Unleash Tow Trucks on the Cloud Computing Super Highway

Defining ownership

With the migration of content into the cloud, what defines ownership is different from what we have traditionally understood. Take the recent brouhaha around Amazon's "seemingly" unilateral decision to remove an improperly licensed e-book on its Kindle reader, this could not have happened had you bought a physical copy.

While some have argued that there is a distinction between enterprise usage which focuses on value-creation and consumer usage which focuses on consumption, it feels artificial to me. After all, without consumption, there is no value to be created.

Possession vs Processing

If we look at the decades long battle between music industry and music pirates around the world, a reasonable conclusion is to say the (physical) possession-oriented way of looking at the world is no longer a viable option. Instead, the key value-creation is based on processes.

If this observation feels familiar, it is because the real world for most of us in the developed and late-stage developing countries is already there where service is a much more important part of the economy. In other words, it is nice to own assets, but it is what you do with your assets, tangible or otherwise, that really counts.

Can you drive a tow truck?

The emergence of Cloud Computing is making it easier for services to be added to the assets owned by enterprises and individuals. So, instead of trying to reconcile between Amazon zapping an e-book vs. physical ownership of the same, a more apt parallel could be the interaction with a tow-truck when your car is inoperative on the road where both sides follow a specific set of rules to obtain the desired service.

Does this mean that we should all aspire to be tow-truck drivers as vital service providers on the Cloud Computing Super Highway? Lest we forget that the real money is made by the auto insurance company who brokers the interaction between you and the tow-truck driver.

* A Cloud over Ownership: http://www.technologyreview.com/web/38391/?nlid=nldly&nld=2011-08-24

Googorola and Smartphone Ecosystem 2.0

Google + Motorola Mobility

Okay. Unless you have been kipnaped and gone off the grid in the last week, you have heard about what likely will be considered the deal of the year, Google buying Motorola Mobility (MMI) for $12.5bn.

The most obvious reason is that Google is in serious need of strong patents and in great multitude in order to protect the Android ecosystem that it has built in the past few years after failing to secure the Nortel IP portfolio.

Fear, aspiration, and other reactions

Having the patents from the granddaddy of the mobile handset, Motorola, puts Google in a much better/equal footing with the likes of Apple and Microsoft/Nokia as far as the on-going proxy war in Smartphones are concerned. On one hand, this could potentially re-enforce the alligance of Android makers such as HTC and Samsung to the eco-ystem by minimizing uncertainties for the long term (the existing legal actions between Apple and these markers still need to be played out, but the outcome is likely to be more favorable to Android makers if Google gets involved in a multi-party licensing arrangement.)

On the other hand, by becoming the owner of a handset maker, Google has to maintain the tricky balancing act of ensuring that there is no hint of favorism with Motorola. For now, Android handset makers have expressed support for the acquisition, although, as the saying goes, the proof is in the pudding - we shall see what happens in the next 6-12 months. There has also been alternative scenario proposed suggesting that given the proliferation of Android handsets (300+ as of latest count), Google could be in a position to use Motorola to create reference designs for the whole eco-system so that the end user can get the maximum benefit of Android phone through streamlined design/production. Honestly though, it is hard to see how Google can do this with Motorola in its present form unless it plans to trim MMI down to an expensive hardware lab.

An area that is worth thinking about is how do the telco think about this. While iPhone has been a boom for the likes of AT&T, the consensus is that Apple is capturing most of the profit and accolade while the operators are stuck with footing the bills for massive capital expenditure and handling user complaints. So, what does the creation of another Apple-like 800 pound gorilla in GOOG/MMI mean? So far, the reaction has been very muted.

How about consumers? There was a fun naming competition at WSJ for the rest of us where the readers get to vote for a name for the transaction. The winner is Googorola - the people have spoken. Beyond the thrill of instant veiwer particilation, there was a suggestion that Google will offer free smartphone as an extension of its multi-side platform business model. Since, unlike software which is virtually free once written, hardware comes with a BOM (bill of materials) for each unit, not sure if that would ever happen with the current ecosystem. On the other hand, if you extend the scenario to the model of fab-less IC design houses, it may be a good time to think about who will be, or indeed think about starting, the next TSMC for handsets.

