Friday, November 11. 201111:11:11:11 - Lest We Forget to Remember![]() The 1930's Jarrow march. Early stages of WW2 Today is a day that comes round once a century - 11/11/11 (And the US and UK calendars actually are in line too). It is also the day when the the Great War ended, and we choose to remember the dead on the 11th hour of the 11th day of the 11th month, which was when the guns stopped shooting and it was all quiet on the Western Front. For a while. George Santayana noted that "Those who cannot remember the past are condemned to repeat it". As well as remembering those who fell, its also worth also rembering why another war started on the Western Front, especially in 2011. After World War One there was a time of conspicuous consumption, and then a Great Depression. During the Great Depression, the Ordinary Man was essentially mugged financially by the bankers and capitalists of that era while the state stood by or colluded. The net effect was to push the desperate Ordinary Man to vote for autocratic, populist regimes in many countries, even in the USA the New Deal was a major swing towards the Powerful State. It is now in danger of happening again. After WW2 a new social compact was formed in the West, with State tax and spending forcing a trickle down from rich to poor to reduce wealth disparity. That compact has largely disappeared, the wealth gap has been in reverse for about 20 years (back to pre WW1 / WW2 levels worryingly), and the rump is now being increasingly rapidly rescinded. Despite being bailed out by taxpayers in 2008, the banks have not changed their behaviour at all - if anything it has got worse as they now know they won't be asked to pick up any mess they create. At least in the 1930's the US Government had the fortitude to bring in the Glas Steagal Act to separate "normal" banking from casino banking. In 2011 no government has had the balls. So 2008 will likely happen again, soon. Unelected governments are now in power in Greece and Italy, Europe is now essentially being run by a cadre of unelected Technocrats, democratic process is being flouted left right and centre. In the UK the tax burden on the Ordinary Man is being ramped up, as subsidies are cut, in parallel with reducing tax burdens on the rich and corporate sectors.The tent cities in St Paul's and elsewhere are little different to the early protests of the 1930's, and mark the phase when most citizens still trusted their governments to act in their interests. The next steps, when people stopped trusting their Governments, are far worse - in the 1930's that directly led to the guns opening up on the Western Front again. We have been here before, the tragedy is if we don't remember it now, we will repeat it. One of the big differences between now and then is modern comms technology that returns power to people - as the Arab Spring has shown, electronic comms can greatly empower the weak people vs the strong vested interests. Little surprise therefore that the strong are now arguing hard to restrict access to technology in tough times (eg shut down the Internet when there are riots). Hitler silenced his opposition by burning the Reichstag and blaming it on the Communists. Our role, in the Tech community, is to be very wary of useful public and democratic assets and rights being removed, and the removal being blamed on phantom "enemies of the state" or "economic necessities" - muslim fundamentalists, evil rioters, big bailout bazookas etc etc. And to speak out for these digital freedoms, because pressure to give them up is only going to intensify, and will come from all sorts of seemingly innocent and worthy angles. So, while we remember the dead this year, it's not just 1918 and 1945 we must not forget, Its 1930 - 39 we also must remember now. Thursday, November 10. 2011Tech Blogging in Europe
Interesting article by Mike Butcher at TechCrunch EU on Tech blogging in Europe - the times, he says, are a-changing:
I do hope the economics change - we are that classic "Consultancy-with-a-blog" model Mike mentions above, in 2006 we felt that you had to put your mouth where your money was (or in blogging's case, wasn't...) and actually use the technology we were consulting on. We have certainly learned a lot from blogging and the blog has led to some interesting assignments and opportunities indirectly, and forged some good friendships, but it has certainly not been a profitable endeavour - we see it very much as a marketing cost. In fact, we took a bit of a hiatus this summer because we were so darn busy with client work! It's interesting that the US blogs now have a "European Foreign Correspondent" too, so lets see, maybe Mike is right. Our own observation is that there are only 3 scenes in Europe that are really worth keeping an eye on - London, Berlin and the European emigres to Silicon Valley (with maybe Paris deserving the occasional glance as a 4th) as pretty much anything happening in Europe will wash up in one of these nets. Most of the running is still very US centric. Mike also wants to see more attitude...well, Broadstuff has always been a tad, well, satirical - Bubblewatch has been this year's running joke - In fact more than one person has told us we could never get Ads owing to that Broadsnark. We are quite proud of that actually So clearly we may even be on the right track. Saturday, October 29. 2011Siri TV
Suddenly it clicks. What Steve Jobs had in mind for improving TV (as reported by the New York Times) and why he felt he could do something special with it. And as so often before, he was ahead of the curve.
