My appearance on Bloomberg West using an iPad to illustrate what it takes to make an iPad.
My thanks to Tania Chen for organizing my appearance on Bloomberg Surveillance in New York on September 26th.
Although there isn’t much one can cover in 5 minutes, there were some good questions around tablets. The role of Amazon and Microsoft in particular.
Here is an exchange with Robert van Apeldoorn, Journalist with Trends Tendances Magazine in Belgium. (www.trends.be/fr). The exchange took place in early September via e-mail.
Robert: -Information and Communications Technology (ICT) is considered in Europe as a way to push growth, and is a target of national and EU policies (digital growth,etc), but the result seems to be a failure: the European computer industry (hardware) is almost dead (ICL, Siemens computers bought by Fujitsu, Olivetti almost out of computer business, Nixdorf dead) since the 90’, and the telco industry seems to be in crisis. All European companies are out of the handset business (big and fading exception is Nokia, but with American software), and Alcatel is suffering with telco equipement manufacturing. It seems that at best, Europe can be a good niche player, with companies like ARM (chips). Technology seems to be reduced to localized services (computer services), some software businesses. What do you thing about that point of view? Is it correct or exaggerated ?
What will remain to the European companies ?
The main problem is perphaps the creation of European platform/ecosystems. Almost all are American today: Apple IOS-iTunes, Android, Amazon,…
Why Symbian didn’t succeed as a competitive platform ?
Is it possible to create European platforms? After all, IOS succeed after a short period of time.
What are the European tech companies that could play an important role in the near future ?
The following interview was conducted by Bruno Ferrari a writer about technology for EPOCA, the weekly magazine of Organizações GLOBO, the largest Brazilian media company on March 30 2011. The article (published in Portuguese here) is an edited subset of the following exchange.
Q: In your analyses, you mention tablets as part of a new era, the “Post PC era”. Why do you think the PCs will be replaced by tablets?
This is not quite correct. Post PC does not mean the end of the microcomputer. The way to think about it is this: The stone age did not end because we stopped using stones. Same with the iron age and the industrial era. The era of jet travel did not end automobile or even ship travel (though that changed to recreation rather than transportation for passengers.) Each phase of technology does not fully replace its predecessor. It offers a new set of solutions and perhaps a slightly different way of solving old problems. We’ll still have PCs but we will use a new type of computer, an even more personal computer. The world still uses the microcomputer’s technological ancestors.
In terms of what new jobs will we hire the tablets to solve, they will vary greatly from what we used PCs for. Just like we used microcomputers for different things than we used time-shared minicomputers and mainframe computers. I expect social interaction, media consumption and entertainment will move from a PC to a tablet. New uses will emerge from the vast experiment that is the app phenomenon.
Q: What are the new ways to interact with machines? With gestures? How will this change the market?
And a lot of folks in this tablet market are rushing in and they’re looking at this as the next PC. The hardware and the software are done by different companies. And they’re talking about speeds and feeds just like they did with PCs
Steve Jobs, iPad 2 launch event March 2011.
I’m not above doing a feeds and speeds comparison.
All the products above have dual core processors, 512 MB of memory. The iPad processor is a bit slower. The iPad also has a slightly smaller resolution screen than a MacBook from mid 2006. However, unlike the others, the iPad has cellular broadband connectivity, loads more sensors, and a battery that will last at least 5 times longer.
It’s also a lot cheaper and a lot smaller.
Although five years old, nobody would question that the MacBook or iMacs shown above are still computers. They still run the latest versions of OS X and are probably still in widespread use.
The new iPad is still not considered a computer by the majority of market analysts. One wonders how long this will go on. The specs of the iPad are just going to keep getting better…
The iPhone and iPad generated $15 billion of revenue last quarter. In addition, iPod touch generated about $2.3 billion, implying that iOS based devices were responsible for sales of $17.3 billion.
To put that in perspective I drew this chart which shows not only the sales by products but a rough representation of share of the two OS variants Apple uses to power its products.
What Google can learn from John Sculley: How technology companies fail by placing their strategy burden on technology decisions
And so we come to the question of Chrome and H.264. First off, it should be clear that video codecs are infrastructural technology. They are commodity algorithms which are generally invisible to users. They are ubiquitous and are “shared” in the sense that they are available for licensing often without much in terms of cost.
So they don’t really offer strategic advantage to the adopter. Some may end up adding slightly more to a cost structure than others, but not in a way that determines strategy.
Flash on the other hand is not infrastructural. It is not shared, it is not invisible to users, it is a brand, it has a significant business model and market value. It is sustaining to Adobe.
So the argument I’ve heard against Google’s decision is that they are using an infrastructural technology decision (a new video codec) to placate or sustain Adobe Flash, at the expense of Apple, a potential or perceived rival.
If this was the plan, it would be a strategic mistake.
When Apple promoted HTML5 as an alternative to Flash, the value was said to be in being an open standard, and in having better efficiency for device-based execution.
The problem is that there are no authoring tools for HTML5. Flash is popular because it’s fairly easy to kick start the creative process. You buy the tools from Adobe for a few hundred dollars and begin to tinker. With HTML5 you need to be a programmer, read arcane documentation, search for sample code and manually integrate results into publishing systems. That’s bush league.
iAd Producer narrows the gap a bit.
The bigger question that I struggled with is whether web apps are competitive enough.
“In all areas of software development, mobile computing is seen as the number-one hottest IT opportunity next year,” said Jim Corgel, an IBM general manager of independent software vendors and developer relations who was involved in the survey. “Not only will mobile spike to the forefront, but by 2015, respondents said it will dominate everything. The cell phone is no longer a gadget – it’s what IT is going to become.”
Developers are usually not very good at predicting specific business winners or losers (to prove this consider why developers don’t spend their energy and earn their living picking tech stocks instead of writing code.)
However, developers are very good at spotting long term technology trends. It was developers who championed the early internet and it was developers who saw potential in social networking. To see a survey of developers confirm that mobile devices will dominate IT, in contradiction to most incumbent strategies, is encouraging.
With QNX now firmly roadmapped at RIM and Android spreading among vendors like a virus, I wanted to point out that these operating systems share one ancestor: Unix.
A technical triumph
Technically Linux, which underlies Android, among others, is walled off from Unix from an IP point of view, but the philosophical and architectural lineage goes back to 1969′s Unix. It was an amazingly well thought-out operating system which has stood the test of time mostly due to its modular architecture. It was not always clear that Unix would make it this far, and in many ways it was written off.