The iPhone still is not a Business Phone

Since the launch of the original iPhone almost two years ago, it has been the position of this journalist, that the iPhone is not equipped, nor designed to be a business class phone. Although Apple has done a lot to address the concerns raised by many around the time of the original launch, such as third party apps and 3G speed, there are still inherent (and potentially unsolvable) problems with the phone.

Without a doubt, the iPhone is the sexiest phone on the market. Even with Research in Motion’s Blackberry Storm launch and a variety of other touch screen devices from other manufacturers, nothing meets, much less exceeds, the beauty and elegance of an iPhone. With it’s intuitive scrolling interface, the presence of a real web browser and hours of entertainment value via games from the app store, iPod capability and social networking capability, a la Livingston Communication’s Mobile Manifesto, there is no doubt that the iPhone is the device of choice for the long tail of consumers.

However, the finger typing (as opposed to tactile QWERTY keyboard of other devices, such as Blackberrys) poses a significant architectural barrier to business adoption. From a business standpoint, a mobile device is meant for utility. Email, productivity, and collaboration. That’s what we in business need from our phones, no? We need to be able to ensure connectivity to mission critical offices, and projects.

In Washington, we are a working class. We may not be the working class, as bandied around in political campaigns, but we are a town driven by long hours, massive public-interest footprints and a very east-coast “on the go” mentality. In Washington, Verizon Wireless rules the roost because of solid coverage and underground Metro coverage (granted, other carriers will have expanded coverage by the end of the year and full access by 2012).

During the Inauguration, while those in proximity to me (on the National Mall) lost coverage for all or a portion of the ceremony while using the Sprint, AT&T and T-Mobile networks, Verizon Wireless troopered on without so much as a hiccup.

So, let’s review the iPhone. The iPhone is locked into the AT&T network (for now). Therefore, large collections of iPhones all throttle the same towers as opposed to dispersion of traffic across a multitude of networks. FAIL.

The iPhone presents significant usability and utility challenges to the “working” American due to the finger touch system. Additionally, the lack of viable Exchange integration (sorry, the iPhone OS 2.0 upgrade providing ActiveSync is junk), and lack of Group Policy mechanisms that prevent IT Administrators from effectively tying into a Enterprise Active Directory structure and enforcing group policy and security across an infrastructure in the same way they can for Windows Mobile or Blackberry devices, will continue to prevent the iPhone from seeing widespread adoption in enterprise environments.

The Dickensian 2008: A Look Back

This year might be the strangest year ever. It roared in with news of Robert Scoble having his Facebook account suspended for utilizing scripts to sync data between Plaxo and Facebook in violation of Facebook’s Terms of Service. Of course, the year ends with Facebook opening up fbConnect in a way to share that same data with anyone who so chose.

We started 2008 with CNETs Caroline McCarthy reporting that MySpace voters preferred Barack Obama on the left and Ron Paul on the right. As we know now at the end of 2008, there was one group of netroots voters that managed to be successfully heard and we now have a new President-elect. On the other side, the GOP demonstrated their complete ineptitude tapping into the grassroots by marginalizing the candidate that would have fired up their internet base. At least at the end of 2008, there are some pockets of common sense on the right, but those pockets will likely not be heard or heeded.

In the first half of 2008, ridiculous acquisitions, funding rounds and business plays flourished. An example was when job search site, Monster.com acquired San Francisco-based Affinity Labs for $61M. On contrast, companies receiving funding or valuations at the end of 2008, are doing so on devalued terms while other companies are laying off workers and cutting back contract costs in an effort to extend their runways as far as they can into the second half of 2009 or beyond.

In every way, 2008 ends in a Dickensian way, highlighting two sides of a very different coin and leaving investors and entrepreneurs with a scared and tentative look in their eyes.

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We made our annual predictions early in the year, and wanted to review those predictions for those keeping track at home.

