Alex Vacca Profile picture
Aug 20 17 tweets 5 min read Read on X
Meta, Google, and Microsoft all use encryption built by the same 50-person nonprofit.

Zero revenue from 2 billion users. The founder uses a fake name. And when the FBI subpoenaed them, they only provided 2 pieces of data.

Here's how a non-profit secures the internet🧵
In 2013, a tiny nonprofit had just 3 developers building encrypted messaging that no government could crack.

Their leader went by "Moxie Marlinspike" - not his real name.

WhatsApp founders were tracking their journey. Image
2014: WhatsApp sells to Facebook for $19 billion.

But the founders, Brian Acton and Jan Koum, are privacy hardliners. They partnered with Moxie's 3-person nonprofit to integrate military-grade encryption.

Facebook had no idea what was coming... Image
For 2 years, WhatsApp quietly rebuilds its entire messaging system around their protocol.

April 2016: 1B users wake up to this notification:

"Messages are now secured with end-to-end encryption"

A 3-person nonprofit just protected 1/7th of humanity.

Then the FBI showed up...
2016: FBI subpoenas Signal for user data in a criminal case.

Signal's entire response:
- Date account created
- Last connection time

That's it. No messages. No contacts. No call logs.
They literally CAN'T provide what they don't have.

Every tech giant was watching. Image
July 2016: Facebook Messenger adds Signal Protocol
2016: Google integrates it
2018: Skype adopts it

Trillion-dollar companies all chose the same nonprofit's encryption.

Why? Because Signal invented something thought impossible...
The "Double Ratchet" - a method where every single message gets a unique encryption key.

Think of it like a lock that changes itself after each use.

Crack today's key? You get ONE message. That's it.

But the real magic is what happens if you get hacked... Image
"Post-compromise security" - if a hacker steals your keys RIGHT NOW, Signal's protocol heals itself.

After a few messages, they're locked out again. The system literally repairs its own security breaches.

But Facebook didn't want this, which led to a cold war. Image
2017: Facebook was pushing to monetize WhatsApp. Add ads. Mine data.

Essentially...break the privacy promise.

Brian Acton fought back. He wanted to uphold privacy, but ultimately loses.

He faced a choice: Stay and collect $850 million in unvested stock, or walk away...
Acton walks.

Leaves $850 MILLION on the table rather than betray user privacy.

2018: He takes $50 million of his own money and creates the Signal Foundation with Moxie.

Zero ads. Zero data collection. Zero investors. How do they survive? Image
No ads. No data collection. No shareholders. Pure nonprofit.

Running Signal costs $50M/year:
20 million gigabytes of bandwidth
SMS verification codes
50 employees

Jack Dorsey sends $1M annually. Users donate $5/month.

When governments tried to break them, Signal drew a line... Image
UK's Online Safety Bill demanded apps scan encrypted messages for illegal content.

Signal's response: "We'll leave the UK before we break encryption."

WhatsApp backed them. The UK government had to choose. Image
UK backed down.

They admitted the technology to scan encrypted messages "doesn't exist" without destroying privacy.

A 50-person nonprofit made the British government blink.

But Signal's already fighting the next war.
2023: Signal implements quantum-resistant encryption.

Why? Adversaries are recording messages TODAY to decrypt in 10+ years when quantum computers arrive.

Signal's PQXDH protocol uses dual encryption. Even future quantum computers can't break both. Image
The entire Signal Protocol is open source.

Any researcher can verify it. Any competitor can copy it.

Total transparency. Zero security through obscurity.

That's how a nonprofit accidentally secured the internet...
Thanks for making it to the end!

I'm Alex, co-founder at ColdIQ. Built a $6M ARR business in under 2 years.

We're a remote team across 10 countries, helping 400+ businesses scale through outbound systems. Image
RT the first tweet if you found this thread valuable.

Follow me @itsalexvacca for more threads on technology, outbound and GTM strategy, AI-powered sales systems, & how to build profitable businesses that don't depend on you.

I share what worked (and what didn't) in real time.

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More from @itsalexvacca

Sep 14
Three German brothers emailed eBay in 1999: "Let us run Germany for you."

eBay ignored them. So they cloned eBay, called it Alando, and made it so big that 100 days later eBay had to buy it for $43 million.

