The Coolest Kickstarter ever raises over $13 million

NEW YORK (CNNMoney)

The Coolest Cooler (yes, a cooler) raised $13.3 million in its 52-day run. The previous record holder, the Pebble smartwatch raised $10.2 million in 2012.

Why have more than 60,000 people contributed to a cooler campaign?

Well, this cooler includes a blender, waterproof bluetooth speaker, USB charger, cutting board and bottle opener -- a "portable party," according to founder Ryan Grepper of Portland, Ore.

And those who pledged enough ($165 or more) will save at least $130 on the cooler, which will retail for $299.

Related: The 13 most WTF gadgets

Those who contributed less can still get in on a piece of Kickstarter history: A $25 contribution earned a Coolest-branded reusable party cup and a drink guide; for $55, backers receive the party cup plus a "Keep Calm and Blend On" tee.

And for the first eight backers who contributed $2,000, Grepper will fly out and help them host a tailgate party with the Coolest (before its available to backers in February 2015).The record is impressive by any measure, but the last couple days have been a whirlwind: Backers contributed over $2 million in 24 hours.

The rush to contribute in the final days isn't all that shocking to Jason Greenberg, PhD and assistant professor at New York University's business school.

"This is something we tend to see in cultural settings where the 'rich get increasingly richer,'" said Greenberg. "A firm end date and time can precipitate this."

But it adds more pressure to satisfy consumer expectations.

"Bigger capital raises entail bigger expectations and scrutiny," said Greenberg.

Grepper is acutely aware of this obligation.

"I feel personal responsibility to each backer that has supported me and am committed making the Coolest live up to its name," said Grepper.

Related: Water balloon lovers pledge $645,000 on Kickstarter

The success of the Coolest is perhaps all the more surprising because this isn't its first time around the Kickstarter block.

Grepper unsuccessfully tried to raise $125,000 for similar model In November 2013 (he only earned $100,000),

"My confidence was pretty low because of the first campaign," said Grepper.

But a combination of seasonality (launching the campaign in July vs. November), more supporters and an improved design helped him get far more than his $50,000 goal this time around.

Setting the bar so low -- and meeting it within 36 hours of launching -- has helped him get ahead on production. He's currently in the process of locking in a final design and securing a factory to produce the coolers (which will be available in three colors: Margarita, Blue Moon and Coolest Orange).

Related: These startup ideas are money magnets

So, are the millions raised any indication of how it'll fare post-crowdfunding?

They could be.

"We've seen more and more angels and investors using [Kickstarter] as a minor league in terms of [gauging] customer demands," said Greenberg.

Grepper said he's already been contacted by "many" retailers who are interested in working with him to sell the product.

According to PrivCo, a financial data provider on privately-held companies, U.S. cooler sales totaled $635 million in 2013.

Igloo Products Corp "dominates" the market, according to Matt Turlip, senior analyst at PrivCo. The company, which ACON Investments bought from J.H. Whitney & Co. earlier this year, owns 53% of the full-size cooler market.

"Maybe in a year or two, the Coolest can hope to compete," said Turlip.

First Published: August 29, 2014: 9:19 PM ET

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A&E deal would price Vice at $2.5 billion

Vice's co-founder Shane Smith has said he wants Vice to be the "next CNN" and "next MTV."

NEW YORK (CNNMoney)

Vice Media is in talks with A&E about a deal that would value it at more than $2.5 billion, according to a Vice spokesman.

A&E would buy a 10% stake in the company.

Vice would also create content for the A&E cable networks, according to a person with knowledge of the negotiations.

Its online content, magazine and HBO series, called Vice, specifically targets millennials.

On YouTube, the Vice channel has nearly 5 million subscribers. Its most popular video, "First Animal to Survive in Space," has 12.1 million views, followed by "The Biggest Ass in Brazil," which has been viewed 10.6 million times.

A&E, which also owns the Lifetime and History channels, is buying the stake to gain digital exposure.

Flipboard: Future of Media

A&E is jointly owned by Disney (DIS) and the Hearst Corporation. An A&E spokesman declined to comment.

Time Warner (TWC) was also interested in buying a stake in Vice, but those discussions are now over, according to a person familiar with the negotiations. (Time Warner owns CNN.)

This isn't the first time Vice has attracted investment from an established media company. Rupert Murdoch's 21st Century Fox paid $70 million for a 5% stake last year.

Vice's other minority shareholders include marketing services firm WPP, The Raine Group and former Viacom (VIA) chief executive Tom Freston.

The company's co-founder Shane Smith has said he wants Vice to be the "next CNN" and "next MTV."

First Published: August 29, 2014: 8:41 PM ET

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Sports betting vs. the stock market

NEW YORK (CNNMoney)

They both believe they can predict the future, and they sometimes fall into the trap of making decisions with their hearts instead of their brains. And of course, they both hate to lose.

But don't let those similarities fool you. Gambling on sports may be more fun, but it's definitely a more risky use of money than putting it in the stock market.

In the long run, investors have the chance to make more money because there are fewer downside risks.

To put it another way, the stock market is a lot more forgiving than the MGM Grand (let alone your local sports bookie).

"A lot of people regard investing as gambling, but I frequently say no. Which casino in Atlantic City, Las Vegas or Macau pays the bettor 73% of the time?" said Sam Stovall, chief investment strategist at S&P Capital IQ.

That's the percentage of time that Stovall's research shows the S&P 500 -- the gold standard in the stock market -- has increased in value during the years since 1926.

Those are pretty good odds.

Related: 4 reasons September could be good for stocks

The betting appeal: Americans bet an estimated $380 billion each year on sports. It's easy to see why fans may be tempted to gamble on their favorite teams and athletes. Gambling on football star Peyton Manning to win might seem like a safe bet, especially compared with picking winners in the stock market.

"You're making a wager based on some facts and some intuitions. And in neither instance can you be guaranteed to be correct," said Randall Fine, managing director of The Fine Point Group, one of the casino industry's largest consulting firms.

Manning is really, really good at what he does for a living. Heck, even his commercials are funny.

But take it from one person who has lots of experience in both worlds.

"Betting is more difficult and riskier," said one resident of Hoboken, New Jersey, who bets on illegal gambling sites and also invests in stocks. He asked for his identity to be withheld due to legal concerns.

"A large, steady company has a low chance of plummeting and causing you to lose all your money, but even Peyton Manning doesn't cover the spread sometimes," he said.

All or nothing: Gambling on sports tends to be a zero-sum game. A bettor gambling on the Green Bay Packers will instantly lose his or her entire $500 bet if Aaron Rodgers and his teammates fail to win or cover the spread.

However, someone sinking $500 into Apple stock has little risk of losing that entire initial investment, especially in the short term. The stock might go up and down some, but it typically doesn't go to zero.

Related: Apple and 9 other stocks hit new records

Investors also have the ability to spread their money out among many stocks. People often invest in funds that buy dozens or even hundreds of stocks, which helps reduce the risk.

And investors have greater access to tools that can minimize the risk of losing money. For example, a stop-loss order instructs a broker to dump a stock when it tumbles below a specific price.

Such hedging tools are not as readily or even feasible to sports gamblers, Fine said.

At the same time, investing in stocks actually carries higher upside potential. While many stocks offer steady returns, investors sometimes hit the jackpot (think: buying Apple back in early 2009 or Tesla in 2012).

Related: How $2 billion Clippers bet could pay off

Gamblers and investors also have far different time horizons.

A stock can theoretically be held onto for an infinite amount of time, but a sports bet can end in the blink of an eye.

Even the unlucky investors who jumped into the market at its peak in October 2007 eventually made their money back when stocks reclaimed their pre-recession levels in 2013.

The same can't be said for those who bet big on the Denver Broncos last Super Bowl.

"You can hold onto your betting tickets all your life, but you're not going to get squat," said Stovall.

First Published: August 31, 2014: 8:14 AM ET

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Indian economy gets a jolt

India's quarterly growth data was stronger than expected.

HONG KONG (CNNMoney)

This is the strongest quarterly growth in over two years and it comes as the first 100 days of Narendra Modi's term as prime minister come to a close.

Modi has eagerly attacked the myriad of challenges facing Asia's third biggest economy, whose annual growth failed to top 5% last year.

Meanwhile, investors have been optimistic that Modi's efforts to pull India out of its malaise will succeed.

The Indian rupee has strengthened by more than 2% so far this year versus the U.S. dollar. The benchmark Mumbai Sensex index has increased by 26% over the same period.

In India, structural reforms have run afoul of political gridlock. Analysts say India needs to simplify its tax code, encourage foreign investment and streamline agricultural production.

Related: India move halts $1 trillion trade deal

In the run-up to his election, Modi emphasized his management credentials. He campaigned on a record of low unemployment and high foreign investment in Gujarat, the state he led since 2001.

He promised to end policy paralysis, reduce inflation and tackle corruption. He also pledged to establish manufacturing hubs and industrial corridors and improve the tax code sector.

"Whilst Modi is not quite living up to the pre-election hype, we still think good progress is being made, and expect further healthy growth for the economy this year," said Craig Botham, emerging markets economist at Schroders in London.

Related: Japan's economic revival is in jeopardy

Modi has made banking sector reform one of his priorities, launching a program this week called "People's Wealth Scheme" that aims to bring tens of millions of Indians without bank accounts into the system.

