Exploring the impact of broadband and technology on our lives, our businesses, and our communities.
In one of the strangest things to come out of government, the Federal Trade Commission has announced it intends to monitor and police.....blogs. That's right--there is apparently nothing more dangerous than a blogger who might be getting paid a few bucks to write a product review. So the FTC is setting rules for full disclosure on when a blogger might be getting paid directly or indirectly for writing a product review.
Most bloggers blog because they like to write and want to share some knowledge or information with others. Very very few make much money from it. And the few "blogs" that are thinly disguised spam don't fool anyone. Expect to see First Amendment challenges to this, among other problems.
IBM has announced a new online service based on the popular Lotus Notes. The new service is called LotusLive iNotes, and the new service is aimed squarely at both Microsoft Exchange and Google's Apps Premier Edition. Regular readers know that I don't have much tolerance for the whole cloud computing buzz--it's a glorified mainframe, with less fault tolerance and much less data security. If I had to bet IBM's offering against Google, I'd go with IBM every time. Nobody knows how to do big, distributed computing better than IBM. Google is starting to get squeezed a bit, which is a good thing. I've been using Microsoft's Bing search engine for several weeks, and really like it--better results all around with far less dreck. And now IBM enters battle with Google. Good. Competition is great for everyone, especially buyers of services.
The next couple of years could be interesting. Google has been an advocate for network neutrality, which the FCC has indicated it intends to promote. But AT&T has just accused Google of blocking phone calls to rural areas for users of Google's Voice service. AT&T may have a point--Google wants broadband carriers like AT&T to carry all of Google's services without prejudice, but if Google wants that, then it also has to play by the same rules the phone companies are obligated to observe, and one of those rules is that they can't block calls to areas where the access fees (e.g. rural areas) are higher.
Irresistible force, meet immovable object. Someone make some popcorn--this could be fun.
A ComputerWorld article reports on a study that says social networking sites like Facebook are "leaking" personal information that allow third parties to tie Web browsing habits to specific individuals. The study looked at 12 different social networking sites and was able to determine that 11 of them were intentionally or unintentionally making it possible for third parties to tie your viewing habits to you personally.
Cookies and HTTP referrer information were identified as part of the problem. The report concluded that it was difficult for users of social network sites to counter this. A partial solution is to delete all cookies every time you quit your browser, which few people do. Cookies are heavily used to simplify logon to sites that users visit frequently, and regular cookie deletion will eliminate that convenience.
Powell, Wyoming's community-owned citywide fiber network is up and running, and the town is starting to get phone calls from businesses interested in taking advantage of the affordable broadband and the fact that every home has a high performance fiber connection.
Powell community leaders report a Denver firm is visiting to discuss bringing 100 work from home jobs to the community. Here is the money quote:
"The citywide fiber optic network absolutely drove the decision...."
As I predicted many years ago, the video store is on the way out. Blockbuster has just announced it is closing more than 900 stores. Netflix and video on demand over the Internet has taken its toll. Blockbuster has added a Netflix-style ordering system with the supposed advantage of being able to drop movies off at the local store, but that's just a dumb idea that was always dead on arrival. Netflix has a superior service, and even though the quality of video on demand via the Internet is lower than watching a DVD, we're all adjusting our expectations downward because of the convenience of on demand viewing.
More and more TV is being watched in small, low resolution windows on computers rather than via cable and satellite, and no one seems to mind. Blockbuster says they are going to switch to kiosks of DVDs in many different kinds of stores (e.g. supermarkets, quick stops, etc.). Yea, that will make a big difference. The kiosk model may prop them up for a couple of years, but eventually, DVDs will go the way of the CD--the iTunes Store is now the biggest seller of music in the world.
Long term, bandwidth is going to become a big issue for on-demand services, and communities with high performance open access broadband networks will be far ahead of regions still limping along with Internet access via copper (DSL and cable).
