tv 60 Minutes CBS May 19, 2013 7:00pm-8:00pm EDT
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>> stahl: over the last ten years, the ability of computers to identify faces has gotten 100 times better, a million times faster and exponentially cheaper. >> to use face recognition, use the color-coded button on your remote. >> stahl: facial recognition is already in some of our home appliances, like tv. >> hi, tv! >> stahl: and big business is free to do this kind of surveillance while government has all kinds of restrictions. >> what's unique about face recognition is the fact that you can do it surreptitiously from a distance and continually. >> stahl: it can happen and we don't even know. >> that's the point. >> cooper: camp 14 was all that shin dong hyuk says he knew for the first 23 years of his life. 15,000 people are believed to be imprisoned here, surrounded by an electrified fence. did anybody ever explain to you why you were in a camp? >> ( translated ): no, never. because i was born there, i just thought those people who carried
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guns were born to carry guns, and prisoners like me were born as prisoners. >> logan: it is just unbelievable. michael jackson sells more tickets dead than most artists do alive. >> that is absolutely true. he's the biggest-selling artist on itunes. and he has sold approximately 50 million albums since he passed away. >> ♪ dancing, dancing dancing, dancing. ♪ >> logan: tonight, you'll hear about the most remarkable financial and image resurrection in pop culture history. wow, the neverland-- that is the actual sign from neverland? you'll get a rare look at what michael jackson left behind. more cars. >> more cars. >> i'm steve kroft. >> i'm lesley stahl. >> i'm bob simon. >> i'm lara logan. >> i'm anderson cooper. >> i'm scott pelley. those stories tonight on "60 minutes." >> this portion of "60 minutes" is sponsored by northern trust: providing solid financial
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and it's #1 neurologist recommended. migraines are where excedrin excels. >> stahl: over the last ten years, the ability of computers to identify faces has gotten 100 times better, a million times faster and exponentially cheaper, yet facial recognition technology is still a work in progress. while investigators in the boston marathon bombing had multiple images of both suspects, the technology did not come up with a match. they were not identified by their faces but by their fingerprints. authorities won't say what went wrong. one possibility is that government databanks through which the photos would've been searched are not big enough.
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as we discovered, the f.b.i. is working on expanding its database, businesses are tapping facial recognition to sell us stuff, and computer scientists are upgrading the technology. so, here it comes! oh, my. this may look like a high school science project, but this is carnegie mellon's cylab, a world-class research center. look at that! marios savvides and his students outfitted this ordinary toy drone with their new advanced facial recognition software that locks in on a face from a distance and then identifies it. >> drone: hello, lesley. nice to see you again. >> stahl: it got it. the students are taking surveillance technology to the next level. they can now turn a blurry face into a clear one, a flat image into a 3d model. oh, my goodness. their technology can take a
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masked face and, by focusing only on the eyebrows, search a catalogue of faces, come up with several people with very similar eyebrows and eventually find the identity of the person. >> marios: so, utzav is going to take a normal photo of you. >> stahl: the software maps a face using dots like electronic measles and creates something as unique as a fingerprint-- a faceprint. this is your facial recognition technology working right now to find me? >> utzav: yes. >> stahl: for this demonstration, they had added my picture ahead of time to the university's database. >> marios: that's the top match. >> samsung lady: to use face recognition, use the color-coded button on your remote. >> stahl: facial recognition is already in some of our home appliances, like tvs. >> hi, tv. >> stahl: in our mobile devices, pins and passwords are giving way to faceprints. and the technology can single us out in real-time as we go about our daily business, often
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without us ever knowing. >> joseph atick: what's unique about face recognition is the fact that you can do it surreptitiously, from a distance, and continually. >> stahl: it can happen, we don't even know. >> atick: that's the point. >> stahl: joseph atick was one of the first scientists to develop facial recognition software. 20 years ago, he was just about to give up on it when... >> atick: i opened up the door to my lab, and what i heard in a metallic voice: "i see joseph." >> stahl: the computer said "i see joseph" because it took your picture. >> attick: it detected my presence in the room, it found my face, and then it recognized that "this was joseph." and so, i started screaming and invited other people in the lab to come in and see, and the computer started alternating from "i see joseph" to "i see paul" to... >> stahl: but atick fears he helped create a monster, and it's headed to the mall. in "minority report," tom cruise is bombarded by ads recognizing him and telling him what to buy.