Macworld/Apple

We said: Since Macworld is right around the corner I don’t think we will see any real new products but rather a grow what they have to meet their projections. This means upgraded iPod Touches, iPhone 2.0, iPhone SDK, upgraded Apple TV, patches to Leopard, improved Cinema Displays and upgraded Macs/Macbooks. The only thing I could see would be integration of their multi-touch technology on laptops (like the rumored sub-notebook).

What actually happened: Apple announced Time Capsule, an iPhone SDK for developing Apps for the iPhone (now available through the iTunes App Store for the iPod Touch and the iPhone 3G), iTunes movie rentals, Apple TV 2, and the now famous Macbook Air.

Accuracy: We accurately projected the iPhone SDK, Upgraded Apple TV, and the Macbook Air with multi-touch. Later in the year, we would see the iPhone 3G, improved cinema displays and the release of the new Macbook/Macbook Pro lines. We consider 100% accuracy here in 2008 with a 50% accuracy for Macworld 2008.

Microsoft

We Said: Let’s face it, Vista blows. It’s slow, doesn’t have any real innovation under the hood and takes more horsepower to run. I predict they will continue forcing it down people’s throats and in revolt people will continue to order machines with XP. On the other side of the coin, the Xbox is rocking and I predict they will announce an integrated Windows Media Center/IPTV version with HD-DVD to compete with the Playstation 3. They have a real opportunity to own the living room since Apple TV has flopped.

What actually happened: Some manufacturers, including Dell, decided that based on actual customer demand and trends (wiping pre-loaded Vista systems and installing Windows XP), computers could be shipped with XP instead. In addition, the Xbox did receive a much-needed face lift (called Xbox Experience) that we talked about here, though it did not go as far as we expected. We did not predict the emergence of Apple TV/Xbox Experience/TiVo challenger Vudu at the beginning of the year.

Accuracy: We consider our predictions to be mostly inline with actual results, but we missed or misjudged several things along the way. We claim a 60% accuracy rating here.

Web 2.0

We Said: Ok, hype over. Game over. Most “Web 2.0″ companies will go into the dust bin of history because their marketing strategy or ideas just didn’t pan out. Also, as more companies adopt these technologies into their “œEnterprise 2.0″³ strategy there will be less of a rush to create another social network or AJAX-ified web site unless it has real value. Side note – kill the term Enterprise 2.0. The enterprise hasn’t changed, the apps have just gotten easier to develop.

What actually happened: We feel that this was an overly-generalized prediction. It could have been more specifically Enterprise 2.0, as opposed to Web 2.0. That said, there was an actual push and adoption into the Enterprise space. Most notable of all Enterprise 2.0 companies was Yammer which is build as a standalone Twitter for Enterprise. Yammer won the top award at Techcrunch50.

Accuracy: Though there certainly has been more focus in recent months on utility over “bling” (Ajaxified sites, as we put it), we don’t necessarily believe that corporate Web 2.0 has advanced far beyond “Corporate blogging”, but with Yammer like companies popping up, we’ll claim a 40% accuracy rating.

Twitter

We Said: Twitter will get bought – it is a cool tool but not a lot money to made behind it. It needs to be part of a bigger whole. They also need better infrastructure because they crash whenever there is a big tech conference. CES will be a big test for them.

What actually happened: Twitter did not get bought, and in fact, took a third round of funding. It may have been their failures of June/July that prevented an acquisition, and there certainly were rumors of a Facebook acquisition of Twitter recently. The company seems to have turned a corner on reliability, and have a business model in mind, even if it hasn’t been outlined. In addition, Twitter development continues to proceed with a release of an all new Twitter API in 2009.

Accuracy: 0% – hands down, we were wrong. The company continues to confound even the experts.

Pownce

We said: Pownce will die – Twitter won this battle. Game over.

What actually happened: Pownce died.

Accuracy: 100%. ‘Nuff said.

Digg

We said: Digg will get bought – After rumors of a sale for the last 18 months, they finally get bought by a media behemoth. Sale price? $300 million.

What actually happened: While Digg did not actually get bought, they are bleeding money as reported by TechCrunch this weekend. According to the TechCrunch, the Microsoft search deal which was supposed to bring in over $100M over three years is clearly not doing that at all.

