Technology Futures

The news is full of stories about USAir's financial woes, which they blame on the airline pilots. Their labor costs are probably too high. But I think there are other contributing factors. I just had to book a flight to Pittsburgh (round trip from Roanoke, Virginia). USAir has a hub there, and direct flights from Roanoke. The other three Roanoke airlines fly you through one of their hubs before getting to Pittsburgh.

You would think USAir would have a natural advantage, since businesspeople don't want to waste time in airports--a nonstop flight is always preferrable to one that requires a stop. Except when the nonstop flight costs two-thirds more! USAir is going broke because they are charging $800 for a single flight segment when all their competitors will fly two legs for under $500. Not only that, the times of the USAir flights are lousy, so I don't really lose that much time with the extra hop.

Another airline got my business, and USAir lost out because of absurd pricing coughed up by hideously complex pricing schemes generated by computer programs that only a bean counter could love. It's obvious that NO human being has ever looked at the Roanoke-Pittsburg pricing and asked, "Does this make sense?" If they had, the prices would be different, and USAir would be making money instead of losing it. Applied over their whole flight network, it's a wonder they have lasted this long. And it explains why the pilots are reluctant to make concessions--why should they if the real problem is not being fixed. Your costs could be zero, but if your prices drive your customers to another airline, it won't make any difference.

In part, this is a natural consequence of the Knowledge Economy. In the old days, travel agents worked mysteriously and invisibly to come up with ticket prices. They had special access to airline fee schedules, and we did not. So we took pricing more or less for granted. We had no information with which to make an informed decision. Today, I can hop onto Orbitz or Expedia and see every price from four or five airlines, and the pricing insanity that USAir calls a "business" is patently obvious.

Welcome to the Knowledge Economy. Information is power, and you need to remind yourself that everyone has a lot of power these days. You can't take customers, business, or economic development for granted anymore.

USA Today wrote an article about a month ago that I just stumbled across that's worth a read if you live in a rural area. The article details some of the new breed of rural wireless ISPs (WISPs) that are changing the way broadband is delivered in rural communities.

I am constantly surprised at the number of people who believe rural farmers don't want or don't need broadband. It's a myth, pure and simple. An ag agent told me over a year ago that half the cattle in Virginia are sold over the Internet. I met a farmer in southern Illinois last year that had built his own WiFi network to connect up weather and moisture sensors on his three farms. As we sat in his 150 year old farmhouse, he pulled up real time weather information from his sensors; he checks moisture levels every day without having to waste time riding around--he is using technology on a family farm to be more efficient and increase production.

The USA Today articles chronicles the work of big and small wireless firms, with an emphasis on the small outfits. One used an old farm silo to mount the antennas that supplies broadband to his customers. Another got into the wireless business to sell off expensive excess bandwidth he needed to run his own business.

As you read this article, one thing you notice is that these are not typical Manufacturing Economy businesses. They are not building manufacturing plants and office buildings. They are not renting space in business or industrial parks. They are not even renting space in the local business incubator. Many are home-based.

Does your economic development strategy include: a) Identifying these businesses (clue: they aren't relocating to your area and are not in your business park), and b) Providing capital, business planning and management, and marketing assistance?

These are "classic" Knowledge Economy businesses; they don't fit any of the old business stereotypes. But they are creating jobs and income in rural communities, and providing a valuable service as well.

Dave Winer points out that the TA Travel Centers have provided easy Web access to their car/truck stops with WiFi.

As I mentioned in an earlier post, Winer is on a cross country road trip, and is choosing his evening stops based largely on the availability of WiFi, like so many other travelers these days.

The TA folks not only have a page of links, but each link takes you direct to more information about each page. Note that the location page and latitude and longitude on it. Why, you might ask? So that the ever-increasing number of cars and trucks with GPS-enabled travel direction systems can use that information to direct you right to TA Travel Center.

The TA folks get it--that travelers and truck drivers are jacked in and want to stop where they can get Internet access. How about your community? Have you mapped your hotspots? Is that hotspot map easy to find on your community portal? Have you provided GPS coordinates?

All this stuff is easy to do, and will provide direct benefits as more travelers stop in your community to spend their travel dollars.

Today, HP put their iPod on sale. This long awaited product is licensed from Apple, and is very similar in appearance to the current, 4th generation iPod. HP has also released "Tattoos," which is an ink jet media that you can print on and then apply as a cover to your iPod.

The iPod continues to be a remarkable product with remarkable sales strength. It has spawned literally thousands of add-on products. Some of the most popular add-ons are small, portable speakers that usually have a dock of some kind for the iPod, creating a mini-stereo system.

Duke, which has given iPods to all 1600 freshman, has apparently created a lot of animosity among the rest of the students who did NOT get iPods.

Longtime readers know that I think the iPod represents the next generation of computing devices. Ten years from now, desktop and all-in-one computers will seem quaint; we'll all have a pocket size device that allows us to carry all our files, work, music, and pictures wherever we go--oh, wait, the iPod does that now.

Lost in the dizzying success of the iPod as a platform for music is the fact that the iPod is a fully programmable computer that comes out of the box ready to use as a calendar, an address book, and a file system (it also comes with some games). Load your desktop files into the capacious iPod, and then plug it into any Mac anywhere in the world, and you have your entire work life ready to use. Once you get back to your home desktop machine, plug it in again and it will automatically sync up all those files.