There was a psychologist I once read about who studied behavioral patterns and was researching the tendency for human thinking to get stuck “on rails” and fail to innovate. Unfortunately I can't remember the name of the psychologist, but I do remember clearly a story he told about a female interviewee. The psychologist was studying a woman while she was preparing a roast to be cooked in the oven. He observed her cut off a corner of the meat with kitchen scissors before placing it in the baking dish. 'Why did she do that?' he wondered, and quizzed her about it. But the woman didn’t know why. After thinking about it a bit she said it was just how she had been taught to do it by her mother. The psychologist then went and interviewed the mother and asked about how she prepared the same meat dish. The mother talked through it and when asked why she had taught the daughter to cut the corner off the meat, she replied “I remember doing that. I often had to do that to get it to fit in the small baking dish I used to use.” This story gives the perfect example of how we are creatures of habit. Once we learn a way of doing things, we tend to stick with it, often without questioning why. Steve Jobs was famous for his ability to buck these kinds of psychological blinkers. So when the fruit eating perfectionist, said to his biographer, Walter Isaacson, of TV "I've cracked it.” The rest of the TV industry would do well to sit-up and take note. I have been skeptical Apple would release an Apple TV set (e.g. not just the little black box) but now I’m not. Primarily I was skeptical because Apple’s modus operandi is to deliver technology which meets and excels over the needs of the majority through judicious simplification. Whilst it has been clear to me for some time, TV’s have some dreadful “thinking on rails” design features (like the fact on many, you still have to cycle linearly through AV source after AV source, when changing AV source is now one of the most common operations I want to use the RC for), still they in the main, pretty simple devices – at least in day to day use. There is a degree of unnecessary complixity and I can certainly see how they can be improved. But I couldn’t see there was that much to frustrate with current TV solutions that the improvement would be in the “must have” category. There never seemed to me to be much opportunity for Apple to get their teeth into the problem and apply the 'less is more' philosophy they have so successfully employed for technologies with more complex use cases. But now there is Siri and the answer has suddenly become, "because less can be so much more." The biggest problem faced for years by the TV industry trying to deal with convergence has been how to reconcile lean / back versus lean forward modes of use. The TV is firmly what the industry refers to as a “lean-back” device, but all attempts to make it more connected / interactive / social have suffered because they entail less comfortable lean-forward mode of use. Things have improved greatly over the years, but still lean-back TV viewing sits uncomfortably with lean-forward style interaction. The connected TV has never quite managed to shake off a debilitating reputation for schizophrenia. But that is about to change because now there is Siri. For those who have been hiding under a rock and don’t know what Siri is, it is a technology allowing natural language to control of a device and can also perform tasks. It is proving to be far more capable of understanding advanced grammar and natural ways of speaking than any other voice control solution. Once more, just as the world is asking if they can possibly do it again, Apple are about to mainline a new category of device. The connected voice controlled information / entertainment system and it won’t have even one ounce of schizophrenia. Siri allows the user to talk naturally and ask for things using language as we already know it and use it. Start to think about how voice control can be used with a TV and survey the impressive results Siri is already starting to bring iPhone 4S users and it soon becomes clear just how big this can be. On the following matrix, I compare the kind of use-cases keyboard, button and touch interfaces are good for. Clearly this will be something of a subjective exercise, but I have tried to ensure I have been even handed in evaluating the relative strengths of each interface type for each kind of activity. The last column is something of an odd one out. In the last column, I estimate whether the Use-Case is a significant one in the context of the connected TV. ![]() Look at the results. At first it looks like a fairly random spread. 1 = not well suited. 2 = middling. 3 = well suited. So clearly typing on a spreadsheet is less suited to voice control, a Remote Control or a touch device than it is to a keyboard and mouse. It is also not particularly well suited to a TV. Requesting the latest episode of a Podcast can be accomplished much quicker with a voice interface. “Siri, play me the latest episode of the Archers”, is likely to be far quicker than retrieving the latest episode by navigating a graphical interface with a remote control or mouse. Here is the thing that really stands out for me with this table. For every use case I’ve thought of that is of higher relevance to the connected TV, voice control provides an as good or superior method of control than the others listed. The one exception here is gaming. But gaming apart, if Apple are implanting Siri technology in an upcoming TV as the New York Times suggests, it seems Jobs will indeed have cracked it. Friday, October 7. 2011Steve Jobs RIP
I remember seeing the first Apple microcomputer, and realising the guys who built it were a step ahead of anyone else. What is amazing is how Apple has kept that step ahead for 40 years, and that is no accident. Many people claim to "change the world", Steve Jobs was one of the select band who did - and in a positive way.