Did you know - a few loose ends

Finally, on the patent front, given Apple's aggressive legal actions, it is interesting to note that Palm (HP, for now) is the only company that Apple has not gone after. Both Apple and Microsoft are siting on a big pile of cash right now. (I am just saying.)

On the smartphone technology front, it is probably worth noting that Mozilla is starting a project to build a smartphone browser that aims to do to smartphone ecosystem what its FireFox (internet browser) has done to the PC ecosystem by rendering Microsoft's operating system playing second fiddle as users migrate to Cloud Computing. Given the success of Mozilla and Firefox, this is a highly credible project. However, with the on-going battle between iOS and Android instead of a dominant platform like Microsoft Windows, this vision may take a while.

* Google buying MMI: http://googleblog.blogspot.com/2011/08/supercharging-android-google-to-acquire.html
* Android Partner quotes: http://www.google.com/press/motorola/quotes/
* Google taking charge of Android Ecosystems: http://www.lightreading.com/blog.asp?blog_sectionid=217&doc_id=211132&f_src=lrdailynewsletter
* Telco and other poentail losers of the GOOG/MMI deal: http://www.fiercewireless.com/story/who-are-losers-googles-125b-acquisition-motorola/2011-08-16?utm_medium=nl&utm_source=internal
* France Telecom "Like" GOOG/MMI: http://allthingsd.com/20110815/u-s-carriers-silent-on-motoroogle-but-france-telecom-gives-it-a-thumbs-up/?mod=mailchimp
* Verizon hoping for peace on the patent war front: http://www.fiercewireless.com/story/verizon-hopes-google-motorola-deal-will-cool-patent-wars/2011-08-17?utm_medium=nl&utm_source=internal
* Does this mean I can get a smartphone for free from Google now? http://www.xconomy.com/san-francisco/2011/08/17/are-free-motorola-phones-in-our-future-a-vc%E2%80%99s-take-on-why-google-is-buying-motorola/
* Readers have spoken, Googorola it is: http://allthingsd.com/20110817/googorola-triumphs-in-snarky-nickname-poll-over-12-5b-bid/?mod=mailchimp
* Apple may fear Palm's (HP) patents the most: http://allthingsd.com/20110819/could-hp-turn-a-profit-on-palms-patents/?mod=mailchimp
* Mozilla/Firefox's Plan B: http://www.technologyreview.com/web/38308/?nlid=nldly&nld=2011-08-15

Check your Cloud Computing SLA

It happens

It is not fair to pick on Amazon who runs, by all account, a first rate operation for their cloud computing service. But, being the best also means any glitch is highly visible as was the case in Ireland and Virginia. I am reminded of the incident, about 10 years ago, where one of our site in the east coast was down because some gas work around the datacenter severed the connection physically. (And, what is it with East Coast locations that would go down?)

Thinking about SLA

In light the Cloud outage, it is worth reminding oneself the idea behind SLA, service level agreement. It is NOT mainly a technical document that specifies how the hardware are used. It is NOT mainly a legal document that aims to put fear of god into the operators. It is FIRST and Foremost, a document that articulates your business requirement and how this (cloud computing) service can support your objects. What this also means is that you have to articulate a plan B that would support the business goals.

Then, you are ready to talk SLA and make intelligent trade-off's.

* Lightning strike zaps EC2 Ireland: http://www.zdnet.com/blog/saas/lightning-strike-zaps-ec2-ireland/1382
* Short-Lived Amazon Cloud Outage Takes Down Several Sites: http://allthingsd.com/20110808/short-lived-amazon-cloud-outage-takes-down-several-sites/?mod=mailchimp
* Were Amazon's Outages Inevitable? http://www.technologyreview.com/blog/editors/27072/?nlid=nldly&nld=2011-08-11

Emerging Issues for Cloud Comnputing

Attacking Mobile Computing Platforms

One benefit of using the Cloud is that computing is no longer tied to a physical location and machine. In this untethered environment, if you have a sufficiently robust device, i.e. a smartphone, you can have an office wherever you are.

Of course, this also means that these smartphones are the new targets of virus and other malware. In a recent report, malware creators seem to favor Android. The assumption is that Android app is not a tightly curated platform whereas iPhone's is.

On the business front, what is interesting to ponder is what is the best curation strategy for a given stage of a platform's growth. On the technical front, does the combination of Cloud and Smart device allow a new way of protecting again and recovering from malware?

