Google's New Book Search Tool

Great article by (PC World Editor-in-Chief) Harry McCracken here on Google's foray into being the virtual Uber-library with BookSearch.

Text Marks the Spot

So you'd like to direct people to your web site, but they're not connected to the internet at the moment (walking down the street, in a restaurant, ...). But thanks to the ubiquitous cell phone, they do have ability to call up a short text message and have your site loaded to their phone for future reference. Voila! Here's where textmarks comes in.

At no cost ("the best things in life...") textmarks will allow your prospective customers to text a message via SMS to their central number 41411 and get a reply in the form of a short message and your web site link. It also allows you to add regular subscribers, track your response rate and forward your posted messages.

Textmarks has other suggestions for how you can use their service -- selling a car, publishing little league game times, etc. You'll find at least one that you can use, or better, you'll think of something entirely original. Take a test drive - send the word smarterit to 41411.

Viral Frog

You're a fly on the wall in the final minutes of a possibly-historic focus group: "...all in favor? All opposed? And the ayes have it -- 'Spiral Frog' it is... Meeting adjourned."

It's good to have something interesting about you other than your name, like being the new contender with iTunes in the music download market. More interesting is the shift in the model -- a sort of concession by the industry that driving the viral p2p music business with advertising is better than being made irrelevant by Limewire (or the Napster du jour).

The International Herald Tribune article says the advertising factor makes it complementary and not a challenger to iTunes' pitch-free $.99 downloads.

But it doesn't happen until the end of the year and in this dynamic market, this is an early announcement and certainly stands for potential revision. (Just make it before Christmas!)

Letters by Phone - TVU

In the movie about that extraordinary pig "Babe," there's a scene where the daughter-in-law gives Babe's owners a fax machine as a gift. There's a look of gratitude along with a certain incredulity at the explanation that "now we can send letters by phone!"

I had a similar sense of incredulity when my oldest son Axel called me from college and said he found a way to put digital television on the computer. But now that I see it, it makes more sense. TVU has taken a handful of programs and put them on the web in sort of a satellite-radio way for specific niche markets like ESPN, Opera, Hunan TV, and Deutsche Welle along with some others with broader appeal like Bloomberg, CNN, Fox, Disney, ABC and CBS.

If you were thinking of spending money on special software (or hardware) to get broadband, digital, global television programming on your pc, refer to "You Get What You Pay For" and try the free download from TVU.

The Big Bang Goes Off!

Here are some interesting stats about Chicago's south side from Steven Levitt's book Freakonomics:

- 56% of children are below the poverty line
(vs. an 18% national average)
- 78% come from single-parent homes
- 5% of the parents have college degrees
- 1 in 3 adult men are working
- the median annual income is $15k

i.c. stars is a Chicago training center for inner-city (i.c.) young adults looking to become stars in the areas of business, leadership and technology. I was at their office on Superior street downtown earlier this week and met the current cycle of interns -- what a great group! Every one of them is engaged and interesting and hopeful.

Here are some of the stats I heard from them:
- graduation rate - 78%
- job placement rate (2005) - 92%
- increase in average income - 192%

This morning was the second big i.c. stars event of the year (The Big Bang!) and packed out the house at the Northern Trust office on LaSalle with over two hundred supporters. Take a look at their web site to see an organization that is changing the future for these young people one cycle at a time.

Gambling with Technology

How is a Las Vegas casino like a company's computer network? According to Malcolm Fry, the IT infrastructure library (ITIL) developed by the British government is turning out to be the best bet for management of computer services.

This set of seven books is a collection of standard terms and best practices for running a technology network, currently much more widespread in Europe, but gaining increasing momentum on this side of the Atlantic as well. Companies like Pink Elephant are scrambling to keep up with demand for corporate ITIL certification in major companies across the US.