But what happened next was even more interesting... Image
The brothers - Marc, Oliver, and Alexander Samwer - turned this into a formula:

> Find successful US startups that hadn't expanded to Europe.
> Copy them exactly.
> Scale faster than the originals could expand.
> Sell it back to them or dominate.

They did this 100+ times. Image
The wildest was Airbnb. Brian Chesky flew to Berlin to meet their clone "Wimdu."

He walked into a converted factory with hundreds of people at desks. Each had two monitors: on the left, Wimdu on the right.

Copying every pixel change in real-time. Airbnb.com
Read 8 tweets
Sep 10
Everyone thinks Apple is losing the AI race.

But Apple made their Neural Engine 60x more powerful.
Its M4 chip processes AI inputs 2X faster than rivals.

And they're quietly using the picks and shovel strategy used by Levi's during the California Gold Rush.

Thread Image
Image
Let's first go back to 1849.

A news headline about California having a lot of gold broke out.

Hundreds and thousands of people rushed to California digging for gold.

But most of them died or went completely broke.

However, there was a guy named Levi Strauss...
Levi Strauss noticed that the real money wasn't in mining gold.

It was in selling the tools every miner desperately needed.

So he started selling the picks, shovels, and pants to these miners.
(Levi's still has the logo that spoke to these miners)

But this doesn't end here... Image
Read 24 tweets
Sep 9
Everyone's freaking out about Microsoft's deal with Nebius for $19.4 billion.

Two years ago, the same company was sanctioned and delisted from Nasdaq.

The founder fled from Russia with 1,300 engineers after condemning Putin's war.

Here's the wild story:
Microsoft's deal sent Nebius from $64 to $90 in hours.

$19.4 billion through 2031. That's 13x what Nebius made in all of 2024.

Microsoft had no choice though. They'd just lost their main GPU supplier to OpenAI... Image
But before we get to Microsoft's mess, you need to first meet Arkady Volozh, Yandex founder turned Nebius' CEO.

1989, working at a Soviet pipeline institute, he starts building search algorithms. Launches Yandex in 1997.

By 2021 he'd built something that made Google nervous... Image
Read 21 tweets
Sep 7
Pentagon can't operate without it.
Netflix can't stream without it.
And banks can't trade without it.

Yet most people have never heard of Akamai.

How a $11 billion company operating on a 25-year-old mathematical equation secures 2 trillion of your interactions 🧵 Image
In 2024 alone, Akamai blocked 311 billion web attacks (that's 850 million attacks per day)

But the irony is that the Israeli commando who co-founded Akamai was the first victim to be stabbed on the 9/11 flight.

While Danny Lewin was dying, his algorithm was being tested... Image
After the 9/11 attacks, news sites started crashing.

Billions of people wanted to know what was happening and flooded these websites.

However, few websites which worked on Akamai's math stayed online.

But how does the math running 30% of the internet actually work? Image
Read 17 tweets
Sep 4
We can now read AI's personality like a brain scan - and change it with basic arithmetic.

Anthropic proved traits like evil and hallucination are just mathematical patterns in neural networks. You can literally add or subtract it.

Here's how you do it🧵 Image
When an AI lies, specific neurons fire in a pattern. Same when it's helpful or deceptive.

Like finding what makes someone angry by comparing their brain when calm vs furious.

Take the difference between "lying AI" and "honest AI" brain patterns. That's the lying vector. Image
These patterns light up before the AI responds so we can predict behavior before it happens.

To find any trait, just describe it in plain English. The system finds the neural pattern automatically.

But why do AIs develop deception at all? Image
Read 16 tweets
Aug 29
Masayoshi Son had lost $59B in 24 months.

The worst venture capital failure in history. Softbank's fund became a laughingstock.

He had broken down: "I'm 65 and haven't done anything."

3 years later, Softbank is up by 189% and betting $500B on building ASI.

A thread🧵
So get this.

Vision Fund losses:
2022: $27.4 billion destroyed
2023: $32 billion destroyed

$59B gone in 24 months. For context, that's more than the GDP of Slovenia. The largest venture capital failure ever.

And one investment was the main culprit. Image
WeWork alone destroyed $16 billion.

Son pumped money into Adam Neumann's company at a $47 billion valuation. Called it a "revolution."

November 2023: Bankruptcy.
SoftBank's damage: $11.5 billion equity losses plus debt.
Son: "I am embarrassed and ashamed." Image
Read 22 tweets

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