Publishing and content

For about a week now, there has been a thread running around the InnerTubes about how the ebook readers are changing publishing. The Kindle is slowly taking hold, and though I was an early skeptic, there does indeed seem to be a place for a dedicated book reader. Amazon has made it so easy for authors to self-publish that many new authors are skipping the traditional New York publishing house route and simply putting their books on Amazon as an ebook. And money follows.

Kiefer Sutherland of "24" fame is starring in a new series called "The Confession." It will debut on Hulu in March. I've been waiting for this to happen, and putting heavy hitters like Sutherland and John Hurt in the cast will draw the audience needed to make this a success. It will be interesting to see what happens in the first hours that this becomes available on Hulu. A lot of people trying to watch it right away could cause network congestion and slowdowns on a scale never seen before.

Does anyone watch TV any more? Now that Charlie Sheen (...Winning!) has caused the cancellation of Two and a Half Men, the world as we know has come to an end. Just for the record, I have never watched a single minute of that show, but others obviously have. As I have noted in the past, content is king, so content owners will remain standing after content distributors and their analog world business models have collapsed (read TV channels here). The Internet and the iPod killed the music distribution business.

Via Jason Kottke, a rumor that the Kindle book reader will eventually be free. Amazon is doing better than I expected with the Kindle, both because the price has dropped sharply, which I viewed as an obstacle, but also because the Kindle itself has been improved. If Amazon eventually gives the Kindle away, a lot of paperback and hardback books will only appear in digital format.

The "cloud" took a hit over the weekend, when a problem with Gmail accounts apparently wiped out tens of thousands of email accounts. Google is vague about how many were affected, but some estimates suggest several hundred thousand account were affected. Here's the worrisome part: news reports are saying the accounts were "permanently" deleted, meaning the affected users can't get their data back.

Amazon has jumped into the movie streaming game big-time with a new offer to Amazon Prime customers, who pay $79/year for free shipping. Now included in that Prime subscription is unlimited access to on-demand 5,000+ movies.

The Daily is the new online newspaper that will be designed expressly for the iPad and other tablet devices. Developed by The News Corporation, the weekly subscription will be priced at 99 cents, or about $4 per month. By comparison, many newspaper subscriptions are closer to a dollar per day.

Here is a report that tablet devices like the iPad are not delivering the predicted online magazine subscriptions. I have been saying for some time that these new devices have the potential to save the ailing magazine and newspaper industries. But I think it is too soon to say that data from essentially just one or two publishers is a trend.

Two stories in one: The iPad is cutting into traditional newspaper and magazine subscriptions while simultaneously increasing readership for the online versions of newspapers and magazines. The challenge for publishers of newspapers and magazines is to set the online subscription prices at the right price point. If they are greedy and try to keep the online price high, they will never achieve the economies of scale possible when distribution costs are nearly equal to zero.

Comcast and Level 3 are having a public fight. Level 3 is a long haul network provider; the company owns thousands of miles of inter-city fiber and hauls all kinds of data traffic, including Internet traffic, for a wide variety of customers. But Comcast is groaning under the weight of Netflix and other video traffic, and the cable company wants Level 3 to pay more to drop traffic onto the Comcast network for delivery.

Netflix has announced an increase in the price of monthly subscriptions, which is no surprise, given the popularity of the firm's video on demand service. With Netflix subscribers using 20% of the nation's bandwidth every evening, Netflix needs some way to pay for all that bandwidth. The company has also added a $7.99/month streaming only subscriptions--you can't get any DVDs.

If you have not yet heard about "The Daily," you will shortly. The new digital "newspaper" is a collaboration between Apple and News Corp., and it is designed expressly for tablet devices like the iPad. There will be no Web or paper edition. Hence, we need a new term for this, and I think "newspad" is just right, as it is derived directly from its predecessor, the "newspaper."

In what has to scare the heck out of the cable companies, Hulu has released an upgraded version of its premium subscription service and software while dropping the monthly cost from $9.99 to $7.99. Hulu Plus gives subscribers access to many of the most popular current season "TV" shows. I am going to start putting "TV" in quotes because broadband services like Hulu and Netflix are not the old analog TV, but they sure deliver the same content.

Netflix had an outage of several hours that prevented their customers from accessing any streaming content. This article discusses whether Netflix is spending enough on infrastructure, but what has also emerged is that Netflix customers using the company's streaming services are now consuming 20% of all the bandwidth in the U.S. during peak evening hours. As I and many others have been predicting for years, video in all its forms is now driving use of the Internet.

The New York Times can now be read on the iPad via an upgraded NY Times app. The full edition of the paper is available for free until sometime next year, when a subscription fee will be charged. If I was the owner of a struggling newspaper with declining circulation, I'd be not only going the app route for distribution, I'd put together some kind of deal to bundle in an iPad with something like a twelve month easy payment plan for the iPad.

I was talked into going to see the movie "The Social Network" last night. Ostensibly about the rise of Facebook, it's hard to know how much of it was based on facts and how much was fantasy. I know that I thought the movie would never end. I can't recall another film in recent memory where every single character was so consistently unlikable. Zuckerberg, the founder of Facebook, probably is hard to get along with, but by the end of the movie, I was starting to feel sorry for him.

As I have written previously, Google and Apple are in fierce competition with each other, which is good for all us. Competition makes both companies work harder to deliver better products at less cost. Google has just announced their Google TV service. It is a bit different than Apple's Apple TV.

I still remember a conversation I had about a year ago when I told an business acquaintance that Blockbuster was toast, and that it was only going to be a year or two before the company would be gone.

Apple has announced a new version of Apple TV. Apple has cut both the price and size of the device; it's now tiny compared to the old version, and costs only $99. The old version of the product was able to store movies and TV shows, but the new version only streams movies and TV, either from online sources or from content stored on a nearby Mac computer.