Exploring the impact of broadband and technology on our lives, our businesses, and our communities.
This decade's format battle, largely ignored by everyone except the entertainment industry and unmarried nerds with lots of disposable income, has been the fight between the two HD disc formats--HD DVD and Blu-ray. In the past year, the movie studios have been releasing some movies in one format, the other, or both. Normal people have not been interested in buying movies in formats that could disappear in a year or two, so sales have been tepid.
But Warner Bros. has announced they are ditching the HD DVD format and releasing everything in Blu-ray only. This may be enough to force the issue and get the entertainment industry to agree on a single HD format. The good news is that the quality difference between the two formats, unlike VHS and Betamax, is virtually identical (Betamax was noticeably better, but lost because Sony was inflexible).
This is one more step towards increased demand for high capacity broadband as well. Once the format war is over and fence-sitting consumers are willing to make investments in HD TVs and storage devices, they will also want increased access to downloadable HD content. The 25 gigabyte capacity of recordable Blu-ray discs will also mean easier backups for home computers. The convergence on a single HD format means that more and more computers will come standard with a Blu-ray drive, or that will be available as an option.
The latest iPod accessory, as usual, is much bigger and more expensive than any of the current iPod models. It is a flat panel television. Manufacturer JVC is putting an iPod dock in some of its new television sets. Once an iPod has been plugged in, users will be able to use the TV remote control to play music, view photos, and watch videos from the iPod.
If you have not yet purchased a big, expensive, flat screen TV, you may want to wait a bit. Tiny, iPod-size projectors may finally be coming this year. Prototype small projectors have been promised for at least a couple of years, but the size of the image and the brightness were limiting factors. This new projector from a company called Microvison uses red, green, and blue lasers to generate an HD size picture on almost any surface.
Using lasers reduces power consumption compared to the traditional high wattage (and very hot) projection bulb, and the lasers are able to produce much brighter images. The pocket size projector would enable you to watch TV, give a slide show, or surf the Internet virtually anywhere in the house (or office).
I have been on the 'net since the late 1970s. In the seventies, what passed for the 'net was small groups of bulletin board systems, with the amazing FreeNet and the later FidoNet cobbling together small groups of mostly local users.
In the early eighties, the precursor of the Internet was Usenet, a small conglomeration of volunteer system administrators borrowing machine cycles from AT&T servers (with the company's tacit blessing) to run a set of discussion groups. These machines also supported email, and so Usenet was arguably the first multi-user, multi-machine network accessible globally, although most users were in the U.S. and you had to have some sort of access, direct or indirect, to a Unix machine. It was a messy kind of system, loved by geeks but Usenet lacked friendliness of the sort that arrived later with the World Wide Web and its point and click links.
In 1982, the entire Usenet hierarchy of groups was a list that fit on two single-spaced pages. Today, the Usenet hierarchy has hundreds of thousands of groups. With each passing year, the amount of information available to us has continued to expand.
With the rise of blogs and the sophisticated content management systems used for Web sites, it gets easier and easier year by year to place more information online. In 2007, for me anyway, I found it more and more difficult to keep up. The daily flow of email into my Inbox, the phone calls, the Web site links, the mailing lists, the userids and passwords needed just to manage routine chores like placing an order online or checking a bank account balance became more and more difficult to manage.
I regularly try out new applications designed to help manage such information--password storage software, outliners, databases, information managers, address books, and the like. The problem is that each of these programs and devices (cellphones, iPods, GPSes, etc.) also require additional skills, time, and maintenance. But I find that few of them simplify my work or give me anymore time. Instead, they take time and effort away from real work.
Over the next five to ten years, I think there will be a growing trend to look for devices and software that break this cycle, that are truly revolutionary, and that make information management simpler. Products that work will be very valuable, and we will be less and less patient with technically complex products and software that use as much time as they save.
Walmart has killed its movie download business, which is not even a year old. There were many problems with it:
A more general problem with movie downloads is that they are still very slow, compared to things like songs, which download pretty quickly even over a DSL line. The movie download services, including the movies offered on iTunes, have to reduce the quality to speed up the download or force buyers to wait hours to download a high quality version.
DVDs still are very competitive because we do not have fast broadband connections and because the studios are still attaching too much DRM to movies.
Following on the heels of Ohio, Colorado has de-certified the voting machines used in some of the most populous parts of the state. Diebold, Sequoia, and ES&S machines were among those found to have problems. The state found that the machines were easy to tamper with, and that the machines lacked any audit trail capabilities, meaning there would be no way to detect tampering if it happened.
A new report by the Kaufmann Foundation indicates that 465,000 new businesses are being created every month in the United States. This probably represents a million jobs or more being created by small businesses every single month. The growth in start ups demonstrates why a community or regional economic development strategy has to include not just business attraction as a strategy, but also business creation.
Here is an interesting analysis done by Stuart Mease, who works for the City of Roanoke, Virginia. Mease's job is trying to recruit young people to live and work in the Roanoke area. He has provided a cost of living comparison between Roanoke and some of the bigger towns and cities that are more likely to attract younger workers.
Roanoke compares very favorably; you can make less money and still live as well or better than you could in some bigger towns. Most smaller towns and cities would also fare very well with this kind of analysis, and could be an important factor when trying to convince a business to relocate to your area. The ability to pay lower salaries but still offer employees a great standard of living could be very attractive.
New studies of electronic voting machines in Ohio has led a top official there to call for a ban on the machines. The Ohio Secretary of State noted "critical security failures" on the machines that made it easy to tamper with vote counts.
There are numerous news reports on the "awful" sales figures coming on from online vendors--it looks like "only" 18% growth for the Christmas season, compared to last year's 27% growth.
Eighteen percent growth is pretty good by any measure, since most retailers would say a good year is one that averages 4-5% growth. Any other business in America would be delirious with 18% growth, but somehow the news media wants to spin this as the world coming to an end.
What does it mean? It means that you can't have 27% percent growth forever. What is amazing is that people fall for this over and over again, dating back hundreds of years to the Dutch Tulip craze, the first well-documented market bubble. The "collapse" of the housing market was fueled by a naive belief that somehow, housing prices could appreciate at 10% to 20% a year indefinitely, when the historical annual appreciation for a home is more typically around 2-3%.
The good news hidden in the 18% growth rate is for bricks and mortar retailers--the slow down in online buying means we are finding out what people are likely to feel comfortable buying online, and what they would rather go to a real store to shop for. The past seven or eight years has been a turbulent time for retailers, but the news this Christmas is that we probably close to figuring out what the new "normal" is for retail, and that's a good thing.