What is astounding is that he has been making technology easy to use for all those 40 years, and many of his competitors still don't "get" it! (Update ...this does not mean Mr Jobs - like any genius - did not have flaws, or was not difficult to work with, of course) Thursday, September 29. 2011Fire burns iPad
Before the Kindle Fire was launched I was thinking it would be less a rival for the iPad and more a rival for other Android tablets. Now I think it is a really effective rival for the iPad. Amazon have out Apple'd Apple through effective implementation of the "less is more" philosophy and Apple finally have serious competition in the tablet space. The answer to one simple question will worry Apple more than anything else and illustrates why, to my mind at least, Amazon are about to pull off a great success;
"Which is the more techie device ?" The answer for tablets pre-Fire was never iPad. Now it is. Amazon have also, for me, illustrated why Apple are right in their complaints about Samsung copying. Here is a company who have come along, analyzed the problem and thought carefully about how they can best leverage their assets to serve the market. It will be a success precisely because they have learned key lessons from Apple and applied them intelligently. Amazon have attacked an internally consistent and coherent portion of the tablet Use Case that also happens to be the most significant Use Case for tablets as a whole; Content consumption. The result is something unique and effective, an always open portable shop for content be it games, books, music, movies or apps. They have recognised, according to the "less is more philosophy," if you look at how tablets are actually used, you better serve the majority of user time by taking "iTunes" or the online store, and expanding it to be not just the centre of the OS but the whole of the OS. They have played to their strengths and asset base made the OS the centre point for loading and consuming content. iOS by contrast fragments the buy and "consume content" use-case across a number of areas of the OS (most noticeably dividing iTunes and iPod). The Fire illustrates iOS has perhaps a little more old school PC centric thinking than even Apple realized. I'm pretty sure Steve Jobs will be highly respectful of what Amazon have unveiled and achieved - something that can't be said of his other tablet rivals. Wednesday, September 28. 2011Take two tablets (please)
Amazon has launched a demi-tablet to not compete with the Apple iPad - The Omnivore has a good synopsis:
Unlike a wave of other tablets that have emerged hopefully only to flop, such as the HP TouchPad, the Motorola Xoom, and the RIM PlayBook, the Kindle Fire has a good shot at turning the newest theater of war in high-tech into a two-tablet battle. With a 7-inch display, the Fire is about half the size of the iPad. At $199, it’s also less than half the price of the cheapest Apple model. Amazon has painted over the rough surfaces of Google‘s Android operating system with a fresh and easy-to-use interface and tied the device closely to its own large and growing content library. Kindle Fire owners can watch the film Rio, scroll through magazines such as The New Yorker or Esquire, and access their music collection on Amazon’s servers. Its not an iPad in other words - its not a premium product, its smaller screened, cheaper and (knowing Android) probably nastier to operate - so its a mass market play that hopes to be a Good Enough for most of the rest of the (non iPad owning) market. We have done quite a lot of work for clients inthe e-reader/tablet supply chain, and the one thing that drives success - time and again, as for all devices - is a good variety of content. It took Google a long time to get this in Androidworld, but Amazon has the best chance of taking Apple on of all the players (as they showed with Kindle). So, an early hypothesis from me - Apple will probably continue to sell high margin, high class product to the 20% at the top of the tablet market (as they have done since the 1970's in every market). Amazon will be mopping up the low margin mass market. The fact that Microsoft, the arch mass-market mop-up player, is underpinning the Fire's OS is another pointer to this. No doubt there will be a bigger Fire soon, but no doubt Apple will also be innovating. They could launch a prodcuct that is half-way between the iPad and iPhone in a fairly short time we suspect - maybe call it the iPhad Andreessen foretells Oracle's future
Marc Andreessen thinks that the clock is ticking on Oracle and other old-line software and infrastructure companies - Business Insider.
