<?xml version="1.0" encoding="UTF-8"?>
<rss version="2.0"
	xmlns:content="http://purl.org/rss/1.0/modules/content/"
	xmlns:wfw="http://wellformedweb.org/CommentAPI/"
	xmlns:dc="http://purl.org/dc/elements/1.1/"
	xmlns:atom="http://www.w3.org/2005/Atom"
	xmlns:sy="http://purl.org/rss/1.0/modules/syndication/"
	xmlns:slash="http://purl.org/rss/1.0/modules/slash/"
	>

<channel>
	<title>Geir Freysson - The Internet Industrialist</title>
	<atom:link href="http://www.geirfreysson.com/feed/" rel="self" type="application/rss+xml" />
	<link>http://www.geirfreysson.com</link>
	<description>Blogging about the web, running an Icelandic start-up and life in general</description>
	<lastBuildDate>Thu, 25 Feb 2010 16:15:22 +0000</lastBuildDate>
	<generator>http://wordpress.org/?v=2.8.4</generator>
	<language>en</language>
	<sy:updatePeriod>hourly</sy:updatePeriod>
	<sy:updateFrequency>1</sy:updateFrequency>
			<item>
		<title>Salesforce, Facebook and&#160;Amazon</title>
		<link>http://www.geirfreysson.com/2010/02/salesforce-facebook-and-amazon/</link>
		<comments>http://www.geirfreysson.com/2010/02/salesforce-facebook-and-amazon/#comments</comments>
		<pubDate>Thu, 25 Feb 2010 16:15:22 +0000</pubDate>
		<dc:creator>geir</dc:creator>
				<category><![CDATA[Business]]></category>
		<category><![CDATA[Internet]]></category>
		<category><![CDATA[Platforms]]></category>

		<guid isPermaLink="false">http://www.geirfreysson.com/?p=1011</guid>
		<description><![CDATA[Salesforce's Chatter reminds me of an IBM commercial where an executive with magical powers can see into the future. When his colleagues excitedly ask him what he sees, he replies dreamily: "Everything is integrated".]]></description>
			<content:encoded><![CDATA[<p><img class="alignright" title="Marc Benioff" src="http://i.zdnet.com/blogs/marc-benioff-salesforce.jpg" alt="" width="170" height="131" />Marc Benioff, founder of Salesforce.com, posted an article on Techcrunch today titled &#8220;<a href="http://techcrunch.com/2010/02/24/the-facebook-imperative/">The Facebook Imperative</a>&#8220;. In it he writes about what drove him to found Salesforce.com:</p>
<blockquote><p>I quit my job at Oracle in 1999 because I couldn’t stop thinking about a simple question: “Why isn’t all enterprise software like Amazon.com?”</p></blockquote>
<p>More than a decade after Benioff asked himself this question, it is still timely. Why is so much enterprise software ugly and difficult to use?</p>
<p>In the article, Benioff asks a new question: Why isn&#8217;t all enterprise software like Facebook?</p>
<blockquote><p>Market shifts happen in real time, deals are won and lost in real time, and data changes in real time. Yet the software we use to run our enterprises is in anything but real time.</p></blockquote>
<p>To address this, Salesforce has launched <a href="http://www.salesforce.com/chatter/platform/">Chatter</a>, a &#8220;realtime collaboration platform&#8221;.</p>
<p>Salesforce&#8217;s Chatter reminds me of an IBM commercial where an executive with magical powers can see into the future. When his colleagues excitedly ask him what he sees, he replies dreamily:</p>
<p style="text-align: center;">&#8220;Everything is integrated&#8221;.</p>
]]></content:encoded>
			<wfw:commentRss>http://www.geirfreysson.com/2010/02/salesforce-facebook-and-amazon/feed/</wfw:commentRss>
		<slash:comments>0</slash:comments>
		</item>
		<item>
		<title>Using Google as their address bar, mainstream users confuse ReadWriteWeb with&#160;Facebook</title>
		<link>http://www.geirfreysson.com/2010/02/using-google-as-their-address-bar-mainstream-users-confuse-readwriteweb-with-facebook/</link>
		<comments>http://www.geirfreysson.com/2010/02/using-google-as-their-address-bar-mainstream-users-confuse-readwriteweb-with-facebook/#comments</comments>
		<pubDate>Fri, 12 Feb 2010 10:07:22 +0000</pubDate>
		<dc:creator>geir</dc:creator>
				<category><![CDATA[Internet]]></category>
		<category><![CDATA[Technology]]></category>

