(This is the script for a piece I did for the BBC World Service. Posted here by request. Podcast here.)
Something rather quaint is going on in a Salt Lake City courtroom. A company called Novell, who you’d be forgiven for not having heard of, is suing Microsoft over a product called WordPerfect, which you also may not have heard of, which it says was hobbled from running on something called Windows 95 to protect its own product, called Microsoft Word.
To be honest, you don’t need to know the ins and outs of this Microsoft law suit; nor do you really need to know much about Novell—once a giant in word processing software, and now a subsidiary of a company called The Attachmate Group, which I had never even heard of. Or, for that matter Windows 95—except that once upon a time people used to stay up all night to buy copies. Sound familiar, iPad and iPhone lovers?
It’s weird this case is going on, and I won’t bore you with why. But it’s a useful starting point to look at how the landscape has changed in some ways, and in others not at all. Microsoft is still big, of course, but no-one queues up for their offerings anymore: Indeed nobody even bought Vista, as far as I can work out. But back then, nearly every computer you would ever use ran Windows and you would use Microsoft Office to do your stuff. You couldn’t leave because you probably didn’t have a modem and the Internet was a place where weird hackers lived.
Now, consider this landscape: Apple make most of their money from phones and tablets. Google, which wasn’t around when Windows 95 was, now dominate search, but also own a phone manufacturer, have built an operating system. Amazon, which back then was starting out as a bookseller, is now selling tablets at cost as a kind of access terminal to books, movies, magazines and other things digital. Facebook, which wasn’t even a glint in Mark Zuckerberg’s 11 year old eye at the time, is now the world’s biggest social network, but is really a vast walled garden where everything you do—from what you read, what you listen to, as well as how well you slept and who you had dinner with—is measured and sold to advertisers.
All these companies kind of look different, but they’re actually the same. Back in 1995 the PC was everything, and so therefore was the operating system and the software that ran on it. The web was barely a year old. Phones were big and clunky. So Microsoft used its power to dominate to sell us what made the most money: software.
Now, 15 or 16 years on, look how different it all is. Who cares about the operating system? Or the word processor? Or the PC? Everything is now mobile, hand-held, connected, shared, and what was expensive is now free, more or less. Instead, most of these companies now make their money through eyeballs, and gathering data about our habits, along with micropayments from data plans and apps, online games and magazines.
And to do this they all have to play the same game Microsoft played so well: Dominate the chain: Everything we do, within a Hotel California-like walled garden we won’t ever leave. So my predictions for next year, most of which have been proved true in recent days : A Facebook phone which does nothing except through Facebook, an Amazon phone which brings everything from Amazon to your eyes and ears, but nothing else, an Apple-controlled telco that drops calls unless they’re on Apple devices. Google will push all its users into a social network, probably called Google+ and will punish those who don’t want to by giving them misleading search results. Oh, and Microsoft. I’m not sure about them. Maybe we’ll find out in Salt Lake City.