While there are no great alternatives, the quality of India's GDP statistics leave something to be desired. The data are not seasonably adjusted, and large revisions are routine.

--CNNMoney's Alanna Petroff contributed to this report.

First Published: August 29, 2014: 8:40 AM ET

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Slow Comcast speeds were costing Netflix customers

Netflix told the FCC that calls made to its customer support center about slow-loading videos on Comcast's network more than quadrupled late last year.

NEW YORK (CNNMoney)

That's according to a petition Netflix filed to the Federal Communications Commission this week in opposition to Comcast's (CMCSA) proposed mega-merger with Time Warner Cable (TWC).

In February, Netflix reluctantly agreed to pay Comcast to directly connect to its network. Prior to the direct connect, Netflix delivered its videos to Comcast customers via third parties, including Cogent Communications (CCOI). But Comcast customers experienced abysmal Netflix speeds -- among the worst in the country.

Netflix speeds became so slow in December 2013 and January 2014 that customers grew irate, Netflix said in its petition. Calls made to Netflix's customer support center about slow-loading videos more than quadrupled during those months.

"For many subscribers, the bit rate was so poor that Netflix's streaming video service became unusable," the company said. "Some of them canceled their Netflix subscription on the spot, citing the unacceptable quality of Netflix's video streams and Netflix's inability to do anything to change the situation."

Related: Netflix to increase subscription prices

"We had to do something to make the congestion stop," the company added.

After its February agreement, Netflix speeds have soared on Comcast's network. The company has since entered similar deals with AT&T (T, Tech30), Verizon (VZ, Tech30) and Time Warner Cable.

Netflix and its CEO Reed Hastings have become outspoken critics of those direct-connect deals, accusing the Internet service providers of shakedown tactics.

Writing in Wired last week, Hastings said that Internet users will "never realize broadband's potential if large ISPs erect a pay-to-play system that charges both the sender and receiver for the same content." He has called on the FCC to ban broadband companies from charging content providers like Netflix to connect to their networks.

The Internet companies counter that Netflix plays an outsized role in network congestion, accounting for around a third of data consumption online during peak hours, and Netflix should therefore help foot the bill for delivery.

Related: Comcast's latest location is on campus

First Published: August 29, 2014: 10:18 AM ET

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A dozen McDonald's outlets closed in Russia

12 McDonald's outlets are closed in Russia

LONDON (CNNMoney)

Russia's consumer watchdog agency is forcing the American fast-food chain to temporarily close eight more outlets across the country over accusations of sanitary violations, bringing the total closure count to 12. All are owned by the company.

Earlier in the month, the regulator made McDonald's (MCD) close four restaurants, including its flagship outlet in Moscow that first opened to the public in 1990.

It's widely suspected that the closures are politically motivated. Many American and European companies are under pressure in Russia as Cold War-style tensions make it increasingly difficult for Western brands to operate.

McDonald's said it would be appealing the court decision to keep the first four restaurants closed, and was reviewing all the regulator's concerns as it tries to re-open its outlets.

"Our main priority is to serve our customers with top-quality menu items," said a McDonald's spokesperson. "We have extremely high standards in Russia, just like all our restaurants around the world."

The Russian regulator -- Rospotrebnadzor -- will continue to conduct checks at McDonald's restaurants across the country over the next few months, said the spokesperson.

Related: Jack Daniel's getting smacked in Russia

This comes a week after the same Russian agency said it found sanitary issues while conducting tests on Jack Daniel's Tennessee Honey whiskey. Batches of the whiskey were reportedly withdrawn from some stores.

Brown-Forman (BFA) -- the maker of Jack Daniel's -- "vehemently" denied that there was anything harmful in its products and said it had not been contacted by Russian officials about any issues.

"At Jack Daniel's we take consumer satisfaction seriously. If Rospotrebnadzor has the same view, they will work with us to resolve this issue quickly for the benefit of Russian consumers," said Brown-Forman in a statement.

First Published: August 29, 2014: 10:39 AM ET

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Dollar General still wants to buy Family Dollar

Dollar General reported earnings today and reaffirmed its interest in buying rival budget-retailer Family Dollar.

NEW YORK (CNNMoney)

While announcing second-quarter earnings Wednesday, Dollar General's (DG) CEO reiterated his intentions.

"The financial benefits of our offer to Family Dollar shareholders is indisputable, and the proposed combination would unlock tremendous value for Dollar General shareholders," said Rick Dreiling in a statement. "We continue to believe the potential antitrust issues are manageable and that our transaction as proposed is both superior and achievable."

Family Dollar (FDO) last week rejected Dollar General's near $10 billion offer, deciding instead to stick with an $8.5 billion bid from Dollar Tree (DLTR). One of the reasons Family Dollar cited for rejecting Dollar General's offer were antritrust concerns about getting the deal done.

Combined, Family Dollar and Dollar Tree would have more than 13,000 stores and annual revenue of $18 billion. That would surpass the current leader in the dollar-store sector, Dollar General, which has more than 11,000 stores and revenue of $17.5 billion.

Dollar General's second-quarter earnings met analysts' expectations, rising to 83 cents a share from 75 cents a year earlier. But revenue was lighter than expected at $4.72 billion.

Dollar General said its most significant growth was related to tobacco products, perishables, and candy and snacks.

First Published: August 28, 2014: 10:24 AM ET

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Fantasy football's chic alternative

(Left to right) Stephanie Lozito, Andrew Nyman, Greg Johnson and Katey Johnson

NEW YORK (CNNMoney)

A new startup offers the competition of fantasy football -- brackets, voting, prizes -- for those whose sport of choice is, well, shopping.

The idea behind BattleShop was sparked more than two years ago while two Long Island couples were chatting about the addictive nature of fantasy sports. Those who aren't sucked into that world (mainly women) are left alienated.

They were right: According to the Fantasy Sports Trade Association, 41 million people in the U.S. and Canada played fantasy sports this year -- and 80% were men.

The two couples (Stephanie Lozito and Andrew Nyman, and Katey and Greg Johnson) brought on Nyman's parents Rosemary and Steven, who has a tech background. Together, they came up with a game that would take the competitive nature of fantasy sports and tailor it for something most women love: shopping.

"We anticipated a need for women who do these things already: they collect, share, shop, pin ... but there has yet to be a way to gamify [that]," said Stephanie Lozito, CEO and co-founder of BattleShop, which launched in June.

Related: Secrets to success from Smalltown USA

With a simple signup, users compete against one another on BattleShop's website by building out the ultimate closet instead of a team. They "draft" clothing, footwear and accessories instead of sports players to create a winning wardrobe.

Every Saturday at midnight, there's a new theme announced: like Glamping, Wedding Chic and Back to School, which is this week's theme.

There are 12 different articles of clothing or accessories that must be filled without going over a certain amount (there is an option to buy BattleBucks if you can't resist the urge to splurge).

BattleShop users tailor their closets to the weekly theme

Once users complete their closet, they're placed into a five-person "voting league," where users vote on whose closet is the most fashionable. In the "finals," users have 24 hours to campaign for votes for their closet on social media. The top three winners are awarded $100, $50 and $25 American Express gift cards.

"If you're creating a style or fashion board on Pinterest, you could be doing that on BattleShop ... and winning money," said Lozito.

Related: These startup ideas are money magnets

They declined to disclose how many people are using the site, but said they get 5-6 new users a day. They're spending an average of 15 to 25 minutes on the site per visit -- and coming back at least twice a week, to create a closet and vote.

That's a tiny amount of time compared to the average fantasy sports player, who spends 8.67 hours on their hobby each week, according to FSTA.

But part of BattleShop's appeal is that users can pick when and how much they want to play. If you miss a week, you can just sign up for the next.

Lozito and Katey Johnson, who's the chief operating officer, say they're continually evolving the site and the brand.

"We text and email probably 45 times a day," said Johnson, of her and Lozito (who are both moms to school-aged kids).

Related: Best cities to launch a startup

Lozito said they're attracting a growing number of millennial users -- a prime advertising target. And as the user base grows, there's potential to monetize the brand -- especially for prizing sponsorships and themed brackets.

They see endless opportunities.

"We are thinking six, nine, twelve months out ... We could do men, babies next," said Lozito. "Any kind of online shopping can be gamified."

First Published: August 28, 2014: 10:22 AM ET

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Spider webs cause car recall again

The Suzuki Kizashi is the latest car to be recalled due to problems caused by spiders.

NEW YORK (CNNMoney)

Suzuki became the fourth Japanese automaker forced to recall cars because of problems caused by spiders spinning webs inside of the cars.

In 2011 Mazda and Honda Motor (HMC) were both forced to recall cars because of spider-related problems, followed by an even larger recall of 870,000 cars by Toyota Motor (TM) in 2013. Mazda had another spider-related recall of 42,000 cars earlier this year.

The Suzuki recall covers 19,000 of its Kizashi sedans from model years 2010 to 2013. In this case, spider webs were found in the vent line from the fuel tank. That can cause pressure problems in the tanks and lead to cracks and potential fires.

But Suzuki told U.S. safety regulators that it is not aware of any accidents or injuries that have been caused by the problem.

Related: What recalls say about car safety

Suzuki will pay for the repairs even though the company pulled out of the U.S. market last year following years of weak sales.