		<guid isPermaLink="false">http://www.geirfreysson.com/?p=1000</guid>
		<description><![CDATA[The web commentary blog ReadWriteWeb wrote a blog post about how &#8220;Facebook Wants to Be Your One True Login&#8221; which catapulted them to a top ranking for a Google search for &#8220;facebook login&#8221;, as seen below.

Hilarity ensued. Users started arriving at the ReadWriteWeb blog and commenting on it in their hundreds, complaining about &#8220;Facebook&#8217;s new [...]]]></description>
			<content:encoded><![CDATA[<p style="text-align: left;">The web commentary blog ReadWriteWeb wrote a blog post about how &#8220;<a href="http://www.readwriteweb.com/archives/facebook_wants_to_be_your_one_true_login.php">Facebook Wants to Be Your One True Login</a>&#8221; which catapulted them to a top ranking for a Google search for &#8220;facebook login&#8221;, as seen below.</p>
<p style="text-align: center;"><img class="aligncenter" title="Google results for Facebook Login " src="http://img.skitch.com/20100212-xgs52kfe7cwyyk521s8qqh2ggg.jpg" alt="" width="443" height="233" /></p>
<p style="text-align: left; ">Hilarity ensued. Users started arriving at the ReadWriteWeb blog and commenting on it in their hundreds, complaining about &#8220;Facebook&#8217;s new look&#8221; and that they couldn&#8217;t  log in. Because of Google, they were confusing Facebook with a blog featuring Facebook log-ins. Among <a href="http://www.readwriteweb.com/archives/facebook_wants_to_be_your_one_true_login.php#comments">the comments</a> were:</p>
<blockquote>
<p style="text-align: left; ">&#8220;I HATE THE NEW FACEBOOK PAGE , IN FACT I HAVE STARTED TO VISIT IT LESS, BECAUSE IT IS A HASSLE&#8221;</p>
</blockquote>
<p style="text-align: left; ">The blog post now carries a health warning:</p>
<blockquote>
<p style="text-align: left; "><span style="padding: 0px; margin: 0px;">Dear visitors from Google. This site is not Facebook.</span></p>
</blockquote>
<p style="text-align: left; ">The Lifehacker blog had a post recently, called &#8220;<a href="http://www.lifehacker.com.au/2009/12/top-google-searches-show-were-clueless-about-the-address-bar/">Top Google Searches Show We’re Clueless About The Address Bar</a>&#8221; highlighting a list Google published about top search terms in Australia, showing that adding &#8220;.com&#8221; to most of the search terms would have taken users directly to the site they were searching for.</p>
<p style="text-align: left; ">What a fascinating insight into how mainstream users navigate the web: Via Google.</p>
]]></content:encoded>
			<wfw:commentRss>http://www.geirfreysson.com/2010/02/using-google-as-their-address-bar-mainstream-users-confuse-readwriteweb-with-facebook/feed/</wfw:commentRss>
		<slash:comments>0</slash:comments>
		</item>
		<item>
		<title>Merlot, main courses, 37signals and web app&#160;pricing</title>
		<link>http://www.geirfreysson.com/2010/02/merlot-main-courses-37signals-and-web-app-pricing/</link>
		<comments>http://www.geirfreysson.com/2010/02/merlot-main-courses-37signals-and-web-app-pricing/#comments</comments>
		<pubDate>Tue, 02 Feb 2010 10:02:37 +0000</pubDate>
		<dc:creator>geir</dc:creator>
				<category><![CDATA[Business]]></category>
		<category><![CDATA[Design]]></category>

