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Google announced their acquisition of Danny Hillis’s Metaweb, owners of Freebase which allows people to store data as entities, together with relationships.

This is a big step in the rise of Web 3.0, also known as the Semantic Web, which will allow machines to compute using human understanding or human knowledge to a certain extent. Google was already overtaken by the awesome WolframAlpha knowledge computation engine and had to close the gap.

Google writes that their acquisition will be used to enhance search for tougher questions which a search on pure keywords is lacking. That kind of search, to quote Google’s example of “colleges on the west coast with tuition under $30,000″, necessitates additional capabilities. These include the entity being queried, its type, its relationships with other entities, and so on.

Although the initial use will be to enhance search, right after this comes the automation of human understanding. With logical predicates, one will be able to construct a body of knowledge and infer deeper meaning from information available on the web.

For instance, “Google acquires Metaweb” can be broken down into the semantic relationships below (like Thomson-ReutersOpenCalais already does):

Acquirer: Google

Acquired: Metaweb

Relationship: Acquisition

Status: Confirmed.

Within the trading context, such a news headline could be used to automate Merger Arbitrage orders (Provided, of course that Metaweb was publicly traded).

Hence, to some extent at this point, computers will be able to ‘understand’ and interpret the meaning of human language and this information, in turn, could be used for further automation.

But beyond this step, with machine learning, comes the promise of an even wilder web, a web with sufficiently advanced understanding of human language, knowledge and mind, that it is indistinguishable from a sentient form.

Watch this video from Freebase to understand why entities are important:

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Hot on the heels of Google’s I/O 2010 aimed at Developers, Apple is set to launch its Worldwide Developer Conference tomorrow.

Here is what to expect or pay special attention to:

1. iPad

The North American and now International launch of the iPad is bound to make an appearance at the WWDC 2010. Expect to hear preliminary numbers on how the iPad is selling on the international markets.

The device paves the way for expectations about User Interface for the decade and beyond, and one day, the mouse and the desktop PC in their current form will feel archaic.

I expect a corporate call for Developers to support HTML5 and the H.264 video codec.

2. iPhone HD

The leaked iPhone 4G device should be unveiled at WWDC 2010, with the following

a. A front-facing video camera, which will help in video-conferencing
b. Swappable micro-SD storage
c. Fast ARM-based processor probably emerging from the it buyout of Intrinsity, which is an ARMH licensee, and who know how to combine ARM cores into low-power, high-speed multi-core system-on-a-chip devices.

3. Apple Gianduja

This is Apple’s replacement to Flash, and has been under development for more than a year already. It will enable Rich Internet Application Development using Apple’s own existing stable of Development Tools.

It is entirely likely that Gianduja will wow developers and end-users worldwide and will also be specially easy to use by developers to implement Web interfaces for transactional websites or applications.

On the other hand, expect the FTC or the DOJ to have a deeper look at Apple’s blockade against Adobe’s Flash technology for the iPhone and the iPad in the wake of this technology being launched because of possible anti-competitive practices.

Apple and Steve Jobs‘ view of what competition means is totally skewed and irrational these days as the CEO accuses Google of entering their turf of the Telephony market while they wouldn’t go into search, thereby conveniently forgetting the turf of so many traditional phone and mobile phone companies that Apple tread upon: Nokia, Sony-Ericsson, Research In Motion to name a few.

4. Apple’s TV & Music initiatives

Apple bought out Lala which streamed music to subscribers but shut down the services. As written about previously on YashLabs, I expect the Lala technology to resurface within iTunes in the cloud, and to stream to mobile devices like the iPad, the iPhones/iPod Touches and Apple TV.

With Google’s own announcement of Google TV, backed by a cluster of high-profile suppliers and partners like Sony, Logitech, Adobe and Dish Networks, I expect Apple to retaliate with new offerings of AppleTV, including a new pricing of a $99 device and possibly new partnerships or services from TV/Movie content providers.

5. Other devices and services?

Apple has been rather quiet about their new iMac and Macbook products. Maybe they will be talked about, but I have low expectations that they will be in the limelight. Apple does have amazing and new technologies for Developers that the latter should care about like GrandCentralDispatch and OpenCL though.

Their main competitor in the new era is Google and the latter bought out a secretive startup called AgniLux and who probably know how to optimize ARM cores by interconnecting them high-speed (with light I believe). This positions Google is a new space for optimizing high-speed and low cost servers.

I don’t think Apple will announce anything server-related for now although they do have a server version of Snow Leopard, the reason being that the chose iPhone O.S. for the ARM-based iPad instead of Snow Leopard. They will, therefore have to wait till they can optimize the operating system for ARM chips until they announce that type of offering.

There could be new iPod Touches with cameras, but Apple may wait for other conferences to announce them.

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Apple Inc.
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Total war continues to brew between these two behemoths this year as I predicted in ‘Clash of the Titans – Apple vs Google in 2010 and beyond‘ at the close of 2009.

On January 5th, just as Google stepped onto Apple’s Smartphone & Telecommunication turf by launching the Google Nexus One, Apple retaliated by acquiring Quattro Wireless, a small mobile ad company. Actually, Apple initially wanted to buy AdMob, but Google stepped in with a better offer, thus thwarting Apple.

iPhone O.S. 4.0 and a mobile Ad revolution

With the Quattro Wireless acquisition, Apple announced a new Ad platform for iPhone O.S. 4.0 today.

Moreover, with the insight that people spend time within apps on the iPhone rather than on searching the web like on the Desktop, Steve Jobs demonstrated a new way for mobile ads to engage users. The ads are shown in a small banner, which when clicked, opens up as an overlay on the screen, with interactive content within this new window, like a game, a video, etc…. Nothing else exists like this on mobiles yet.

Apple will provide %60 of revenues back to developers, so the incentive to use Ads is quite good.

That’s Punch number 1 to Google.

