IDC Sees Perfect Storm in Portable Computing

December 8, 2010

Perfect Storm
On December 2, International Data Corporation (IDC), the giant IT research firm out of Framingham,  Massachusetts, released its annual predictions for IT in the coming year. The firm is forecasting a perfect storm for IT: a combination of cloud computing, mobile computing, and social networking that threatens to consign desktop PCs to the storage closet.

The author of the survey is IDC’s chief analyst, Frank Gens, who leads IDC’s 1,000 analysts in 110 countries in tracking IT trends. Summarizing this year’s report, Gens sees a nearly complete transformation in the dominant computing platform:

What really distinguishes the year ahead is that these disruptive technologies are finally being integrated with each other — cloud with mobile, mobile with social networking, social networking with ‘big data’ and real-time analytics. As a result, these once-emerging technologies can no longer be invested in, or managed, as sandbox efforts around the edges of the market. Instead, they are rapidly becoming the market itself and must be addressed accordingly.

As the IDC report ripples through the Internet, different players are examining what it means for the future of computing. At ComputerWorld, Sharon Gaudin comments on the surge in social networking, suggesting that business startups will stop building expensive and complicated websites and opt for free Facebook pages instead.

Anuradha Shukla at TechWorld is enthusiastic about IDC’s upbeat predictions for IT expenditures. The report forecasts a 5.7% increase in outlays over 2010, to $1.6 trillion worldwide. IDC sees half of that spending coming from emerging market countries shrugging off the recession.

At PC World, Patrick Thibodeau focuses on IDC’s prediction that shipments of apps-enabled mobile devices — smartphones and tablets — will surpass shipments of PCs in the next 18 months. Thibodeau points out, however, that shipments of PCs are not declining; rather, they are growing, but not nearly as quickly as mobile devices.

Another prediction that is sure to catch the eye of venture capital firms: Gens says that nearly a third of the major players in social networking will be bought up in the coming year by the likes of Oracle, Microsoft, HP, and IBM, who need to get in the game.

While many others futurists we have covered on the Minitrends blog have made similar predictions about the growth in cloud computing, mobile computing, and social networking, none of them have joined them together with such a powerful vision of a whole new way of working that Frank Gens brings to IDC’s report.

What do you think is coming in 2011? Do you think it will be just more of the same, or the beginning of a totally new platform, as the IDC report speculates? We welcome your comments.

STEVE O’KEEFE
News Editor, Minitrends Blog

Source: “IDC Predicts Cloud Services, Mobile Computing, and Social Networking to Mature and Coalesce in 2011, Creating a New Mainstream for the IT Industry,” IDC Press Release, 12/02/10
Source: “Business will get more social in 2011, IDC says,” ComputerWorld, 12/06/10
Source: “Cloud services, mobile computing and social networking to mature in IT industry,” TechWorld, 12/07/10
Source: “In historic shift, smartphones, tablets to overtake PCs,” PC World, 12/07/10
Photo by davedehetre (David DeHetre), used under its Creative Commons license.

Technology Trends for Entrepreneurs

December 6, 2010

Screen shot from Touch Revolution video

Android-operated microwave oven, from Touch Revolution video.

Entrepreneurs don’t only create new technology trends, they also use them to take care of businesses. One example is the trend away from using in-house journalists to using freelance journalists to using custom content farms.

An example of an entrepreneur who has successfully mined the Minitrend of content farming is Jonathan Blum. Blum has shifted from a career in broadcast journalism, where he worked for MTV and covered the O.J. Simpson trial for ABC News, among other accomplishments, to a career in custom journalism through his award-winning startup, Blumsday.

Blumsday provides custom content for high-end clients, including CNN and TheStreet. His articles are regularly featured in Entrepreneur magazine. His work earned a Best in Business Award from the Society of American Business Editors and Writers.

One of Blum’s recent creations for Business Insider is a list of the top tech trends for entrepreneurs or, as he puts it,

[...] the top 25 tech tips, trends and megatrends: what’s new now, what will be new tomorrow and what you can expect to grapple with even farther down the road.