The latest Web phenomenon is Animals with Lightsabers, proving once again that no idea is too stupid for the Internet. This particular flash in the pan is not likely to last, as you can be amused by a squirrel with a lightsaber only so many times. The object lesson is that the Web and the Internet continue to dismantle traditional publishing. Once upon a time, this sort of topic was the domain of small, cheaply printed novelty books that tended to be popular as Christmas gifts but actually never got opened past about 2 PM on Christmas Day. They ended up in the remainder bin of the local bookstore three months later for $4.99.
Music stores are nearly dead, bookstores are dying, and the video store is next. Although some have engaged in hand-wringing over the loss of jobs related to these shifts in the industry, the new technology is creating new markets and work opportunities, often for better pay and bigger businesses. Just one example is the enormous new market for software for the iPhone, where one and two person companies are raking in hundreds of thousands of dollars a year working from home, selling software via the Apple App Store for $1.99. This market and these jobs did not exist less than two years ago, and the the opportunities created far exceed dusting records for minimum wage at the local music store.
If you have not tried Microsoft's Bing search service, you may be surprised. Bing seems to do a much better job of delivering relevant search results than Google. On a few queries I tried for topic areas I am familiar with, I found Bing producing fewer results of much higher quality, especially on the first couple of pages. Bing also is trying to integrate information from other Web sites and information sources in a thoughtful way, especially if you are trying to identify how to get to a business. It is nice to see Google finally have some serious competition.
The BBC has an article asking what happened to public WiFi. The big WiFi projects that attracted so much attention in the U.S. five and six years ago (e.g. Philadelphia, San Francisco) failed miserably and were shut down or dramatically restructured. Some smaller municipal WiFi projects, like the one in St. Cloud, Florida, had some early rough spots but are still active. But local governments, by and large, found that free WiFi was expensive to support and often very lightly used.
The BBC wonders if the new smartphones (e.g. the iPhone, Google's Android) will create a new surge of communitywide wireless demand. The answer is, "Probably." But looking five to seven years down the road, wireless Internet access will probably have shifted by then to WiMax or the recently opened 700 Mhz spectrum. And if I had to bet, the 700 Mhz could be the winner because it has sufficient bandwidth, the signal travels farther (fewer access points and less cost), and it penetrates trees and buildings better. WiMax, for all the hype, still has many of the shortcomings of WiFi because it operates in the same general frequency ranges.
While rural areas will rely heavily on wireless for primary Internet access until fiber reaches most rural homes, fiber will replace wireless over the long term for fixed point access. But we all want mobile access, and so wireless services are here to stay. But it is an expensive technology, and communities would be served best by investing in open access basic wireless infrastructure (tower sites, towers, rooftop access on public buildings and water towers) and simply leasing out that basic infrastructure to private sector wireless firms. On the fiber sides, communities should build open access fiber networks and lease out the capacity to the private sector--for both wireless and fiber, these are public/private partnership solutions that keep government out of the business of selling telecom services but ensure that communities have some control over their economic future.
Chris Mitchell at MuniNetworks has a great piece on the dilemma faced by the FCC, which is tasked with coming up with a national plan for broadband. The FCC has to balance the interests of the incumbent telephone and cable providers with the needs of the public. And the "public" includes an increasing number of home-based workers and businesses for whom the current "little broadband" services are grossly inadequate.
Heavy-handed Federal regulation is not likely to fix the problem. Making it easier for localities to invest in basic telecom infrastructure and operate it as an open access broadband digital road system is a third way. Open access broadband provides a graceful path for incumbents to slowly migrate from their antiquated copper-based systems to high performance fiber and wireless networks without going broke. And the open access approach keeps local governments out of the telecom and broadband service business--leaving it to the private sector, where it belongs.
Mitchell puts his finger directly on the problem, which is the incumbents have been reluctant to change their business models. So their advice to the FCC is to change little or nothing, because that is the path of least work for them. But it does nothing to make American businesses and American workers more competitive in the global economy. Other countries are investing heavily in fiber to the premise, while the U.S. tries to prop up fifty year old copper technology.
But open access provides enough that the FCC, communities, and incumbent providers ought to all be able to agree to at least remove the current regulatory stumbling blocks to this alternative.