		<guid isPermaLink="false">http://www.geirfreysson.com/?p=962</guid>
		<description><![CDATA[When I&#8217;m at a restaurant and say: &#8220;We&#8217;ll have a bottle of your Italian Merlot, please,&#8221; I actually mean: &#8220;Give me a bottle of your second cheapest wine, please.&#8221;
Many months ago at Pizza Express I fell into a well laid trap and assumed the second cheapest bottle of wine would be the second one on [...]]]></description>
			<content:encoded><![CDATA[<p>When I&#8217;m at a restaurant and say: &#8220;We&#8217;ll have a bottle of your Italian Merlot, please,&#8221; I actually mean: &#8220;Give me a bottle of your second cheapest wine, please.&#8221;</p>
<p>Many months ago at Pizza Express I fell into a well laid trap and assumed the second cheapest bottle of wine would be the second one on the list &#8211; below the house wine. I was wrong: The second and third cheapest bottles had switched places.</p>
<p>Now, check out the signup page for 37Signals&#8217;s Highrise shown below.</p>
<p style="text-align: center;"><a rel="attachment wp-att-966" href="http://www.geirfreysson.com/2010/02/merlot-main-courses-37signals-and-web-app-pricing/picture-3/"><img class="aligncenter size-full wp-image-966" title="Highrise pricing" src="http://www.geirfreysson.com/wp-content/uploads/2010/01/Picture-3.png" alt="Highrise pricing" width="602" height="277" /></a></p>
<p>When I first saw this page I thought the Highrise house wine would be on the far right. It&#8217;s not. The solo and basic accounts are positioned the same as the Italian Merlot I ordered.</p>
<p>There&#8217;s certainly nothing wrong with this. It&#8217;s  logical for businesses to try and draw attention to their higher margin products. The Guardian recently did a piece on &#8220;<a href="http://www.guardian.co.uk/lifeandstyle/2010/jan/21/menus-cunning-marketing-ploys">how restaurants entice us into choosing expensive meals</a>&#8220;. The short answer is menu layout. The same as the Merlot and 37signals.</p>
]]></content:encoded>
			<wfw:commentRss>http://www.geirfreysson.com/2010/02/merlot-main-courses-37signals-and-web-app-pricing/feed/</wfw:commentRss>
		<slash:comments>0</slash:comments>
		</item>
		<item>
		<title>Dogma vs. data and the future of&#160;Free</title>
		<link>http://www.geirfreysson.com/2009/10/to-free-or-not-to-free-dogma-vs-data/</link>
		<comments>http://www.geirfreysson.com/2009/10/to-free-or-not-to-free-dogma-vs-data/#comments</comments>
		<pubDate>Wed, 14 Oct 2009 11:33:56 +0000</pubDate>
		<dc:creator>geir</dc:creator>
				<category><![CDATA[Business]]></category>
		<category><![CDATA[Media]]></category>