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that's still science fiction, but companies are racing to develop digital billboards for shopping malls that, without your being aware of it, scan your face to tell your gender and age. we found this promotional video by intel online showing how this would work. >> is the viewer a teenage girl? then change the content to highlight a back-to-school shoe promotion a few stores down. is it a senior male? then why not tell him about the golf club sale at the sporting goods store? >> stahl: and now mannequins! a few national chains are installing them with facial recognition as a way to covertly profile their customers. as for identifying us as individuals, well, several companies are working on it, like hitachi of japan, as seen in this online sales video. >> the system can automatically detect a face from either
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surveillance footage or a regular photo and search for it. >> atick: big brother is no longer big government; big brother is big business. >> stahl: and big business is free to do this kind of surveillance while government has all kinds of restrictions. so, there are rules for law enforcement, government, military, but no rules for commerce? >> atick: commerce. no rules for commercial companies. >> stahl: there are in europe, where laws require companies get your consent before they collect your faceprint, but not in the u.s., where regulation is lagging far behind the technology. meanwhile, some of the biggest companies online are busily building banks of faceprints. if you've been tagged on facebook, chances are they have your faceprint on file. google and apple also make faceprints. >> atick: my identity, my faceprint should be recognized as my property. my face is as important as my financial records, as my health records. it's very private to me.
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>> stahl: what do you mean, our faces are private? we're out in the street. >> atick: absolutely. >> stahl: we're walking around. closed-circuit cameras all over the place. are they really private? >> atick: our faces are private in the sense that my face does not walk around with a tag saying "i'm joseph atick" in the street. >> stahl: but marketers are working not just on linking our faces on the street to our names, but to our online profiles with our personal data and shopping history. we used to worry about privacy on the web; now we have to worry about privacy just walking around. >> atick: the link is between the online and offline persona is becoming possible, and that's... >> stahl: because of our faces. >> atick: yes, because of our faces. exactly. >> stahl: with security cameras ever present, some people are already thinking up countermeasures. >> atick: artists, very clever artists have now begun to create new forms of anonymity by creating patterns that would interfere with face recognition algorithms. so, they can go down the street and this system cannot recognize them.
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>> stahl: we'll all wear masks. the veil will come here. >> atick: the veil might come here. >> stahl: short of wearing a burka, we may all one day become tom cruise at the mall because marketers who track us as we shop online and send us ads want to do that as we shop in the real world. we found a company that's figured out how to do that. >> david mcmullen: a customer would just walk into an establishment like this, just like normal. >> stahl: david mcmullen is the c.e.o. of redpepper, a nashville marketing firm developing an app called facedeals. as we walk into a bar, this camera identifies me using facial recognition. >> mcmullen: and this will actually be the moment when i got a deal. how did you... >> stahl: i got... i don't know. something just came up on my phone here. ( beep ) oh, my. look at that. "welcome, lesley. get a free diet coke with a purchase of a caesar salad." my, my. my cell phone knew i liked diet coke because in the three seconds it took to walk in, the
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camera at the door matched my faceprint to my facebook profile, where redpepper mined my shopping history and facebook "likes" to send me the perfect deal. they did that only after i "opted in" or explicitly gave them permission. but if you're queasy about trading your privacy for a diet coke, mcmullen says we've already given up our privacy; cameras in stores, our phones with g.p.s. locators and our credit cards all know where we are when we shop. >> mcmullen: all these things are tracking us. what benefit do we get from it? what control do we have over it? not much. >> stahl: so, they know we're in the store anyway. >> mcmullen: that's right. >> stahl: and they're not offering us anything. >> mcmullen: that's correct. >> stahl: companies tracking us by our faces may seem a little like spying. well, since so many of us have one of these, we may soon be able to spy on each other.
