Archive for the ‘Web 2.0’ category

The Future Of Video is Interaction

December 20th, 2010

When I was a kid we used to have these interactive adventure books. Each short section of the book ended with a choice for what the hero should do next. Based on your choice, the book took you to a different section, basically building a different story for you.

A really great startup by name of Interlude is bringing the same concept into video. Created by the musician Yoni Bloch, until now the company show cased its product mainly on music videos. Playing with some of them the first thing you immediately notice is how much more engaging experience these videos gives you. I found myself going back again and again, trying different selections and at the same time listening to the song again and again. This is the dream of every marketer who want to get customers more engaged with his brand.

But the future of this product should not be just with music videos. Think for example on interactive ads on the web and on TV. Now when finally more and more TVs are sold with built in Internet capabilities, it should be easy to add this functionality to ads on the big screen.

And what about movies? Instead of having just the director cut version on DVD, why can’t we have a fully interactive version? Maybe in the future we will even have the opportunity for a few people to watch the same movie at the same time, but each one can choose different path and see different ending for the movie.

Products like the one Interlude offers are just starting to scrape the surface of what we will be able to do with interactive video. No matter where they will take us, I’m sure it’s going to be a lot of fun.

It's Not About Seed Money – It's About Smart Seed Money

July 14th, 2010

The last few weeks saw a surge in posts about the phenomena of seed funds. I especially liked Fred Wilson post on the topic. In it Fred is talking about the fact that although startups today need less capital to start and get traction, they still need bigger amount of money in order to grow into profitable and large businesses.

I totally agree with this notion. In the last month or so since I left Live Person (the company that acquired my startup) I experimented in rapid development, curios to see what I can come up with. The results were amazing. It’s simply stunning to see what can be done in less than 24 hours.
I truly believe that a group of two or three developers plus a great graphic designer can build amazing products in less than a week. Will these products be the most stable and scalable products ever created? Of course not. But that’s not what’s important at this stage. What’s important is to have something out there that you can start and get feedback upon and actually see if you are up to something big.

So if this is the new reality why anyone ever need traditional VCs? Why do you ever need to raise more than a couple of hundred thousands? Why can’t everyone become the new angel/seed investors?

The answer is simple: It’s all about time and experience.

Building a prototype of your idea is cheap and fast. But getting enough traction in order to now raise your next round (in a higher valuation) takes time. For most startups it will take at least a year if not more. It means that you need to know how to grow your business, get real traction, build a brand and do it all in a very lean way. This is art. This require a lot of experience. Thinking back on myself when we just started NuConomy, there is no way I would have known how to do that. I simply lacked the needed experience.

This is why, especially for new entrepreneurs, it’s not just about the money. It’s about getting smart money. When you take seed investment from First Round Capital or Union Square Ventures you don’t just get money. You get access to very smart people who can help you control your budget and understand your next steps. Taking the same money from your rich uncle will simply won’t be enough.

This is an extremely important point to think about as when raising seed money, you don’t have much room for mistakes. If you raised 5 million dollars and after six months found out you are in the wrong direction, you still have enough runway to make a u-turn. But if you raised just two hundred thousands such a mistake means the end of your startup.

From that same reason, when talking with new entrepreneurs I recommend other them to put some work on building the right advisory board from day one. Surround yourself with smart and experienced people who are willing to give you more than a name, but also time. Ask them a lot of questions and share your thoughts all the time. The right people on your side are worth any equity you will give them.

So to sum it up – I’m a big believer in raising smaller amount of capital in the early days. With the right help it can take you very far and put you in a better position when going for the 5+ million round.

Privacy Sucks – Deal With It

May 12th, 2010

The last few weeks have seen thousands of blog posts tearing Facebook to pieces over their new auto personalization features. Many also took that one step further and pointed to the fact that it is about time to stop using Facebook. That Facebook can’t be trusted anymore. Jason Calacanis even called Mark Zuckerberg the worst thing in our industry over the new features and how Facebook is treating their partners.

I want to take a different approach here. Don’t get me wrong – It might be that the way Facebook is conducting business and treat partners is horrible. I just don’t have enough info to decide for sure. But as for the way they evolve their platform and the way they approach privacy issues – I actually admire them.