		<guid isPermaLink="false">http://www.geirfreysson.com/?p=928</guid>
		<description><![CDATA[Yesterday London&#8217;s main daily newspaper, The Evening Standard, reduced its price from 50p to zero. Libby Purves, who hosts Radio 4&#8217;s excellent Midweek, used the opportunity to weigh in on the Free debate in yesterday&#8217;s Times:
Content is not cost free. Writing is work. Musicianship involves cost and labour, art is not innately free, nor the [...]]]></description>
			<content:encoded><![CDATA[<p><a rel="lightbox" href="http://www.geirfreysson.com/wp-content/uploads/2009/10/090706_r18629_p233.jpg"><img class="alignright size-full wp-image-935" title="New Yorker illustration with Malcolm Gladwell's critique of Chris Anderson's Free" src="http://www.geirfreysson.com/wp-content/uploads/2009/10/090706_r18629_p233.jpg" alt="New Yorker illustration with Malcolm Gladwell's critique of Chris Anderson's Free" width="202" height="275" /></a>Yesterday London&#8217;s main daily newspaper, The Evening Standard, reduced its price from 50p to zero. Libby Purves, who hosts Radio 4&#8217;s excellent Midweek, used the opportunity to weigh in on the Free debate in yesterday&#8217;s Times:</p>
<blockquote><p>Content is not cost free. Writing is work. Musicianship involves cost and labour, art is not innately free, nor the infrastructure of news reporting. <strong>Until food, clothes, housing and transport are doled out free, content-makers need to be paid.</strong> The theory that advertising revenues will cover that, in any medium, is tosh.</p>
<p><small style="text-align:right; display:block; padding-right:20px;">Full article: <a href="http://www.timesonline.co.uk/tol/comment/columnists/libby_purves/article6870224.ece">If the future’s worth having, it won’t be free</a></small></p></blockquote>
<p>This is very much in the same vein as Malcolm Gladwell&#8217;s <a href="http://www.newyorker.com/arts/critics/books/2009/07/06/090706crbo_books_gladwell?currentPage=2">book review in the New Yorker</a> (where the illustration is from) of <a href="http://www.amazon.com/gp/product/1401322905?ie=UTF8&amp;tag=thelongtail-20&amp;linkCode=as2&amp;camp=1789&amp;creative=390957&amp;creativeASIN=1401322905">Chris Anderson&#8217;s book, Free</a>.</p>
<p>Both Purves and Gladwell maintain that the advertising industry simply isn&#8217;t big enough to support expensive content such as investigative journalism. Anderson on the other hand maintains that in the future, most things will be free for the consumer and funded by advertising.</p>
<p><strong>On both sides of the argument, the debate seems to be based more on dogma than data.</strong> Where is the emperical data that shows whether the ad industry can or cannot support a future of free? It would be refreshing if the debate would become more rigorous and scientific rather than being based on gut instict.</p>
]]></content:encoded>
			<wfw:commentRss>http://www.geirfreysson.com/2009/10/to-free-or-not-to-free-dogma-vs-data/feed/</wfw:commentRss>
		<slash:comments>0</slash:comments>
		</item>
		<item>
		<title>Wajapi connects with&#160;Facebook</title>
		<link>http://www.geirfreysson.com/2009/10/wajapi-connects-with-facebook/</link>
		<comments>http://www.geirfreysson.com/2009/10/wajapi-connects-with-facebook/#comments</comments>
		<pubDate>Thu, 01 Oct 2009 11:00:00 +0000</pubDate>
		<dc:creator>geir</dc:creator>
				<category><![CDATA[Wajapi]]></category>

		<guid isPermaLink="false">http://www.geirfreysson.com/?p=924</guid>
		<description><![CDATA[Today I can announce that Wajapi has become a Facebook application.
This means you can:

Log on to Wajapi with your Facebook details by clicking one button
Sign up for Wajapi by clicking one button
Connect your current Wajapi account to your Facebook account
Automatically share Wajapi books with your Facebook friends