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>> alessandro acquisti: the ability of remaining anonymous is shrinking, and the places where we can be anonymous are getting fewer and fewer. >> stahl: alessandro acquisti is a professor at carnegie mellon who does research on how technology impacts privacy. he says that smartphones may make "facial searches" as common as google searches, and he did an experiment to show how easy it could be. he took photos of random students on his campus. he then ran the pictures through a facial recognition program he downloaded for free that sifted through facebook profiles and other web sites, and he was able not only to identify many of them instantly, he also got their personal data, including, in some cases, their social security numbers. in order for this to work, does the person you're trying to identify have to be on one of these social networks? >> acquisti: you must have, somewhere on the internet, a
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face with your name on it. >> stahl: well, let's say someone doesn't have a facebook account, but his or her daughter or son does and they've got your picture. so, are they now automatically in the mix? >> acquisti: it's funny because one of the participants before doing the experiment told us, "you're not going to find me because i'm very careful about my photos online," and we found him because someone else had uploaded a photo of him. >> stahl: but if an academic can easily mine our data with facial recognition, what about the government? well, the government has a problem because, to be effective, facial recognition requires a good database. facebook, for instance, has one with billions and billions of photos; the government, not nearly that many. and so, the f.b.i. is now assembling on these rows of servers the largest biometric
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database on earth, costing over $1 billion. showing the system for the first time publicly, f.b.i. assistant director david cuthbertson demonstrated how police detectives might use it when it's fully up and running next year. >> cuthbertson: this would be the person, the photograph of the person they are trying to identify. >> stahl: he used a picture of a deceased criminal. >> cuthbertson: and so, we're submitting the photograph into the system. it's looking through 12.8 million mug shots in the current system. the f.b.i. has been collecting photographs along with arrest fingerprints for a number of years. this is the first time that anyone's been able to search against those using facial recognition technology. >> stahl: you've seen this on cop shows, but actually it hasn't been possible to do on a national scale in real time until now. will you have a picture of every single american? >> cuthbertson: no. absolutely not. just people who've been arrested. >> stahl: but why doesn't the
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f.b.i. just download pictures from facebook or linked-in, since there's no law saying they can't? >> cuthbertson: there's maybe no legal barrier, but no legal authorization. >> stahl: you couldn't just do it because you wanted to? >> cuthbertson: no, ma'am. i would have lawyers lining up outside my door. >> stahl: so, why are so many privacy experts up in arms over what you're doing if you're so restricted by rules and regulations and codes? >> cuthbertson: i think we get lumped into other factors, other uses of facial recognition, whether they be commercial, social media. we're all kind of in this thing together. >> stahl: you can't forget that it begins with all the information we feed so freely and perpetually onto the internet-- likes, purchases, searches, not to mention our faces. >> aquisti: often, we are not even aware of how much data we are actually revealing or is being gathered about us or, in
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fact, how it would be used. the idea that you can start from a face and predict social security numbers from that face seemed quite alien and surprising, but now we know that it can be done. >> stahl: so, there's no place to hide, absolutely no place to hide. >> aquisti: it's... those places are shrinking. >> cbs money watch update sponsored by: >> glor: good evening. yahoo will buy the blogging web site tumblr for $1.1 million cash. gas jumped 7 cents to $3.65 aver a gallon. and a powerball ticket in florida won the $590 million jackpot, largest in history. i'm jim axelrod l, cbs. ♪
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>> cooper: north korea's young dictator, kim jong-un, has gotten a lot of attention lately for testing nuclear weapons and threatening to attack the united states if provoked. tonight, we're going to focus on something north korea's leader doesn't want the world to see: a place so brutal and horrific, it's hard to believe it actually exists. it is, by all accounts, a modern-day concentration camp, a secret prison hidden in the mountains 50 miles from north korea's capital, pyongyang. it's called camp 14, and, according to human rights groups, it's part of the largest network of political prisons in the world today. some 150,000 people are believed to be doing hard labor on the brink of starvation in these hidden gulags. but it's not just those who have been accused of political crimes; it's their entire families-- grandparents, parents and children, a practice called "three generations of punishment." very little was known about camp
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14 until a young man showed up in south korea with an extraordinary tale to tell. his name is shin dong hyuk, and, as we first reported in december, he said he had not only escaped from camp 14, but he was born there. he's believed to be the only person born and raised in the camps who's ever escaped and lived to tell about it. did anybody ever explain to you why you were in a camp? >> shin dong-hyuk ( translated ): no, never. because i was born there, i just thought those people who carry guns were born to carry guns, and prisoners like me were born as prisoners. >> cooper: did you know america existed? >> shin: not at all. >> cooper: did you know that the world was round? >> shin: i had no idea if it was round or square. >> cooper: camp 14 was all that shin dong-hyuk says he knew for the first 23 years of his life. these satellite images are the only glimpse outsiders have ever gotten of the place.
