Author: Paul Wallbank

  • Cracking open the black box

    Cracking open the black box

    One of the things confronting technology vendors in the past five years has been the commoditization of hardware and the opening up of standards. As software has eaten the computer hardware industry, those companies are being forced to make their systems more open.

    In that world of open systems, it’s the ecosystem of developers and products around platforms that drives success. The best example being the iPhone where the range of third party apps available made Apple’s product the most compelling on the market.

    At Cisco Live in Melbourne last week Susie Wee, the company’s Vice President in charge of the company’s DevNet developer relations program, described how the networking company is opening their systems with Application Program Interfaces (APIs) to build an ecosystem.

    “What we want to do is help people with this transition,” says Susie. “With the network, with the infrastructure and with the cloud we want people to get more out of it.”

    Cisco, like most hardware companies, are finding the shift to opening their data streams to be wrenching. The business model of a decade ago involved mysterious black boxes running on proprietary software with the data dished out sparingly.

    While the the ‘black boxes’ still remain, becoming a ‘platform’ and making data available to all comers is very much a cultural shift for once dominant hardware companies like Cisco.

    The question for IT hardware companies is how long they can defend their proprietary software systems – the hardware side is already slowly declining as software defined equipment takes over – while establishing dominance with their software and data feeds.

    Users too need to be treading carefully as those APIs and the data being fed through them is subject to the business imperatives of the

    Cisco hopes they can achieve this through their current market power and business networks, it is a hard ask for them though. For the entire tech industry, the shift to an API driven marketplace is going to be testing.

    Paul travelled to Cisco Live in Melbourne as a guest of Cisco

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  • Towards the post journalist media world

    Towards the post journalist media world

    For years I resisted attending the Tech Leaders conference, formerly Kickstart, as I felt a bit of an imposter being invited to attend as a journalist.  As a consequence I missed the peak days of the event.

    In the ‘good old days’ dozens of journalists, most in the employ of profitable media companies, would fly to a Queensland resort to wine, dine and debauch themselves as PR agencies who were picking up the tab would try to introduce their clients and pitch to the group of hungover scribes.

    Funding these events was relatively straightforward, public relations agencies and their clients were happy to pay substantial sums for access to journalists. In the golden days of technology journalism, large IT supplements were full of lucrative advertising for jobs and products.

    That river of advertising gold has long dried up and in the technology industry that shift has been exacerbated by the collapse in IT industry margins which has further hurt advertising budgets.

    As the industry has faded so too have the numbers of media professionals, many journalists have either moved into PR roles themselves or are now desperate freelancers.

    The industry shift to freelancers has been problematic for the organisers as the remaining staff journalists are chronically time poor so can’t lightly take a day away from the desk and the independent reporters don’t offer direct access into trade journals and general news outlets.

    Events like Tech Leaders are giving the PR industry a glimpse of the journalist free media landscape of the near future where the traditional pitching to outlets in the hope of being published is effectively obsolete. Looking at the numbers at Tech Leaders, it’s clear that world is not far off.

    The question everyone in the industry has to ask is ‘how do people perceive I add value?’ For many, including myself, the answer is ‘we don’t’.

    In an age where there is an almost unlimited supply of information and commentary, journalists and PR people have to find a new way to convince the market they add value.

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  • Australia’s contempt for technology

    Australia’s contempt for technology

    “The minister sends his regrets….”

    Yesterday I commented how the Australian Tech Leaders event would be a good measure of the state of the country’s technology industry. Instead it illustrated the sheer contempt the nation’s political leaders hold the industry.

    One of the government’s key platforms in the upcoming election is its Innovation Statement and the accompanying Ideas Boom so it wouldn’t have been expected that a minister or at least an informed backbencher would address a room full of technology journalists.

    Instead the government drafted one of their local MPs, Fiona Scott, to make the short drive up the hill from her electorate to haltingly deliver a poorly written speech that focused on her local electorate issues.

    To be fair to Ms Scott, the outer Sydney suburban seat she represents is a bellweather electorate which tends to swing between parties as government changes. It also happens to have a workforce that’s beginning to feel the effects of a shifting economy. Her focus on local issues is understandable.

    However as a member of a government aspiring to drive a technology driven jobs boom and the representative of an electorate whose workforce is in transition, it is remarkable that Ms Scott is so poorly briefed on tech issues.

    What’s even more remarkable is the contempt shown by the government towards the country’s technology sector, a long standing problem in Australian society but particularly stark with the current administration given the Prime Minister’s fine words on the topic.

    One of the saddest things about Australia’s squandered boom is how the nation turned inwards at the beginning of the Twenty-First century and decided to ignore the global technological shifts.

    The contempt shown by the current government towards the technology sector shows a much deeper problem in the Australian mindset, if the country is to rely on more than its luck in the current century then it’s essential to shake off that way of thinking.

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  • The state of Australian technology – and journalism

    The state of Australian technology – and journalism

    Today I’m heading to the Blue Mountains just outside Sydney for the annual Tech Leaders conference.

    With the conference bringing together tech industry vendors, public relations representatives and journalists, it’s an interesting snapshot of an industry in transition.

    Technology vendors are dealing with the shift to cloud computing which destroys what were very comfortable and profitable business models.

    Needless to say the journalists are the most disrupted group of all with most of the dwindling number now being freelancers and the few remaining staff reporters working under tough deadlines with few resources.

    This leaves the Public Relations folk in the middle, as the traditional media channels decline they are having to work harder in getting their clients’ stories into the public domain. At the same time, the compressed margins for cloud affected vendors are cutting into PR budgets.

    So Tech Leaders is interesting to see how three very different groups are dealing with their changing industries. I might also get to hear about some new technologies as well.

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  • Amazon Web Services and the new rules of business

    Amazon Web Services and the new rules of business

    The one company that has driven both the adoption of cloud computing and the current tech startup mania is Amazon Web Services.

    Later this week AWS celebrates its tenth birthday and Werner Vogels, the company’s Chief Technical Officer, has listed the ten most important things he’s learned over the last decade.

    The article is a useful roadmap for almost any business, not just a tech organisation, particularly in the importance of building systems that can evolve and understanding that things will inevitably break.

    Importantly Vogels flags that encryption and security have to be built into technology, today they are key parts of a product and no longer features to be added later.

    Most contentious though is Vogels’ view that “APIs are forever”, that breaking a data connection causes so much trouble for customers that it’s best to leave them alone.

    Few companies are going to take that advice, particularly in a world where changing business needs mean APIs have to evolve.

    There’s also the real risk for businesses that their vendors will depreciate or abandon APIs leaving key operational functions stranded, this could cause major problems for organisations in a world that’s increasingly automated.

    Vogel’s commitment to maintaining APIs may well prove to be a competitive advantage for Amazon Web Services in their competition with Microsoft Azure, Google and an army of smaller vendors.

    Werner Vogel’s lessons are worth a read by all c-level executives as well as startup founders looking to build a long term venture, in many ways they could define the new rules of business.

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