Below is a screenshot of a book added on Wajapi [...]]]></description>
			<content:encoded><![CDATA[<p style="text-align: left;"><img class="alignright size-full wp-image-55" title="wajapi_and_facebook" src="http://blog.wajapi.com/wp-content/uploads/2009/10/wajapi_and_facebook.png" alt="wajapi_and_facebook" width="154" height="43" />Today I can announce that <a href="http://wajapi.com">Wajapi</a> has become a <a href="http://www.facebook.com/apps/application.php?id=141321470895">Facebook application</a>.</p>
<p style="text-align: left;">This means you can:</p>
<ul>
<li>Log on to Wajapi with your Facebook details by clicking one button</li>
<li>Sign up for Wajapi by clicking one button</li>
<li>Connect your current Wajapi account to your Facebook account</li>
<li>Automatically share Wajapi books with your Facebook friends</li>
</ul>
<p>Below is a screenshot of a book <a href="http://wajapi.com/favorites/616">added on Wajapi</a> appearing in a Facebook news feed:</p>
<p style="text-align: center;"><img class="aligncenter" title="Facebook feed" src="http://img.skitch.com/20090930-bbwgxmdxpw19ys2b14nb4sjt9u.png" alt="" width="412" height="292" /></p>
<p style="text-align: left;">Wajapi is not a Facebook-only application. It&#8217;s still a standalone website you can use to keep track of books whether you are on Facebook or not.</p>
<p style="text-align: left;">If you are on Facebook however, we recommend you give the Wajapi and Facebook connection a spin.</p>
]]></content:encoded>
			<wfw:commentRss>http://www.geirfreysson.com/2009/10/wajapi-connects-with-facebook/feed/</wfw:commentRss>
		<slash:comments>0</slash:comments>
		</item>
		<item>
		<title>Pricing models for online newspapers&#160;revisited</title>
		<link>http://www.geirfreysson.com/2009/09/pricing-models-for-online-newspapers-revisited/</link>
		<comments>http://www.geirfreysson.com/2009/09/pricing-models-for-online-newspapers-revisited/#comments</comments>
		<pubDate>Fri, 11 Sep 2009 08:54:31 +0000</pubDate>
		<dc:creator>geir</dc:creator>
				<category><![CDATA[Business]]></category>
		<category><![CDATA[Internet]]></category>
		<category><![CDATA[Media]]></category>

		<guid isPermaLink="false">http://www.geirfreysson.com/?p=852</guid>
		<description><![CDATA[Way back in January 2006 I blogged about the crazy model the Independent was using to charge for online content. At the time, for someone who wanted to follow, for example, Simon Carr&#8217;s columns online, there were three options:

Subscribe to the column online for a year for £50,
subscribe for a month for £10 or,
buy a [...]]]></description>
			<content:encoded><![CDATA[<p><img class="alignright" title="Micropayments" src="http://img.skitch.com/20090910-e51p6s596e8b8ku9j437ekkenh.png" alt="" width="181" height="102" />Way back in January 2006 I blogged about <a href="http://www.snailbyte.com/2006/01/17/how-should-newspapers-price-online-content/">the crazy model the Independent was using</a> to charge for online content. At the time, for someone who wanted to follow, for example, Simon Carr&#8217;s columns online, there were three options:</p>
<ol>
<li>Subscribe to the column online for a year for £50,</li>
<li>subscribe for a month for £10 or,</li>
<li><strong>buy a single column for £1</strong>.</li>
</ol>
<p>At the time you could buy the whole paper for 60p, <strong>40% cheaper than a single online column</strong>. Unsurprisingly, the columns didn&#8217;t exactly fly off the digital shelves and <strong>eventually they started giving them away for free</strong>.</p>
<p>In all likelihood, this is not a good long-term solution. An annual survey run by <span id="ctl00_EMarketerContentPH_lblBody"><a href="http://www.people-press.org/" target="blank">Pew Research Center</a></span> showed that <a href="http://www.emarketer.com/Newsletter_htm/20090113.html">in 2008, the Internet had become more popular than newspapers as the primary news source</a> for US consumers. So, it hardly makes sense to use digital content as a loss leader to increase sales of the print edition. Soon enough, there will be no print edition. It also seems that banners, as effective as they actually are, aren&#8217;t enough to support proper journalism.</p>
<p>Enter: Google. It seems that they <a href="http://bits.blogs.nytimes.com/2009/09/09/google-plans-tools-to-help-news-media-charge-for-content/">might start helping news outlets charge for their content</a> by adding micropayments to Checkout, their payment platform. Surely, this is the way forward.</p>
<p>If Simon Carr&#8217;s column takes 2% of the real estate of one  Independent issue, charge 3% of the newsstand price for it. Or give the columns away for free and charge for the investigative journalism.</p>
<p>Micropayments might actually end up saving journalism. And Google will take a cut. They seem to be taking a cut from a lot of business models these days.</p>
]]></content:encoded>
			<wfw:commentRss>http://www.geirfreysson.com/2009/09/pricing-models-for-online-newspapers-revisited/feed/</wfw:commentRss>
		<slash:comments>0</slash:comments>
		</item>
		<item>
		<title>The mystery regarding the Skype&#160;deal</title>
		<link>http://www.geirfreysson.com/2009/09/the-mystery-regarding-the-skype-deal/</link>
		<comments>http://www.geirfreysson.com/2009/09/the-mystery-regarding-the-skype-deal/#comments</comments>
		<pubDate>Sat, 05 Sep 2009 17:55:14 +0000</pubDate>
		<dc:creator>geir</dc:creator>
				<category><![CDATA[Business]]></category>
		<category><![CDATA[Internet]]></category>