You can say a lot of things about Mark Zuckerberg, but the guy has the balls of a bull. It’s not just saying no to the $900 million deal from Yahoo. It’s about doing what he thinks is right without listening to anyone around. This is a very tough thing to do as you are judged just based on results. If you were right – you come out as a genius. But if you are wrong you come out as the arrogant prick who thought he knew better than anyone. Until now – he was almost always right.

In the past few years, Facebook has made some very big changes, each one was accepted with rage and complaints from everyone including the users. But for the most part, we learned that the changes were actually good and they made Facebook just more powerful.
Think about it, even when the news feed introduced there were groups of users calling to strike, blogs who cried foul and everyone wanted the old Facebook back. Today, the news feed is one of the most common elements in every web service and it is one of the things that made Facebook what it is.

But let’s get back to the current change. We all talk about the fact that privacy is important. We all want to show that we care about the privacy of users. But the matter of fact is that Privacy sucks. Privacy issues are one of the things that keep innovation out and the web back.
In reality, why should you care if some brand knows what music you like? Why should you care if a brand knows what product you like to buy? If this information can help companies give  you better experience, more discounts - why should you care??
Go back to 1997. Most people who were not very young or techies were saying that they would never ever put a credit card on the web. They were afraid of their data and privacy. How would the web look like if Amazon were to agree with this approach and make you phone call to complete your order?
Privacy is not really about privacy. It’s about the illusion of privacy. It’s about the feeling of control. Most people don’t really care about other people knowing these details about them. It just that they are used to have these details private and like many things in life, they don’t trust change. They want to feel that they are in control (Which of course is an illusion – Google knows everything possible about us, but as they don’t rub this in our eyes, no one really cares).

What Facebook is doing will make the web 10 times better in the future. The holy grail of user experience is connecting all the disparate data points together, to give you a truly personalized experience. This is exactly what Facebook enabling right now.
Right now we are afraid and angry, but in a few months we will all get used to the new experience and ask ourselves how did we ever do things differently.

Now just to be clear – whether it is good that Facebook get to be in the center of it all or is it good to have one company with such power – this is a completely different question. But once again, Facebook have the courage to say we know better and go with what they believe, no matter what. And for that they should get some of our admiration.

The Secret Behind Google Buzz

February 11th, 2010

In the last couple of days the net and the geek scene are buzzing on just one thing – Google Buzz. It’s been a long time since one product made such a noise in such a short time. From Jason Calacanis claiming that Facebook is now dead to others who ask why we are all excited about this when it is a simple copy of FriendFeed.

But everyone seems to be missing the real secret behind Google Buzz. The real reason and benefit Google is getting from this product.
What kept Google executives awake at night is not how to create another revenue stream from social networking. It’s also not Facebook supposed entry into the email business. All these are small change compared to the money made in search. The real threat (and opportunity) to Google came from Twitter and its real time search engine. Google understands that the future of search will depend on two things: real time and social.
The ability to give localized, relevant search results that change based on your social graph is the biggest opportunities that lies ahead of Google. The first thing that achieve is Buzz is that now everyone are running to update their Google profiles with their links to their Facebook, Twitter, Flickr and the rest of their social links.

Suddenly, Google has what they always wanted – a complete and accurate social graph of the all world. Add the fact that they can now also data mine all these links and build the most sophisticated behavioral profile of each one of us, and you can start to understand the huge potential this can have on search and its associated advertising.
Having all the status updates directly on their servers and not need to buy/crawl it from other sources is a nice bonus, but the real prize is the map of all of our social connections.

We Live in Exciting Times

June 3rd, 2009

It's exciting time to be in the web community or just to be a web consumer. Three years ago when the Web 2.0 era started to pick up, we got a glimpse to the potential of the web in how it can change our lives.

But in the last months, we really start to see how all the different pieces and technologies are coming together to finally create a connected user experience. Products like Hulu Desktop, Twitter, Google Wave, Facebook Connect and the iPhone combined with now more mature technologies such as HTML 5 and Ajax adre finally bringing us the consumers the ultimate user experience.

The foundations of such experience are: Desktop like UI, seamless integration between services and real time communication.
This year we finally saw the mobile promise gets realized with great web experience on the iPhone and now Android.
We finally saw the borders between TV and web video completely blend.
We finally start to see the concepts of federated identity and data portability come into place.
All these things together won't solve the world hunger or bring world wide peace, but they will change the way we live our daily lives and communicate with other people.