His evidence: not a single one of Andreessen-Horowitz's startup investments use Oracle software. They all use cloud-based alternatives instead. The thing was that Oracle, BEA, EMC - and even Sun - were not appropriate for startups even 10 years ago, and everyone knew it - but you had to "look big fast" in the high hype world of dotcom share price pimping - and every dotcom with attitude was going to be huge in 2 years, of course - so get the Big Boy systems in now rather than buy a decent SME accounts package now and buy Oracle later when you were bigger. Brave indeed was the dotcom startup who went for the appropriate technology, therefore . What Marc also doesn't mention is that many times these large companies would give you the kit on some sort of for-shares or low interest long life loan basis, so you would be financially daft not to take it. My main issue with Oracle (and the other big players by and large) is that they have done little in the last 10 years to redress that known weakness - and you would have thought Sun's demise would be a lesson. They saw Hosted solutions coming 10 years ago, so this cannot be a surprise - and thus why no action? The reason is the fairly standard large company issue - addiction to the current business models, and finding it very hard to invest in new technologies that don't "move the needle" and are unreliable by "tried and trusted" standards. In fact, Oracle innovation has typically been "buying the market" as its innovation ploy - either buying out sector competitors, or small companies with interesting products - and then sadly (and probably even unintentionally) slowly strangling them by underinvesting and burying them in corporate treacle. (This was part of Marc's argument that there Is No Bubble- he believes the cloud computing revolution has made the titanic valuations of major Web 2.0 companies like Facebook and Twitter completely justified - which we just don't buy) So my prediction is slightly different to Marc's - I would predict that as the Cloud market grows, and becomes more stable, then Oracle, SAP, IBM et al will increasingly just buy their way in. Give it 3 years or so, and Marc's investments will be using Oracle And as totitanic valuations being justified, we shall see..... Tuesday, September 27. 2011The death and resurrected life of Delicious
When Web 2.0 broke out in the mid noughties, Deli.cio.us was one of the main services pointed to as part of the New Wave. Now it has been resurrected. What is more interesting is who the the owners are - Liz Gannes on alt.hings.D
New owners Chad Hurley and Steve Chen (a.k.a. the creators of YouTube) have ported Delicious over from previous owner Yahoo, and are ready to show their first revision to the public. As Liz says, this was not eventually a major part of the Web 2.0 movement (though it has its own dedicated following) and was bought by Yahoo, who essentially strangled it before selling it on for a song. Far be it for us to suggest that this goose is being fattened up for the Bubbletime....and postulate how many other defunct mid-noughties brands will become Laz.ar.Us brands.... Friday, September 23. 2011HP Still in search of excellence?
A few years ago we collaborated in a piece of work for NESTA on the extraordinary innovation that US companies formed in the Depression showed. It seems that being born and surviving in that cauldron gave them an extraordinary resilience. Hewlett Packard (HP) was one of them, and was mentioned (along with quite a few of the other Depression era companies) in the 1982 book In Search of Excellence. Sadly along with many others, inclusion in that book was a sort of death knell.
HP has had a tough last 15 years or so, and has had a succession of unfortunate CEO choices. Now its just been confirmed that Meg Whitman (ex eBay) is the new CEO - AllThingsD: The board of HP, which has had its own series of blunders in recent years, is hoping Whitman can help turn that around, especially as its competitors — such as Oracle, IBM and others — increase the pressure. Good luck....she will certainly need it! Will this end a run of unfortunate CE choices? I'm not particulalrly optimistic as apart from her (in)experience in this space, this is a long mismanagede company in a decining industry, to pull out of and it seems to me that the HP board - which surely must be seen by now as a major liability - is still in situ. Still, if a biscuit hustler* could pull IBM around, there is hope for HP. *I haven't done any research on this, but I wonder if there is a higher success rate for bringing in CEOs from outsuide the industry - I have certainly found it works well at middle and senior management level. Wednesday, September 21. 2011Bubbleworld Deflation?
News today that Ning managed a $200m all-stock sale to Glam Media - AllThingsD:
Glam Media, a social content platform for sites primarily targeting women, said it’s buying Ning, the custom social-platform start-up co-founded by Marc Andreessen. The purchase price wasn’t disclosed, but sources close to the deal said the sale price was $200 million, mostly in stock. Glam has been eyeing an initial public offering, so shares being part of the deal is not a surprise. I had reported in August that Ning was on the block and had been talking to a number of companies, including Google and Groupon. The sale price is well below previous loftier valuations for Ning, which topped $750 million several years ago. Its venture funders have put close to $120 million into the company since it was founded in 2004. Timing is everything, Ning was an early-generation SocNet that didn't sell at the time its contemporaries like Bebo, MySpace et al did, and has been superseded by next-generation ones. This is a face saving sale for the Ning founders and a part of Glam's "pump up the volume" of traffic pre IPO. But this capitulation by the Ning founders also points to early signs of a deflation in The Bubble - Groupon has pulled its IPO (to be seen when it has another shot), and Facebook has now been pushed back for another year. Be interesting to see what Zynga does, given it is another of the recent Tech darlings that has recently filed a $1bn IPO. If the last Tech Bubble is anything to go by, there will be a series of deflations like this followed by increased inflations in this one. Too early to all this deflation, but definitely a reduction in inflation. Update - contra indications to a still infalting bubbleworld - an Incubator's Incubator! (hat tip @bobbiejohnson)
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