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15,000 people are believed to be imprisoned here, forced to live and work in this bleak collection of houses, factories, fields and mines, surrounded by an electrified fence. growing up, did you ever think about escaping? >> shin: that never crossed my mind. >> cooper: it never crossed your mind? >> shin: no. never. what i thought was that the society outside the camp would be similar to that inside the camp. >> cooper: you thought everybody lived in a prison camp like this? >> shin: yes. >> cooper: shin told us that this is the house where he was born. his mother and father were prisoners whose marriage, if you could call it that, was arranged by the guards as a reward for hard work. did they live together? did they see each other every day? >> shin: no. you can't live together. my mother and my father were separated, and only when they worked hard could they be together. >> cooper: did they love each other? >> shin: i don't know. in my eyes, we were not a family, we were just prisoners. >> cooper: how do you mean? >> shin: you wear what you're
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given, you eat what you're given, and you only do what you're told to do. so there is nothing that the parents can do for you, and there's nothing that the children can do for their parents. >> cooper: this may be a very dumb question, but did you even know what love was when you were... for the first 23 years of your life? >> shin: i still don't know what that means. >> cooper: love may have been absent, but fear was not. in this building, a school of sorts, shin says he watched his teacher beat a little girl to death for hoarding a few kernels of corn, a violation of prison rules which he and the other students were required to learn by heart. >> shin: if you escape, you would be shot. if you try to escape or plan to escape, you would be shot. even if you did not report someone who is trying to escape, you would be shot. >> cooper: the shootings took place in this field, he says. the other prisoners were required to watch. as frightening as the executions were, shin considered them a
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break from the monotony of hard labor and constant hunger. the prisoners were fed the same thin gruel of cornmeal and cabbage day in and day out. they were so hungry, shins says, they ate rats and insects to survive. so, for 23 years, you were always hungry? >> shin: yes, of course. we were always hungry. and the guards always told us, "through hunger, you will repent." >> cooper: what shin and his family were repenting for probably dates back to the korean war, when two of his uncles reportedly defected to the south. shin believes that's why his father and grandfather were sent to camp 14, and why he was supposed to live there until he died. north korea's first dictator, kim il-sung, instituted this practice of "three generations of punishment" back in the 1950s. >> david hawk: the idea is to eliminate this lineage, to
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eliminate the family, on the theory that if the grandfather was a counterrevolutionary, the father and the grandsons would be opposed to the regime, as well. >> cooper: david hawk is a human rights investigator who's interviewed dozens of former prisoners and guards from the six political prison camps operating in north korea today. >> hawk: the largest number of people in the prison camps are those who are the children or grandchildren of people considered to be wrongdoers or wrong thinkers. >> cooper: i've never heard of anything like that. >> hawk: it's unique in the 20th or 21st century. mao didn't do it, stalin didn't do it. hitler, of course, tried to exterminate entire families. but in the post-world war ii world, it's only korea that had this practice. >> cooper: north korea denies it has any political prisons, but refuses to allow outside observers to inspect camp 14 and other sites. there's no way to verify all the
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details of shin's story. do you believe his story? >> hawk: oh, sure. his story is consistent with the testimony of... of other prisoners in every respect. >> cooper: there's also physical evidence he carries around with him to this day. the tip of his finger is missing. he says it was chopped off as punishment when he accidentally broke a machine in a prison factory. he also has serious scars on his back, stomach and ankles, which he was willing to show us but embarrassed to show on camera. he says he received those wounds here, in an underground torture center. he was tortured because his mother and older brother were accused of trying to escape. he was just 13 years old at the time. did they think that you were involved in the escape? >> shin: i'm sure they did. >> cooper: how did they torture you? >> shin: they hung me by the ankles. and they tortured me with fire.