It is a very exciting time to live in.

CM Summit Summery and What We Know About Advertising

October 17th, 2008

Federated Media CM summit just concluded (and thanks John for inviting me to speak) and I thought it will be a good time to try and summarize the event.
First of all I got to say that the level of the event was very high. Starting from the quality of the speakers, the people who attended and even the fact that the Internet was working with full speed from the first minute, a rare thing around conferences.
The only thing that I was disappointed a little about was that John didn't ask David Rosenblatt from Google some harder questions (or maybe it's just me who like to see Google grilled a little).

But what did I learn from the summit?
I saw and heard many interesting things, but above them all was what Deb Schultz said in her presentation: We all have no idea what the hell are we doing.
Marketers still don't understand what do we want from them, and how to really use all of our new tools and sites to get what they need. On the other side, we probably need to do much better job at communicating our messages and adapting them to what marketers actually asking us for.
Geeks and Marketers need to learn to work together from day one.
The agencies and the people in them need to adopt much faster to this changing world, and we need to work with them from the first day we start to develop our products.
And maybe above all is that we need to listen more to the users. It's not just about delivering a better ROI for the advertiser but also delivering better experience to the end user.

The Power of the New Media

July 4th, 2007

Today there was one of my old time favorite movies on TV – Pump Up The Volume. It was great watching it again after so many years.
It’s interesting to wonder how this 1990 movie would have looked like today, in the era of the Internet, blogs, podcasts anc vidcasts.

One of the strongest messages of the movie is that we need to speak our mind freely, to let our voice heard. As I look on the Internet and the revolution it brought to our lives, I can’t think about exactly the same thing.
The promise of the web is not just of giving us an easier way to shop for stuff, hear music or get in touch with our friends.
The real promise of the web is the ability of our voice (and picture) to reach millions op people around the world in the speed of light.

But should we just get this amazing power as granted? I believe not.
Such power should come with great responsibility.
Should we use it just for uploading funny videos, images from our trips and music we like?
Should our MySpace/Facebook pages should be used just for self promotion?
For the first time in history each one of us really has the power to affect things. For the price of a meal in McDonald we can communicate our opinions across the globe. We can make people notice the stuff in the world that should change. We can really make a difference.

The real question today is not how to make people aware of things, but more of how to make people care about it.
How can we harness this amazing social networks phenomena to make our world a little better.

I’m not sure what is the answer to that. But I’m sure she is out there, waiting to be found.

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Connected Innovators

June 22nd, 2007

I’m sitting right now in the connected innovators showcase of the supernova conference. The showcase features 20 companies chosen by Techcrunch to demo and talk about their new products.

While listening to some great products, I just have to wonder why there are just two hours dedicated for this kind of showcase from a full 3 day conference.
I mean, lets face it, most of the sessions in most of the conferences are quite boring. You keep hearing the same things that you already know again and again.
In the last hour I learned (and enjoyed) much more than I had in the all supernova and Web 2 Expo conference all together.
I would like to see a conference where the people on stage will actually be the young and unknown faces that work on the still unknown startups. Than, maybe we will finally hear and learn something new.

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The New Journalism

June 20th, 2007

One of the amazing things in being here in supernova is the background noise in the rooms – the noise of constant laptop keyboard clicked.
It seems that almost everyone here is blogging/twittering/vodcasting at the same time. You can really feel how the media landscape of our world has changed just by looking around you.
It will take at least a day for major newspaper or old media companies to report what is happening here. But less than a minute someone here will say something on stage it will already appear in the blogs.

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Will Voice Rule the Web?

June 20th, 2007

I’m sitting in the first session of Supernova Challenge Day. The discussion is about the new semantic web.
Nova Spovack from Radar Network just talked about the fact that in the future voice will be the main way to access the web.

This is a very important thing to think about. When you ream the reviews Powerset gets today, you see that Google actually still gets better results a lot of the time. But when you think of voice, the ability to actually parse the meaning of a sentence becomes much more important, as people won’t search by simply saying words, but by saying complete sentences.

If Powerset will be able to actually understand meaning, they will be bale to be the future gate for the Internet.

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