Search Engines See Search Competition From Social Networking

August 11, 2009

Online search is a splintering market, and social networking appears to be a big reason why.

Three billion searches are conducted each month on You Tube and a billion are launched on Facebook. Twitter is getting its share.

So how is a traditional search engine going to remain relevant?  Search engines are spending a great deal of effort better understanding the intent of searchers and figuring out how to deliver better results.

People search for events on Twitter and for people on Facebook, says Hitwises Heather Dougherty

People search for events on Twitter and for people on Facebook, says Hitwise's Heather Dougherty

All things equal, they probably produce the best results.

But social sites are having success in special niches. For instance, a lot of Facebook searches are for people, according to Heather Dougherty, direct of research at Hitwise. This would make sense since it a network connecting people.

LinkedIn attracts business searches and Twitter sees “a lot of event-driven searches and people-driven searches,” Dougherty said Tuesday at the Search Engine Strategies conference in San Jose.

The Iran election was one such event. “Real-time search will have a strong impact,” she said.

In this changing environment, searchers engines better keep looking over their shoulders. Users could find they turn elsewhere depending on the information they seek.


Microsoft Plugs Mobile Advertising

August 11, 2009

People are placing more complex search queries. That much is true. Almost 20 percent of online search requests now contain five words of more, says Hitwise.

Mobile search is a trend that will continue to grow, says Microsoft researcher Pavan Lee

Mobile search is a trend that will continue to grow, says Microsoft researcher Pavan Lee

Computer based search engines haven’t been able to keep up, even as they have done a better job of figuring out user intent.

So what about typically quicker and lighter mobile search – which is making up an increasingly higher percentage of search requests?

“It’s pretty clear mobile will be a very important component of the digital future,” says Pavan Lee, research manager of search at Microsoft. “We believe this trend will continue.”

Despite the more lightweight nature, mobile search is proving a useful platform for ads. That’s because it lets people search from where every they are, without having to pull out the laptop – even if they don’t submit as detailed a query.

People consider their smart phone a personal device, capable of very personal responses, such as the location of a restaurant they are trying to find, Lee said Tuesday at the Search Engine Strategies conference in San Jose.

She said that Microsoft’s goal is to convince advertisers of the opportunities in mobile search. To make her case, she highlighted a study Microsoft completed of a Toyota campaign that found consumers with significantly better able to remember an ad and a brand when mobile ads were used in the ad mix.

More importantly, 12 months of tracking discovered a 15.7 percent click-through rate for mobile ads and 13 percent better audience reach.

Why these astonishingly high numbers?

“There are not as many competitors,” says Lee. “The advertiser density is very low.”


FriendFeed: A Watercooler 2.0

August 10, 2009
FriendFeed has a simpler and lighter user experience than Facebook, says FriendFeed co-founder Bret Taylor

FriendFeed has a simpler and lighter user experience than Facebook, says FriendFeed co-founder Bret Taylor

Jackpot for social sharing site FriendFeed, as neighbour Facebook said today it acquired the 12-persons, less than 2-year old company for – according to the Wall Street Journal – an amazing $50 million in both cash and stock-options.

It so happened that late last week we talked to FriendFeed co-founder Bret Taylor about his company at the Lunch 2.0 event hosted by Kosmix; and that one of the questions that came out was how his service is different from Facebook:

“We’ve just optimized the experience to be a little simpler [than Facebook]. We’re not a full-fledged social network: you don’t put your relationship status, you don’t get to list your mom, your dad, your sister and every single one of your friends. It’s a very simple model. You just subscribe to the people you’re interested in and you get a stream of what they’re sharing and you can comment on it. It’s very lightweight,” told Taylor.

FriendFeed wants to use your friends to filter your information

Another feature that Taylor mentioned – and I wished Facebook had – was email integration. Yes, that old email thing. “So everytime my mom posts something, it’s sent to me by email and I can comment by just replying to the email. It sort of fits in the workflows of our users, so they don’t need to change their behaviour. They don’t need to go to FriendFeed.com every single day… they can just treat it like a mailing list!,” added Taylor.