First Published: August 28, 2014: 10:45 AM ET

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Amazon is eating Best Buy's lunch

NEW YORK (CNNMoney)

The electronics retailer reported quarterly sales Tuesday morning that were lower than a year ago and below Wall Street's expectations. The main culprit? Tough competition from online retailers.

"We continued to see a shift in consumer behavior: consumers are increasingly researching and buying online. As a result, traffic to our brick and mortar stores continued to decline," said Best Buy CEO Hubert Joly.

Shares of Best Buy (BBY) fell as much as 6% in early trading following the news.

Best Buy, which was one of the top performing stocks in the S&P 500 in 2013, has pulled back sharply this year.

Investors were hopeful last year that Joly, who joined Best Buy in August 2012, would be able to get the company's sales growing more consistently again.

Can Best Buy turnaround? But even though Best Buy did report profits that topped consensus estimates, there are now questions about whether he can execute a turnaround strategy.

Simply put, Best Buy is the victim of a phenomenon known in the retail industry as "showrooming." Consumers may go to Best Buy stores to check out TVs, smartphones or tablets ... only to buy them online instead from Amazon (AMZN, Tech30) or other e-commerce sites.

Related: It's a gamer thing: Amazon buying Twitch

Still, some of my Twitter (TWTR, Tech30) followers thought that Best Buy's problems are deeper than just tough price competition.

"I think what Joly really means is 'horrible in-store customer service is our problem,'" wrote Rob McGahen.

Making matters worse? Does anyone buy DVDs anymore? You could argue that Netflix (NFLX, Tech30) and other streaming video services are as big of a threat to Best Buy as online shopping for higher-priced gadgets.

"$BBY has too much real estate. Wait until DVDs are no longer around, leaving 1/4 of their stores emptier," tweeted Rocking_M.

And Christopher Long added that "they shed music CDs years ago and still don't know how to make center of store profitable."

Now to be fair, Best Buy is in much better shape than other struggling retailers such as RadioShack (RSH), Sears (SHLD), J.C. Penney (JCP) and Staples (SPLS).

Best Buy is profitable. It also has more than $3.1 billion in cash and short-term investments -- up from $1.9 billion a year ago.

Related: Should J.C. Penney close 300 more stores?

Joly and CFO Sharon McCollam, a widely-respected retail veteran who is credited with making Williams-Sonoma (WSM) into an online retailing powerhouse, seem to get that Best Buy must adapt or it may suffer the same fate as former rival Circuit City or Borders. Both of them went out of business -- largely due to the Amazon effect.

Joly noted that visits to Best Buy's website increased even as fewer people went to the actual stores. Online sales in the U.S. rose 22% from a year ago -- the third consecutive quarter of more than 20% growth. That's impressive.

But will that be enough to get Best Buy's overall sales back on track?

McCollam pointed out that part of the problem for Best Buy is that there aren't really that many exciting, new, must-have devices out there. That may sound like an excuse. But I think there's a grain of truth in it.

Unless Apple (AAPL, Tech30) really blows consumers away with the upcoming iPhone 6 launch, there may not be a compelling need for that many people to buy new smartphones between now and the end of the year.

Related: Be wary of no money down iPhone 6

So while it's true that Best Buy has been doing a better job of offering products at a competitive price lately, the company is at the mercy of the Apples, Samsungs and LGs of the world. It's only worth shopping at Best Buy if you actually have a need to buy a new phone, tablet or TV in the first place.

First Published: August 26, 2014: 9:52 AM ET

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Home prices rising, but slowly

Year-over-year price gains have slowed.

NEW YORK (CNNMoney)

National home prices rose 6.2% this spring, compared to the same three months last year, according to the S&P/Case-Shiller national home price index.

Prices in the index's 10 and 20 city measures rose at a slower year-over-year pace in June alone, with every city reporting lower gains -- the first time that's happened in more than six years. Both city indexes rose 8.1% on an annual basis.

Related: Best cities for Millennial homebuyers

Recent housing market data has sent a mixed message. The number of new homes sold dropped in July for the third straight month. But existing home sales rose in July to an annual rate of 5.15 million units, the highest level in 2014. Housing starts and builder sentiment have also been positive.

"Taken together, these point to a more normal housing sector," said David Blitzer, spokesman for S&P.

Related: In some markets all cash deals still rule

Las Vegas recorded the largest year-over-year increase of any city in June, 15.2%. San Francisco, Miami and San Diego also reported strong gains. Cleveland prices were almost flat and price increases in Charlotte, N.C., New York and Washington also trailed the larger index.

First Published: August 26, 2014: 9:14 AM ET

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Don't wait! Trade in your old iPhone now

NEW YORK (CNNMoney)

The trade-in value of an old iPhone declines sharply before the launch of each new one, and Apple (AAPL, Tech30) is expected to unveil the iPhone 6 in just a couple of weeks -- on Sept. 9.

In the past, prices for old iPhones have dropped 20% a month before and after the company's announcement, according to Gazelle, a company that will buy your old iPhone from you.

The company calls Apple's launch day, which typically happens in September, "Gazelle Christmas," said Alyssa Voorhis, the company's senior tech analyst.

Related: Apple recalls iPhone 5 for battery woes

As of Tuesday, a customer could fetch up to $290 for a 16 GB iPhone 5S in good condition. Prices vary depending on what carrier it supports.

This year, Gazelle is allowing customers to lock in a guaranteed price for their older iPhone now and send it to Gazelle later, after buying the new version. So don't worry, you won't have to be left without a smartphone while waiting for the iPhone 6.

A growing number of people are figuring out that their old gadgets are worth some cash. The company has a 125% jump in trading-in customers this year, compared to last year. On Aug. 18, the first day customers could lock in a price at Gazelle, the company made more than two price offers every second.

A lot of the increase is due to a growing awareness of the service, said Voorhis. But there may be another reason Apple fans are ready for an upgrade this year. It's likely the new version will have an entirely different body.

"Historically, there's a lot of excitement when that happens," Voorhis said.

Related: Wal-Mart slashes prices on 5S and 5C ahead of iPhone 6 launch

Related: This is the new USB connector - and it's reversible!

First Published: August 26, 2014: 10:21 AM ET

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Silicon Valley comes to Iowa

An aerial view of the Facebook data center under construction in Altoona, Iowa.

NEW YORK (CNNMoney)

These massive facilities are filled with servers and other equipment that keep Web-based services running.

Microsoft (MSFT, Tech30) announced plans in April to build a $1.1 billion data center outside of Des Moines, while Facebook (FB, Tech30) will have one opening in the nearby town of Altoona early next year. Google (GOOGL, Tech30) has a facility in Council Bluffs, and there are more than a dozen others operated by smaller companies as well.

"We've really made a value proposition to data centers," said Debi Durham, director of the Iowa Economic Development Authority. "When Microsoft and Google and Facebook are all here, people take notice."

Why Iowa?

The state has an abundance of cheap renewable energy. Iowa's commercial energy prices are nearly 20% below the U.S. average, and the state generates a significant portion of its power from wind farms.

That's important for tech companies, because data centers consume a massive amount of power.

Related: Why Facebook is stockpiling Blu-ray discs

In the United States, data centers are responsible for more than 2% of the country's electricity usage, according to researchers at Villanova University. If the global cloud computing industry were considered to be a single country, it would be the fifth-largest in the world in terms of energy consumption, according to Ed Turkel of Hewlett-Packard's Hyperscale Business Unit.

Google announced an agreement in April with MidAmerican Energy to power its Iowa facilities entirely with renewable wind energy, and Facebook plans to do the same.

There's also the favorable environment for delivering power. Iowa isn't subject to rolling blackouts. While there's the occasional tornado, the state isn't at risk of earthquakes or hurricanes that could take the data centers offline.

Then there's the Google effect. Iowa offers a host of tax credits and other incentives to companies looking to build data centers. The credits were signed into law following approaches from the search giant, which announced plans to construct in Iowa in 2007.

"Google was the first to market in Iowa, and it's not uncommon in Iowa to get someone coming in saying, 'There is a value proposition, but if you did this, it would be better,'" Durham said.

Rather than extending credits specifically to Google, the state passed legislation offering sales tax rebates on electricity, computers, power infrastructure and cooling equipment purchased for use in data centers. There's also no property tax added for computers and other technical equipment at the facilities.

Related: Google snoops on Gmail to catch pedophiles

A Google spokesman said the company "picked Council Bluffs because it has the right combination of energy infrastructure, developable land, and available workforce for the data center."

The facilities don't generate a great deal of direct jobs. Google's facility has 200, according to the Iowa Economic Development Authority, while Microsoft and Facebook will have just a few dozen. The number of jobs at some of the smaller data centers, meanwhile, are in the single digits.

But the data centers offer other benefits as well, said David Maahs of the Greater Des Moines Partnership, an economic development group. Among them: new investment flowing into the state, and indirect jobs in fields like construction. The tax incentives, Maahs added, are similar to those the state has used to build its manufacturing industry.

"We're treating data centers almost like the manufacturers of the twenty-first century," he said.

First Published: August 25, 2014: 10:33 AM ET

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Apple recalls iPhone 5s for battery woes

Certain iPhone 5 smartphones are eligible for free battery replacements, Apple says.

NEW YORK (CNNMoney)

Apple (AAPL, Tech30) said "a very small percentage" of iPhone 5 smartphones may "suddenly experience shorter battery life or need to be charged more frequently."