		<guid isPermaLink="false">http://www.geirfreysson.com/?p=847</guid>
		<description><![CDATA[The NY Times is running a piece called The Cloud Hanging Over Skype on the recent $2 billion aquisition:
Why were the winning bidders willing to pay so a high price for a company whose very existence could be threatened by this lawsuit? One possibility is that they have nerves of steel. The other is that [...]]]></description>
			<content:encoded><![CDATA[<p>The NY Times is running a piece called <a href="http://www.nytimes.com/2009/09/05/technology/companies/05nocera.html?_r=1&#038;partner=rss&#038;emc=rss">The Cloud Hanging Over Skype</a> on the recent $2 billion aquisition:</p>
<blockquote><p>Why were the winning bidders willing to pay so a high price for a company whose very existence could be threatened by this lawsuit? One possibility is that they have nerves of steel. The other is that they know something nobody else does.</p></blockquote>
<p>It&#8217;s an interesting question. With the lawsuit from the Skype founders, Zennstrom and Friis, hanging over the company like a dark cloud, it seems like a colossal gamble. Even more so given the current economic climate. Following this story is going to be very intesreting.</p>
]]></content:encoded>
			<wfw:commentRss>http://www.geirfreysson.com/2009/09/the-mystery-regarding-the-skype-deal/feed/</wfw:commentRss>
		<slash:comments>0</slash:comments>
		</item>
		<item>
		<title>Banner art from&#160;IndieClick</title>
		<link>http://www.geirfreysson.com/2009/09/banner-art-indieclick-and-hype-machine/</link>
		<comments>http://www.geirfreysson.com/2009/09/banner-art-indieclick-and-hype-machine/#comments</comments>
		<pubDate>Thu, 03 Sep 2009 09:03:05 +0000</pubDate>
		<dc:creator>geir</dc:creator>
				<category><![CDATA[Uncategorized]]></category>