On Twitter, Taylor thinks that FriendFeed is a lot more richer as users can attach and share virtually anything like photos and videos, while not sacrificing the real-time aspect of the service.

Another thing that came out was the already international stature of FriendFeed:

  1. The site is already translated in 12 languages by professional translators;
  2. 64% of the users come from outside the U.S.;

Finally, FriendFeed’s vision is to use your friends to help you filter the ever growing growth of information you’re receiving from the Internet. “The product that really works well for people, isn’t there yet. We’re trying to develop it, I think we’ve done some interesting things but we have a lot to do,” explained Taylor.

As of revenue model, which is frankly less important now as the startup integrates inside Facebook, Taylor mentioned advertising of course but inside your friend’s feed.

Here’s a video excerpt of our conversation with FriendFeed co-founder Bret Taylor:


Kaspersky Lab Readies Anti-Malware Product For Macs; Sees Emerging Market

August 10, 2009
Kaspersky Lab confirms launch of anti-malware product for Mac will be shipping by year-end

Kaspersky Lab confirms launch of anti-malware product for Mac by year-end

As the urban legend goes, Macs are just less vulnerable to viruses, malware and other various cyber attacks that usually plague Windows users.

And in large part, the status quo is mostly respected with some notorious exceptions however; like Apple recommending to run an antivirus software (from Intego, McAfee or Symantec) last November (Apple erased the note from its site a few days later), the “exploit” against Safari last March or the latest Mac OS X release that patches several vulnerabilities found in the Apple operating system.

MacOS X has a lot of vulnerabilities: FUD or not?

Should that make me feel less secure while working on my MacBook? Not really; which made Kaspersky Lab marketing manager Peter Beardmore grin when we met last week while touring Silicon Valley.

“The Mac today is far more vulnerable than people think it is. Percentage-wise a lot of Macs are not protected at all, meaning there’s an inherent vulnerability associated with that… The vulnerabilities are there and we can cite chapter and verse if you’re interested but there’s a lot of vulnerabilities out there,” said Beardmore.

Beardmore confirmed that Kaspersky will release a Mac version of its security suite later this year. So his remarks have been taken with a grain of salt as it’s hard to know if this is to build up the scare prior to the product launch or an actually real concern.

Follows a video excerpt of our conversation with Beardmore on the future Mac product. More on Kaspersky plans in later posts.


DoubleTwist Promises Cloud Storage Within Months

August 10, 2009

DoubleTwist has been characterized as an iTunes for Android, Google’s phone software.

DoubleTwist also hints at Xbox support

DoubleTwist also hints at Xbox support

But it is more. That’s because the desktop software also works with the Palm Pre, the Blackberry, Nokia phones, the Kindle and the Sony PSP, acting as a management center for music and media the way iTunes does. Want to share with another device? Just drag and drop. DoubleTwist is multi-platform

Now founder Monique Farantzos says the service is coming to the cloud. Within “months” DoubleTwist will allow content to be uploaded and stored on DoubleTwist servers for portable access, Farantzos said late last week during a presentation at an SDForum event.

She also suggested DoubleTwist’s list of compatible devices would soon include Microsoft’s Xbox game console.

The 20-person company has been creating a storm of interest – in addtion to $7.5 million in venture capital from the likes of Index Ventures.

Its software has been downloaded hundreds of thousands of times since in launched in February, according to a post last month on TechCrunch.


Cisco To Expand 30 Market Adjacency Initiatives To 50

August 7, 2009

Cisco Systems has long sought to branch beyond its core networking business as the expansion of the router and switching markets slowed.

First it was into advanced technologies, such as home networking, unified communications and IP telephony.

The number of initiatives will expand, says Ciscos John Hailey

The number of initiatives will expand, says Cisco's John Hailey

Then it became “market adjacencies,” named as such because they were seen as adjacent to the company’s existing markets. Cisco is presently developing businesses in about 30 adjacencies, including the smart energy grid and what it calls smart connected communities, where cities use networks to drive economic development and deliver services.