Don't get too excited just yet. After a year or two, everyone's iPhone battery seems to carry less juice than it once did. But Apple's repair program is limited to certain customers in the United States and China.

Only iPhone 5 smartphones sold between September 2012 and January 2013 are eligible, and only those that fall within a certain range of serial numbers. Apple has opened a website that allows people to determine whether their phones are eligible. (To access your serial number, tap Settings > General > About > Serial Number).

Apple announced an even smaller iPhone 5S battery recall program last year. In June, Apple issued a recall in 37 countries for European iPhone chargers that were overheating.

First Published: August 25, 2014: 9:15 AM ET

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S&P 500 tops 2,000 for first time ever

How long would it take to blow out 2,000 candles? The S&P 500 topped the 2K mark for the first time Monday.

NEW YORK (CNNMoney)

Despite a fair amount of ups and downs over the past few months, the popular index of large companies is up 8% this year. And that follows a nearly 30% surge in 2013.

If you've had your money in the market since 2009, you're likely very happy -- and a lot richer. The S&P 500 is now up more than 200% since this bull market began in March 2009. Many people invest in retirement funds that mimic the S&P 500.

Why stocks are up: You can thank Europe for this latest surge. Comments from the head of the European Central Bank on Friday are driving today's action. Mario Draghi, speaking at conference hosted by the Federal Reserve in Wyoming, hinted that the ECB may do more to stimulate the struggling European economy if deflation gets worse. In other words, the Band-aid is ready.

Related: 3 reasons stocks are still charging ahead

The hope is that the ECB may eventually launch a bond buying plan similar to the quantitative easing (QE) program that the Fed has been conducting since the financial crisis in late 2008.

Many market experts have stated that the Fed's actions are the key driver of the bull run on Wall Street. The so-called QE program has helped keep long-term bond rates low -- which make stocks more attractive and also enable more companies and consumers to take out cheap loans

But the Fed is currently in the process of unwinding its so-called QE plan. So investors seem excited by the fact that the ECB may be finally ready to step up to the plate and pump more money into the global financial markets.

Why you should care: While the S&P 500 may not get as much attention from casual investors as the Dow Jones Industrial Average -- which many people still view as "The Market" -- the S&P 500 is a far more important indicator of how Wall Street is doing. The Dow has only 30 stocks in it and does not include all the big companies that many consumers are more likely to recognize and invest in.

For example, Apple (AAPL, Tech30), Google (GOOGL, Tech30) and Facebook (FB, Tech30) are all in the S&P 500 -- but not in the Dow.

Related: Apple stock sets a new record

And many mutual funds that you own in your 401(k), other retirement plans or a 529 for your kid's college savings are likely to be set up to try and beat the performance of the S&P 500.

Still, is it really all that important when a market index hits a round number? Yes and no.

On the one hand, 2,000 is a new all-time high. So that's significant.

But in the same way that turning 40-years-old is not really all that different from 39, the S&P 500 passing 2K merely suggests that investors still believe stocks are worth buying even as prices climb higher.

It's also important to remember the simple rules of math. As stocks continue to go up, it's easier to hit new milestones. The S&P 500 went up 5.3% on its way from 1,900 to 2,000. But the index will only have to go up 5% from here to reach 2,100 and another 4.8% to go from 2,100 to 2,200.

Who the biggest winners are: A vast majority of the stocks in the S&P 500 are up this year. But what's most impressive is that the biggest gainers come from a wide range of sectors. K-Cup coffee maker Keurig Green Mountain (GMCR) is the top dog in the S&P 500 in 2014. Shares are up 75%.

Related: Coming soon: The official Maxwell House K-Cup

But there are also airlines Southwest (LUV) and Delta (DAL) among the top 15 gainers. So are well-known brand name firms like video game developer Electronic Arts (EA, Tech30), sporting apparel maker Under Armour (UA) and aluminum giant Alcoa (AA). Energy firms Newfield Exploration Company (NFX), Williams Companies (WMB) and Nabors Industries (NBR).

In other words, investors have not had to bet on one market trend to do well this year.

First Published: August 25, 2014: 10:48 AM ET

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10 Western companies getting slammed in Russia

LONDON (CNNMoney)

Many are reporting slower Russian sales and, in some cases, store closures as the Ukraine-Russia conflict drags on. Some have seen their share price get pummeled since the start of the year.

Cold War-style tensions and escalating sanctions are slamming these companies, as American and European leaders blame Russian President Vladimir Putin for the unfolding crisis and violence in Ukraine.

Here are 10 of the highest profile, worst hit companies:

1.McDonald's: Russian officials and regulators have been cracking down on the restaurant chain. Officials shut a handful of popular McDonald's (MCD) restaurants in Moscow this week, and state media report that Russia's consumer watchdog will be conducting checks on outlets as part of a food standards investigation.

Meanwhile, Wendy's (WEN) was recently forced to exit Russia due to what it said was a change in management at its local partner Wenrus. Wendy's had been in Russia since 2011.

2. Coca-Cola: The drinks giant said this week that quarterly sales declined by about 5% in Russia, Ukraine and Belarus. Coca-Cola (KO) blamed "economic instability in the region," but global sales increased by 3%.

3. Carlsberg: The Danish brewer warned this week its annual results will be weaker than expected, as Russian demand dries up. Carlsberg (CABGY) estimated that industry-wide Russian beer sales fell by as much as 7% in the first six months of 2014 due an uncertain economic environment, leading it to also lose market share. Carlsberg beer is the most popular beer in Russia by a wide margin. The company's stock has fallen 15% since the start of the year.

4. Adidas: In late July, the German sportswear company announced it was shutting stores and scaling back expansion plans in Russia. It said that "tensions in the region" had hurt consumer spending, and that the decline in the Russian ruble hurt profitability. Adidas (ADDYY) slashed its 2014 earnings forecast by 20% to 30%, partly because of Russia. Shares have plunged 37% since the start of 2014.

5. Volkswagen: The German automaker blamed an 8% drop in its Russia car sales during the first six months of the year on political tensions, and it said it believes i sales industry wide fell about 25% in July. Volkswagen (VLKAY) shares are down 13% since the start of the year.

6. Ford: A weakening ruble and slower sales in Russia have hurt Ford's (F) bottom line.

7. Renault: The French car maker has warned investors about a sharp slowdown in Russia and other emerging markets. Russia is Renault's (RNSDF) third largest market in terms of sales.

8. BP: The British oil giant BP (BP) owns a large stake in Rosneft, Russia's biggest oil company, and warned that unit will suffer from tougher U.S. sanctions. Investors are also worried about other energy companies, including Total (TOT) and Exxon Mobil (XOM), which have significant ties with Russia.

9. Societe Generale: Profits at the French bank's Russian unit fell 36% in the second quarter.

10. Danone: The French food multinational said first-half results were hurt by a decline in the ruble, and that it was forced to hike prices for some products in Russia due to strong inflation.

-- CNN's Olga Pavlova contributed to this report.

First Published: August 23, 2014: 10:12 AM ET

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Glenn Beck sought out CNN deal, but talks died fast

NEW YORK (CNNMoney)

But the idea fizzled fast and talks aren't expected to resume, according to several people with direct knowledge of the exchange. "The talks were never serious," one of the people said.

Still, Beck's interest -- first reported Friday night by the Wall Street Journal -- is a sign that he is seeking partnerships to help his two-year-old cable channel, called The Blaze.

The Blaze has had a hard time gaining distribution on cable and satellite systems. It is not alone: Many fledgling channels are in similar positions, particularly channels that are not backed by major media companies.

Time Warner (TWX), owner of CNNMoney and CNN, is one of those major media companies. It also owns HBO, TNT, TBS, and other channels, so it has significant leverage in negotiations with distributors like Comcast (CMCSA) and DirecTV (DTV).

That's one of the reasons why Beck's representatives from his media company, Mercury Radio Arts, reached out.

One of the sources compared the proposal to the joint venture between Oprah Winfrey and Discovery Communications for the channel that became OWN. Discovery provided the shelf space on cable systems and Winfrey provided the bulk of the programming for that channel.

Related: Future of media

Another source said Beck's company proposed that it buy a block of time on HLN, a smaller television sibling of CNN. That would have been a homecoming of sorts for Beck, who hosted a nightly show on HLN from 2006 to 2008. But CNN signaled that it was not interested.

The contact from Mercury Radio Arts came after media reports about talks between Time Warner and Vice Media. Those talks, first reported in late June, have also involved HLN. They are believed to be ongoing, though neither of the companies have commented publicly.

Spokespeople for Beck and CNN declined to comment.

When I interviewed Beck for CNN's "Reliable Sources" last month at his headquarters in Irving, Texas, he acknowledged the challenges that independent channel owners face. At the time, I didn't know about his company's outreach to CNN, and he didn't mention any possible partnerships with major media companies.

Related: Glenn Beck's challenge: Getting into your TV

But he spoke at length about his interest in making sure Mercury Radio Arts reaches audiences through television, radio, the Internet, in-person events, and other means.

"I am interested in delivering an experience for people," he said. "And I want to be in every -- in every possible venue."

Beck's channel is arguably the biggest opportunity he has. It originated on the Internet and was picked up by the country's second-biggest satellite television provider, Dish Network (DISH), in 2012. At the time, that was a big coup for Beck.

Since then, The Blaze has struck distribution deals with about 70 smaller TV providers. But the industry is top-heavy, and only two of the ten biggest providers, Dish and Cablevision (CVC), have supported The Blaze so far.

