Loose Wire: Don’t Bite the
Loose Wire: Don’t Bite the Hand That Pays
By Jeremy Wagstaff
from the 18 April 2002 edition of the Far Eastern Economic Review, (c) 2003, Dow Jones & Company, Inc.
I get hot under the collar over a lot of things, especially being forced to write this column in the sweltering tropical heat of Bali, when I could be in a cool, air-conditioned office cubicle. But one thing riles me in particular: the efforts of music, movie and software majors to restrict usage of their products because of pirating. How much sillier can things get?
It’s now possible to download whole movies off the Internet, milliseconds after they’re released (and often before). The movie industry is feeling the heat that software manufacturers have been feeling for years — the same heat that the music industry felt, too, during the brief reign of Napster’s file-sharing software.
In nearly all cases, the industry reaction has been to punish the very people it should be trying to win over: the paying customer. This is usually done by building in limitations on use of their product. In the case of DVD movies, the world is divided into zones — a DVD bought in one zone cannot (theoretically) be played in another.
Some music CDs now often have special keys or codes built in which prevent easy or exact duplication. Microsoft has been trying out ways of forcing people to register their software; if they don’t, they find the software stops working after a few weeks. All these efforts are misguided and alienate users, who feel they’ve stumped up the cash and can do what they like with their purchase, short of using it as a lethal weapon.
To find a solution that works, we need to acknowledge a few basic principles. First, piracy is no longer a backstreet occupation, if it ever was. A few metres from where I’m writing this in Bali you can buy the latest version of Microsoft Office for a fraction of its original price. Want a DVD of a new movie like Angel Eyes or Ocean’s Eleven? Join the queue in Jakarta’s main expat supermarket and you can snap them up for about $6 each, or a quarter of the price of the imported original.
The lesson from this: It doesn’t pay to look at the problem too moralistically, or legalistically. If we do, we’ve got to get tough on half the world, which spends its time making fake Rolexes, imitation Gucci bags, sports shirts and the like, and the other half, many of whom I can see from my vantage point at the hotel bar, who spend their holidays in the tropics buying them up.
Thirdly, technology is not the answer. Industry boffins can dream up new ways of restricting copying but the copiers will always be one step ahead. I realized that MP3s were no longer the province of nerdy types when I spotted a small store in an Indonesian village selling MP3 collections of the likes of Sting and Britney Spears alongside single sachets of shampoo. The lesson: Technology finds a way round every obstacle placed in its way. For users blighted by DVD-zoning, many electronics shops will happily rejig the software in the DVD player to enable any DVD to play regardless of where it came from.
In my view the answers are simple. Manufacturers should reward the genuine user. Don’t just shove a disc in a plastic box and shrink-wrap it: spend some time and effort compiling interesting sleeve notes. Offer DVD buyers a once-only code to download the sound track in MP3 form free. Enable those who register to buy a boxed set of autographed DVDs by the same director. Some of this happens at the moment, but it’s not enough.
Adopt brave measures: Reduce prices, which have stayed too high (particularly CD prices), and stop annoying the rest of us with stupid restrictions on usage. Learn from companies that do things well, like Qualcomm, whose excellent e-mail program Eudora comes in a free version. This is funded by ads, which appear in a tasteful, but visible, format (and are accompanied by a polite but firm warning should you arrange your other programs to cover up the ads).
DVD-manufacturers or CD-makers could sell cheaper versions of their products interspersed with commercials: Pay more and you can get one without the ads. Let’s face it, some people are never going to pay top dollar for these products, so stop worrying about them and encouraging us law-abiding folk to buy more. Now I’m off to buy a real Rolex. No, really.
Column: Klips
Loose Wire: When Push Comes to Shove
By Jeremy Wagstaff
from the 25 April 2002 edition of the Far Eastern Economic Review, (c) 2003, Dow Jones & Company, Inc.
I think I can safely say it, though others have been saying it for years: Push is dead. In which case I’d like to be the first to say: Long live push.
For those of you who weren’t following closely, push was much hyped in the mid-1990s when computers were first being hooked up to the Internet in a big way. The idea was simple enough: instead of users going to Web sites to get information — pull — the information could be sent — pushed — to the user. You could then sit back and watch it all — cricket scores, share prices, headlines — scroll across your screen. For the corporate world it was an opportunity to also push ads, special offers and branding.
So what went wrong? First out of the starting gate, PointCast earned lasting opprobrium because its software hogged computer and Internet resources. PointCast retired hurt, and was eventually bought by EntryPoint in 1999, which a year later merged with Internet Financial Network Inc. to form InfoGate. This stopped offering its free ticker in mid-April, and now can only be found in the technology behind the subscription-based USA Today NewsTracker ($40 a year from newstracker.usatoday.com), which somewhat fittingly looks like the PointCast of old.