The FTC follows up Apple’s punch by one of its own

This is Murphy’s Law at Enterprise level: on the same day that Apple announces its revolutionary iAd platform, the FTC also announces that it is blocking Google’s acquisition of AdMob (update: the post linked to seems misleading – the title says the FTC has blocked the deal, but the content mentions the FTC is still gathering information. The article looks like it’s promoting a small OTC.BB stock within the context, so perhaps Google is not knocked out yet).

Conclusion

Apple seems to have an overwhelming lead over Google in the mobile space, especially with the following:
1. Excellent, precise, intuitive multi-touch implementation
2. Very wide user-base and lots of developers and existing apps
3. Mobile Ad lead
4. Superb gaming platform
5. Relentless continuous improvement of its devices and platform: launch of the iPad and iPhone OS 4 (with multitasking)
6. Superb App Store for distribution

Google’s advantages are the following:
1. Open platform and Open-source implementation
2. Better search, cloud-computing, machine learning algorithms
3. No agenda against Adobe Flash

I expect Apple to continue to lead this space well into 2010 and beyond unless Google does something radical with the launch of Chrome OS and perhaps, as I wish, that they overturn the usual Telecom Industry with free/very low cost VOIP calls worldwide.

What’s new with the Gizmo5 acquisition, Google?

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Google Nexus one for Canada Google’s Nexus one smartphone, built by HTC in close collaboration with Google is finally available in Canada since today.

On Google’s website, you can order the phone and have it shipped to Canada. This version will work with 3G on Rogers wireless.

This is one step is removing the link between carriers and handset manufacturers and as a commenter mentions in the Globe’s article, opens the door for greater competition and lower prices.

Combine this with the recent announcement that Google wants to offer broadband as an ISP and even the FCC is pushing for a national broadband plan and my winning Deloitte MyTMT 2010 prediction that one day Google is going to ad-subsidize Telecom services is one step closer.

The last mile in this is through the air: Free Wi-Fi or a Data plan.

Google still has to reveal how it is going to integrate its Gizmo 5 acquisition with Google Voice and Android.

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My submission is among the five finalists at the Deloitte Canada TMT Prediction, with Vincent Abry, Jenna Hoffman, Jean-Luc Sanscartier and Guillaume Bouchard. For the first time, Deloitte opened up predictions to the public, through a Wildfire application integrated with Facebook.

The event is tomorrow at the Fairmont – The Queen Elizabeth in Montreal from 8 a.m. to 10 a.m.

You can see all 5 finalists and their predictions over here.

The submission by the NVI founder, Guillaume Bouchard smacks of marketing as the conversation underneath the submission sounds fake, which shouldn’t be surprising seeing that NVI does just that. However, it is true that the competition among mobile telecom manufacturers will heat up. In fact, all mobile devices will be implicated, including notebooks and tablets.

My own submission has a very bad description on the page, which I tried to get corrected but visibly the incorrect description is still online:

Additionally, Josh predicts that Google’s offering of the free turn-by-turn GPS, Chrome OS, along with free wi-fi service in 47 airports, will greatly impact the telecommunications industry.

Totally not what I said as actually, this disruptive behavior by Google tells me they are not scared to disrupt industries at all and therefore they could disrupt the Telco industry. I just hope that the visual presentation makes that clear.

It’s going to be a lot of fun attending and also seeing the main TMT prediction event tomorrow.

Well done to the other participants too, Louis Cleroux, Kim Auclair, Ron Bunn, Arun Kirupananthan, Bernard Dahl. Laurent Marcoux also submitted a video, but unfortunately I could never see it for some reason.

All in all, the Wildfire app. is great. However, some people have had trouble with their videos’ thumbnails not displaying properly in some sections, including me.

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Google Nexus One

Google Nexus One

Following yesterday’s Google Nexus One launch, based on the reading habits of most people, who scan texts and read in an ‘F’ form, most people would have missed the following insights which are at the very end of the articles:

From Tim O’Reilly, who noticed and amplified the buzz around Web 2.0 four years ago:

Picasa and iPhoto both sport image recognition, but Apple has to train its algorithms on sample data sets, while Google gets to train Picasa on billions of user images. As Peter Norvig, Google’s chief scientist, once said to me, “We don’t have better algorithms. We just have more data.” Collective intelligence is the secret sauce of Web 2.0, and the future of all computing, and by locking user data into individual devices, Apple cuts itself off from this future. Rather than having MobileMe as a separate revenue add-on, Apple needs to make all of its applications web-connected by default, so that they can learn from all their users.

What we see then is a collision of paradigms, perhaps as profound as the transition between the character-based era of computing and the GUI based era of the Mac and Windows. We’re moving from the era in which the device is primary and the web is an add-on, to the era in which a device and its applications are fundamentally dependent on the internet operating system that provides location, speech recognition, image recognition, social network awareness, and other fundamental data services.

We’re in for an interesting ride. – Tim O’Reilly

Good to see Tim quote Peter Norvig, who is an expert in AI. However, I think Norvig understates one of Google’s keystone algorithms: Machine Learning.

From David Pogue (Pogue is wrong, the machine doesn’t lack a multi-touch screen – it’s software disabled, but Pogue has some insights too):

But at the start, at least, the results are a pair of head-scratchers. The Nexus One is an excellent app phone, fast and powerful but marred by some glitches and missing features — a worthy competitor to the Droid, if not the iPhone. The Google phone store is a neat, centralized place to buy phones, but so far, it offers zero advantages over buying a T-Mobile phone any other way.

Even so, you should root for the Google Store’s success, because the obnoxious policies and fees of the American cellphone companies have gotten out of control. Anything with even a fighting chance of putting power and choice back in your hands is cause for celebration.- David Pogue

From Jon Stokes, comes a highly insightful take on how this disrupts the existing status quo that the marriage of carrier-subsidized handsets creates relative to telecommunications quality:

Right now, with specific phone models available only on specific carriers, consumers must pick a carrier and phone combination. Many consumers actually pick a phone first, and then pick their carrier based on it (witness the mass customer defection to AT&T when the iPhone was announced). If you want to keep using that phone, you have to keep using that carrier. If you want to switch phones without incurring a huge early termination fee (ETF), then you’re limited to the selection that your carrier offers in your area.