Beck's representatives have declined to say how many of the country's 100 million homes with pay-TV currently have access to The Blaze, which helps to explain his apparent interest in partnerships.

First Published: August 23, 2014: 8:17 PM ET

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Stock market matchup: Yellen vs. Putin

Investors are caught in the middle of Yellen and Putin.

NEW YORK (CNNMoney)

Despite their differences, Federal Reserve chief Janet Yellen and Russian President Vladimir Putin are having big impacts on the stock market these days.

They're not technically in direct competition with each other, but Yellen's speeches and actions tend to move the market up -- or at least keep it steady -- while Putin's moves in Ukraine often spook investors.

Yellen staying the course: In one corner, there's Yellen, who keeps stressing that the U.S. central bank plans to keep interest rates at their historic lows for some time. The Fed's near-zero interest rate policy coupled with its massive stimulus program is widely credited with driving the bull market for the last five-plus years.

Related: Stock market bubble warnings grow louder

Though the stimulus is winding down, there's a perception among investors that Yellen doesn't want to spook the markets and therefore won't raise rates too early. While no exact date has been given, Fed-followers predict a rate bump in summer 2015.

Speaking Friday at a symposium in Jackson Hole, Wyoming, Yellen said the job market hasn't recovered, and that has led to speculation that the Fed will continue to support the economy until it does.

"The Fed is absolutely committed to not doing something stupid," said Brad McMillan, chief investment officer for the Commonwealth Financial Network. "The last thing they want to do is send the economy back into the great recession."

U.S. investors seem to be keeping the faith in Yellen, for now. Despite a pullback earlier this month, stocks roared back last week, with the S&P 500 hitting a record high on Thursday, and the Dow trading back above the 17,000 threshold.

Putin not backing down: On the other side of the "pond," the picture is more bleak. Investors worry that sanctions against Russia will hurt an already fragile European economy.

Related: Putin factor snuffs out European growth

Putin hasn't done much to allay those fears. On Friday, a U.S. defense official with direct knowledge of the latest information said Russia now has up to 18,000 "combat ready" troops on its border with Ukraine.

Also on Friday, Ukraine accused Russia of invading its borders with a convoy that was under the guise of a humanitarian aid mission.

Germany, Russia's largest trading partner, saw its main DAX stock index tumble this month due to concerns about the situation in Ukraine. The index has since recovered some of that lost ground, but McMillan believes the tension with Russia could have a noticeable impact on Europe's economy.

"This could reasonably be the blow that socks them back into a recession," he warned.

Don't discount the economy: Part of the reason Yellen and Putin are front and center on investors' minds is because the U.S. economy seems to be chugging along as a solid pace.

Related: 3 reasons stocks are still charging ahead

There have been decent job gains and robust corporate earnings. Even Yellen has said that if the economy improves faster than expected, or if inflation picks up significantly, the Fed may be compelled to hike interest rates sooner rather than later.

At the same time, many countries in Europe are still grappling with persistently slow growth, high unemployment, and anxiety about possible deflation.

So that means any breakdown in trade with Russia will sting.

Still, there's some hope that the European economy would be boosted by some sort of Fed-style stimulus from European Central Bank President Mario Draghi. If that happens, Draghi may ultimately be more important than Putin.

First Published: August 24, 2014: 8:45 AM ET

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Hypoallergenic nuts to solve nut allergies

NEW YORK (CNNMoney)

Gus had suffered — but luckily survived — anaphylaxis, a potentially fatal reaction. Tests later revealed he had allergies to peanuts and tree nuts, like almonds and hazelnuts, the mere scent of which makes his eyes and throat itch. Now 5 years old, Gus politely refuses his friends' high fives, lest they bear traces of M&M's or other nut-containing products. Hass carries baby wipes everywhere, cleaning every surface within his reach. Yet Gus still suffers a reaction roughly once a month, and he's experienced around 20 anaphylactic episodes besides.

More from Ozy: How does money smell?

Gus knows his allergies can kill him. "He asks tough questions," Hass says. " 'What happens to kids who die from food allergies? Are there food allergies in heaven?' "

At present, no treatment exists for nut allergies. An EpiPen can quell severe reactions, but the only widely accepted preventive measure is vigilant avoidance. It's rarely vigilant enough.

That's why researchers at the U.S. Department of Agriculture have shifted their focus. Instead of treating people who suffer from nut allergies, they're trying to treat the nut. That means "disrupting [the] structure" of nut proteins, says Christopher Mattison, a molecular biologist at the USDA's Agricultural Research Service.

More from Ozy: Crime that pays well unless you're a woman

Understanding how this works requires a bit of biology. Nut allergies typically flare when an antibody in the immune system, immunoglobulin E (IgE), binds to the nut's protein, triggering a reaction. So scientists have devised a clever tactic to trick IgE: modifying the shape of the proteins so the antibody can't recognize them.

To that end, Mattison and his colleagues treated proteins from cashew nut extract — proteins similar to those found in many other nuts — with a combination of heat and sodium sulfite, a chemical often used as a food preservative. Both disrupt crucial chemical bonds that help hold nut proteins intact, basically dicing them into smaller pieces. The researchers then mixed modified and unmodified cashew proteins with IgE from people allergic to cashews.

More from Ozy: Extreme food at state fairs

Sure enough, roughly 50 percent less IgE latched on to the altered proteins, as described in the Journal of Agricultural and Food Chemistry in June — indicating that the modified cashew proteins might at least dampen the severity of an allergic reaction.

But "there's plenty of work to be done before we can extend [this] into ... a practical solution," says Mattison. So far, scientists have only extracts, not whole nuts; at this stage, it's hard to know what a modified nut would taste like. And while the scientists have reduced IgE binding, they haven't eliminated it altogether — which doesn't help patients sensitive to even the tiniest amounts of nut protein.

Still, the possibility excites Hass and others. Peanut and tree nut allergies plague an estimated 19 million kids and adults in the U.S., and the number of children with peanut allergies in the U.S. has tripled in just over a decade.

More from Ozy: Me, mom, dad, grandparents all under one roof

Earlier studies have used similar treatments, but with harsh, laboratory-grade chemicals. The new study is the first to use a compound — sodium sulfite — that falls under the Food and Drug Administration's "generally regarded as safe" category, bringing modified nuts a step closer to being made as a food product.

Still, hypoallergenic nuts probably won't appear in supermarket aisles for several years. First, Mattison and his team want to tweak the treatment process so they can use a smaller amount of sodium sulfite, or an even milder alternative. They also want to explore whether the process can be applied to other nut proteins. So far, preliminary tests have revealed that it significantly alters the the structure of some peanut, pistachio and pecan allergens.

More from Ozy: Come to the U.S.: Buy a sports arena

They're also working to modify whole cashews, not just cashew extract — and to ensure that modified nuts taste the same as their unaltered counterparts. They'll also eventually need to test the method in a living system, such as mice and actual cells.

Mattison's approach, treating the allergen instead of the patient, is the opposite of oral immunotherapy — gradually scaling up consumption of allergy-triggering foods to dull the immune system's sensitivity to them. Oral immunotherapy has shown promise, but building tolerance can take months.

In a clinical trial, 84 percent of children tolerated the equivalent of about five peanuts, but only after 26 weeks of therapy, as described in The Lancet in January. And patients could still suffer severe allergic reactions as their immune systems learn to tolerate the offending food. In contrast, nut allergy sufferers could theoretically eat however many allergy-free nuts they want, whenever they want.

Even if researchers do successfully manufacture hypoallergenic nuts, some view them as the second-best solution. "My preference ... would be to actually decrease the allergic response of the individual," says Jessica Martin, a food allergy blogger whose son is allergic to pistachios, cashews, a host of other tree nuts and about 15 other foods. Oral immunotherapy "is the holy grail in my mind. I want a cure."

But other parents, like Hass, would embrace even a quasi-fix. "Anything helps."

First Published: August 22, 2014: 3:10 PM ET

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The Coolest Kickstarter tops $9 million

NEW YORK (CNNMoney)

More than 46,000 people think so. The Coolest Cooler has raised over $9.2 million on Kickstarter -- and it still has a week to go.

It's described as a "portable party" and includes features like a blender, waterproof bluetooth speaker, USB charger, cutting board and bottle opener.

It's the second highest grossing campaign ever, ranking just behind the Pebble (the smartwatch that raised a record $10 million in 2012).

"There's a point where products derive much more attention than any rational expectation would suggest," said Jason Greenberg, PhD and assistant professor at New York University's business school, "In a market where potato salad can raise $55,000, it's not that surprising."

What's more surprising is that this isn't Coolest's first time around the Kickstarter block.

Related: The 13 most WTF gadgets

Ryan Grepper of Portland, Ore., unsuccessfully tried to raise $125,000 for similar model of The Coolest In November 2013. He only raised about $100,000.

On Kickstarter, Grepper detailed the biggest changes this time around: Seasonality (July vs. November), more supporters and an improved design.

It's certainly worked -- but are the millions any indication of how it'll fare post-crowdfunding?

They could be.

"We've seen more and more angels and investors using [Kickstarter] as a minor league in terms of [gauging] customer demands," said Greenberg.

Related: Water balloon lovers pledge $645,000 on Kickstarter

According to PrivCo, a financial data provider on privately-held companies, U.S. cooler sales totaled $635 million in 2013.