So for example, Fry says, a casino manager is really a lot like a service manager -- he plans, has a certain locus of control, manages security and risk, understands likely challenges, and needs to oversee effective communications and use of resources. In the gambling business there are divas, loners, impresarios, different gaming formats and above all user experience, all of which are found in the infrastructure management business as well.

In the expectation that understanding the rules of good service management in one area can lead to insights in the other, Malcolm's discussion of their parallels will be the highlight of an upcoming event at the Palms in Las Vegas on October 5. Drop me an e-mail if you'd like more info.

...and Parts is Parts

From "Don't Look Back" to "Roundabout" to Bach's 2nd Brandenburg, remember when fully appreciating the music apart from a live performance meant getting all the assorted pieces that were each best in class and putting them together? -- Bose (/Polk) speakers, Fisher turntable, Marantz tape deck, Pioneer amp... The pieces were all specialized and no single company was best at everything. What components were available and the features they offered were in constant flux and tracked rigorously by the audiophile.

As any system gets more standardized and makers figure out what the total package is going to look like, they can step back and work on integration and designing components that work together effectively.

In developing IT infrastructure, as most of the individual pieces become better established watch for the emphasis to continue to move toward making them well-matched. The focus can be shifted more heavily to the value of integration and implementation.

You Get What You Pay For

Your customers know they always get what they pay for, right?

Right?

Here's a thought: free is not always bad, and more expensive is not always better. It may sound obvious, but I still hear the "get what you pay for" pitch in presentations and see heads nodding. But take a look at Google's growing list of tools. Do you (as an amateur at least) really want to pay for a photo editing and filing system when you can download Picasa?

In the area of computer security, as I've mentioned previously, there are free solutions for spam control, spyware and virus protection independently rated better than some you pay for (Alwil, Spybot, Trend Micro).

Competitive marketing cannot be simply on the basis of "you'll see our value is commensurate with our price." With a few exceptions, like the Jaguar XKE (pronounced Jah-gyew-ur at the dealership) and some bottled water, most things just don't as much have as much prestige value as they used to.

Of increasing importance to the deal, especially as your price goes up, is your (demonstrable) unique value proposition. As Eli Goldratt has said, when it comes down to it, the only two things you really need for a sale are a unique value proposition and an unrefusable offer. Create these and you win.

The New Player: SanDisk

Cats and Dogs...

The iPod is a remarkable product and flawlessly marketed, but sooner or later their monopoly could be unseated if someone were to come along with something just as good for less -- or better for the same price. As in twice the memory (8 gig) for the same $250 from a reputable company you've probably got some tools from already like SanDisk.

Way hip image? Good. Brand loyalty? Great. But this is a what-have-you-done-for-me-lately market. Much more of a cat than a dog.

The Hit List

Which is more popular, myspace or facebook? Friendster or xanga? Flickr or photobucket? Digg or del.icio.us? (And how have they changed since last week?)

Take a look at how the traffic for your favorite sites compares here.

And for a list of 937 movers and shakers, click on the "Seth's list" link at the top.

No Techno-Panaceas

Government schools are a good example of the limitations of technology (and money) in solving some problems.

How many years has it taken the average US company's budget to triple? 15? 20? In 1994, the federal school system stood at a crossroads. The Contract with America called for the end of the Department of Education. The NEA battled back with two arguments. How can you not support making a bigger investment in our children? And don't you realize we're on the verge of technology transforming our educational system (not without significant cost -- refer to argument #1).

Since then, over the last twelve years the education budget has tripled. The question we're asking ourselves now is, "has the quality of education tripled (or better)?" The truth is, if it had or if it even came close, we wouldn't have to ask.

So what would have to happen now for us to take the amount of money spent on education, divide it by the number of students, send it to the parents in a voucher and let the free market work? (The free market seems to have a pretty good track record by the way, which is a part of what web 2.0 is all about.)

Wow! Scary eh? Actually it's not my idea. It comes from -- among others -- a guy named Milton Friedman (pretty forward-thinking for a guy who just turned 94 years old), but I like it.