When Geography Defines the Boundary

Export control allows a government to restrict the export of items, information, and software it deems sensitive. In the old days of physical shipping, there is a form and approval process if an item is on the export control list.

Cloud computing, on the other hand, removes the geographic boundary that defines the where and how export control can be enforced. This is a brand new territory for both policy makers and technologists.

On the face of it, any particular use case may not be difficult to address. But, a robust universal framework that will encourage the innovative and commercial motivation on one hand and the imperatives of national security and foreign policy on the other will require an in-depth discussion.

Virus for smartphones: https://www.mylookout.com/mobile-threat-report
Export Control in the Age of Cloud Computing: http://www.brookings.edu/papers/2011/0725_cloud_computing_villasenor.aspx

Office Redefined in the Age of Cloud and Mobile Computing

Not your Daddy's WordStar

Office productivity tools have come a long way from the days of the Wang Labs (assuming you even know what that is in reference to.) MIT's Tech Review has a series of articles on what constitutes an office in today's mobile and cloud computing world. A global and flattening global nature of interaction, ubiquitous and instantanious accessibility, and how to better define and protect data are some of the oft-heard observations.

These observations also lead to some interesting questions.

Roll Up a Flattened World

In a flat and global world, while it is true that people from different corners of the world can be part of the same virtual team, it is also true that virtual team is difficult to manage. Although cloud and mobile computing have made life easier. From a business perspective, how to get a team to perform at a high productivity level remains an art.

In other words, now that people are collaborate across oceans, does mobile and cloud computing offer new opportunities to close the physical distance?

Going Off the Grid

The convergence of mobile and cloud is accidental. For the early cloud folks, the emergence of a touch based device was not expected. Similarly, mobile designers only considered tapping the vast processing and storage power of Cloud as an after-thought. As users become more comfortable using smart mobile devices as the primary "office computer", how to address the productivity needs while offline will become an issue.

Adding more processing and storage on the mobile device can only get you so far. What is not clear is what are the buseinss policy tools. For example, what data can you take offline to protect privacy and security. What if several people are working on the same document, can you take it offline and work on it?

The Rise of the Virtual Office: http://www.technologyreview.com/business/38169/page1/
Tiny, Cloud-Powered Desktops: http://www.technologyreview.com/business/38171/?nlid=nldly&nld=2011-08-04
How to Secure the Virtual Office: http://www.technologyreview.com/business/38170/page1/

A Familiar Path for Mobile OS?

What used to be the Boring End of Software

Who knew?! Operating Systems (OS) used to be the most boring part of the software world that mainly divided into the PC/Wintel camp and the Unix derivatives (server, Mac) camps.

Vital, yes. Sexy, no.

Alibaba's Aliyun

While Apple's iOS and Google's Android are duking it out on both install base growth and patent infringement skirmishes around the world in a "proxy war", Alibaba's Aliyun mobile OS is almost a breath of fresh air. Not to suggest that Alibaba of China is not an 800 pound gorilla in its own right, but I, for one, am thankful for a new twist in the development.

It is still too early to know what impact Aliyun would have on the global stage. But, one can be fairly certain that China market alone will make it a player to contend with.

Mobile Computing Ecosystem

It is also interesting to see the recent media blitz on mobile computing in Asia by Eric Schmidt of Google which he dubbed the "Mobile Revolution." Given the pressure that HTC and Samsung are getting from Apple for their Android phone, it sure is good to have a very high level and publicly visible support from Google.

What I find interesting in the Schmidt piece, however, is his suggestion that Android, as an open platform, should be the preferred choice for the rest of world because of its low cost and inter-operability. I cannot help but wonder if this is implicitly suggesting that, like the PC world, the future will consists of the cool people on iPhone (like designers wearing only black and using Mac) and a much larger user base on Android Phones (i.e. the rest of us folks on PC).

I suspect, a good deal of this potential outcome depends on what the local telco around the world have to say about it.

* Alibaba's Aliyun: http://allthingsd.com/20110728/look-out-android-and-ios-here-comes-alibabas-aliyun/?mod=mailchimp
* Schmidt's Mobile Revolution (in Chinese): http://www.businesstoday.com.tw/v1/content.aspx?a=W20110701225&p=1
* Schmidt's Mobile Revolution (in English): http://asiancorrespondent.com/60334/googles-schmidt-hails-the-real-mobile-revolution-in-asia/