Accuracy: We want to take some credit for seeing the dark side of Digg, but clearly cannot based on our actual predictions. 0%.

Yahoo

We Said: Yahoo will continue to struggle and have massive layoffs – Yahoo didn’t change much with their executive restructuring and they have really sucked at integrating their products. They are going to get hit with lower stock prices and will have to cut the fat out.

What actually happened: What didn’t happen, might be the more accurate question. We had the Microsoft-Yahoo deal that was on, then off, then on, then off. The forced resignation, by all accounts, of CEO Jerry Yang, the hostile board takeover (“hostile” in the loose sense, not the SEC sense) by Carl Icahn, and the devaluation of Yahoo stock to approximately half of what it opened the year.

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As for the predicted Yahoo layoffs… Well, it’s such a bloodbath that sites like this exist to track the chaos.

Accuracy: Can we score a 110%?

HD-DVD vs Bluray

We said: HD-DVD and BluRay will not have a winner, still – This year is just going to continue the fight with hybrid drives getting cheaper so by 2009 the choice will be irrelevant.

What actually happened: Bluray won.

Accuracy: 0%

Google and Wall Street

We Said: Google’s honeymoon with Wall Street will end – With the acquisition of DoubleClick there is more of a chance for Google to fail. Along with it trying to change to many sectors, Healthcare and Energy to name a few, it will need to shore up its core competencies before people start to trash it and the stock will be worth half what it is today.

What actually happened: Everyones honeymoon with Wall Street ended with the collapse of the economy. Google has lost over 60% of it’s value, falling from a Jan 2 open of $685/share to the current trading number of $298/share.

Accuracy: We will claim 75% accuracy on this. We can’t claim 100% because the reason for the value loss is not similar. It’s just the nature of the market at this time.

Facebook

We Said: They are a necessary evil right now and their beacon debacle will need to be fixed in order for them to go IPO. They will be the new IPO darling as analysts are ready to trash Google.

What actually happened: Facebook did not IPO in 2008, though they had a significant investment from Microsoft at a highly questionable valuation of $15B. Experts like Kara Swisher don’t expect an IPO until 2010. I might add that with the economy the way it is, pre-collapse predictions of 2010 might still be ambitious. I personally doubt Facebook will ever IPO.

Accuracy: 0%

Bringing 2008 In for a Landing

It’s always tricky to really predict a year in advance. With the economy and turbulence in the various sectors and markets, 2009 will be highly tricky to predict. Predict we will do, early in the new year, though so stick around.

Are You Captain of Your Destiny?

Returning to quickly skim my blog reader 1,000+ after two weeks’head-in-the-sand, I see ‘Pownce acquired,’ and ‘Yahoo’s Chief of Insights Joins Bunchball.’ My spin radar immediately starts blipping, because I know that behind the ‘good news,’guts are wrenching. Decisions are being made for people, and that never feels good. Yet another reminder that all the sacrifices may well be worth captaining your own destiny.

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Sustaining yourself with a small business doesn’t make headlines. Money-raising has been the mainstay of startup news since venture capital exploded on the scene in the ’80s. ‘Huffington Post Nabs $25M.’ And why not? It was validation that the company ‘has arrived.’ It was the Big Show. But ask any CEO what changes when investors step in. Everything.

No, they’re not (necessarily) evil. They’re just bound and determined to turn your company into a successful exit. It’s their job, in fact. It’s not about you, or even your technology.

Chances are, your primary mission is not to achieve successful exit. (If it is, you’re probably going to fail.) For most of you, it is about you — your passion for your technology, or your customers, or what you do.

If it sounds like that’s at odds with investors, well it often is.

So when Bunchball (the Silicon Valley company that applies gaming mechanics to making sites stickier) announces its new ex-Yahoo CEO, I hear a founder’s gut wrenching. When crafts-aggregator Etsy announces former NPR Digital head Maria Thomas taking the helm, I hear a gut wrenching.

