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The Asymco way

When I started Asymco.com I did not have a plan. I did not have a policy or vision statement. I wrote what I found interesting. I knew nothing of blogging or of web publishing as a business. Over the following nine months I learned a few things. I also learned a bit about how web publishing (and publishing in general) works.

My observations were brought into clear focus by this brief overview of the core values of web publishing summed up by this leaked document form AOL: “The AOL Way“.

  • AOL tells its editors to decide what topics to cover based on four considerations: traffic potential, revenue potential, edit quality and turn-around time.
  • AOL asks its editors to decide whether to produce content based on “the profitability consideration.”
  • The documents reveal that AOL is, when the story calls for it, willing to boost traffic by 5 to 10% with search ads and other “paid media.”
  • AOL site leaders are expected to have eight ideas for packages that could generate at least $1 million in revenue on hand at all times.
  • In-house AOL staffers are expected to write five to 10 stories per day.
  • AOL knows its sites are too dependent on traffic from AOL.com, and it wants its editors to fix the problem by posting more frequently, with more emphasis on getting pageviews.

This codification of values has inspired me to put in writing my own priorities for Asymco:

  • Learn by writing. Teach by listening.
  • Improve. Move the intellectual ball forward.
  • Illuminate topics which are bereft of analysis.
  • Be notable. “The proliferation consideration.” How likely is the idea to being widely re-published?
  • Review. Encourage participation by reading all comments and reply to as many as possible. Police comments with zero tolerance.
  • Repair. Declare and correct errors.
  • Select. Publish only when the contribution is unique. Avoid redundancy, clutter and noise. Don’t waste reader time.

Many have asked: What about the business model? I’m afraid there isn’t one. I’m still naive enough to think that if I build a great product then everything else will take care of itself.

Making it up in volume: How profit and volumes traded-off in the fourth quarter

Today’s charts show the amount of profit captured by the top eight public mobile phone companies in two different ways.

The first, as a bar chart:

Continue reading “Making it up in volume: How profit and volumes traded-off in the fourth quarter”

Google as Android "Vendor"

In a recent tally of mobile OS market share estimates from Canalys, the market was organized by OS vendors. The number of devices sold by operating system vendor includes as many OS’s as each vendor may supply.

For example, Microsoft licensed two different OS’s during the period: Windows Mobile 6.5 and Windows Phone 7. Nokia also offered multiple versions of Symbian, which have varying degrees of inter-operability.

Google’s offerings include (as per footnote) OMS and Tapas platforms in addition to Android.

Fragmentation is not a new subject as OS licensing models have been ripe with it for as long as they existed.

What I want to draw attention to is the concept of Google as “vendor.” Continue reading “Google as Android "Vendor"”

The iPhone share: 17.25% of smartphones, 4.2% all phones

The mobile phone market is growing rapidly. It grew 18% in the last quarter. The smartphone market grew even faster, about 75%.

To grow share in this market means growing even faster than the market. What we can see from the following charts is how the iPhone as a product grew in share since it was launched 3.5 years ago: Continue reading “The iPhone share: 17.25% of smartphones, 4.2% all phones”

Of Platforms, Operating Systems and Ecosystems

In the earnings Q&A Stephen Elop used the word ‘Platform’ once, ‘Operating System’ three times and ‘Ecosystem’ 15 times.

Though they seem interchangeable, the three phrases have significant differences in meaning. Briefly put, a Platform is a business model concept,  an OS is a technology concept and an Ecosystem is a marketing concept.

Platform

A platform, as the New York Times recently pointed out, can take many forms. Continue reading “Of Platforms, Operating Systems and Ecosystems”

Steve Jobs on Apple's priorities

To me, Apple exists in the spirit of the people that work there, and the sort of philosophies and purpose by which they go about their business. So if Apple just becomes a place where computers are a commodity item and where the romance is gone, and where people forget that computers are the most incredible invention that man has ever invented, then I’ll feel I have lost Apple. But if I’m a million miles away and all those people still feel those things and they’re still working to make the next great personal computer, then I will feel that my genes are still in there.

Jobs Talks About His Rise and Fall – Print – Newsweek

In the language of innovation theory that Clayton Christensen created, companies are characterized by three attributes

  1. Resources
  2. Processes
  3. Values (or Priorities)

Resources come and go, typically arriving every morning and leaving every evening.

Processes take a lot of hard work to change but they can be changed.

Values and priorities are almost immutable. They are what Jobs refers to as the “genes”.

The fact that Steve Jobs said these words about Apple in 1985 after his first departure gives one hope that in 2011 (after his return and departure and return and departure again) the genes are still in there.

Stephen Elop's ecosystem messages

Yesterday I made my predictions on Nokia’s new platform strategy. They should  be treated as pure guesswork, but they are informed guesses. I based them on public information.

That information comes in the form of statements from Nokia’s CEO at the earnings call. I made a table of all the statements that dealt with platform decisions and my interpretations of those statements.

You may do your own interpretation, but to me there is significant evidence here to support my predictions. Continue reading “Stephen Elop's ecosystem messages”

Summary view of Apple's income statement [Updated]

Since reporting on the 18th, I’ve mostly finished going over the the fourth quarter Apple data. Here is a quick summary of the articles that covered the financial and product performance:

Subject Article
Cash Having added $20 billion last year, Apple’s cash growth suggests total could top $100 billion next year
Growth Apple’s Growth Scorecard: 63% average earnings growth over 16 quarters
iPhone pricing The end of exclusivity doesn’t change the price operators pay for the iPhone
Sales by product 65% of Apple’s sales came from iOS powered devices
Next quarter’s estimates Estimates for Apple’s second quarter earnings (ending March)
Share price/valuation Is Apple a candidate for acquisition?
Margins and platform mix of profit iOS enables 71% of Apple’s profits. Platform products power 93% of gross margin
Cannibalization iPhone and iPad: Fine Young Cannibals?
Operational Expenses $76 billion a year from a tableful of products

That leaves one more: Summary view of cash flows. Continue reading “Summary view of Apple's income statement [Updated]”

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