This is bad for consumers, but it’s great for carriers. Carriers don’t have to compete solely on network quality; rather, they compete based on a combination of network quality and phone selection. And because they compete partly (mostly?) on phone selection, their incentives are twofold:

They want to offer the largest number of attractive, leading-edge phones in order to attract a user base, and
They want to wring the most money out of that user base for the lowest possible cost.
Incentive number 2 is why wireless networks have performance issues, and why AT&T’s network gets more complaints than all others. Call it the “iPhone curse,” after the “resource curse” that seems to leave oil-rich nations mired in petty tyranny. Because AT&T has ensnared—and locked in—legions of consumers with the iPhone, the company’s incentive is to minimize their infrastructure spending so that they can maximize per-user profits. AT&T also has a motive to nickel-and-dime you to death, because it has you locked in with that amazing phone and its accompanying ETF.

In sum, as long as Apple’s red-hot iPhone keeps new customers coming to AT&T and keeps existing customers around in spite of the poor service quality, the carrier has little incentive to actually improve its network, and every incentive to cram as many iPhone users as possible onto each cell tower.

If Google’s carrier-independent store succeeds spectacularly, it could break the curse. If the idea behind it succeeds, that could break the curse as well. Wouldn’t it be great if Apple ran a similarly carrier-independent iPhone store, or Nokia did the same with its smartphone lineup? I, for one, want to live in a world where a carrier competes for my business by being cheaper and faster than the next guy, and not because it has a phone I want. That’s why I’m rooting for Google’s store idea to catch on, regardless of what the Nexus One kills or doesn’t kill.

Other interesting articles out yesterday and today which talk about mobile telecom industry disruption from Google, which I foretold in 2007 myself:

  • The Google Phone’s Disruptive Potential
  • Google’s biggest phone move: disrupting carriers by selling direct to you
  • A week after my “Clash of the Titans – Google vs Apple in 2010 and beyond”, The Financial Times has an article today by John Gapper, called “Google’s open battle with Apple”, which delves into how open or closed each company is.

    One thing both Apple and Google have learned is that a solely proprietary strategy has flaws, just as one of pure openness does. They compete by openly expanding their reach while staying partly closed.

    So take with a pinch of salt all manifestos about complete openness. Any company that is as valuable as Google is wilier than that. – John Gapper

    The thing is, in reality, it has always been true to compete aggressively around your core strengths in business. The fact that Google highly leverages open-source contributions bi-directionally gives it an optimizing edge that Apple does not have in the long-term.

    In other news, Apple ditches Intel for Qualcomm’s SnapDragon platform (update: actually, this links, says it’s NOT a SnapDragon), which already powers the Nexus One. Big win for Qualcomm, but also for ARM

    Additional good news for ARM: Marvell shows the first quad-core ARM-powered chip (Fortune/GigaOM).

    This does not bode well for Intel, which already had troubles launching the Larrabee chip, but also has a few lawsuits to contend with, including the notion of making its compiler work well only on its own chips.

    Bloomberg has a good article on the chip wars today and “How Intel is vulnerable now as people shift to mobile phones to surf”.

    Why Google trumps Microsoft on the Web, even if Microsoft buys Yahoo.

    Scott Karp, a professional blogger, has a good explanation: “Google is a web-native company”.

    The Wallstrip Edge – Howard Linzon

    Substitute MS for Apple above?

    2010 is turning out every bit as exciting as I thought it would be.

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    Google Nexus One

    Google Nexus One

    As expected, the first Google-branded phone launched today with a panel of invited bloggers and influencers, who each went home with both a Nexus One and a Sim Card to go with it.

    One audience member asked “Where’s the disruption, You’re Google, if you can’t do it, who can?”, to which the reply was “Baby steps”. It’s all about going forward in your plans stealthily, and I guess things would have been very different had the AdMod acquisition gone through smoothly. Apple retaliated by acquiring Quattro Wireless today itself, showing us how the clash between these two titans is heating up right into the start of 2010 as I wrote earlier, but I wonder how Apple is going to meld ads into the user experience.

    More disruption will occur when Google Voice and Google Talk and the Gizmo5 technology is integrated into the handset. Remember: it isn’t about the handset with Google. Google is leveraging its brand to change how you access Telecommunications. It’s about a vision of making business more efficient and grabbing market-share where others are sleeping on their laurels, and of course, serving the end-user.

    Read the complete specifications. Some noteworthy ones:

  • Qualcomm’s 1GHz SnapDragon is there as planned in its QSD 8250 incarnation. This thing can support up to 12 Megapixels for the camera and a resolution of 1280×720
  • The gorgeous 3.7-inch AMOLED touchscreen has 800 x 480 pixels resolution with a whopping 100,000:1 contrast ratio.
  • Photos can be location-tagged thanks to the AGPS receiver and integration with YouTube is seamless
  • All the features for Augmented Reality apps are available as mentioned in my previous post
  • Google’s speech-to-text is included so you can, among other things search by voice or command Google Earth by voice (or any apps with text fields basically)
  • Try the 3D tour here: http://www.google.com/googlephone/tour/

    Try the interface itself and order from here if you’re luckily living in the USA, Hong Kong and Singapore – No such luck for us Canadians as the message “Sorry, the Nexus One phone is not available in your country” attests:

    http://www.google.com/phone

    Price: US $529 unlocked, $179 with T-Mobile contract, and in spring, Verizon and Vodafone support are coming.

    Multi-Touch support

    Andy Rubin seemed to fumble a bit when asked about multi-touch on the Nexus One. “We’ll consider it” and “it’s a software issue” means that the hardware itself is capable of multi-touch.

    In addition, the Dolphin browser supports multi-touch.

    Flash support

    Adrian Ludwig from Adobe Systems demonstrates the forthcoming Flash support (it’s not there out of the box), but Apple’s Flash support for the iPhone is still broken as I wrote previously.