Middle East Conflict Fueling Detroit's Decline?

Crude Logic --

Former number two automaker Ford needs a good reason to announce its cutting another 20% of production. How about the price of gasoline -- fueled by all the administration's warmongering over in the Middle East? There's a "continued consumer shift away from trucks... amid lofty gasoline prices," according to a MarketWatch article.

But Toyota sales are up almost 12% and Honda up about 6% in July. That includes trucks -- Honda trucks are up more than its overall sales at 6.8%.

Fleet fuel economy (more than fuel prices) may be part of the reason, but CR Online is another. While Chevy touts the "best resale value of any domestic-made trucks" in its own commercials, Toyota has the claim to best resale value anywhere in the opinions of Consumer Reports and other third-party evaluators.

The increasing prevalence of the savvy consumer is dangerous to businesses whose margins have been based in blind loyalty and barriers to information access. Real-estate agents, doctors, lawyers and automakers -- Web 2.0 changes some of the rules you've been banking on.

Geoffrey Moore and The Big Bang!

For one of our executive events this month we've booked a keynote presentation by Geoffrey Moore, author of "Crossing the Chasm." Moore's proposal of a chasm between early-adopters and early-majority has been around for awhile -- the Segway Personal Transporter has taken up permanent residence in the chasm. But lately it's been enjoying some renewed interest from people like Seth Godin and Guy Kawasaki (in his blog today) on the heels of his latest book "Dealing with Darwin." Also featured will be that visionary sensei of ITIL Malcolm Fry in a roundtable-style focus group. If you're going to be in the San Francisco area at the end of this month and you're interested in attending, drop me a line for more information.

Next week in Chicago is the paragon of all CIO events, the i.c. stars Big Bang! Over 300 CIO's and other executives will be joining to discuss the future of the technology workforce. There will be a keynote by CTO Tom Bishop on the "Four Ages of IT Management" and a panel featuring CIO's John Golden of CNA, Diane Orndorff of Laidlaw, Yvonne Scott of GATX and Karenann Terrell of Baxter International. The event is planned for Friday, August 25 from 8-11 a.m. at the Northern Trust building downtown. Again -- let me know if you'd like more info.

Where The Jobs Are

Jobless claims are down another 10% this past week according to an article in Forbes. So -- where are all these jobs coming from?

Well, except around Detroit, where the UAW rules and brand loyalty is expressed with window stickers depicting Chevy and Ford owners urinating on each other while Japan focuses on building the best-quality cars in the world (and unemployment still hangs around 7%), there's good news.

In the technology workforce, the need for workers increased in the areas of finance, insurance and real estate. This is according to a survey of 1400 CIO's from companies with more than 100 employees, based on their expectations for hiring trends from July to September. Security and Windows administration are two of the hottest skills areas in the latest reports.

Are Your Doors Locked?

If you drive a BMW M Roadster (2001), an Acura Integra (1998) or a Mercury Marauder (2004), don't leave your doors unlocked. When it comes to most often stolen cars, these three top the most recent list from CCC Information Services.

If you've left the doors unlocked (in terms of security) on your PC, you've probably already noticed your car isn't the only thing you've got to worry about.

For hackers and spammers, the ones with their doors unlocked are the ones who are easy marks. In the three main areas of spam, viruses and spyware, there are some quick ways to protect yourself with a triple alliance of no-cost solutions. For solidly-rated defenses on these three personal security fronts, try these free downloads from Alwil, Spybot, and Trend Micro (links are to the company sites).

Success Stories

Capitalism and Success

Under socialism, the real potential for failure lies in the definition and determination of one thing: need. As in "to each according to his..." -- and who decides that?

For capitalism, the weakness rests in its dependence on personal character. The success of the individual and freedom in what they do for it and with it is the foundation of the ideology. As one observation goes, "the problem with socialism is socialism -- the problem with capitalism is capitalists."