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and from the scars that i have, the wounds on my body, i think they couldn't have done more to me. >> cooper: shin says he tried to convince his interrogators he wasn't part of the escape plot. he didn't know if they believed him until one day when they took him to that field used for executions. >> shin: when i went to the public execution site, i thought that i might be killed. i was brought to the very front. that's where i saw my mother and my brother being dragged out, and that's when i knew that it wasn't me. >> cooper: how did they kill your mother? >> shin: they hung her, and they shot my brother. >> cooper: he speaks of it still without visible emotion, and admits he felt no sadness watching his mother and brother die. he thought they got what they deserved. they had, after all, broken the prison rules. >> blaine harden: he believed the rules of the camp like gospel.
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>> cooper: blaine harden is a veteran foreign correspondent who first reported shin's story in the "washington post" and later wrote a book about his life. he had no compass by which to judge his behavior. >> harden: he had a compass, but the compass were the rules of the camp, the only compass he had. and it was only when he was 23, when he met somebody from the outside, that that started to change. >> cooper: when he met park. >> harden: when he met park. >> cooper: park was a new prisoner shin says he met while working in camp 14's textile factory. unlike shin, park had seen the outside world. he'd lived in pyongyang and traveled in china, and he began to tell shin what life was like on the other side of the fence. >> shin: i paid most attention to what kind of food he ate outside the camp. >> cooper: what kind of food had he eaten? >> shin: oh, a lot of different things-- broiled chicken, barbecued pig. the most important thing was the thought that even a prisoner like me could eat chicken and
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pork if i were able to escape the barbed wires. >> cooper: i've heard people define freedom in many ways. i've never heard someone define it as broiled chicken. >> shin: i still think of freedom in that way. >> cooper: really? that's what freedom means to you? >> shin: people can eat what they want. it could be the greatest gift from god. >> cooper: you were ready to die just to get a good meal? >> shin: yes. >> cooper: he got his chance in january 2005, when he says he and park were gathering firewood in this remote area near the electrified fence. as the sun began to set, they decided to make a run for it. >> harden: and as they ran towards the fence, shin slipped in the snow. it was a snowy ridge, fell on his face. park got to the fence first and thrust his body between the first and second strands and pulled down that bottom wire, and was immediately electrocuted. how did you get past him? >> shin: i just crawled over his back. >> cooper: so you climbed... you literally climbed over him? >> shin: yeah.
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>> cooper: he was a fugitive now in rural north korea, on the run in one of the poorest, most repressive countries in the world. but that's not how it seemed to him. what did the outside world look like? >> shin: it was like heaven. people were laughing and talking as they wanted. they were wearing what they wanted. it was very shocking. >> cooper: how did you manage to get out of north korea? >> shin: i was just trying to get away from the camp, and i ended up going north. and on the northern side, people talked a lot about china. >> cooper: did you know where china was? >> shin: no. not at all. it just happened that the way i was going was toward the border. >> cooper: with amazing luck and cunning, shin managed to steal and bribe his way across the border and quietly work his way through china, where he would have been sent back if he was caught. in shanghai, he snuck into the south korean consulate and was granted asylum. in 2006, he arrived in south
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korea with not a friend in the world. he was so overwhelmed by culture shock and post-traumatic stress, he had to be hospitalized. more than seven years later, it's remarkable how far shin's come. he's 30 now, has made friends, and built a new life for himself in seoul, south korea. but old demons from camp 14 are never far behind, and shin now admits there was something he was hiding. two years ago, he finally confessed to author blaine harden. >> harden: when he first told me about the execution of his mother and brother, he didn't say that he had turned them in. >> cooper: you reported your mother and... and your brother? >> shin: yes. >> cooper: what did you hope to get out of reporting your mother and your brother? >> shin: being full for the first time. >> cooper: more food? >> shin: yes. but the biggest reason was, i