    Open handset alliance and Open-source

    No doubt this first incarnation is going to be hacked (hacked as in optimized by the Android/open-source community) to death as it relies on open-source, and so I expect many enhancements to be forthcoming and frequent. Google announced that a growing number of companies have joined the Open Handset Alliance from which Apple and Microsoft are conspicuously absent.

    More links to whet your appetite

    Phandroid’s review – where the iPhone trumps both the Droid and the Nexus one in a browser page loading test with scrolling.

    Tim O’Reilly’s long piece about it

    TechCrunch’s review

    Gizmodo’s overview.

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    On the hardware/software front, these two are what I am watching this year:

    Google’s Nexus One phone

    I like Android, open-source and Google, and I want my machines to compute for me and access data and information on-the-go.

    In addition, when the service is ready, I will communicate worldwide using Google Voice through it, doing away with the hefty charges Traditional Telcos pass onto the consumer.

    Apple’s tablet or as some say ‘tablets’.

    It is rumoured that one tablet will be sold as an eBook reader and another one as a general-purpose computer. Personally, I wish that Apple just gives us a multi-touch general-purpose computer, and I prefer Snow Leopard 64-bit rather than the iPhone O.S.

    In any case, Google and Apple will clash on several fronts as I detail in a previous post.

    I like the following design prototype, and if anybody can make it work like this, it is Apple.

    Mag+ from Bonnier on Vimeo.

    As for web services, the following are going to be instrumental in the coming years’ socio-cultural and technological evolution:

    Augmented Reality

    Applications like Layar and Tonchidot’s Sekai Camera will pave the way for location-aware applications and services. For these, your Internet mobile devices need a camera, GPS, a magnetometer or compass as well as an accelerometer. I like Google Goggles too.

    The Internet of Things

    Pachube is another web service and technology I find fascinating after reading Richard McManus’s posts about it on ReadWriteWeb.

    A lot of the benefits will be made through mobile computing devices and smart phones.

    Read:

    Morgan Stanley/Mary Meeker’s Mobile Internet Report.

    Mobile computing is ramping up faster than the Desktop Internet did, as there are 5 trends converging:
    3G, Social Networking, Video, VOIP, Impressive Mobile Devices.

    and

    Fred Wilson’s areas of interest.

    Augmented Human

    This will be a trend for the next decade, a time like no other in history where technology empowers and augments Human capacities. This entails watching anything having to do with AI.

    Any application or service which allow me to enhance aspects of my human life is going to fall in this category, like Networked-computing, Cloud-computing and Social Computing, and AI of course.

    Augmented Human apps and services will exponentially increase society intelligence.

    Web 3.0 or the Semantic web

    I think that 2010 is the year where semantic applications and services become prominent and usable for the mainstream.

    A key factor to overcome is the inertia of publishers to push structured Web data. The answer is to allow the infrastructure to do that automatically, e.g. your WordPress platform.

    One service I am watching here is Thomson-Reuters’ Open-Calais.

    Trading & Investment applications using one or more of the above.

    I am especially excited by the prospects in systematic or algorithmic trading and analytics. In fact, I believe we should be doing a DOW theory 2.0 right now.

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    1. From Search to Results in Push mode

    Instead of searching, the web and computers will push results to you based on your interests and past searches. Users will be able to filter or vote up or down the results.

    2. Advances in Human-Machine interfaces

    I expect Google to play a major role in these:

  • Thought Recognition
  • Though-recognition will come into the mainstream, probably in the form of game controllers. The same technology but with different algorithms and implementations will be used in machine to record users’ dreams.

  • Natural-language commands, Gesture recognition
  • Both Speech and Gesture recognitiong will become common-place as they are applied increasingly in art and productivity. Music and Art will be created digitally and increasingly through gestures.

    3. Feelings/Formative-years Marketing

    The forthcoming release of the Google Nexus One and the rumoured Tablet made me feel like when I was a kid imagining the world of possibilities with computers and thinking about Silicon Valley and watching “Whizz Kids”. This feeling is powerful to me.

    I foresee that deliberately marketing new products or services to people using the feelings they experienced or expressed relative to their environment and cultural exposure during their formative early years or other period will become a technique used by marketers.

    This will be even easier now that Social Networks applications like Facebook allow you to tag your interests and that increasingly, Gen Y’ers and newer generations will live this digital lifestyle naturally in the open.

    Major backlashes occur because of Governmental or para-statal organization or other organizations obtain personal information from companies. This may involve any of Facebook, Twitter, Google or Baidu.

    4. From Augmented Reality to Augmented Human

    During the first years of the decade, Augmented Reality will take hold and become ubiquitous. It is, however, rather intrusive, and there will be a transition to invisible, non-intrusive Augmented Reality systems.

    These new systems will range from wearable computing systems, to fully embedded systems within the human body, ushering the age of the Augmented Human.

    There will be much debating about the applications of Augmented Humans as it will be a necessity for survival but also subject to much abuse from the wearer or to the wearer.

    5. Cloud Computing

    Cloud computing will become a commodity – one person through the web and through Natural Language will be able to command vast networks of computing power to bring back the results of analyses and reports in a human-readable format.

    Books and magazines in paper form disappear and entire libraries are hosted in the cloud. Similarly, more Art & Culture is digitized, i.e. what happens to Books also happens to Music and TV.

    Google dominates the cloud computing technology space.

    6. The Exploratory Search Engine

    Google was crucial in organizing the web’s structure. Wolfram Alpha is an evolutionary step above all the search engines up to now, allowing us to compute meaning.

    In the next decade, a new search engine is built which also enables you to explore the solution space around the result you reached for your search term by showing you the best web application to explore the subject further.

    e.g. Searching for Orion, the constellation, will provide you information about Orion, but also show you the web app which enables you to explore the sky constellation as well.

    7. People’s attention-span in the Western world continues to drop

    Already, I have noticed how people have a lot of difficulty following a few logically-linked sentences. In the era of Twitter and micro chunks of information overload, people will have a tendency to outsource a lot of the thinking to others or to machines. This will heavily influence how people communicate among themselves.

    Most conversations in presence of people will devolve into the superficial, relegating the argumentative, logically structured discourse to seminars or conferences.