I would argue that most of these are “minitrends” rather than “megatrends” — that is, trends that show the likelihood of widespread adoption in the next two to five years and are the byproduct of such megatrends as the spread of the Internet, the growth of mobile devices, or the need for alternative energy sources.

The first minitrend I notice is the increasing use of slideshows instead of text to render the forecasts of pundits. Last week, we reviewed the top 10 tech trends of veteran computer journalist Eric Lundquist, who also presented his picks in slideshow format. We also covered Verizon’s top tech trends, which were presented with video — another Minitrend we expect to see more of in the coming years.

Many of the trends on Blum’s list will already be familiar to readers of this blog. Some of the less typical ones include:

  • Touch Kiosks — Blum suggests that using inexpensive touchscreens from companies such as HP and Acer can save a bundle in self-serve customer service.
  • Server Simplicity — New products combine “phone servers, e-mail servers, routers, document servers and firewalls into a single low-cost device.”
  • Smart Boards for Smarter Presentations — BoxLight and Epson make portable smart boards that take presentations way past the PowerPoint.
  • Apps for Your Apps — New apps that run on your household appliances, such as washers and dryers, TVs and microwave ovens. No fooling. Check out the Engadget review.
  • Automatic Decision-Making — As computers get smarter, they can do more of our work for us. Entrepreneurs look forward to the day when they can ask the computer to find the 20 best venture capital prospects for a business, then return after a coffee break to find a quality list waiting. Blum points to Google’s Aardvark as an early example of an intelligent assistant.
  • Virtual Assistant — Using a bot to represent you at meetings, recording what happens and answering questions by accessing all your computer files, may be more than five years away, but it’s still fun to ponder.

Blum has lots of other tips in his presentation — especially for the eco-conscious entrepreneur interested in energy-saving technologies. I recommend you take his presentation for a ride. It’s a quick trip that really delivers do-it-now ideas for entrepreneurs on the go.

STEVE O’KEEFE
News Editor, Minitrends Blog

Source: “The Future-Proof Entrepreneur: 25 New Tech Trends You Need To Know About,” Business Insider, 11/14/10
Source: Blumsday, undated
Image: Screen capture from Touch Revolution video presentation, used under Fair Use: Reporting.

FTC Advocates Do-Not-Track; Advertisers Upset

December 3, 2010

Screen capture from the Interactive Advertising Bureau's "AboutAds.info" opt-out page. To install the IAB's opt-out software, users must expose their browser to significant privacy risks by enabling cookies.

On December 1, the U.S. Federal Trade Commission presented a preliminary report (PDF) outlining a “framework for privacy” that endorses a “Do-Not-Track” option for Web browsers similar to the agency’s popular “Do-Not-Call” service for telephones.

Unlike the Do-Not-Call program, which creates one central place where individuals can easily add their phone numbers to the list, with reprisals for companies that violate their preferences, the Do-Not-Track mechanism (“DNT”) will be built into the Web-browsing software and other applications used to access the Internet from computers, tablets, and smartphones. Each piece of software or app would have to include a DNT feature. Currently, there are no proposed guidelines for consistently implementing that feature, nor any real authority to enforce it.

Forbes‘ new privacy blogger, Kashmir Hill, says, “At the end of the day, this report isn’t going to change anything.” Kevin Fogarty, the highly opinionated blogger for ITworld‘s “CoreIT” blog, is blunt in his assessment, calling the FTC report:

[...] a set of recommendations with roughly the same clarity, credibility and impact of a strongly worded letter from the U.N. to this year’s evil dictator asking him to please not kill and eat so many villagers.

At The Huffington Post, consumer rights activist Jamie Court threatens a privacy initiative in California: “If Congress doesn’t act, we will go to the ballot.”

While Internet giants, including Google and Microsoft, have learned to tame their public pronouncements and pay lip service to the FTC’s recommendations, they let the trade groups they fund do the barking for them. Mike Zaneis, senior vice president and general counsel of the Interactive Advertising Bureau (IAB), is quoted by The New York Times media reporters Edward Wyatt and Tanzina Vega as saying that the DNT mechanism will cause “significant economic harm” if it has “a high participation rate similar to that of do not call.”