Often from the outside, the decisions seem right. Geeky founders often don’t make the transition to leadership — ubergeek Bill Gates is an exception — and Heidrick & Struggles and CTPartners (formerly Christian & Timbers) and the like make a lot of money plucking SVPs out of big companies and placing them in VC-funded startups. (The genealogy of silly titles can actually be traced back to CEOs being made to step down — where do you think Chief Product Officer, Chief Strategy Officer, Chief of Insights, and other staff titles came from?) But then, investors aren’t all-wise. Gross blunders are made at the highest levels. (Remember when Pepsi head Sculley was brought in to run Apple? Not to mention Gil Amelio . . .)

There’s really only one way to avoid decisions in your company being made for you: captain your own destiny.

That usually means going slow, growing customer by customer, often staying small. If you want to go ‘big’— and not everyone does — you’re most likely to find yourself at the investment/management crossroads. As an ambitious technologist/hard-core developer, you might decide to bring in someone to run the business. (Hey, it happens — sometimes founders themselves honestly recognize the need for new leadership.) That bespeaks true wisdom on the part of tech founders. Eric Schmidt’s install at Google was a coup — not a coup d’etat.

In his blog post, ‘10 Tips for Building a Profitable Business,’ Dogster CEO Ted Rheingold’s entreated:

So constantly ask yourself, are we spending 50% of our time selling? I bet you’ll always realize you’re focusing too much on the product and not enough on finding customers that want it.

Any of us who’ve consulted know that hard truth: love doing the work, hate hustling to get it. If that’s you, and you find yourself running a company, you either need to embrace being the CEO (read: chief salesman) and quit coding, or find someone who’s a good complement to you to do that job and leave you to program (or design, or write, or do whatever it is that you really do best.)

Once you’ve piloted your ship (to belabor the metaphor) past the shoals into the smooth waters of profitability and solvency, and feel the need to raise cash, get big, and pull away from your competition, the dynamics of a deal with a VC changes radically — you get the money on your terms. Still el capitan!

I’ve observed a lot of folks in charge of their destiny lately. (In the month of November, 533,000 who were not, had their ships sunk for them — so much for job security.) Software, the Interwebs, automatic ads, SEO, and (yes) social networking have made it a greater possibility than ever — unlike the previous waves of semiconductors, PCs, and computer networking. It’s akin to the artisans of the Renaissance — with skills, there’s always work. Entrepreneurs today can be captains of their destiny.

And I truly admire you folks. The ones scrapping it out, making a living, while they build their business, serve their customers, and develop a following. Those of you who eat, drink, and sleep (not much) your startups.

Remind yourself this at the end of your crappiest days: You’re the one making the decisions. Go make some really tough ones.

The Apple Store isn't the Only Place Intelligent People Go to Die

Apple announces an iPhone and people stand in line for it, despite the manufacturer never having entered the phone market before.

A new line of computers is announced with some new feature never seen before in the platform, and people make a rush on the store to get their hands on the new sexiness.

Apple announces a new line of iPods and the rush to get one takes over the market with a hysteria only eclipsed by the rush to buy other Apple products.

I wrote the post, The Apple Store: Where Intelligent People Go to Die last year but since then I’ve noticed that Apple really isn’t the only company that has this effect on its customers. Google does as well, in a slightly different way.

The obsession with Google is less about consumer usage and more about press and media obsession. Whenever Google does something, it is covered ad nauseum.

Google has now released their G1 Android phone, a first for a company who, like Apple, has never been in the phone business. The G1 phone was announced earlier in the year and is built on the Android platform, an open source code base that seeks to challenge the way phones are done in the age of the iPhone.

T-Mobile is the carrier of choice for G1 users. It is available in the United States and will be available on October 30 in the UK with the same carrier.

Fortunately there hasn’t been a consumer obsession with the first generation Google product yet, as there is already a security flaw that could allow malicious keystroke logging software to be installed on the device. What do you expect from a company who is perpetually in beta?