    Business opportunities arise to help people filter out unwanted information pushed to them all the time.

    8. Location-based services alert you to any danger or opportunity in your vicinity

    Location-aware devices and applications, together with real-time human or machine feeds will enable you to be aware in near real-time of either dangers in your immediate surroundings or opportunities like promotions in a shop or other opportunities.

    9. Google disrupts the HealthCare industry

    No one foresees the scale of this event but when it arrives, it makes complete sense. This includes Google and its partners (like 23AndMe) helping to better diagnose your symptoms, make better prescriptions and forecasting potentially life-threatening or disabling diseases in your future.

    Managing one’s own Health risks based on one’s genetic makeup becomes a normal part of living healthily.

    In other posts, I also foresee that Google will disrupt the traditional Telecommunications Industry:

  • Google Telecom, Hello!
  • Top 9 reasons why the Google Nexus One beats the Apple iPhone
  • 10. General AI and Strong AI

    Google becomes the first company to build and market a robot with General AI, including the ability to learn and grow in intelligence as well as automatically update itself through the web.

    Strong AI emerges from the Web, the network of machines, sensors and other networkable devices with General AI robots as well as Augmented Humans.

    This causes a drastic increase in the level of consciousness of Human beings, while many of the older generations of people are completely lost as to why life is no longer how it used to be.

    This also causes the emergence of a form of Global Intelligence for Earth, making it more aware of its own environment. Efficient energy systems become more prominent and affordable in a new age of greener living.

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    The next decade begins with two behemoth software (slash hardware) companies going at each other: Google and Apple. I like both of them as well as their leaders, so it will be a fantastic time to watch how it all unfolds as from early 2010.

    Mobile Telecommunications

    On January 5th, Google will most probably announce the availability of its own Google-branded phone, the Nexus One. Already billed as an iPhone-killer, it is going to be no small feat for Google to overtake Apple’s established dominance.

    However, ‘no small feat’ does not mean that Google cannot make it. Actually, I don’t think Google is actively pursuing gaining market share from Apple in Mobile Telecommunications. In reality, Google is pursuing a vision, the efficiency and immediacy of a digital lifestyle optimized by Google Engineers. That this pits Google against Apple within the Mobile Telecommunication space is coincidental, an emergent phenomenon.

    Some people are questioning that Google’s move into the handset branding will kill its own partners who manufacture handsets. I don’t think this is the case since the hardware itself is built by HTC and all the software enhancements can trickle to other manufacturers. Here, I have the distinct impression that Gartner analysts do not get open-source or the implications within Google’s own eco-system.

    Although the inroads by Apple with the iPhone and the iPhone O.S.-based iPod Touch are amazing, Apple breaks Google’s services on their devices. Ever tried using Google Analytics or Google Finance on an iPhone or iPod touch? They don’t work as Apple restricts Flash.

    Apple’s machines have sub-standard multi-tasking, and Apple does not like handing control or enhancements to the open-source community. Google, on the other hand, will have good multi-tasking out-of-the-box and loves open-source. To be successful in Technology and Business in this day and age, I advise that you build ‘hackability’ into your product or service. Let it be open and allow other people to build on it.

    Here, my preference goes to Google although I appreciate Apple bringing such an impressive multi-touch screen and UI to the masses and I expect Google to subsidize a Telecommunication service through ads as they usually do. I just hope that the FCC and other organizations don’t block the acquisition of AdMob further.

    It will hard to resist the brand appeal and a phone which reminds you simultaneously of BladeRunner and Tron.

    Mobile computing – Netbooks and smartbooks

    Apple has enjoyed enormous success with its laptops. The latest machines are innovative, with the multi-touch trackpad, the amazing screens and 64-bit Snow Leopard with Grand Central Dispatch (easily dispatch computing to several cores) and OpenCL (harness the GPU for computing).

    With Google-branded notebooks rumoured for the end of next year, I expect the two to clash again in the mobile computing space.

    It will all boil down to what value the end-user derives when on-the-go. Do you derive more value from using the Web and connecting to your social networking applications than doing hard computing?

    If so, Google will eat up market share, as it will be cheaper. The rumoured specifications are superlative, with SSD being the norm as well as computing power by ARM and graphics powered by NVIDIA’s Tegra. With no moving parts and a higher throughput, Google’s machine can be faster and optimized for the Web.

    It is still open whether Apple’s own tablet (an Apple announcement for the 26th of January is planned) will contain the iPhone O.S. or Snow Leopard but that device will also compete in a similar space. No doubt this will pitch Apple into the eBook industry and Google already occupies some of the space here because of their Book digitizing activities.

    I love the Apple machines and Snow Leopard 64-bit, and for the moment I give them the edge, but I am open to the fact that Google could wow us all at the end of 2010.

    If there is one thing that Google should do, it’s not to reinvent the wheel but rather leverage Linux for the computing intensive applications.

    The Cloud

    Google has optimized data centers around the world and scalable architecture, built on customized open-source GNU/Linux. Google’s cost of development of Operating System and software is minimized as it highly leverages existing Open-source code and volunteers around the world. Google has its core operating architecture optimized even down to the level of hard disk drivers.

    Google optimized DNS resolution, optimized JavaScript, owns dark fiber, builds one of the fastest JavaScript browsers ever, is preparing a Chrome-based Operating System, etc…

    What does Apple have?

    Google unquestionably has the edge for the Cloud. And I argue that Google’s edge in Cloud computing goes beyond any other cloud computing offering in the world because it is the better engineered solution.

    Videos

    Google has YouTube, which reigns supreme with the user-generated content/’Broadcast Yourself’ crowd. The addition of HD videos on YouTube has increased the quality level very much. Being free because of ad-subsidization is a boon,but can also be a distraction.

    Here, however, I would prefer buying HD from Apple, as my user experience would be better – I don’t get ads unless the ads are product placement inside the content, not inside the player.

    Music

    With iTunes, the Apple Store and such a wonderful experience finding songs, being recommended new artists, albums and songs by Genius and purchasing songs immediately downloaded, Apple has an edge.

