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The software model seems to be following the hardware model.
In the past, printers would be expensive and expected to last many years. Now printers are sold cheaply, money is made on the cartridges, and the hardware is not expected to have a long lifetime.
OSs seem to have followed this model. The cycle with which "new" OSs come out are much quicker.
Apps too. Instead of paying a large amount up front for a lot of features the draw is the freemium model and upgrades/premium features are sold in the app.
I think apps can survive... they just have to adjust their model. Niche apps that provide great value (like GRE prep software) still sells for several hundreds of dollars successfully. Those models won't be broken due to simple supply and demand. Other software that can be easily replicated (and is in large supply with respect to competitors) are rightfully (economically-speaking) priced cheaply. Mountain Lion follows the app model in the the OS is a gateway to making revenue elsewhere (hardware, app store, etc.).
2 years, 3 months ago on The App Business Has Gone Rabid, and Apple’s Mountain Lion Is Leading the Pack
@hamishmckenzie How about the penetration of very high bandwidth connections in Korea? This has provided the infrastructure to do more innovative things (in particular with streaming video). The US is very much behind Korea in this aspect.
2 years, 3 months ago on What Does This Korean Messaging App Think It’s Doing With More US Users Than Path?
@hamishmckenzie @DougLudlow I didn't think the comment was a big deal.
But asking where Korea's iphone is just comes off as very ignorant. I don't mean to offend but there's a world beyond consumer electronics. Korean industry has focused around export / ship building, electronics, construction and the auto industry. It doesn't have as much history of innovation in the computer areas but has innovated elsewhere (as I'm sure you learned during your trip).
Regardless I think the uproar over the comment was overdone and I've enjoyed reading these articles and look forward to more.
I do agree that the korean economy is more run by the chaebols than small, innovative companies. With that said, it's one of the top economies in the world (including innovation). Of course, compared to America (let alone Silicon Valley) everyone else pales in comparison.
Fantastic article! Thanks!
2 years, 3 months ago on Cyworld, Protest, and Politics: Yong Joon Hyoung and the Story of a Korean Innovator
@jtoeman @freshfunk @evietoo By the time the numbers make it completely obvious, the end will already be at hand. It makes more sense to look at the cause rather than the effect than the effect will have a lag period as the cause penetrates society.
The cause is that there are great options to getting this content and the penetration on TVs is growing exponentially. Like music, people are buying more and more a-la-carte instead of in bulk (single tracks vs CDs, single shows instead of cable channels). As more and more shows become available in a-la-carte fashion, it will make less and less sense to buy in bulk.
2 years, 4 months ago on HBO’s Future is in Standalone Streaming, It Just Doesn’t Know It Yet
The cable model is broken. It looks very much like the music industry.
The music industry was getting reamed when people could easily download music online. This is because the old CD model didn't make any sense. Why would people pay $15 for 15 tracks when they really only wanted 1 or 2? Once the option became available to easily buy a track for $0.99, people bought in droves. The industry changed. They finally adapted (after much struggle). That is the reigning model today for buying music.
Cable looks very much like this. Why do I have to pay $50 a month (extra) for 50 channels when all I really want is a handful of them. On top of that, I'm only interested in a handful of content on those channels.
The advantage that cable had was that it wasn't as available and accessible to get that content on the TV.
But that's quickly changing. Any TV bought today has these streaming options built in. Apple TV will likely have an incredibly integrated and easy-to-use solution.
People point to today's dollars and thinks that that's somehow proof that they're invincible. Think back to the money the music industry was pulling in from CDs just 10 years ago?
@evietoo A point made in the article (and a point I agree with) is that more and more people are stopping their subscriptions to cable and seeking content through alternative means (Netflix, Amazon, Vudu, Apple TV). Cable held an advantage because they were on the TV and getting other content (internet-based) on the TV was not as easy or seamless.
But any TV you buy today has these streaming options built in. This has been true for a couple years. It's also true of Blu-ray devices as well. With Apple TV about to enter the market, I imagine penetration of these options will be very high in the near future. That will negate cables advantage.
Hehehe. Nice ending.
I've thought about the problem similarly too. The problem is that email is misused and has not evolved to today's concepts.
Email needs to recognize different communication types like notifications and newsletters. A view of notifications should be lighter-weight (like a feed) and not require an extra click to view. The same goes for newsletters.
Email needs to be closer integrated with apps that produce most of the noise out there. For example, emails produce by project management apps (BaseCamp) or work-specific apps (GitHub), should render in such a way that the most common actions (reply/comment) can be done inline in email. No more having to click through. This would streamline the experience and make it much quicker.
Using labels + filters only takes you so far. Plus it requires upkeep and extra work by the user. Apps should be intelligent enough to sort/categorize automatically.
Alas, I wonder if the day will ever come when someone will implement a solution. There doesn't seem to be a great revenue model to be had in email. In some sense, people just need to move away from email and work directly within their apps.
2 years, 5 months ago on Is GoMail the Future of Email? I Hope So
The general idea that no-idea YC round might be bad could have some merit but not for the reasons he states here.
The assumption is that the primary goal of entrepreneurs is impact. That's a goal but what supersedes this is something else: personal success. There's a sense of personal success that comes with founding a successful company that you don't get as the "100th engineer at Facebook."
The other factor that seems to be implied is the probability of success. Of course the probability of success of joining a validated business is much higher than starting a new idea. But if that really is a conflicting notion for an entrepreneur than that entrepreneur should probably think twice about pursuing their own venture. The odds are, more or less, stacked against entrepreneurs.
Lastly, it's wrong to say that it's a waste of time. If people held onto this notion then no new ideas would ever be explored.
2 years, 5 months ago on Dustin Moskovitz: Y Combinator’s “No Idea” Round Bad for Silicon Valley
"At best, it’s not much better than a Ferrari HP laptop or an old-school Pepsi telephone,..."
That's an incredibly ignorant comment.
A race-car has no relationship to computers and a sugared-drink has no relationship to telephony. But Facebook is about sharing, communication and discovery of people and content which is very much an overlap of how smartphones are used today.
The biggest immediate upside to FB building a phone would be direct integration into the mobile experience. The default photo app would have the Like/Comment/Share features. The friend network could be used directly in apps without the need for extra integration steps. They would have extra control that Apple doesn't currently allow like complicated, long-running background tasks.
But, most importantly, they would control the overall experience. That's what makes Apple so successful and it's the same reason why Google bought Android.
2 years, 5 months ago on Does Anyone Else Round Here Think a Facebook Phone is a Stupid Idea?
@Yarrum Troll much? Sarah, this post was awesome and I'm glad someone voiced what's been going through my head since I heard about this reality TV show.
2 years, 6 months ago on An Open Letter To Randi Zuckerberg: How Could You Do This to Real Entrepreneurs?