That list will grow shortly to 50.

During a fourth-quarter conference call on Wednesday, CEO John Chambers said an expansion of the initiatives was likely. “Assuming we are successful, you will see us expand well beyond (the) 30 we have today,” he told analysts.

He pointed out that all adjacencies are designed to expand the role of the network and are opportunities that could grow into billion dollar businesses. They are in various stages of evolution, he added.

But he didn’t specify the extent of the expansion Cisco had in mind.

During a Thursday evening panel discussion, however, Cisco Senior Manager of Workplace Resources John Hailey let the number slip. There soon will be 50 initiatives, he said while discussing Cisco’s efforts to become a green company.

It will be interesting to discover what they are.


LED Lighting Will Be Big As Companies Go Green

August 7, 2009

Going green has many meanings at Cisco Systems.

Our customers and partners are demanding we be a green company, says Ciscos John Hailey

"Our customers and partners are demanding we be a green company," says Cisco's John Hailey

It means monitoring energy use at 600 buildings across the globe to reduce a $130 million electric bill. It means locating data centers where power is not just cheap and plentiful, but where it comes from less-polluting sources.

And it means looking ahead to new technologies, such as LED lighting, which is destine to be big and smart enough to adjust to daylight conditions and instruct nearby lights to follow suit.

“Our customers and partners are demanding we be a green company,” Cisco’s Senior Manager of Workplace Resources John Hailey said Thursday evening at an SDForum Green & Clean event in Menlo Park. That’s why “we are now re-evaluating how we locate data centers and labs (looking) as to whether it is clean or dirty energy.”

While many companies justify environmental projects based on their expected cost savings, others have begun to look at a broader calculation. Customers, partners and suppliers now expect carbon reduction to be part of a company’s DNA – as can be seen in Cisco’s effort to seek cleaner power sources.

While the growing desire to be a good corporate citizen is nothing new, what was interesting was its emphasis at last night’s forum. With the Bush Administration a thing of the part, companies appear to be genuinely taking green to heart.

In other word’s, Cisco isn’t alone. At Hewlett-Packard, the company installed SunPower solar panels on six San Diego buildings last year.  The benefits include an estimated $750,000 in savings over 15 years. But the company now realizes they go beyond that.

Customers want to see green data centers at their partners, notes Anne Marie Feldhusen, a marketing manager for the company’s green business initiative. The benefit is less tangible, but nonetheless important.

Large scale environmental improvements will reguire regulations, says IBMs Matthew Denesuk

Large scale environmental improvements will reguire regulations, says IBM's Matthew Denesuk

There will still need to be prodding, says Matthew Denesuk, a partner at IBM’s venture capital group, which is why large-scale environmental improvements will require government regulations.

But smart companies, it appears, are thinking a step ahead – to a time when green is not just good for business but necessary for business.

Because altruism will take a while to go mainstream, and because cost savings will motivate many projects even after, IBM’s venture capital group is seeking technologies that integrate with existing ERP systems and other widely used software, says Denesuk. A separate focus is on products tailored to an industry vertical, he says.

Products need to be flexible so they can respond to changing regulations and company initiatives, he says.


Mozilla Chief Innovation Officer: Being The Dominant Browser Is Not Sign Of Success

August 6, 2009

By crossing the billion downloads mark, Mozilla is well on its way to become the dominant Web browser on computer desktops.

But being the #1 Web browser does not appear to be the “be all, end all” goal for the Mountain View non-profit maker of Firefox.

“We don’t have an idea of what the end goal is but… we feel we are successful if the Internet feels vibrant, fun and exciting and still feel relevant to you as an individual.

An oddity at Mozilla: our mission is to bring choice and innovation so having dominant marketshare is not a success condition by definition… so being the monopoly browser is not in the cards for us… but being able to shape the future of the Internet is,” explains Mozilla’s Chief Innovation Officer Chris Beard during a panel discussion at the Lunch 2.0 event hosted today at Kosmix in Mountain View, Calif.