		<guid isPermaLink="false">http://www.geirfreysson.com/?p=768</guid>
		<description><![CDATA[One of our products at Transmit is Smelltu (an english version is on its way), a web-app that measures banner pageviews, clicks and ROI. According to Doubleclick, the average clickthrough rate (CTR) on their network is ca. 0.1%. Our findings are similar although the CTR we measure can vary greatly according to size and placement. [...]]]></description>
			<content:encoded><![CDATA[<p>One of our products at <a href="http://blog.transmitit.com">Transmit</a> is <a href="http://smelltu.is">Smelltu</a> (an english version is on its way), a web-app that measures banner pageviews, clicks and ROI. <a href="http://www.doubleclick.com/insight/research/index.aspx">According to Doubleclick</a>, the average clickthrough rate (CTR) on their network is ca. 0.1%. Our findings are similar although the CTR we measure can vary greatly according to size and placement. Furthermore, banners with high CTRs don&#8217;t always offer the highest return on investment. Sometimes a banner with a low CTR can bring in more clicks for less cash.</p>
<p>Anyway, let&#8217;s say I&#8217;m the average use and my personal CTR is around 0.1%, i.e. I click on one out of every 1,000 banners I&#8217;m exposed to. I clicked on this one from <a href="http://indieclick.com">IndieClick</a>:</p>
<p style="text-align: center;"><a rel="lightbox" href="http://img.skitch.com/20090814-fnkicqme88qpiw8w3yqqtmru3d.png"><img class="aligncenter" src="http://img.skitch.com/20090814-fnkicqme88qpiw8w3yqqtmru3d.png" alt="" width="510" height="64" /></a></p>
<p>It&#8217;s a beautiful banner with an interesting message. It&#8217;s not animated and still got my click. So, <strong>if you&#8217;re from IndieClick</strong> and you&#8217;re reading this, <strong>what kind of clickthrough rate is this banner of yours getting</strong>?</p>
]]></content:encoded>
			<wfw:commentRss>http://www.geirfreysson.com/2009/09/banner-art-indieclick-and-hype-machine/feed/</wfw:commentRss>
		<slash:comments>0</slash:comments>
		</item>
		<item>
		<title>Does this mean Skype will finally become a&#160;platform?</title>
		<link>http://www.geirfreysson.com/2009/09/does-this-mean-skype-will-finally-become-a-platform/</link>
		<comments>http://www.geirfreysson.com/2009/09/does-this-mean-skype-will-finally-become-a-platform/#comments</comments>
		<pubDate>Wed, 02 Sep 2009 07:51:13 +0000</pubDate>
		<dc:creator>geir</dc:creator>
				<category><![CDATA[Business]]></category>
		<category><![CDATA[Platforms]]></category>
		<category><![CDATA[Technology]]></category>

		<guid isPermaLink="false">http://www.geirfreysson.com/?p=778</guid>
		<description><![CDATA[Yesterday it was announced that Skype was being bought from eBay and would once more become an independent company. For Skype fans such as myself, this could be good news. Although the desktop client has been improving steadily over the past few years, the business model hasn&#8217;t.
Skype has more than 400 million registered users. It [...]]]></description>
			<content:encoded><![CDATA[<p><img class="alignright" title="Skype logo" src="http://img.skitch.com/20090902-bwxrsu2d6dqayugdyu84q7utw5.png" alt="" width="119" height="54" />Yesterday it was announced that <a href="http://www.nytimes.com/2009/09/02/technology/companies/02ebay.html?_r=1&amp;ref=technology">Skype was being bought from eBay and would once more become an independent company</a>. For Skype fans such as myself, this could be good news. Although the desktop client has been improving steadily over the past few years, the business model hasn&#8217;t.</p>
<p>Skype has more than 400 million registered users. It has a  de-facto monopoly on VOIP. So why aren&#8217;t there donzens of desktop and web applications being built on top of the Skype technology? <strong>Why hasn&#8217;t Skype become a platform?</strong></p>
<p>As a platform, Skype could solidify its hold on the market and it could make more money on SkypeIn, i.e. charging Skype users for calls to landlines. If it&#8217;s technically feasible, it seems obvious.</p>
<p>One answer might be that when eBay bought Skype, the <a href="http://online.wsj.com/article/BT-CO-20090901-715163.html">underlying technology wasn&#8217;t included</a> (which makes you wonder what eBay was smoking when they signed the $4 billion deal). Is that why the desktop client has been moving forward without any sign of development on the underlying technology?</p>
]]></content:encoded>
			<wfw:commentRss>http://www.geirfreysson.com/2009/09/does-this-mean-skype-will-finally-become-a-platform/feed/</wfw:commentRss>
		<slash:comments>0</slash:comments>
		</item>
		<item>
		<title>MS Office: When dominance leads to&#160;stagnation</title>
		<link>http://www.geirfreysson.com/2009/08/ms-office-when-dominance-leads-to-stagnation/</link>
		<comments>http://www.geirfreysson.com/2009/08/ms-office-when-dominance-leads-to-stagnation/#comments</comments>
		<pubDate>Sun, 02 Aug 2009 16:27:43 +0000</pubDate>
		<dc:creator>geir</dc:creator>
				<category><![CDATA[Business]]></category>

