other ones but this is just to give you an example. Meaning out of all the people who are seeking control of their phones, of their applications, only 6% to 7% end up using the apps monthly. And so there is a big gap between intention and the actual success. So even if we are seeing an increase in the overall revenue of what I could only call the paratechnological industrial complex, it's still not being reflected in actual user behaviors. And so what this indicates to me is that we can buy all the bricks we want, we can buy all the software, whatever it is, we can buy a safe and throw the key into the river.
00:34:03 · Ruby Justice Thelot
If we don't learn to develop positive, conscientious and holistic relationships with our phones, another app won't help. Real change comes from the inside. Right? Okay. And so I want to give you a sort of an overall idea of the size of this market. Not all the information is available of course. These are some company claims, some filing or procurement records from different parts of the government in places where these devices have been adopted by departments of education or different governmental agencies. So Remarkable, which is a paper... Like a e paper tablet reported revenues of $433,000,000 in 2024. It's from the the the bond report. Campsnap, another tool for education, 20,000,000. That was from... In their first eleven months. Yondr, as we just said, 19,000,000. Opal, you... Opal is an app rather than a device, reported ARR of over $10,000,000 in the New York Times. And K Safe, another paratenological tool, reported about $5,000,000. So these are fairly large markets. Like these are successful companies and they serve a very specific user need. Let's tie the bow on this. Paratechnology are devices or software used to prevent consumers from using their other tech, usually social media or their phones at large. I really want to know how popular these tools were and why they were so popular right now. They are popular because people think they spend too much time on their phones. They have tried to cut back and as we see in the Pew Research data only 25% have succeeded in cutting back on their phone usage and so they are going outside to these different tools to find success in how to not use whatever app they are trying to find themselves from using. We are seeing this not only at the level of the individual but also at the state level where 37 states out of 50 now have bans or limits on phone usage in schools. But what this tells me, whether it be the sales of the pouches or whatnot, is that we are looking external solutions for internal problems. Out of the all time installs for the most popular phone screen time apps, screens and blank spaces or JoMo, only 6% to 7% of users actually use it on a monthly basis.
00:36:55 · Ruby Justice Thelot
And so in this counterintuitive way, this radical way, I think there should be phones in school because we should learn from an early age how to regulate and use them conscientiously, healthily and holistically because if we prevent kids from using them from K through 12 then I think the results are very evident in adulthood. They have not developed the strategies, the psychological strategies to not use this highly addictive tool that is a phone. Alright, if you have a brick please let me know if I am completely off. But I do think that we should learn not to touch the marshmallow instead of getting a marshmallow cage if you will. Alright. Our second deep dive of the day concerns the analog comeback. Now we talked a bit about of course the DVD that Radhika Jones bought. I think it is safe to say that if you live in an urban center you have seen the analog revival in so many different facets of life. You have seen the cameras go back to 35 millimeters of analog. You have seen people start to collect VHS. Have seen DVDs come back now. I have a friend who has laser discs because he is trying to be esoteric of course. Vinyl of course is highly popular. If go to urban offers they will sell a lot of vinyl. Taylor Swift, one of the big pop stars in the world does sell quite a bit of vinyl. Has I think single handedly has raised the sales of vinyl across the industry. But by and large people are returning to older modes of technology often as a way to regain control over specific facets of their life that they tend to appreciate. I really wanted to know are people really going back to analog or is it just a few esoteric performative males in Bushwick? Driven by a lot of celebrities of course who are now musicians who are now selling vinyl, we are actually seeing quite a bit of increase in vinyl sales. So between 2024 and 2025, 20% increase in vinyl sales in The UK, in the world 13.7%. I'll try to find a breakdown of this to put on the further slides but I do think a lot of these are driven by Taylor Swift. Now the other mediums, specifically discs and CDs, we are seeing decreases overall in CDs and same for discs in The U. S. And The U. K. This seems to be kind of focused mainly on vinyl. A theory here, hypothesis rather, is that the vinyl actually has a dual purpose. If you go to a house of a young aesthete, now the vinyl may actually be on the wall.
00:40:05 · Ruby Justice Thelot
They might not even have a record player. But the vinyl because it has a cover art and it is quite large serves a dual purpose of supporting the artist, having the physical copy of the thing, but also can be hung especially if you love the album cover. And so the role that might have been played by a poster I think now is played by the vinyl and there is quite a bit on Amazon. There is like these small kind of like hanging shelves where you can just put the vinyl on your wall and you can see a lot of things on Pinterest where people like up a whole wall just with the vinyls. So presumably once you've hung your vinyl at that stage when you've it's on a wall, like, well organized and it's going all the way to the ceiling, you're not gonna bring it down to play it on your record player. It is really there as a as a beautiful image. Right? And it so happens to have a record within it. And so the one thing that I think kind of goes against the analog revival is that we're still not seeing this across all the different modes of music listening. Right? Music streaming is still about 82% of all music revenue whereas vinyl is about 9%. CD shipments are slightly up but overall, right, DVDs are only still 1% of all the home video market. I mean, companies like Criterion, of course, are still doing great selling DVDs and true fans, I would say, like cinephiles are often I think buying these CDs and people love The Criterion Closet. But it hasn't had a full impact or a full transfer into actual consumer behavior in that specific realm. And one of the stats I thought was most interesting in that specific question is that I think a lot of merchandisers expected people to buy more physical media as you will. This is fascinating. There were more CDs and vinyls shipped to shops than were bought by shoppers. Meaning the shop owners, right, Amoeba, whoever it is, probably saw the same reports that we read. They probably of course saw the news about the analog revival and said, Okay, let me catch the wave here and let me buy enough vinyls that I can supply my consumers who are going to want to buy them as we say. However, the one thing that sort of of goes against the analog revival thesis is that they have not been by and large bought by the shoppers. You can see this here. Shoppers only bought 16% of the CD shipments and vinyl the gap is even wider.