Igloo Products Corp "dominates" the market, according to Matt Turlip, senior analyst at PrivCo. The company, which was acquired by VC firm J.H. Whitney & Co. earlier this year, owns 53% of the full-size cooler market.

"Maybe in a year or two, with $9 million in funding, The Coolest can hope to compete," said Turlip.

Those who pledged enough for the cooler ($165 or more) will have to wait until February 2015 to get the product (which will come in Margarita, Blue Moon and Coolest Orange).

But they will have saved a cool $130 -- it'll retail for $299.

First Published: August 22, 2014: 5:22 PM ET

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10 Western companies getting slammed in Russia

LONDON (CNNMoney)

Many are reporting slower Russian sales and, in some cases, store closures as the Ukraine-Russia conflict drags on. Most have seen their share price fall since the start of the year.

Cold War-style tensions and escalating sanctions are slamming these companies, as American and European leaders blame Russian President Vladimir Putin for the unfolding crisis and violence in Ukraine.

Here are 10 of the highest profile, worst hit companies:

1.McDonald's: Russian officials and regulators have been cracking down on the restaurant chain. Officials shut a handful of popular McDonald's (MCD) restaurants in Moscow this week, and state media report that Russia's consumer watchdog will be conducting checks on outlets as part of a food standards investigation.

Meanwhile, Wendy's (WEN) was recently forced to exit Russia due to what it said was a change in management at its local partner Wenrus. Wendy's had been in Russia since 2011.

2. Coca-Cola: The drinks giant said this week that quarterly sales declined by about 5% in Russia, Ukraine and Belarus. Coca-Cola (KO) blamed "economic instability in the region," but global sales increased by 3%.

3. Carlsberg: The Danish brewer warned this week its annual results will be weaker than expected, as Russian demand dries up. Carlsberg (CABGY) believes that its sales in the Russian market fell by as much as 7% in the first six months of 2014 due an uncertain economic environment. Carlsberg beer is the most popular beer in Russia by a wide margin, but it has recently been losing market share that. The company's stock has fallen by 15% since the start of the year.

4. Adidas: In late July, the German sportswear company announced it was shutting stores and scaling back expansion plans in Russia. It said that "tensions in the region" had hurt consumer spending, and that the decline in the Russian ruble hurt profitability. Adidas (ADDYY) slashed its 2014 earnings forecast by 20% to 30%, partly because of Russia. Shares have plunged by 37% since the start of 2014.

5. Volkswagen: The German automaker blamed an 8% drop in its Russia car sales during the first six months of the year on political tensions, and it said it believes its sales in the market fell by about 25% in July. Volkswagen (VLKAY) shares are down 13% since the start of the year.

6. Ford: A weakening ruble and slower sales in Russia have hurt Ford's (F) bottom line.

7. Renault: The French car maker has warned investors about a sharp slowdown in Russia and other emerging markets. Russia is Renault's (RNSDF) third largest market in terms of sales.

8. BP: The British oil giant BP (BP) owns a large stake in Rosneft, Russia's biggest oil company, and warned that unit will suffer from tougher U.S. sanctions. Investors are also worried about other energy companies, including Total (TOT) and Exxon Mobil (XOM), which have significant ties with Russia.

9. Societe Generale: Profits at the French bank's Russian unit fell 36% in the second quarter.

10. Danone: The French food multinational said first-half results were hurt by a decline in the ruble, and that it was forced to hike prices for some products in Russia due to strong inflation.

-- CNN's Olga Pavlova contributed to this report.

First Published: August 23, 2014: 10:12 AM ET

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Tourists flock to Colorado to smoke legal weed

NEW YORK (CNNMoney)

"We have a flow of tour buses coming in every day now," said Toni Fox, owner of 3D Cannabis Center, a Denver dispensary with an influx of Japanese and Saudi tourists. "We even get charter buses from Texas!"

Fox is billing her dispensary as a "tourist friendly" destination. It has a living-room-style reception room and an 80-foot long viewing corridor with rows of windows so customers can see inside the marijuana greenhouse.

"You can literally watch the cannabis you are purchasing grow right in front of your eyes!" boasts the dispensary's web site.

Fox estimates that 70% of her 200 daily customers are from out of state.

In Boulder, the Terrapin Care Station recreational dispensary gets at least of third of its income from out of state, according to manager Jarrod Guaderrama.

"I can definitely tell that all the people from Texas, Georgia, California made this their vacation spot because of legal marijuana," he said. "They'll say they're here because it's beautiful and they're going skiing. They'll say right after that, 'Plus, there's legal pot here.'"

The Colorado Office of State Planning and Budgeting says the state took in $19 million in tax revenue from recreational marijuana during the first half of the year.

Colorado dispensaries like the 3D Cannabis Center in Denver are sparking a boom in marijuana tourism.

But the state doesn't calculate how much of that is from tourism versus local buyers, and hard numbers are difficult to come by.

Colorado retailers began selling recreation marijuana on New Year's Day, and in what may or may not be a coincidence, the state also posted a record ski season for 2013-2014. Colorado hosted 12.6 million ski visits according to a local industry group, up 10% from the prior season, but industry executives can't say whether legal pot was a factor.

Most ski resorts and hotels don't allow smoking, but there's a niche industry popping up offering so-called "420-friendly" lodgings catering to this segment of tourists. Some bars and music venues also allow smoking in outdoor areas.

Related: Want a job? Try the pot industry

Entrepreneurs from outside Colorado are also cashing in. Rick Moore owns a bus tour company in Dallas, and started running buses to Denver dispensaries after marijuana was legalized. He charges $400 for the 12-hour trip, which leaves on Thursday and returns on Monday at 3 a.m., and includes two nights in a hotel. Colorado tours now account for about a quarter of his business.

"Some people might try to bring something back, but I discourage it," he said. "It's legal in Colorado but outside Colorado it's not, so I don't want anybody bringing it on the bus."

He added that not all of his Texan tourists smoke weed, but they still want to visit the dispensaries.

"They just want to go because they're curious," he said.

First Published: August 22, 2014: 9:31 AM ET

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Janet Yellen: Job market not recovered

NEW YORK (CNNMoney)

That was Federal Reserve Chair Janet Yellen's main message Friday in a much anticipated speech.

"It speaks to the depth of the damage that, five years after the end of the recession, the labor market has yet to fully recover," she said.

The debate now is whether the job situation in America is healthy enough for the Federal Reserve to start raising interest rates, which have been at historic lows in recent years in an effort to jump start the economy.

Related: Beware of social media and biotech stocks

Yellen is chair of the committee that sets interest rates, but she only gets one vote. Other members have differing views. The Fed board and other top economists are spending the weekend in Jackson Hole, Wyoming debating these key issues.

Though the unemployment rate "has fallen considerably and at a surprisingly rapid pace," Yellen said problems remain.

"A key challenge is to assess just how far the economy now stands from the attainment of its maximum employment goal," she said.

Related: The unemployed psyche: Job searching for so long crushed my soul

She and some other policy makers remain hesitant to pull back on the Fed's economic stimulus campaign and raise interest rates until the employment landscape improves further.

Among her main concerns are the decline in the number of people participating in the labor market, the jump in those working part-time because they can't find full-time positions, the ranks of the long-term unemployed and the lack of wage growth.

At top policymakers' most recent meeting, they decided to stay the course on rates "for a considerable time" after its monthly bond purchase program ends in October. Those who watch the Fed closely predict a rate hike is likely to come in the summer of 2015.

But Yellen did leave the door open to speeding up the time line if the job market continues to improve more rapidly than expected -- or if inflation becomes an issue.

She said little that was new in the speech, and U.S. stock markets remained flat.

First Published: August 22, 2014: 10:04 AM ET

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'Secret' app didn't actually keep you anonymous

The Secret app is supposed to keep you anonymous. But until last week, it was possible to trace posts directly to you.

NEW YORK (CNNMoney)

Hackers at Rhino Security Labs figured out a way to dupe Secret's system.

To join Secret's community, the app imports your contacts. It then labels which posts are from your friends.

To prevent you from tracking a particular person, Secret requires that seven of your contacts post to the network before it labels their posts.

But here's the hack: Fill your phone's contact list with fake people and only one real contact -- your target. If you control posts coming from these dummy Secret accounts, it's easy to spot when your real "friend" is posting.

"Poison the data on the outside, bring it in as trusted data, and voilà! You make the system work for you," said Bryan Seely, a Rhino researcher in Seattle.

Why does it matter? Consider these recent posts.

Related story: Hospitals can't protect patient data

From someone in Tel Aviv, Israel: "I am an Arab. I live near Jerusalem. I am against war, and I believe in democracy. Hamas is bad for all Muslims! Stop Hamas! If someone found out I said that, I would be executed!"

A person in Utah: "Having an invisible illness is killing me. Literally. And I'm only 24."

And someone in Poland: "I told everyone that cat made those scars."

CNNMoney's cybersecurity Flipboard magazine: How safe are you?

The security researchers notified the San Francisco startup and say that Secret issued a fix this week. Now, if you import a bunch of fake friends and only one real one, the real one won't be tagged as a "friend," Seely said. It's security through obscurity.

Secret CEO David Byttow didn't immediately respond to requests for comment.

But consider this a reminder about a mantra in the hacker community: Nothing you do in the digital realm is truly anonymous. Eventually, it will be traced back to you.