    However, Google potentially has better algorithms for recommendations for music. Apple grabbed Lala as well and is targeting music streaming from the cloud, so Apple is leading the way here.

    It remains to be seen how Google manages this space.

    Google vs Apple

    Google vs Apple

    Conclusion

    All in all, 2010 and the next decade will be a fantastic time to watch these two companies and their leaders compete. To me, Google has the better algorithms and engineered products at the software engineering level while Apple has better hardware, design and user experience.

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    At the close of 2009, it is time to revisit my past predictions and see how I fared. I find that with time, my blog has become more self-referential as things I have envisioned years ago – sometimes up to 4 years ago – become validated or progress in the general direction I foretold.

    1. Google Telecom, Hello! – July 2nd, 2007

    Google

    Google

    I envisioned then as TechCrunch had featured a rumour that Google was going to buy GrandCentral, that Google was bent on becoming a Telco or ISP themselves.

    The acquisition of GrandCentral and mobile ambitions – The Google phone?

    GrandCentral provides you with one phone number linked to all your existing phone numbers, and many other features (thanks to Techcrunch for this great overview) through its website and also through your mobile.

    There have been rumors of the Google phone before, and such a device with the mobile Google applications, linked to all the Google integrated goodies mentioned above would be pure bliss for managing and sharing data and event information with contacts when either online or offline thanks to Google Gears.

    Google’s killer move

    Here is what I predict will happen with Google Telecom. Based on the current state of Telecom, i.e. VOIP disrupting the industry with the old Telcos still charging too much while there are cheaper VOIP offers like the Gizmo Project, Skype, VBuzzer and Jajah, Google will adopt a similar strategy to Google Apps. With Google Apps, Google has a tiered access: free access for users and paid access for businesses.

    I believe Google Telecom will offer free calls locally and worldwide to fixed telephone lines and mobiles to individual users and basic paid access for businesses and bring a more severe disruption of the Telecom industry as it will rely on getting more advertising through these channels. Alternately, Google could use the Google Web infrastructure to position itself as an ISP and offer free Internet access to all too.

    That’s a killer strategy, and they can pull it off. Beautifully at that.

    2. How Apple will revolutionize music-making – March 11th, 2007

    Apple

    Apple

    Months before the launch of the iPhone, I foresaw how the multi-touch device will change the way we make music, essentially because multi-touch is organic and enables the use of the device as Midi controllers.

    However, the iPhone and the iPod Touch are a little too small for a big revolution. The forthcoming tablet will be different. Being bigger, we can expect many more practical uses like playing virtual instruments live, using the tablet as a virtual mixer and sequencer and so on.

    Conclusion

    The whole experience of how you make music within a sequencer with virtual instruments is about to be revolutionized by Apple with a forthcoming combination of multi-touch hardware and software based on Logic and running on at least Leopard.

    The very act of recording, manipulating and producing music on a computer will become an organic performance in itself.

    I don’t know when it’s coming, but I do know it’s soon, probably this year, and it’s going to be Apple and Leopard+.

    The Next three ones come from a long post called The Web O.S., Web 2.0, yubnub and YashNub dated October 10th, 2005.

    A revolution is under way. It is one of those times when technologies developed separately converge and congeal. From this emerges a new system that is better than the sum of its parts.

    3. The Web O.S. / The Cloud – October 10th, 2005

    This begs the question of how to propagate technical requirements to an underlying platform to enhance the end-user’s experience with Web 2.0.

    The first point of contact is the user’s browser.

    My view of the Web OS is that it must be a combination of the computer’s OS and the browser.

    Given Firefox and AJAX and great web services, there will be an increasing migration of desktop applications to remotely hosted locations on the web. Of course, not all applications can be hosted this way yet – desktop installed apps will still be around for a long time.

    But assuming increased hosted services, it is a simple and logical step to envision that the computer OS can itself be tweaked for Web 2.0 usage. In other words, you could enhance existing Web support, but in addition, you could also strip an existing computer OS from any superfluous capabilities and code. You would then obtain a low-cost alternative to the bloated (and sometimes expensive) OSes currently available.

    These WebOS 2.0 PC’s, being cheaper, could be used to power schools, especially in developing and third world countries and businesses alike.

    Businesses would also benefit of broadband connections to leverage hosted services.

    Although schools in poor areas may have broadband, they would still benefit of the network architecture: imagine just one server providing the necessary web services to a class of pupils. They could all be writing their assignment with a software like Writely.

    The whole of the software service maintenance is outsourced – this is less costly in time and money for anyone using a PC with Web OS.

    Of note recently is the announcement of the partnership between Google and Sun for cross-marketing of their services. This fuelled a lot of speculation about whether a Web version of StarOffice would be in the works. In addition, people have been talking about a possible Google browser and GoogleOS.

    I envision the future Web O.S. to be a stripped down Linux distribution with subsequent enhancements. And the single distribution which is poised as the best contender has to be Mark Shuttleworth’s forever free Ubuntu Linux.

    Based on the above, I don’t think Google is preparing a browser or O.S. Because both the browser (Firefox) and the Computer OS (Ubuntu Linux) already exist, it doesn’t seem to be a good strategy to me.

    4. Firefox – October 20th, 2005

    In December 2009, Firefox overtakes IE 7 to become the Word’s most popular browser.

    Firefox

    Firefox


    My weapon of choice in this area is Firefox and it should be yours too. Mozilla’s awesome open-source browser is highly customizable through a variety of extensions. A personal favourite is GreaseMonkey which allows you to install scripts that personalize the browsing experience of some sites, removing annoyances in some cases or enhancing functionality in others.

    My view of the Web OS is that it must be a combination of the computer’s OS and the browser. The advantage with a browser like Firefox is that it is already cross-platform and standards-based. It is therefore a candidate of choice for basing any development of the Web 2.0 services.

    I also praised Firefox in this other post in November 2005 – Firefox, the world best browser.

    Not only that, but the Mozilla team, true to Open Source spirit, regularly updated the browser. More specifically, they patched any flaw very rapidly.