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was supposed to report it. >> cooper: why was shin tortured after ratting out his mother and brother? >> harden: the guard who he ratted out to did not tell his superiors that he got the information from shin. >> cooper: so the guard basically was trying to claim credit? >> harden: yes. >> cooper: it was only after seeing what family life was like outside camp 14 that shin says he started to feel guilt about what he'd done to his own mother and brother. >> shin: my mother and brother, if i could meet them through a time machine, i would like to go back and apologize. by telling this story, i think i can compensate, kind of repent for what i did. >> cooper: repentance has taken shin all over the world. he speaks at human rights rallies, meets with u.s. congressmen and is telling his story to us in part because he's frustrated by how much attention the press pays to
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north korea's new leader kim jong-un and his wife, and how little attention gets paid to the people in the camps. in south korea, he and some friends started an internet talk show designed to tell the world what's really going on in the north. as for that taste of freedom he risked his life for, he can eat all the broiled chicken he wants now. but admits it hasn't given him the satisfaction he'd hoped for. >> shin: when i eat something good, when i laugh with my friends or, you know, when i make some money, i'm excited. but that's only momentary. and right afterwards, i start worrying again. >> cooper: you worry about what now? >> shin: what i worry about now is all of those people in the prison camps. children are still being born there, and somebody is probably being executed. >> cooper: and do you think about that a lot? >> shin: yes. >> and now a cbs sports update presented by pfizer.
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at the hp byron nelson championship in irving, texas, sang moon bay, a 26-year-old from koreaback won his first pga tour title by two over keegan bradley. game one of the nba western conference final, san antonio led by toby parker grabbed the lead early and never gave it up, defeating the memphis grizzlies at home to take game one of that series. for more sports news and information, go to cbssports.com. m information, go to cbssports.com. m jim nantz reporting. and i honestly didn't think i would ever quit. [ male announcer ] along with support, chantix (varenicline) is proven to help people quit smoking. it reduces the urge to smoke. it put me at ease that you could smoke on the first week. [ male announcer ] some people had changes in behavior, thinking or mood, hostility, agitation, depressed mood and suicidal thoughts or actions while taking or after stopping chantix. if you notice any of these stop taking chantix and call your doctor right away. tell your doctor about any history of depression or other mental health problems, which could get worse while taking chantix. don't take chantix if you've had a serious allergic or skin reaction to it. if you develop these stop taking chantix
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to meeting patient needs... ♪ wireless is limitless. >> logan: it's been almost four years since michael jackson died, but he continues to make headlines. some of them coming out of a los angeles courtroom right now, where his mother is suing for damages over his death from a powerful anesthetic in june 2009. but the headline of this story is that michael jackson is making more money after his death than he ever did when he was alive. tonight, you'll hear about the most remarkable financial and image resurrection in pop culture history and get a rare look at what michael jackson left behind.
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the michael jackson brand is alive and well. well paid, that is. extremely well paid. barcelona, spain. the 297th performance of the michael jackson immortal world tour. cirque du soleil produces the show featuring their acrobats and contortionists, but michael jackson, or at least his music, is the star. ♪ >> john branca: we sold 230,000 tickets in two days in japan. we did 90,000 people in moscow, 190,000 people in mexico city alone. >> logan: john branca is an executor of michael jackson's estate; an architect, if you will, of how to make money off his legacy, most of which will eventually be turned over to jackson's three children.