The IAB is recommending voluntary measures where sites place prominent “opt-out” buttons that disable tracking, rather than a central registry or browser build-ins. The organization touts its AboutAds.info site, where you can opt out of being tracked by a very small group of sites that participate.

John and Carrie Vanston devote a major section of their new book, MINITRENDS, to business opportunities arising from increasing interest in privacy. They predict that the U.S. will strengthen its privacy laws, opening up profitable new business lines for entrepreneurs:

The federal government of the United States has adopted only limited formal legislation to protect privacy compared to Canada and most European countries.

Among the businesses that will profit from strengthening privacy laws are software developers, training firms, and the new field of online reputation management companies.

Certainly, someone needs to come up with a solution better than the IAB’s “opt-out” site. When this reporter visited the site to test the opt-out features, I was advised I would have to enable cookies in order to install the software (see screen capture, above). While enabling cookies would protect me from being tracked by few dozen sites participating in the IAB’s program, it would open me to tracking by the millions of sites that not only don’t participate, but sometimes use methods that are much more intrusive than those of IAB’s supporters — methods which remain, unfortunately, virtually unregulated.

STEVE O’KEEFE
News Editor, Minitrends Blog

Source: “Protecting Consumer Privacy in an Era of Rapid Change” (PDF), Federal Trade Commission, 12/10
Source: “Brief Takeaways — and a Pretty Diagram — from the FTC’s Online Privacy Recommendations,” Forbes, 12/01/10
Source: “FTC becomes aware there is an Internet,” ITworld CoreIT Blog, 11/17/10
Source: “Will We Get a ‘Do Not Track Me’ List for Our Personal Information Online?” The Huffington Post, 12/01/10
Source: “F.T.C. Backs Plan to Honor Privacy of Online Users,” The New York Times, 12/01/10
Source: MINITRENDS How Innovators & Entrepreneurs Discover & Profit From Business & Technology Trends, p. 97.
Image from AboutAds.info, the Interactive Advertising Bureau’s “opt-out” site, screen capture recorded 12/02/10. Used under Fair Use: Commentary.

Lundquist: Service Is Top Tech Trend for 2011

December 1, 2010

AlphabetDecember marks the peak season for looking back on trends from the previous year and forward to trends in the coming year. We’d like to start the month at the Minitrends Blog by sharing the forecasts of famous prognosticators in technology trends to see where they are pointing.

First up is Eric Lundquist. Lundquist is a fixture at Ziff Davis Enterprise, where he has ridden the waves of publishing trends as he reports on technology trends. The Harvard-educated scientist began his career as a journalist (you remember what those are, don’t you?), honing his craft as a daily newspaperman. A newspaper is collection of alphabet in ink on paper that was written yesterday, about today, and is worthless tomorrow.

Lundquist joined Ziff Davis back when eWeek was named PC Week, and quickly rose to editor-in chief of that publication. Following his own advice that video is growing as a method of information delivery, Lundquist moved into video production as creator of CIO Insight, a program on The Pulse Network, which combines streaming video with social networking.

In 2009, Lundquist revealed a love-hate relationship in his technology forecast for 2010. Along with the usual suspects (cloud computing, the migration to mobile, etc.), Lundquist expected CIOs to suffer from whiplash as the economy cut their budgets at a time when IT should be growing its budget. He has similar mixed feelings over social networks, seeing them as a growing trend and a growing source of embarrassment for thoughtless executives.

In his new forecast for 2011, the operative word is “service.” Lundquist predicts that most CIOs will have to evaluate and purchase software as a service in 2011. He also sees the rise of “apps” allowing employees to test and choose services rather than the CIO. He sees social networking, tablets, and mobile platforms all working hard to service business and B2B users who need to communicate on closed networks. He concludes his forecast by lauding the Apple Store for its $99/year training service that has created real-world (not virtual) communities of users.