Actually, it’s not push that is dead. It’s the gravity-defying business models and catch-all products that don’t offer anything other people can’t offer for free. InfoGate fell by the wayside because it didn’t make any money. USA Today’s NewsTracker won’t, in my view, attract users because you can get the same thing free elsewhere — try the BBC’s excellent Newsline ticker (www.bbc.co.uk/newsline).
Why then has yet another scrolling-ticker business thrown open its doors to the public in the same week as InfoGate closed them? Enter KlipFolio from Serence, a small Windows program that at first blush is not much different. The scrolling is familiar; the clicking on a headline to see the full story is the same. The only visible change is that each Klip contains information from one source only, so instead of one big scrolling ticker with everything in it, from CNN to your local rag, Klips are small and independent.
Below stairs, it’s very different: a content-service provider (what you and I would call a Web site, whether it’s a magazine, news service, an auction site or whatever) adds some lines of Klip computer code so that every time they add some data to their Web site (a news story, an updated stock price, a new item for sale) that data is added to the Klip’s scrolling headlines.
Users, meanwhile, select which Klips they want to view on their screen, which will then update in real time with the new story, price or item for sale. Simple. Serence operates merely as the provider of technology to the content-service providers. For the user, the Klip software is free (www.Klipfolio.com), though Serence says some providers may charge for content in the future.
So what’s so different about this? Well, first off the software looks and works beautifully. Secondly, the back end is simple enough for content-service providers to be able to incorporate it without any extra computers, technicians or PhDs. This means that Serence is just an intermediary; it just provides a site where users can find what sources are available, and it licenses the software to the providers.
Where I believe Klips might really take off, however, is in delivering more specialized content. Sure, we can monitor Web sites, get stuff by e-mail, even have stock prices sent to our mobile phone, but imagine having a Klip that monitors, say, the prices of fast-moving items on an on-line auction site, or jobs in a particular industry.
What’s more, Serence has priced the product so that even individuals who produce specialist newsletters can jump aboard for about $100 a month. Indeed, as Blogs — Web sites that collate niche news and analysis — become more organized, Klips may emerge as a great way for individuals to provide a valuable real-time service which grateful users may pay for.
If that happens, it may well mark the coming of age of push: an information-delivery service that gives me stuff I need, doesn’t take up space and doesn’t go out of business.
Loose Wire: The State We
Loose Wire: The State We Could Be in
By Jeremy Wagstaff
from the 28 March 2002 edition of the Far Eastern Economic Review, (c) 2003, Dow Jones & Company, Inc.
Voting in your underwear? Sounds an appealing proposition: the chance to exercise your constitutionally protected right without actually having to leave your home. You could be watching Frasier while working out which candidate you want to mess things up for you for the next three/four/25 years, based on criteria such as which one most closely resembles a Teletubby/Frasier’s brother Niles/your Aunt Maudlin.
Yes, the lure of Internet voting is coming around again. In May, soccer enthusiasts will be able to vote for their favourite players in the World Cup via a joint South Korean and Japanese project (mvp.worldcup2002.or.kr; the site is not fully functioning yet). This is just an on-line poll, of course, and doesn’t add much to the mix except to try to introduce a new social group (soccer fans) to the concept of on-line voting. Elsewhere, however, on-line voting is already kicking in: Some towns in Britain are undertaking pilot projects allowing voters to choose their local councillors via the Internet, or even via SMS, in borough elections in May.
I don’t want to be a killjoy, but this kind of thing gives me the heebie-jeebies. The arguments in favour of on-line voting make sense — faster counting, less human error, attracting younger, hipper voters with handphones and Internet connections in their hatbands, higher turnouts, you can vote in your underpants, etc., etc. — until you actually think about it. Computers, we’ve learned since we plugged one PC into another, are notoriously insecure. Viruses are now so sophisticated and prevalent that many security consultants advise their clients to update their anti-virus software every day. What are the chances of a voting system not being a juicy target for people writing these nasty little vermin programs?
Another argument wheeled out in favour of Internet voting is this: The Web is now managing billions of dollars of transactions successfully, so why can’t it handle voting? There’s a simple answer to this, as security consultant Bruce Schneier of Counterpane Internet Security (www.counterpane.com) explains: The whole point of voting is that it’s supposed to be anonymous, whereas any financial transaction has attached to it details of payee, recipient and other important data. This makes it much, much harder to protect any voting system from fraud, much harder to detect any fraud and much harder to identify the guy conducting the fraud. What’s more, if there was evidence of fraud, what exactly do you do in an on-line vote? Revote? Reconduct part of the vote? Chances are that faith in the overall ballot has been seriously, if not fatally, undermined.