		<guid isPermaLink="false">http://www.geirfreysson.com/?p=723</guid>
		<description><![CDATA[In a meeting Microsoft held for Wall Street analysts, Steve Ballmer noticed that a lot of them had Apple laptops. &#8220;Don’t bother to hide them. I’ve already counted them. And it’s okay—feel free [to use the Macs], so long as you’re running Office.&#8221;
Office doesn&#8217;t get much attention from commentators but it is one of Microsoft&#8217;s [...]]]></description>
			<content:encoded><![CDATA[<p><img class="alignright size-full wp-image-730" title="Businessweek MS cover" src="http://www.geirfreysson.com/wp-content/uploads/2009/07/0625_mz_cover.jpg" alt="Businessweek MS cover" width="245" height="161" />In a meeting Microsoft held for Wall Street analysts, Steve Ballmer noticed that a lot of them had Apple laptops. &#8220;Don’t bother to hide them. I’ve already counted them. And it’s okay—<a href="http://bit.ly/5xTiN">feel free [to use the Macs], so long as you’re running Office</a>.&#8221;</p>
<p>Office doesn&#8217;t get much attention from commentators but it is one of Microsoft&#8217;s most important products. A few weeks ago, Business Week published an interesting article called <a href="http://www.businessweek.com/magazine/content/09_27/b4138000527445.htm?chan=magazine+channel_top+stories">&#8220;Microsoft Defends its Empire&#8221;</a> where they discuss this importance and outline some changes that are being made for Office 2010.</p>
<p>The core problem with Office is that it has completely dominated its market for more than 10 years. Back when MS was launching Internet Explorer 7, I was at a conference where the lead developer was speaking. When he was asked where MS had been for the past 5 years the jist of his reply was,<strong> &#8220;it&#8217;s hard to innovate when you have 95% market share&#8221;</strong>. That&#8217;s why Internet Explorer was innovation free until Firefox started round two of the <a href="http://en.wikipedia.org/wiki/Browser_wars">browser wars</a>.</p>
<p>When you dominate:</p>
<ul>
<li>It&#8217;s hard to justify a big budget</li>
<li>Innovation slows down because the development team doesn&#8217;t have &#8220;the fear&#8221;</li>
<li><a href="http://en.wikipedia.org/wiki/Disruptive_technology">The innovator&#8217;s dilemma</a> means that existing fat-margin markets get all the attention at the expense of emerging technologies</li>
</ul>
<p>So now, in a classic case of innovator&#8217;s dilemma, Google docs might slowly be getting &#8220;good enough&#8221; to undermine MS&#8217;s dominance in the word processor and spreadsheet market.</p>
<p>With each new episode of the browser wars, the blogosphere becomes very excited. And for a good reason: Each iteration means the technology moves forwards.</p>
<p>I&#8217;m not sure bloggers will become as excited about innovation in the word processor market, but innovation &#8211; and competition &#8211; certainly is due.</p>
<p>Here come the barbarians.</p>
]]></content:encoded>
			<wfw:commentRss>http://www.geirfreysson.com/2009/08/ms-office-when-dominance-leads-to-stagnation/feed/</wfw:commentRss>
		<slash:comments>0</slash:comments>
		</item>
	</channel>
</rss>
