Monday, December 25, 2006

Blank Slate

Sometime you just pause and laugh. I saw a gift today, a book called Unforgettable: Images That Have Changed Our Lives. Each page is blank w/ two lines of text. One describes a timeless images ("airplane approaches south tower"), the other tells the year the image occurred ("2001"). Apparently this is high concept meant to recall indelible mental images.

I will be publishing its sequel "Songs You Love," a blank CD w/ 18 classic tunes listed on the back of the jewel case.

Tuesday, December 19, 2006

"Jewish Cabal" is a term of affection

The Judith Regan firing grows ugly with some charges of anti-semitic remarks she spoke on her way out. Her lawyer Burt Fields, lets us know the following [from NYTimes]:

And, Mr. Fields said, even if she had said “Jewish cabal,” that would not have been anti-Semitic. “I want to make it clear that had she said it, even that is not an anti-Semitic remark,” he said. “Had she said it, I wouldn’t be offended, as a Jew.”

Whew, thanks Burt - she didn't say it, BUT if she did, it's a-okay with you. It would be a shame if you were actually offended by someone suggesting there was a secret group of Jewish schemers pulling the strings. Especially since it's likely the same Jewish cabal which was after Nixon!

Monday, December 18, 2006

Litigant Song

Led Zeppelin and the Doors have sued Wolfgang's Vault for streaming the live concerts I celebrated earlier. Boo!

Valhalla I am coming....

Saturday, December 16, 2006

Worthy of Debate

Amid the increasing chatter as to whether Second Life is hype or substance, the centrally satisfying aspect (at least to me) is that it's worthy of debate by smart folks. As the service signs up resident #2,000,000 (w/ likely 500,000 of those active users), here are a few thoughts on the press, SL's growth and its future.

1) Hype can either be the result of willful misleading disinformation or expectation outstripping current reality. If anything, Second Life is a case of the latter. A reporter listens to Philip's vision, sees examples of some really amazing stuff in world and gets excited about the possibility. People are hopeful, they love the idea of a user-created world filled with meaning. They imagine what they would do in such a space. They write a glowing article. But what they describe isn't always what SL is today, it's what they imagine it could be. No different from its residents, whom i'd suggest are 20% there for what SL is today, 80% for what it could become.

2) The press cycle is being driven by folks outside of SL. Bloggers, companies, media are the ones driving this story, not Second Life. Well, with the exception that Philip seems to really like speaking at conferences. That being said, I think SL hasn't managed their messaging optimally and have been too willing to sell into the froth. Philip needs to add this statement to every interview and speech he does:

"The growth is really exciting but Second Life is a hundred year project to build a virtual world."

This perspective and sense of timeline would give a needed credibility boost to the nature of this project. And it's not inconsistent with how other CEOs handle similar situations. Eric Schmidt at Google has said it will take 300 years for Google to accomplish its mission. It sounds noble and cognizant of the challenges which remain. A humble stroke that Linden's press sometimes leaves out. And one which is true to their mission.

Oh yeah, and stop the "walk your avatar to the virtual Amazon store" idea. It reminds me of the folks who suggest the avatar should walk to the mailbox to pick up email.

3) Fix the search and UI. Two of the most important aspects of the user experience - the UI and search - are just begging for revamping. You could probably double retention rates if these were improved. The UI was originally designed by James Cook, one of the smartest folks I know, but it's crying out for a wholesale rethink.

4) N+1. I used to tell Philip we needed to design for the N+1 user -- what could we do to the product which would continue expanding the reach. While the world has certainly grown, at times it would appear that the team is still developing for the same user type, believing more and more average consumers will evolve to demonstrate those characteristics.

Raph Koster had an interesting post on the SL cultural gap which reflects how SL doesn't listen so much to ideas from outside of its world. In some ways this is what has allowed SL to be successful - if Philip, Cory and others had listened to all the skeptics in 2000-2004 SL would have evolved into something like 3d parlor games accompanied by avatar chat. Instead they've done some great work to maintain the dream of a scalable open-ended world.

As a strong-willed founder who believes in his vision, Philip is going to follow the path he believes in right. And the degree to which it is correct will always be the greatest determining factor in SL's success.

Thursday, December 14, 2006

Boxers or (Legal) Briefs?

Google launched patent search - hooray.

Underpants
.

What are the consequences of better patent search? More infringement lawsuits? More innovation because people find inspiration, or less because people find their idea is already patented so they don't even try an avenue of exploration which would have otherwise been fruitful?

Sunday, December 10, 2006

Go Elf Yourself

Be afraid, be very afraid. I've started to receive holiday greeting from OfficeMax's "Elf Yourself" holiday promo. Including one from Marvel Comics' Editor in Chief which is going to haunt my dreams "can't sleep. clown will eat me" style.

How much is that K-Fed in the window?

Great post on Perez Hilton today about the appearance fees certain "celebs" are asking. $3,500 + expenses gets you Pedro as a guest DJ.

Saturday, December 09, 2006

Thursday, December 07, 2006

Bad Math!

So there are a bunch of Web 2.0 bloggers, err reporters, who love to make estimates about what a business is worth in M&A. My favorite is when they say, for example, "BigInternetCo paid $X for company Y so company Z (which is, for example, 1/10th the size of company Y) is clearly worth $X/10" (or similar).

The two biggest errors in this statement:

1) The internet is about scale. If company Y is growing faster or somehow easier to plug into the BigInternetCo platform it's worth a multiple of the competitor because when you buy a company you are calculating the present value of future cash flows. And if it's growing very quickly or has achieved a certain scale, it's going to get a valuation premium to lesser players. To extrapolate, the 100th largest dating site may not be worth 1/100th of the largest one -- it could be worth 1/10th or 1/10,000th based upon the dynamics of its growth and the industry.

2) If BigInternetCo can monetize a user session 5x > than anyone else then they can afford to pay a premium for a user over someone who cannot monetize in the same way. So again, when valuing a company don't compare it to what BigInternetCo bought because they might be able to pay more because they can make more.

okay, enough "blind item" venting for the night

Friday, December 01, 2006

Warner CEO: My kids have stolen music

Despite Nick Yee's study that people carry social norms over to virtual environments (such as standing their avatars far enough away from each other that you're not considered a 'close-talker') there's one difference i've started to observe - people let their guard down a bit.

Both former Senator Mark Warner's and Warner CEO Edgar Bronfman were interviewed in Second Life. Reading the transcripts you find an openness which is really refreshing. For example, here's a sample from the Bronfman interview conducted by the Reuters embedded reporter:

AP: So, you have seven children, have you ever caught any of them using Gnutella or Limewire or the P2P network?

EB: I have. I explained to them what I believe is right, that the principle involved is that stealing music is stealing music.

Does this question get asked and answered in a real world press conference? Is there something about being interviewed by an avatar that makes you more conversational and less filtered?