Some of these problems could be done away with via ATM-style machines that print out a record of the vote. That could then be used in any recount. But it’s still not enough: As on-line voting expert Rebecca Mercuri points out, there is no fully electronic system that can allow the voter to verify that the ballot cast exactly matches the vote he just made. Some nasty person could write code that makes the vote on the screen of a computer or ATM-machine printout different from that recorded. This may all sound slightly wacky to people living in fully functioning democracies. But (political point coming up, cover your eyes if you prefer) democracies can be bent to politicians’ wills, and one country’s voting system may be more robust than another’s.
Scary stuff. Florida may seem a long way away now, but the lesson from that particular episode must be that any kind of voting system that isn’t simple and confidence-inspiring gives everyone stomach ulcers. The charming notion that the more automation you allow into a system, the more error-free and tamper-proof it becomes, is deeply misguided. The more electronics and automation you allow into the system, the less of a role election monitors can play.
Internet voting, or something like it, may well be the future. I’d like to see it wheeled out for less mission-critical issues, like polling for whether to introduce traffic-calming measures in the town centre, or compulsory kneecapping for spitters, say. But so long as computers remain fragile, untamed beasts that we don’t quite understand, I’d counsel against subjecting democracy to their whim. Even if I am in my underpants.
Loose Wire — I Seek
Loose Wire — I Seek Mum, Nick and Sally
By Jeremy Wagstaff
from the 14 March 2002 edition of the Far Eastern Economic Review, (c) 2003, Dow Jones & Company, Inc.
Communication is a funny thing. Living in Southeast Asia in the 1980s I’d type out letters in the enveloping heat, making carbon copies — confident the original would never arrive — and fight my way to the post office past beggars, pickpockets and expat financial-services salesmen, just to stay in touch. Now I have a handphone, e-mail and fax and I can barely talk my thumbs into tapping out a text message home once in a while. It may just be me, but I suspect the harder it is to stay in touch, the better we are at it.
One phenomenon that has bucked this trend is Internet messaging. ICQ was revolutionary when it first popped up in 1996 via an Israeli company called Mirabilis. The first time I used it to send a message to my friend Jim across the South China Sea was mind-blowing.
Now ICQ has been snapped up by AOL and boasts some 127 million users — a sign that people seem to want to stay in touch. For those of us with friends and family in different time zones, such programs are a good way to exchange casual greetings when our on-line sessions happen to coincide.
That said, there’s a downside and it must be fixed before messaging really catches on. While ICQ is by far the most popular chat program or messaging client, Microsoft also has its own, as do AOL and Yahoo. The problem is whether or not to allow users on one service to interact with users on another. So far things haven’t worked out; AOL has blocked most attempts at hooking up to their users, arguing they don’t want any Tom, Dick or Harry hacking into their computers.
Fair point, but in reality the issue is money: These programs spread like wildfire because they were free, and so far no one’s making any money. ICQ has started discreetly adding small adverts but it’s not going to make a dent in the cost of hosting tens of millions of chatty messaging folk. Until chat becomes like your mobile-phone service — where you can be assured of reaching someone, whatever network they’re on — it’s going to be a gimmick. Loading a different program for each service gets messy.
But this is where it gets interesting. Some enterprising dudes have started offering software that handles more than one service, meaning that if you have friends with Yahoo, Microsoft and ICQ accounts, for example, you can chat with them via one program. The best of these is Trillian (www.trillian.cc), written by Kevin Kurtz and Scott Werndorfer and already boasting 2 million copies.
As you can imagine, the giants aren’t happy about two whippersnappers piggybacking on all their hard work. The logos of Microsoft’s MSN, AOL and Yahoo are reduced to acne-like splodges inside Trillian’s window and are, to all intents and purposes, irrelevant to users, who are just happy to be able to connect with their chums on other services.
AOL has already made its feelings known by attempting to shut out Trillian, who have spent much of the past few weeks trying to get back in.
Trillian may be small fry, but they’ve opened the door. AT&T launched a new version of their IM Anywhere program in February that connects to all the other services except ICQ. Fending off two guys in a bedsit may be one thing for AOL, but AT&T may be a tougher proposition.
Where is this going to take us? I’d like to see basic text messages to all services offered as a standard, with users deciding which program they use to pull all their contacts together. PalTalk, a small start-up that also connects to AOL, has found there’s money in extra services like voice, video and professional chat groups.
For most, text chat is just a great way of staying in touch with people across the street or planet. Most don’t care which program does it, and aren’t crazy about all the extra hoopla companies try to cram in to lure folk aboard.
So just give us simple Internet messaging for free, and charge for premium services like security, messaging between handphones and Internet, or on-line collaboration for professional use. Who knows? I might even persuade my mum to sign up: It beats picking up a phone.