First Published: August 22, 2014: 10:59 AM ET

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Mortgage rates hit 2014 low

NEW YORK (CNNMoney)

The average rate for a 30-year loan now stands at 4.1%, according to Freddie Mac. That was its lowest level since June 2013, when it stood at 3.93%. The average 15-year fixed was 3.23%.

Related: Best housing markets for Millennials

The government's stimulus program has helped keep borrowing costs down. The Federal Reserve has been purchasing Treasury Bonds and mortgaged-backed securities for years, providing a steady market for mortgages.

But the Fed has cut back on its purchases, and plans to end the buying program entirely in October, reducing demand for mortgage bonds. That should eventually cause rates to climb.

Related: Buy vs. rent: What you'll pay in 10 big cities

Low mortgage rates and home prices that are climbing more slowly should boost the housing market, said to Keith Gumbinger, spokesman for HSH.com, a mortgage information company.

"That should provide a solid foundation for home sales this fall," he said.

First Published: August 21, 2014: 10:19 AM ET

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I created 7 jobs and the U.S. tried to deport me

NEW YORK (CNNMoney)

The Canadian techie, who agreed to speak on the condition of anonymity, was in the U.S. on an H-1B visa, the most common type of visa for immigrant workers.

But H-1B petitions must be sponsored by an employer, which makes it difficult -- but not impossible -- for startup founders to qualify. Holders must prove they can be hired, fired, paid and controlled by the company.

"The policy is very, very strict," said Tahmina Watson, who heads up Watson Immigration Law and represents the entrepreneur. "The administration says, 'We want to keep talented people in the U.S. and want people to open and grow companies in the US. [But it's] disconnected to the restricted policy."

Her client experienced the full force of that policy when he received a letter in January 2014 saying his visa was going to be revoked because officials had learned he was a cofounder.

His company was in the midst of preparing for a major industry conference and releasing a new product.

"We were crunched in terms of time," he said.

Related: 10 best cities to launch a startup

It's still unclear what tipped U.S. Citizenship and Immigration Services off (and they declined to comment on specific cases), but it could have been the result of a workplace "check-in" less than a year before, which the USCIS does in order to detect visa fraud. Watson's client was one of 76,000 site visits since the program started in 2009, according to USCIS deputy press secretary Jeff Carter.

The "vast majority" of site visits are found to be in compliance, Carter said in an email.

It's possible to challenge USCIS' findings, but it's time-consuming and expensive.

"This case took away a lot of time and energy from me and my co-founder," the founder said. "Honestly, I thought I had less than a 50% chance of success."

He and Watson spent about five months gathering paperwork -- first to prove he was needed by the company, and then that the company controls him (and not vice versa). The four-inch packet of documents ultimately included everything from internal emails and W2s to a letter from their accountant stating the client doesn't control payroll.

"I can't really describe the feelings of despair I went through," he said. "I actually hid the visa issue from my wife for about two months to save her from stress and tears."

Related: U.S. losing tech talent to Canada

If he were deported, there was no way to protect the company, which counts major television networks among its clients.

"I built the product from the ground up. If I left the company, that could cause investors to lose interest," he said. "When they invest, they expect the founders to stay."

He was ultimately successful and kept his visa (after months of stress and $15,000 in attorney fees).

Vivek Wadhwa, a fellow at Stanford Law School, said Watson's client is far from the only one dealing with this issue.

"I hear about it practically everyday -- a great entrepreneur being forced to leave the country and can't stay to run their company," he said.

Wadhwa said 44% of Silicon Valley startup founders are foreign-born, a number that has stagnated over the years.

"These archaic rules don't allow entrepreneurs to work for their own companies," said Wadhwa. "How does that make sense?"

Related: Israeli startups flock to New York

Watson and Wadhwa agree that the current visa options simply aren't adequate -- especially for entrepreneurs and startup founders.

Not providing tech talent with a permanent path to residency hinders their ability to raise money -- and the U.S.' economic growth as a result.

"Investors tell me, 'If a person cannot stay in the U.S., we cannot invest in them because it's akin to having a terminal illness,'" said Watson, who is writing a book about the need for a startup visa.

"I feel lucky that I salvaged the visa for my client," said Watson. "[But] he's an example of what's wrong with the current policy."

First Published: August 21, 2014: 10:01 AM ET

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Investors cheer: S&P 500 hits all-time high

NEW YORK (CNNMoney)

The start of August was rough for stocks as the Russia-Ukraine standoff, the Israel-Gaza conflict and terrorist group activity in Iraq all flared again. While serious problems remain in each of these regions, their impact on the U.S. economy so far has been limited.

A stock market bounce back is in full effect.

On Thursday, the Dow crossed the 17,000 mark again for the first time since July 29.

Not to be outdone, the S&P 500 set a new all-time high over 1,991. If the gains hold through the end of the day, it would be the 28th record close this year for the popular index of U.S. stocks.

Many Americans invest in funds and ETFs that mimic the investments of the S&P 500 Index.

The S&P 500 hit an all-time high of 1,991.67 Thursday morning.

Thursday's surge is part of a week of robust stock market gains.

Related: 3 reasons stocks are still charging ahead

Strong corporate earnings and U.S. economic data are soothing concerns about the health of America's businesses and overall economy. Hewlett-Packard (HPQ, Tech30) beat expectations in its quarterly report last night.

Jobless claims also came in lower than expected this morning, and data on U.S. housing prices showed the fastest rise in months.

First Published: August 21, 2014: 10:35 AM ET

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Workers spend more time planning vacation than retirement

NEW YORK (CNNMoney)

In a survey of 1,000 retirement savers conducted for Charles Schwab, more than half said they had spent five hours or more doing research the last time they bought a car, and 39% said they spent more than five hours exploring vacation possibilities.

Meanwhile, a mere 11% said they had spent that amount of time evaluating investment options for their 401(k). In fact, around one-third of savers said they spent less than an hour on investment research.

Related: 5 big retirement mistakes

Some of these workers may be invested in target-date funds, which base investments on the year you will likely retire and are known for a more hands-off approach. Still, only half of those surveyed said they felt on top of their 401(k) investments, while 44% said they didn't know how to select their best 401(k) investment options.

Such ignorance can be costly. Choosing the right mix of stocks, bonds and other investments for your age is one of the best ways to ensure you'll have enough money for retirement.

Share your story: What's your biggest retirement mistake?

In some cases, your employer may be able to help you. Some offer free online investment advice tools as part of their 401(k) offering. Others may provide access to investment advisers, though this could come with an additional cost.

But Schwab's survey found that many workers hadn't taken advantage of the help or they weren't sure if it was available. Only 23% of those surveyed said they had used professional advice.

No matter what you're invested in, take the time to research the fees you're paying. Even a relatively small difference in an investment's expense ratio can eat away at tens of thousands of dollars of your savings.

First Published: August 19, 2014: 9:55 AM ET

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Website crash mars $188 billion "demerger"

BHP Billiton's website crashed Tuesday as it tried to announce a corporate split.

LONDON (CNNMoney)

The announcement of the split and annual earnings came 45 minutes later than markets expected, and could still not be viewed on the site several hours later.

The miner eventually confirmed it was splitting into two separate companies, spinning off a smaller publicly traded company to focus on metals such as aluminum, nickel and silver. The leaner BHP Billiton (BHP) will focus on assets including iron ore, copper, petroleum and potash.

BHP Billiton -- with a current market capitalization around $188 billion -- was formed through a $30 billion mega-merger in 2001. The upcoming split planned for early 2015 will essentially undo the combination.

A spokesperson for the company declined to comment on the web problems.

Related: 7 things you absolutely must know about corporate taxes

The Anglo-Australian mining firm is not the first big global group to separate. In late 2012, Kraft Foods split itself to create Kraft Foods Group (KRFT) and Mondelez International (MDLZ), a company focusing on snack brands including Oreo and Cadbury. Daimler (DDAIF) and Chrysler split in 2009.

BHP Billiton reported full-year profits surged by 23%. The company also boosted its dividend.

But investors weren't thrilled with the results, and the shares took a dive. Some investors were disappointed the firm didn't announce an expanded share buyback program.

Others were concerned that British investors might shun the spun-off company since its shares will only be traded in Australia and South Africa.

First Published: August 19, 2014: 10:08 AM ET

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New Corvette lets you spy on garage valets

A "valet mode" feature on the 2015 Corvette, will allow you to see and hear exactly what garage attendants were doing with your car while it was in their care.

NEW YORK (CNNMoney)

Now, you can actually see for yourself. A "valet mode" feature on the 2015 Corvette from General Motors (GM) will allow you to see and hear exactly what the attendants were doing with your car while it was in their care.

The valet mode builds on the Corvette's "performance data recorder," that currently helps owners record their race track performances. It features a forward-looking camera that records high-definition video showing engine speed, cornering g-forces and steering wheel angle, moment by moment in overlaying graphics.

It also records audio from inside the cabin so any comments -- or exclamations -- from the driver or passenger can also be heard. The recorded video and data can then be downloaded to a removable memory card or watched on the car's own display screen.

Related: Corvette Z06 fights Lamborghini, Ferrari with 650 horsepower

With a four digit code, the Corvette's new "valet mode" turns on the same recording system and also locks the car's center storage bin and glove compartment and disables the entertainment system.