Mixed-in with Lundquist’s predictions for 2011 are some of the usual suspects: the continuing migration to mobile, cloud computing, virtualization, and tablets. Included is his steadfast belief that “video will take a front seat for businesses to provide new product details, showcase executives, and create how-to explanations for their products and services.” Could this be the last time we see Eric Lundquist’s predictions in print? Enjoy the alphabet while you can.

STEVE O’KEEFE
News Editor, Minitrends Blog

Source: “Lundquist’s Top Tech Trends for 2011,” CIO Insight, 11/19/10
Source: “Ten Top Tech Stories of 2009,” CIO Insight, 12/15/09
Source: “CIO Insight,” The Pulse Network
Photo courtesy of fdecomite, used under its Creative Commons license.

Nonprofits Take Social Networking to New Heights

November 12, 2010

TextSocial networking is a megatrend that has been gaining momentum since bulletin boards first made it possible for people to schmooze online in the 1980s. Out of this megatrend have come numerous Minitrends that investors have profitably mined over the past five years, including social bookmarking, tagging, and location-based networks such as Foursquare.

Steve Monfort, a writer for NASDAQ.com, recently reported on the growing trend of small businesses hiring more people to handle social media:

A recent American Express survey shows that 40 percent of small businesses are using social networking to promote their offerings, up from 10 percent a year ago.

While small businesses are just warming-up to social networking, nonprofit organizations were among the earliest to embrace the trend. By now, everyone has heard about “text-to-give,” which was used by the American Red Cross to collect $30 million from cellphone users for earthquake relief in Haiti last year. According to nonprofit tech guru Tonia Zampieri, sales and marketing manager for LoyaltyClicks, a division of Smart Online, text-to-give is so 2009.

Smart Online recently conducted a survey into technology trends for nonprofit organizations. The results were reported on NTEN, the Nonprofit Technology Network, just a few days ago. They indicate that over 90% of nonprofits actively use social networking (compared with only 40% of small businesses, according to American Express). The breakdown: 91% use Facebook, 63% use Twitter, 45% use YouTube, and 35% use LinkedIn.

You would think that level of penetration would be cheered by the nonprofit experts at LoyaltyClicks. But Zampieri has found a weakness in charity tech: mobile myopia. She writes:

[O]nly 16% of the surveyed nonprofits plan on having mobile websites in 2011, while 19% plan on having smartphone applications.

Zampieri cites a Nielson study that almost one-quarter of the time people are online is spent using social networks — and that half of that social networking is done with mobile devices. Then she provides “compelling reasons why a mobile website or a mobile application might work better for your organization” than, for example, old-fashioned text-to-give:

  • donations aren’t limited to $5 or $10
  • donations are received immediately
  • you capture and control crucial data about your donors
  • any size charity can use this technology, not just giants
  • it’s a permanent tool, not just a one-shot appeal

For inspiring examples about the way nonprofit organizations are innovating with social networking, we recommend a recent Mashable story on “5 Must-Follow Non-Profits Making a Difference With Social Media.” The article is a run-up to the annual Mashable Awards which will be held January 6, 2011, at the Consumer Electronics Show (CES) in Las Vegas.

I was particularly impressed by the way the Brooklyn Museum has made use of a wide variety of social networking Minitrends to engage visitors and benefactors both online and in person. The museum has a dedicated mobile site (LoyaltyClicks would approve) that allows browsers to tag the museum’s 94,000 piece collection, making it easier for visitors to locate must-see art based on other patrons’ comments. They also use Foursquare to provide restaurant suggestions and other ideas to fill out a trip to the museum.

If you have any other examples of nonprofits who are making innovative uses of social networking applications, we’d like to hear about them. And so would Mashable! The Mashable Awards are open for nomination until November 29.

STEVE O’KEEFE
News Editor, Minitrends Blog

Source: “Job growth anticipated in cloud computing, apps, social media,” NASDAQ.com News, 10/15/10
Source: “Technology Trends for Nonprofits in 2011,” NTEN, the Nonprofit Technology Network, 11/08/10
Source: “5 Must-Follow Non-Profits Making a Difference With Social Media,” Mashable, 11/06/10
Image courtesy of Lisa Brewster, used under its Creative Commons license.