My point is this: Google is a great company that produces highly innovative products that always run a chance of revolutionizing the landscape. But, they are subject to the “Don’t buy Generation 1″ rule. Consumers and media need to be careful not to simply give the Big G a pass because they are the Big G. Approach every product with skepticism looking to falsify their claims. If they pass the test, then use the product. Google, Apple, Microsoft, or any other company with any other product out there. It takes time for a product to fully gain trust, and in the meantime, you don’t really want to have security or stability problems.

10 Power Tips to Help PC Users Switch to Mac

Seems like more and more people I know are making the switch from Windows to Mac. Apparently, no one cares that the economy sucks and pundits are telling them that people just like them, Joe the Plumber as it were, are saving their money and not buying bling products like Apple. Perhaps people are realizing that the total cost of ownership for a Mac is generally cheaper than a Windows computer, and that, for the headache that Windows often is, Macs are generally just simpler.

Now I’m not going to be a fanboi. I made the switch two years ago and I remember the awkward, out of body experience that happened for a few days (and it usually takes a few weeks for most people) afterwards. I do want to recommend powertips for Windows switchers who are just uncomfortable with their new Macs still. Learning the power efficiency tools will make your experience that much smoother and once you learn them, you’ll wonder how you ever did without them. Many of these tips are old hat to longtime Mac users, but if you’re an old time Mac user you should add your own tips in comments.

Spotlight

Spotlight indexes your hard drive looking for mail, applications, documents, dictionary definitions, etc. Anything that is on your Mac gets indexed by Spotlight. You can click on the magnifying glass in the upper right corner of your screen, or simply Tap Command (⌘) + Space. Start typing “Firefox” and it will find the browser for you. Start typing “Projected” and it will find that email that was titled “Projected forecast FY2009″ in your Apple Mail. And so on.
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Dock Management

I’m of the mindset that, because of Spotlight above, I don’t need the Dock infringing on my workspace. So I keep the Dock tiny (as small as you can make it in System Preferences > Dock) and keep only the quick-find apps I absolutely need in there. Anything else I can access via Spotlight.

Right Context Click

In Windows, power users rely on the right-click. You can still use a Two or three button mouse (as long as it is of the USB variety) on a Mac and keep that familiarity. In fact, it may be a good idea to start off that way before switching to the one button (or the new buttonless) mice or trackpad.

Context click can be accessed two (or maybe three) different ways, depending on your setup. The ubiquitous solution is to Ctrl-click. The legacy configuration method is to access System Preferences > Trackpad and configure the Two finger + Click method. This allows you to place two fingers on the trackpad and click the button.

The third, new method that is only usable with the brand new aluminum Macbooks and Macbook Pros is to configure the trackpad to accept a click in one of the bottom corners. Note that the new Macbooks don’t have a traditional button anymore. The trackpad is the button.

Personally, I use the lower right corner of the trackpad to activate the context click but I’m on a new Macbook.

Exposé

Exposé is the tool that will artfully show you either all open windows from a single application or all open windows. Fantastic for quick switching or to find one of many many many open windows quickly.

Hand Gestures!

As a new Mac user, you really have to understand a few hand gestures on your trackpad. They will make your life super-easy if you get them.

  1. Two finger scroll – In a browser or any other window with scrolling, placing two fingers on the trackpad and moving them up or down will scroll the window.
  2. Four Finger Exposé – With the new laptops, you can now use the four finger trackpad gesture. Four fingers down moving up activates Exposé. Four fingers down returns things to normal
  3. Four Finger Application switcher – Four finger sweep to the left or right exposes all the applications open. This is in the form of Alt+Tab which is accessible still in OS X and also on Windows.

Spaces

Spaces is my bugaboo. It’s so powerful and allows me to spread out my many, many, many windows across different desktop setups but it comes with the awkwardness of certain applications never wanting to stick on the proper space or having the application menu in one space and an application window in another one. Apple is doing a lot with Spaces to fix bugginess. Regarldess, if you have a lot of windows and apps, I suggest using Spaces.

Optimal layout is:

  1. Browser, Email and Calendar on Space 1
  2. Development and other productivity apps in Space 2
  3. 2 Spaces for porn (kidding!)