    5. Ruby on Rails – October 10th, 2005

    Twitter

    Twitter

    Thanks to launching with Ruby on Rails, Twitter has managed to raise $25M at the end of this year.

    Ruby on Rails

    Ruby on Rails

    Ruby on Rails is a Rapid Web Development framework built using Ruby, an open-source and truly object-oriented programming language.

    Ruby

    Ruby

    I am quite fond of Matsumoto-san’s Ruby language and hence I founded a local Ruby user Group.

    Ruby on Rails has made the development of new web services a disarmingly simple thing to do. The very implementation of the Rails framework enables you not to have to repeat yourself in your code. Actually, a lot of the code is automatically generated.

    Thanks to David Heinemeier Hansson and thousand of other contributors, RoR is and will continue to be a driving force for evolving Web 2.0 because it’s now easy and fast to build new applications. It’s also worth mentioning that RoR now incorporates AJAX functionality by default.

    6. Open-source

    I have been involved in Linux User Groups and the open-source community for more than a decade and I use and recommend open-source software for that much to enterprises and individuals alike.

    Open-source continues to grow as an influential way of building technology and businesses. Sometimes, the open-source product is better engineered than the commercial product, since:

  • Companies usually operate in an economy of resources mode and management often have no clue what development is about.
  • In the open-source world, “with sufficient eyeballs, all bugs are shallow”, meaning that someone, somewhere in the world is an expert in solving exactly the problem or bug that the software has and can do so in a small period of time.
  • Therefore, building proprietary solutions from scratch is an increasingly losing battle. It is much better to build around open-source software and open standards, ensuring interoperability and robustness.

    Facebook, Twitter, WordPress, Ubuntu, Google, Apple Mac OS X are all built with or around open-source software.

    By the way, Eric Raymond, the term ‘open source’ won – we rarely hear of Free Software anymore. However, let’s not forget the seminal work of Richard Stallman.

    At the close of 2009, one of the most impressive companies of the decade relies heavily on Open-source software, contributes heavily to the Open-Source community and has evolved into a major player in several industries by building a hybrid business model:

    Proprietary or closed-sourced core algorithms and technology
    +
    Heavily leverage open-source technology and contribute back to the community

    That company is Google and is a great model for merging technology and business and succeeding in the digital age and the knowledge economy. Note that to replicate Google’s success, you also have to rely heavily on Engineers and Engineering in Computer Science.

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    More details have emerged about Google’s Nexus One phone and their plans for Telecommunications.

    CNET broke some news about leaked phone prices:

  • $530 unlocked directly from Google at http://www.google/phone
  • $180 subsidized with a 2-year contract from T-Mobile.
  • Google invited people for an Android event for January 5th, 2010, where the availability of the phone will most probably be announced early in the morning.

    eWeek has an article with Bradley Horowitz, Vice President of Product Management at Google, speaking about some of Google’s vision for Telecommunication.

    A Google executive said the company has only scratched the surface of what it plans to do with Google Voice, the phone management application that lets users route calls to all of their phones from one unique number.

    Google in November acquired Gizmo5, a maker of so-called softphone software that will enable Google Voice to operate like Skype by letting users place calls via the Web from one PC to another or from a PC to a landline or mobile phone.

    Bradley Horowitz, vice president of product management, declined to outline specifics for how Google is implementing Gizmo5 with Google Voice. However, Horowitz, who joined Google from Yahoo almost two years ago and oversees Gmail, Google Docs, Picasa and other Google Apps, was very enthusiastic about the move and Google Voice on the whole in a recent interview with eWEEK:

    “What we’re trying to do with telephony is give people a seamless experience that frees up their telephony communication from the silos where it’s lived for the last decade. Voicemail, my contacts, all of those things have been segregated from the rest of my Web experience. We have big plans to do a better job.
    Voicemail transcription, inbox integration and threaded SMS are fantastic features, but we’re really just scratching the surface. Gizmo5 gives us talent and talent technology. They have specific tech and skills in further integrating telephony with devices and desktop and Web-based computing. We want to make sure you’re communication is available to you irrespective of where you are at, what device you have in your pocket, etc.”
    Horowitz said Google sees not only the future of communications funneling through the Web, but every computing service for work and play.

    Read more here: Google Has Big Plans for Google Voice, Cloud Computing in 2010

    In addition, in an interview with Ken Auletta, who stayed 13 weeks with the Google team in Silicon Valley, wrote a new book about Google, you can hear this at around 4:18:

    Why can’t we have free phone service?

    In the World of Google, the Engineer is King.

    This is why Google manages to be efficient and also work out inefficiencies in systems and businesses.

    Auletta’s book is called “Googled – The End of the World as We know it”:

    Google will charge for their phone service but it will be heavily subsidized by ads.

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    The essential information culled from around the net:

    From Reuters:

    • Will be sold online as early as January 5th 2010
    • Cellular service will have to be bought separately
    • Analysts say the aim is to gain access to valuable consumer data that can be used to sell ads at premium prices, rather than to make money from direct hardware sales, as companies such as Nokia or Research in Motion do.
    • Handset subsidized through T-Mobile contract
    • “In the long term Google will become a seller and get commission from operators”

    From Android Guys: Specifications

    From These are the Droids, more precise specifications garnered from library references in the Nexus One ROM. The double-microphone with noise-cancellation also suggest to me the implementation of video-conferencing.

    • Proximity Sensor/Light Sensor: Capella CM3602
    • Accelerometer: BMA150 3-axis Accelerometer
    • Magnetic Compass: AK8973 3-axis Magnetic field sensor/AK8973 Orientation sensor
    • Wifi Radio / Bluetooth / FM: BCM4329
    • Routing audio to Speakerphone with back mic
    • Stereo FM speaker
    • Audience A1026 Noise Canceling Chip
    • Qualcomm QSD8K Specific hardware (QSD8250 Probably)
    • Adreno 200 Graphics Core with OpenGLES 2.0
    • Camera: auto focus, flash, white balance and anti-banding

    From Techtorial:

    • 4Gig MicroSD card installed
    • Battery capacity is 1400 mAh
    • The trackball can be used to focus

    More on Phone Arena.