Spearheading Mozilla’s innovation programme, Beard’s mission is to bring more people/volunteers into Mozilla’s design and developing process to help the 200-people organisation build Internet technologies for desktops, mobile, etc.

“Our Mozilla Labs programme where we invite anybody who has an idea for how the Web or the Web experience could be better and to come and participate. From there, we then prototype, then incubate new ideas that potentially become product features or new capabilities for the Web.”

However, Beard was also quick to point out that despite everything that Mozilla does is open, “we do not do design by commitee, we do not vote on what the user interface should be, because that barely works. So we still need to exercise leadership and vision but also figure out how to engage our users.”

On the software patent issue, Beard had this to say: “there’s not a whole lot we can protect, or go after people for stealing. In fact, please come take our stuff, it’s all open source license!”

Here’s a video excerpt (more videos after the jump) where Chris Beard explains his role at Mozilla, as well the reasons behind developing Fennec, Mozilla’s future mobile browser expected to publicly launch in September.

Read the rest of this entry »


Intel Earnings Could Be Vaporware

August 6, 2009

Intel reported solid second-quarter sales last month and offered an upbeat outlook for the second half of the year. Wall Street rejoiced this unexpected good news.

Were Intels improving sales based on real PC demand or inventory restocking? The answer is unclear

Were Intel's improving sales based on real PC demand or inventory restocking? The answer is unclear

But the improving market for computer chips that Intel described could be more smoke than fire.

IDC reported Thursday that much of the improvement in PC chip sales during the period was due to refreshing inventory, not the result of improving demand for personal computers.

For instance, Intel’s shipments of its Atom processor for netbooks rose 34 percent from the first quarter, suggesting vendors had held off purchases and were now restocking their shelves.

“The significant sequential ‘snap-back’ rise in Intel’s overall processor shipments—particularly Atom shipments—while AMD’s overall shipments were about flat, indicate that the PC processor market didn’t recover in 2Q09,” says analyst Shane Rau. “Instead, the market balanced out due to Intel driving Atom processors into (vendors) who manufacture the systems, particularly in China and Taiwan.”

So what does that say about the rest of the year? Clearly with inventories now at more normal levels, the market can’t rely on further restocking. The fortunes of companies such as Intel will now rise and fall on the strength of PC demand itself – something that has been anything but certain this year.


Zoho Fires At Salesforce But Without Ammunition

August 6, 2009

I did a post yesterday characterizing Salesforce.com as the old guard of the software-as-a-service industry.

It highlighted arguments that Salesforce’s reliance on commercial products (EMC storage and Oracle’s database) create higher than necessary costs. In contrast, companies such as RightNow and Zoho rely on infrastructure built with open-source components.

Zoho claims a cost advantage over Salesforce, but offers no customer numbers to back up its argument

Zoho claims a cost advantage over Salesforce, but offers no customer numbers to back up its argument

In particular, I quoted from a strident diatribe Zoho CEO Sridhar Vembu posted on the company’s blog. Salesforce’s inefficiencies cause it to charge customers $65 a month instead of Zoho’s $15.

Vembu also pointed out how Salesforce had been running a 50 percent off promotion. “They must really believe this can keep customers from defecting,” he wrote. “I can tell them it is not working.”

Unfortunately, Vembu offers no proof backing up his claim – making his huffing and puffing appear quite pointless.

After reading his allegation, I shot off an e-mail asking him how many CRM customers he has and what percentage of them are paid. Vembu wouldn’t say. Here’s what Marisa Lam wrote on his behalf.

“Because we are a private company we don’t disclose specifics about number of customers (paid or free).”

Without figures to back up his allegations, they appear quite hollow. It is a little like George Bush claiming there are weapons of mass destruction in Iraq. I’m sure customers see through the smoke screen, too. So what’s the point in puffing out your chest if there is nothing to show?


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