So you will now know if your car went racing on the highway or was doing donuts in an empty parking lot. And you'll be able to prove it.

The system will cost $1,795 as part of an option package that also includes navigation.

First Published: August 19, 2014: 11:11 AM ET

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$15 million pours in from Ice Bucket Challenge

NEW YORK (CNNMoney)

But the Ice Bucket Challenge for ALS, or Lou Gehrig's disease, is more than just another chance for folks to flaunt themselves on social media. The ALS Association said Monday that it has received $15.6 million in donations since July 29. That's up from $1.8 million raised during the same time period last year.

The challenge is simple. Participants dump a bucket of ice-cold water over their heads and post the video to social media, challenging three others to either do the same within 24 hours or make a donation to the ALS Association.

Many participants, which have included some of the top names in the sports, entertainment, business and political world, have said they're doing both.

Some critics have knocked the viral trend as yet another example of "slacktivism," the derisive nickname for efforts in which people support a cause on the Internet, but don't do anything to actually help.

Related: Politicians get soaked in ice bucket challenge

But the numbers don't bear that out in this case.

The ALS Assocation said that 307,598 of the donations it has received in recent weeks have come from people who had never given before.

"Without a doubt, the popularity of the Ice Bucket Challenge, the social media phenomenon that continues to sweep the nation, has encouraged tens of thousands of Americans not only to douse themselves with ice water but also to open their pocketbooks and to donate to the fight against ALS," Barbara J. Newhouse, the president and CEO of the association, said in a message posted to the group's website on Saturday.

It hasn't hurt that people with massive public profiles, and deep pockets, have been among those to go under the ice.

Facebook (FB, Tech30) CEO Mark Zuckerberg challenged Microsoft (MSFT, Tech30) founder Bill Gates, who responded with a funny video in which he designs an elaborate structure to douse himself. Hen then challenged SpaceX and Tesla Motors (TSLA) boss Elon Musk, Ryan Seacrest and Chris Anderson of TED (All three accepted).

Related: Social Web tackles the #IceBucketChallenge

Oprah Winfrey answered multiple challenges by taking (or, rather, receiving) the plunge, with best buddy Gayle King, of course, doing the honors.

NBA superstar Lebron James, tennis champ Caroline Wozniacki and NFL commissioner Roger Goodell are just a few of the most recent athletes to ice-bucket. The trend took off in a big way in the sports world, after being kicked off by Pete Frates, a former baseball player at Boston College who has been living with ALS since 2012.

He floated the idea and his former teammates, as well as other Boston-area athletes, took him up on it. It was noticed and covered by local media and that attention, along with the social Web's viral nature, launched it onto a much larger stage.

Newhouse said the ALS Association will be using the funds to help families dealing with the disease as well as invest in helping find a cure.

Currently, the group supports 98 active research projects and recently announced $3.5 million in funding for 21 new ones.

"Never before have we been in a better position to fuel our fight against this disease," she said in her post. "Increased awareness and unprecedented financial support will enable us to think outside the box."

First Published: August 18, 2014: 10:50 AM ET

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Lion-ripped jeans sell for $1,500

LONDON (CNNMoney)

A zoo fundraising group in Japan raised $3,500 last month after selling three pairs of denim jeans that were gnawed and clawed by lions and tigers.

The group -- the Mineko Club -- created the special "Zoo Jeans" to raise money for the World Wildlife Fund and the local Kamine Zoo in Hitachi City.

Volunteers wrapped denim fabric around tires and rubber balls and threw them into separate animal enclosures for lions, tigers and bears. The animals went wild and the resulting damaged denim was used to create four pairs of jeans -- two were "designed by lions," one by tigers and one by bears.

"The wild rips and tears in Zoo Jeans have been created with pure animal instinct," according to an excerpt on its website.

Bidders went wild for these lion-ripped jeans.

The jeans were sold on Yahoo's Japanese auction site -- with a pair of lion-distressed denim selling for $1,500. The Mineko Club said all profits went to the zoo and the WWF.

The club kept the bear-ripped jeans.

A WWF spokesperson confirmed it received the donation, but wasn't enthusiastic about the fundraising technique.

"In principle, we don't raise money by using animals in this way," said Akiko Ishihara, director of communications at WWF Japan.

Related: A big dog is the ultimate status symbol in Hong Kong

The Mineko Club, which has been around for over a decade, is dedicated to raising money and supporting the Kamine Zoo through holding events and selling zoo-related products. The zoo is considered a top tourism spot in Hitachi City, which is roughly 100 miles northeast of Tokyo.

The Zoo Jeans logo.

--CNN's Inez Torre contributed to this report

First Published: August 18, 2014: 9:50 AM ET

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Hospital network hacked, 4.5 million records stolen

Hackers have taken 4.5 million Social Security numbers from patients who attended any one of Community Health Systems' 206 hospitals this year.

NEW YORK (CNNMoney)

Hackers have gained access to their names, Social Security numbers, physical addresses, birthdays and telephone numbers.

Anyone who received treatment from a network-owned hospital in the last five years -- or was merely referred there by an outside doctor -- is affected.

The large data breach puts these people at heightened risk of identity fraud. That allows criminals to open bank accounts and credit cards on their behalf, take out loans and ruin personal credit history.

The company's hospitals operate in 28 states but have their most significant presence in Alabama, Florida, Mississippi, Oklahoma, Pennsylvania, Tennessee and Texas.

CNNMoney quiz: What hackers know about you

Community Health Systems (CYH) hired cybersecurity experts at Mandiant to consult on the hack. They have determined the hackers were in China and used high-end, sophisticated malware to launch the attacks sometime in April and June this year.

Federal investigators and Mandiant told the hospital network those hackers have previously been spotted conducting corporate espionage, targeting valuable information about medical devices.

Related: Albertson's stores hacked for credit card data

But this time, the hackers stole patient data instead. Hackers did not manage to steal information related to patients' medical histories, clinical operations or credit cards.

Still, the lost personal information is protected by the Health Insurance Portability and Accountability Act, the federal health records protection law. That means patients could sue the hospital network for damages.

How safe are you? CNNMoney's cybersecurity Flipboard magazine

Shares of the publicly-traded Community Health Systems edged lower Monday morning. But the company tried to stem worries about the damages in a filing Monday with the Securities and Exchange Commission, saying that it "carries cyber/privacy liability insurance to protect it against certain losses related to matters of this nature."

The hospital network said that, it managed to wipe the hackers' malware from its computer systems and implemented protections to prevent similar break-ins.

The network plans to offer identity theft protection to the 4.5 million victims of the data breach.

First Published: August 18, 2014: 10:58 AM ET

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Local police get billions in military equipment

The militarization of local police in the U.S. came into focus this week as heavily armed police faced off against protesters in Ferguson, Missouri.

NEW YORK (CNNMoney)

The Department of Homeland Security pumped $1 billion into local law enforcement last year, according to a report from the ACLU, while the Department of Defense kicked in another $449 million worth of equipment for police forces.

Related: Complete CNN coverage of Ferguson shooting and protests

The extent to which local police in the U.S. have become militarized came into focus this week as heavily armed police faced off against protesters in Ferguson, Missouri, which itself received two Humvees from the Pentagon last fall.

The scene "resembles war more than traditional police action," wrote Sen. Rand Paul, a potential Republican presidential candidate, in an opinion piece for Time.

Attorney General Eric Holder also expressed concern. "We must seek to rebuild trust between law enforcement and the local community," he said. "I am deeply concerned that the deployment of military equipment and vehicles sends a conflicting message."

Ferguson Police Chief Thomas Jackson denied his department has become militarized.

Related: Gun stores near Ferguson say sales are soaring

"It's not military, it's tactical operations," he said on Thursday. "That's who's out there, police. We're doing this in blue."

The Defense Department began arming local police with surplus equipment in 1997 as the Cold War wound down. Since then, the DoD has distributed more than $5 billion worth of vehicles, weapons and other supplies. Separately, after 9/11, a Homeland Security program launched providing cash grants to help small towns and big cities alike prepare for terrorist attacks and other disasters.

Critics say that local police don't need much of the equipment. For instance, twenty mine-resistant, ambush-protected (MRAP) vehicles were distributed to police departments all over Missouri in the last eight years, although none went to Ferguson.

"An MRAP is built to withstand armor-piercing bombs. This is not something that we need in American communities," said Kara Dansky, who authored the ACLU report on militarization. "Increasingly the police are trained to view the people in the communities that they're supposed to be protecting and serving as enemies."

Related: Ferguson's economy - Tough times but signs of progress

Some experts worry all this heavy equipment could lead to the use of more deadly force than might otherwise occur.

"You bring out the equipment, you add to the likelihood that you might be shot at," said Tom Fuentes a former FBI assistant director and a CNN Law Enforcement Analyst.

Senate Armed Services Chairman Carl Levin said in a written statement Friday that Congress established the program out of concern that local law enforcement agencies were literally outgunned by drug criminals. But he said his committee will review the program to determine "if equipment provided by the Defense Department is being used as intended."

But others say there can be a legitimate need for the supplies, and that anticipating who will need it is impossible in advance.

"When it comes to equipment like this, it's better to have it and not need it, than to need it and not have it," said Mike Brooks, a CNN law enforcement analyst.

-- CNN's Evan Perez, Brian Todd and Dugan McConnell contributed to this report.

First Published: August 15, 2014: 4:43 PM ET

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