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    Adobe Flash on Apple iPhone1. Apple blocks Flash on the iPhone and iPod touch

    2. Google is open to open-source contributions.

    The Google Nexus One uses the Linux kernel. Google supports Open Standards and the Nexus One will too.

    Apple blocks open-source efforts. I have to wait and re-jailbreak my device every time the O.S. is updated making me lose precious time and it’s just a hassle. Apple prevents me from using one of the most useful third-party provided application that existed, which is to have the whole of Wikipedia – the sum of human knowledge – accessible offline in my hand.

    Google, on the other hand, has open-sourced Android. Linux is open-source.

    3. Google-subsidized Telecom

    Traditional Telcos in Northern America are greedy companies who don’t listen to their customers. I want Google to undermine them by subsidizing my Telecommunications through mobile ads and use of their services.

    Why do I think this will happen? The answer is here in three parts:
    3.1. The essence of Google’s success (2007)
    This explains how Google relies on ads to subsidize many of their technologies, but also:

    • “massive revenues from contextualized highly-targeted ads”
    • “all problem solving is some kind of search”
    • “optimized architecture”

    3.2. Google Telecom, Hello! (2007)

    • Number 1 Internet brand name => a Google-branded device is highly valuable.
    • Massive purchase of Dark Fiber
    • Dispatching of large number of Google Data Centers around the US, each built on highly optimized hardware and software
    • Google Talk integration into GMail
    • GrandCentral Acquisition -> Google Voice now
    • ” I believe Google Telecom will offer free calls locally and worldwide to fixed telephone lines and mobiles to individual users and basic paid access for businesses and bring a more severe disruption of the Telecom industry as it will rely on getting more advertising through these channels.”

    3.3. See “Google ad-subsidized Telecom“, my video about at the Deloitte Canada TMT Predictions 2010 and vote for me (you can vote once per day) (2009).

    • Admob Acquisition
    • Gizmo 5 acquisition
    • Tinkering with free Wi-fi in 47 airports
    • Google branded phone
    • Disruptive behavior

    4. Feats of Engineering

    Google values Engineering and Engineers. This is why they have scalable and robust technological architecture.

    5. Google Nexus One is a General Purpose Computing device & has Multi-tasking out-of-the-box

    The Google Nexus One phone will be a General Purpose Mobile computing device. The Apple iPhone isn’t or you need to jailbreak and get two separate apps like BackGrounder and MultiFl0w to enable these. Besides, it’s more fun to compute:

    6. Google services Integration

    I use so many Google services and apps that it’s unmentionable. I was an early adopter of Google search and I also have a Google Voice account.

    7. The Google Nexus One is incredibly fast

    The Google Nexus One has an optimized Android 2.1 O.S. as well as the Qualcomm 1 GHz Snapdragon CPU/Platform, itself architected around an ARM chip.

    8. The Nexus One is beautiful

    Check out the screenshots at Engadget.

    9. And lastly, the Google Nexus One will also make phone calls. The iPhone drops them:

    Dear Google, I want my own Google Nexus One.

    Thank you.

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    TMT contest

    This past week-end was abuzz with the internal release to employees of the Google Phone, Nexus One. Although manufactured by HTC, it is going to be branded Google.

    For me, the implications are staggering as Google subsidizes many of its applications because 95%+ (some say 99%) of its revenues come from highly-targeted advertising and it’s one more step in a full-blown Mobile Telecom service offering from Google.

    I was therefore divided between either writing a new blog post about analysis and the significance of it or making the gist of the argument for a short presentation so as to participate and stimulate the Deloitte Canada MyTMT Predictions 2010. I ended up doing the latter.

    You can find my TMT prediction for 2010 and vote for it once per day on the Deloitte/Wildfire Facebook application here: “Google ad-subsidized Telecom”

    Katheline Jean-Pierre (Web Marketing Strategist at Deloitte Canada) and Laurent Maisonnave (Social Media and Web Video Marketing specialist, as well as President of “Île-Sans-Fil” which provides free wireless in Montreal) both mention my entries on their respective blogs (the content is in French).

    I couldn’t find any extensive analysis on the web during this week-end, except this one on the Forrester Blog for Consumer Product Strategy Professionals by Charles S. Golvin. Golvin asks a good question about the financing as most handsets are sold lower because of the accompanying plan:

    Will the phone be sold at full retail price, or will it be subsidized?

    However, my own interest is in:

      - whether Google’s positioning will morph into a full-fledged Telecom service
      - whether it will be significantly based on widespread Wi-Fi and WiMAX capability so that the possibility of free calls worldwide can be explored
      - to what extent this service will be subsidized by ads

    In other words, that the significance of the Google Nexus One phone goes beyond the release of a phone, unlocked, directly to the end customer, “upending the carrier model”.

    The value lies in what is beyond:

    Massive Disruption of the Telecom Industry.

    As opposed to Golvin, I have no doubt there will be some form of subsidy for the Telco service – they’re doing it right now with Google Voice with rates lower than Skype. I do believe that Golvin’s scenario about subsidizing the handset is plausible too as they need to position it firmly against the iPhone. Actually, I wrote about Google’s strategy for Telecom before in 2007 in “Google Telecom, Hello” here on YashLabs.

    Also, an earlier analysis of Google as a company and why I like them is here: “The essence of Google’s success”. In this analysis, also from 2007, is why I believe that some form of subsidization by ads is inevitable – it is Google’s lifeblood as a business.

    Even the Crown Jewel in Google’s Technology Portfolio, PageRank, is offered to the masses for free when you are searching thanks to ads.

    “They forget the massive revenues from contextualized highly-targeted ads and they don’t understand that all problem-solving is some type of search.”

    I LOVE that line!!!

    Best

    Hugh (Hugh McLeod of Gaping Void)

    What are your TMT predictions for 2010? Participate in the contest. Looking forward to seeing your take.

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