Sunday, January 08, 2012

The Movie Industry's Non Innovation

Jack Valenti, former President, Motion Picture...Image via WikipediaSteve Blank has a great blog post cross posted on ReadWriteWeb.

Why The Movie Industry Can’t Innovate and the Result is SOPA
This year the movie industry made $30 billion (a third of it in the U.S.) from box-office revenue. But the total movie industry revenue was $87 billion. Where did the other $57 billion come from? ..... From sources that the studios at one time claimed would put them out of business: Pay-per view TV, cable and satellite channels, video rentals, DVD sales, online subscriptions and digital downloads. ..... Today it's the Internet that's going to put the studios out of business. Sound familiar? ..... Why was the movie industry consistently wrong? And why do they continue to fight new technology? ........ But why does the movie business think their solution is in Washington and legislation? History and success. ...... when they hired Jack Valenti, who ran the studios' lobbying efforts for the next 38 years. Ironically, it was Valenti's skill in hobbling competitive innovation that negated any need for studios to develop agility, vision and technology leadership. ....... The incumbents tend to have short-sighted goals and often fail to recognize that more money can be made on new platforms and distribution channels. ...... Ironically, the six major movie studios have a great technology lab in Silicon Valley with projects in streaming rights, Video On Demand, Ultraviolet, etc. But lacking the support from the studio CEOs or boards, the lab languishes in the backwaters of the studios' strategy. Instead of leading with new technology, the studios lead with litigation, legislation and lobbying. (Imagine if the $110 million/year spent on lobbying went to disruptive innovation.) ......... The fact is piracy is rampant in all forms of commerce. ..... Grocery and retail stores euphemistically call it shrinkage. ...... SOPA gives corporations unprecedented power to censor almost any site on the Internet. ...... What the music and movie industry should be doing in Washington is promoting legislation to adapt copyright law to new technology- and then leading the transition to the new platforms. ..... Studios are run by financial managers who have no corporate DNA to exploit disruptive innovation
I think of the Internet as one big farm. It is the farm that feeds you mindfood. Movies are mindfood. Of all technologies that were ever invented for the creation and consumption of mindfood, the Internet is the best by a wide margin. The movie executives fighting the Internet is farmers saying keep me away from the farm. What kind of farmers are these people?

Saturday, January 07, 2012

Microsoft Finally Cracked The Phone

The Start screen of Windows PhoneImage via WikipediaIt is like Google finally cracked social with Google Plus. Microsoft, long ridiculed, might finally have something to offer in the phone space. And because of its alliance with Nokia, that has global implications. As in, they could scale fast. Watch out. There is a third player in the game now.

The New York Times: The Critics Rave ... for Microsoft?
While the likes of Apple have captured our imaginations with nifty products like the iPhone, Microsoft has produced a long list of flops, from smart wristwatches to the Zune music player to the Kin phones....... Unlike other handset makers creating devices with Microsoft’s software, Nokia is not also developing Android phones. ..... The next major version of software for PC’s, Windows 8, will look a lot like Windows Phone, which Microsoft hopes will help it work better on tablet devices. A Windows Phone-like makeover was also part of the new software update for Xbox, which along with Kinect is one of Microsoft’s few consumer hits. ....... The tale of how Microsoft created Windows Phone starts with the introduction of the iPhone, in 2007...... Windows Mobile had a complex array of on-screen menus, including a start button for applications that was borrowed from Windows PCs. The software ran on sluggish devices that had physical keyboards and, in some cases, styluses. ....... Once the iPhone exploded into the marketplace, Microsoft executives knew that their software, as designed, could never compete. ....... The decision was to start from scratch, a move that had serious consequences. Not only did it delay a Windows phone, it gave Google an opening to woo Microsoft handset partners to Android. ......... the Zune HD came out years too late, well after the iPod had cemented its lead. ...... Microsoft gave its handset partners detailed specifications of the types of technical innards required, including processors with certain amounts of power and screen technologies. Handset makers grumbled about the rules, but the result was phones that ran better. ........ “The company is being somewhat bold and saying what worked for them in 1992 won’t work now.” ....... this year is crucial; it will show whether a respected product is enough to help Microsoft make up for lost time. Even if it feels good to be a favorite of tech critics for a change, Microsoft needs a blockbuster in the mobile business, not a cult hit.
I think Microsoft finally has a mainstream product in the space. That would be a first.

Engadget: Nokia Lumia 900 coming to AT&T, further details expected on Monday
The Nokia Blog: NYT: Nokia Lumia 900 Going Official January 9th, Sleek & Metallic

BusinessWeek: Nokia Said to Announce Plans for First Microsoft Phone for AT&T
..... the device may sell for $249 with a two-year contract ....
The Verge: NYT confirms Nokia Lumia 900, headed to AT&T
..... if the rumors hold, we're looking at a 4.3-inch WVGA display, 512MB of RAM, and 8-megapixel camera, all running Windows Phone 7.5 Mango.