All too often a byproduct of individual success is arrogance. And from arrogance is going to come some compromise in character, first a trickle of passive acceptance and then a stream of thoughts, words and actions, usually in that order.

Seems to be just a matter of time. Some might argue that it's all just a matter of socioeconomic norms and expectations, but it apparently doesn't grant immunity to any particular group.

From Kenneth Lay to Garrison Keillor to Mel Gibson with his alcohol-induced candor (watch the South Park fans line up now like a band of Braveheart extras), it's tough to keep it discreet once it gets a grip on you. So when your next idea is successful -- and hopefully it is, take it to heart and don't let it go to your head. What you do next is just as important.

How Do You Say "Industry Standard" In Mandarin?

Cell phone towers are appearing in some parts of the world where there have never been telephone wires. Similarly, China could leapfrog western internet technology with its spring into the next Internet Protocol (IPv6).

For the record, at 10% of their population, China has a little over half as many internet users as the US at 123 million. But this figure increased by 20% last year according to a China Internet Network Information survey, where the US is at more than two-thirds of its population already.

What does IPv6 do differently? Devices connect automatically, require less direct management, and every device has a unique ID, so instead of calling your spouse to ask what groceries you're short on, you call your refrigerator. Unique ID's also cut down on anonymity, making possible the parallel internet (a la Seth Godin circa 2001), where everyone is wearing a "don't like my driving?" sticker. By using 16 decimal values in each address vs. 4, it also allows for a number of addresses that dwarfs the current 4.3 billion, of which US organizations currently use about 30% of the total.

The plan is to showcase the new protocol's capabilities at the 2008 Beijing Olympics, where it will monitor everything from thermostats to traffic on local roadways. Unlike the launch of Russia's Sputnik 51 years earlier, this one is not a surprise but may still leave us playing a similar game of catch-up.

Measure For Measure

I recently met Doug Hubbard, a man who loves to measure things -- anything. When it comes to marketing, one of the most elusive factors can be how to quantify tangible results. Even when you can show a correlation at some level, it's usually tough to show a solid quid pro quo.

In his new book coming out this fall, Doug takes pride in finding (or making) a meaningful yardstick in those situations where it seems particularly difficult to do so. Watch for it -- "How To Measure Anything."

I hope it does as well as that other book about "applied information economics" by Chicago professor and rogue-economist Steven Levitt.

The Great Equalizer

"Meaninglessness does not come from being weary of pain. Meaninglessness comes from being weary of pleasure."
- GK Chesterton

So with 1984 over 20 years behind us there's still the lingering threat of the governmental big brother watching over us. The FBI may even be listening in on your phone conversations (or reading your blog)!

Pragmatically speaking, fraud and bureaucracy are still the biggest threats (as in $1 billion in federal fraud for Hurricane Katrina).

But what about the alternative to Orwell? What about Huxley's picture of a world in which the government doesn't ban books, but no one reads because they're all busy playing videogames? TV, the great equalizer, can bring a higher level of education to children at every socioeconomic level. Has it? The internet breaks down the barriers to information access. Are you short on information?

There's no question technology is a great thing, and the market for what's next will be consumer-driven -- what are you using it for?

SmarterIT

Work Smarter

Is a job created in Beijing a job lost in Dubuque?

The former chief economist at the ITC Peter Morici says the current relationship between the US economy and China's is an inverse one, specifically with regard to employment. The expanding Chinese job market in Tom Friedman's World-is-Flat economy is "cannabalizing the US Midwest" job market over the last few months and paving the way for stagflation.

The good news is that July's employment figures of about 22% less than expected growth (with the overall unemployment rate up by .2%) should poke the Fed to curb their ongoing hike in interest rates. In the IT field, as well as other service-area jobs like healthcare and restaurants, jobs were not in particularly short supply, but openings in manufacturing and equipment took a significant hit.