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branca was jackson's lawyer and advisor off and on for over 25 years and negotiated many of the singer's biggest deals during his lifetime. it's just unbelievable. michael jackson sells more tickets dead than most artists do alive. >> branca: that is absolutely true. worldwide box office now is over $300 million, and michael has almost 60 million facebook friends. he's the biggest-selling artist on itunes, and he's sold approximately 50 million albums since he passed away. >> logan: it feels like you can't talk about all those great things about michael without talking about the fact that his image was so battered and tarnished by the time of his death. have his fans just forgotten about all of that? about all the weirdness? >> branca: as managers of the estate, we don't really pay attention to the tabloids. we look at the michael that we knew, the real michael, the artistic genius, the visionary. >> logan: the real michael jackson also told ed bradley on
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"60 minutes" that he let young boys sleep in his bed. you can't run away from that right? you can't hide from it. >> branca: well, i don't recall that interview, and... i just know the michael jackson that i knew was somebody i considered, you know, a very honorable person. >> logan: john branca chooses his words carefully. another subject he doesn't like to discuss is michael jackson's family. jackson's father and some of his siblings challenged branca as executor and the validity of jackson's will, but the california courts upheld the will and branca's ability to carry out michael jackson's wishes. >> branca: there was a series of wills, and they were substantively almost identical. >> logan: in that 20% went to charity, 40% went to his children, and 40% went to his mother as long as she was alive and on her death would go to the children. the basic principle never changed. >> branca: never changed. the whole objective of michael's
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estate plan is to take care of his mother during her lifetime and to accumulate the principle and the assets for the benefit of michael's children. >> logan: the will named branca and john mcclain, a longtime friend of michael jackson, as co-executors. jackson's crippled image was not the only thing they had to contend with. at first glance, michael jackson left more debt than anything. >> zack o'malley greenburg: the day he died, michael jackson had about half a billion dollars in debt. >> logan: zack o'malley greenburg is a senior editor for "forbes" magazine, and he's been covering the estate since jackson's death. how much did his lifestyle and his personality have to do with his debt? >> greenburg: he never stopped spending like it was the 1980s. we charted it in "forbes." i mean, he was making $50 million, $60 million, $80 million, over $100 million some of those years, and even into the '90s. but after the first allegations in 1993, he never toured in the u.s. again. he never got another endorsement deal in his lifetime. >> logan: the first allegations of child abuse? >> greenburg: in 1993, correct.
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he became in many ways radioactive to brands and to the sorts of companies that would, you know, contribute to those massive paydays in the '80s. and the upkeep on a place like neverland, you know, the spending on antiques and so forth and the maintenance of his entourage and all of that, you know, really... it really added up. >> logan: this is one of how many warehouses that you have? >> karen langford: five. >> logan: you can see how he spent his money and some of what made up his extravagant lifestyle in this california warehouse. wow, that's the actual sign from neverland. >> langford: that is the actual sign from neverland that was over the gates. >> logan: karen langford was friends with michael jackson and worked with him from 1981 until his death. she's now the archivist for the jackson estate. there are rows and rows, floor to ceiling, of jackson's possessions, most of it never seen publicly since he died. this warehouse is 20,000-square feet. every inch of it is full.
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there are antiques and video games from neverland ranch. his grammys. best r&b vocal performance-male, 1983: "billie jean." and 30 years of cars he never wanted to get rid of. are these all michael's cars? >> langford: these are some of them. >> logan: some of them? >> langford: some of them. ( laughs ) >> logan: more cars. >> langford: more cars. >> logan: it's another rolls royce. >> langford: yeah, well, there's a... a few. >> logan: did he drive any of these cars? >> langford: he did drive on occasion. >> logan: late in his life, michael jackson financed much of his lifestyle by routinely borrowing against his assets, but it wasn't these personal belongings that he used as collateral. although the copyright value of his own songs was worth well in excess of $100 million, the crown jewel of his investment strategy was his portfolio of other people's songs, especially those of the beatles. tell me about the music catalog, the publishing catalog that you advised michael to buy. >> branca: we started with the sly and the family stone catalog.