Use Apple productivity apps

Unless there is something specific about Microsoft Office that keeps you there (everyone else in the office uses it is generally not acceptable enough, in my opinion, but Jason Thomas does make good points about collaboration) then you have everything you need in iWork ’08, Mail.app, iCal and Address Book.

The mental roadblock for many Windows users is that Outlook provides access to everything in one place but, while that is true, Apple makes a pretty significant transparent effort at app integration. If you get an email in Mail.app that suggests a conference call on Friday at 3pm, you can click on the date and create an iCal meeting appointment. You Can right click on an email address and add it to Address Book. Pages opens and saves to Word. Numbers opens and saves to Excel. Keynote opens and saves to Powerpoint.

You lose superb Exchange collaboration (right now) functionality, but for most people, the drop-off is not too bad and the stability and integration between apps is exceptional.

Installing Applications

This is dirt easy. Literally. If you’re coming from the Windows world, you are used to “installing” applications. You have to go through a wizard that installs all kind of cruft throughout the Windows registry. With Macs, every application is self-contained. Literally, that means that in almost every case, installing an app means drag the app from a ZIP file into the Applications folder in your Finder (Windows Explorer in the Windows world).

Likewise, uninstalling an app is as simple as dragging it into the trash can. There is nothing else. No uninstaller. No half-done uninstalls because the process crashed halfway through. Simple drag and drop.

Shortcut Keys

Shortcut keys can be a bugaboo for most switchers, and they will continue to be after you make the adjustment if you have to go back to Windows ever. All your main shortcut keys in Windows are Ctrl something. Ctrl+C is Copy, Control+A is Select All, Control+V is Paste.

Most of these are identical on a Mac, with an exception. You use the Command (⌘) key instead of Control on OS X. Power users will tell you that it’s actually a more natural keystroke because of the proximity of Command to most of your other keys. Control is farther away and makes your fingers stretch more. Learn to use that thumb for easy access!

Quick Look

My final tip for the day is Quick Look. With most common file types including images, PDFs and documents, you can actually highlight a file in the Finder and hit the Quick Look button (The eye icon on the top of the Finder window) to get a quick preview of what the document is before opening. This has proven to be a huge boon when looking through large numbers of documents for one item specifically.

I know I’m not mentioning everything and there are certainly more advanced tips (like getting to know Automator, calibrating your battery, screenshots, Applescripting and anything Unixy), so feel free to add your own “Switcher” tips in comments. Would love to hear more from you.

Even During a Recession, Small Businesses Still Should Consider Macbooks

I was talking to someone recently who just took a new job at a small web-company. She has been a Windows user all her life but she asked me what she should get in her new job. They were buying her a new computer.

Naturally, I suggested the new Macbook that Apple announced yesterday. The same thing occurred when my dad took a new job with a non-profit and considered getting a Mac, but it was nixed due to concerns over business application and utility.

To be clear, there is no better time to look at Apple laptops than now because the total cost of ownership is usually lower given that in most business environments, the selling point is Microsoft Office and Exchange/Active Directory integration.

Most purchasing managers will get caught in the trap of looking at the higher price tag for the hardware and assume that means that the TCO is higher as well. Let’s break it down though:

Dell Vostro 2510 Apple Macbook 2.0Ghz
Initial Pricepoint $899 $1299
CPU Equivalency Upgrade (2.0 Ghz) $75 $0
Office Software MS Office Pro 2007 – $320 iWork ’08 -$79
Extended Warranty ProSupport (3y) – $268 AppleCare (3y) – $249
PDF Creation Adobe Acrobat – $449 Built in Support – $0
Total Cost of Ownership $2011 $1627

Five Hundred Dollars in difference for the average small business. Not everyone needs Adobe Acrobat, but a lot do! Some companies are inclined to buy MS Office for Mac, but it sucks and iWork has almost universal compatibility. Mail.app has Exchange capability, or the Exchange server can turn on IMAP functionality to make mail clients other than Outlook work better across the board.

If IT purchasing managers take a step back and look at the reality of the purchasing, a hard look at Apple products is a strong move to tighten those belts.