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we bought some rock classics, "people get ready" by curtis mayfield, dion and the belmonts' "runaround sue," "the wanderer," "when a man loves a woman," "great balls of fire," "shake, rattle, and roll." but then, one day, i got the call that the beatles catalog was for sale. it was called a.t.v. music, and it was as if we had hit the mother lode. >> logan: and you paid? >> branca: the price was $47.5 million, and we later merged it with sony's music publishing company to create one of the biggest publishers in the world, sony/a.t.v. music, that the estate, to this day, owns 50% of. >> logan: and so, how much is that worth today? >> branca: i... i wouldn't want to speculate about what it's worth, but it... >> logan: come on, john. ( laughs ) you didn't... >> branca: it's... >> logan: you didn't make all this money in this town without knowing what your investments are worth. >> branca: well, it would be speculation at this point. >> logan: it's estimated to be worth, like, a billion dollars. >> branca: michael's half? >> logan: yes. >> branca: well, you know, you never really know what something's worth until you go
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to sell it, and we are not sellers. we are not going to sell any assets. >> logan: at the time of his death, michael jackson had borrowed $380 million against the value of the songs he owned, so the estate had to move quickly to avoid losing the songs to creditors. john branca sold future music rights to sony for a reported $250 million. it was the biggest record deal in history. branca's team also combed through personal video shot during rehearsals for a comeback tour jackson was preparing for right before his death. the footage showed the talent michael jackson still possessed as a singer, dancer and entertainer then 50 years old. it was made into a movie called "this is it" and was released within months of michael jackson's death. so far, it's made over $500
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million. ♪ >> greenburg: a lot of companies got on board with michael jackson once they saw the success of "this is it" and once they saw, you know, sony investing a quarter of billion dollars for that record deal. you know, then you see pepsi coming back and doing an endorsement with him. you see cirque du soleil coming in and doing a show. you know, i think that those first couple deals proved that michael jackson was no longer radioactive. >> logan: so, death erased all his sins or even possible sins or suggestion of sins? >> greenburg: i think his death caused people to remember him as he was in... in the "thriller" years. you started to hear "billie jean" and "beat it" and "thriller" on the radio all the time. i think that that transported people back to the mid '80s when michael jackson was at the peak of his career. >> logan: that's what the jackson estate and cirque du soleil gambled on. michael jackson's 1983
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"thriller" video helped the "thriller" album become the largest-selling ever. it had seven hit songs on it. ♪ his music drives the touring cirque du soleil production. jackson's estate and cirque du soleil are 50/50 partners, and while this show is expected to continue touring for years, a new production opens this week in las vegas. it's called "michael jackson: one," and we were allowed in to watch one of the final rehearsals. ♪ this show features more of classic michael jackson
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choreography and more of cirque du soleil's signature acrobatic production, created by founder guy laliberte. do people come here to see michael jackson? or are they coming to see something else? >> laliberte: i think people are coming here, yes, because they're passionate about michael. so, it's... it's very tricky because you're touch... you're... you're touching an... an iconic figure, and we have to be careful because the base fans, they are very, very difficult and demanding. >> logan: making money on michael jackson's legacy is one thing, keeping it is another. john branca needed a team of lawyers to navigate a litany of claims against the estate. >> branca: there were so many claims that were filed, and i can honestly tell you that most of them were ridiculous. most of them were absurd. people making paternity claims and claims to have written all the songs that he ever wrote. and, you know, when you have an
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estate and you're in front of a court, you have to take these things seriously. >> logan: every single one? >> branca: every single one. >> logan: settling some, throwing some out? >> branca: throwing many out, settling the ones that we thought were valid. there's a couple that still... are still pending. >> logan: also still a work in progress is the sorting of michael jackson's effects. michael jackson's personal clothing? >> langford: uh-huh. >> logan: this is what he wore. there's that famous jacket. >> langford: here it is. >> logan: wow. that's amazing. >> langford: this is one of the safes that we have and... >> logan: karen langford showed us some of the more valuable items which are kept in this safe, like this sequined glove he wore while on tour. it's estimated to be worth over $80,000 at auction. can i touch it? >> langford: sure. >> logan: gently. >> langford: gently. >> logan: wow, it's kind of heavy. >> langford: uh-huh.
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>> logan: look at that. i mean, you can't look at that without... look at how it sparkles. >> langford: yup. >> logan: all of his belongings will be preserved until michael jackson's children come of age... >> langford: this is his shoes. >> logan: ...when they can decide what's to be done with all of it. the more time passes, the more its value and the more money his legacy generates. executors branca and mcclain get 10% of what they make for the estate, but their results speak volumes; they've already erased the half billion dollars of debt michael jackson had at his death. ♪ >> greenburg: since michael jackson died, the estate has taken over $600 million. >> logan: but he died in 2009. >> greenburg: he died in 2009, and he made... >> logan: it's... it's in four years, roughly four years... >> greenburg: $600 million. >> logan: $600 million. >> greenburg: over $600 million. and that's more than any single living artist has made over that period of time. >> logan: and he's not around to spend any of the money. >> greenburg: correct.
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