Why do we still use fax machines?

Fax machines were once a standard form of business communication, today they are a superseded transition effect. Why do still use them?

If you’re in the ABC Canberra area at 4.05pm, I’ll be talking about this with Adam Shirley. Listen live here.

One of the most frustrating statements in modern business is “you’ll have to send a fax.”

Facsimile machines, once the pinnacle of 1980s business communications although they were first invented in 1843, started to die once the internet became common and email became the dominant messaging system.

Once dial up modems started becoming standard on computers, receiving faxes electronically became feasible and for while businesses struggled with the notoriously unreliable software to receive facsimile messages without the hassle of paper.

Eventually however they passed away as most business found there was no need for faxes and anything requiring a signature could be electronically signed or a scan of the original document sent.

Some industries and sectors – particularly the legal world and some government agencies – still hold out the need to send an ‘original’ by fax, party under the fallacy a facsimile copy is more secure, reliable and legally more valid than an email or electronically lodged document.

During the ABC Canberra program one listener pointed out the medical industry is dependent upon the older technologies, “we couldn’t operate without them” she told the producers. In a time of connected medical equipment and electronic data interchange, the medical industry has little justification in using outdated manual methods but habits die hard in a very conservative industry.

None of the myths around the reliability of fax are true and the reality is details sent by fax are just as easily intercepted by nefarious employees or third parties as emails. In many respects a fax is less secure than electronically interchanged data.

If you do have the need to send or receive a fax though all is not lost, services like eFax will still send or receive messages and then, ironically, email them onto you.

However there is a downside with these services, as one harried PA whose organisation still receives faxes due to its dealings with the legal profession described, the vast bulk of messages they receive are junk messages mainly offering cheap deals on office supplies.

The fax machine is another example of a transition effect where a stop gap product was effective for a short period as businesses adapted to new technologies, the SMS is going through a similar process now. Neither will be the last example of this.

Life at the data frontline

Google’s challenge with managing exponential data growth is something all companies will have to deal with

One of the defining features of the next decade’s successful businesses is how they manage data. No company has a greater challenge in dealing with information than Google.

In a feature tracking Google’s evolving data centres, Techcrunch describes how the company has dealt with the challenge of being the web’s repository.

The challenge has been huge, Google’s current Jupiter network delivers a petabit each second, a hundred times more capacity than its first-generation network and in 2005.

Google boasts 10,000 of their servers are capable of reading all of the scanned data in the Library of Congress in less than a tenth of a second.

While most businesses won’t need that sort of capacity in the near future, the exponential growth Google has dealt with is the same issue facing most managers and business owners as more devices, staff and customers become connected.

For most organisations, dealing with that dramatic growth is almost impossible and this is why automated services running on the cloud will become even more a part of daily working life. Those services will be running on the technology Google is developing today.

 

 

 

Programming the Internet’s advertising

Appnexus CEO Michael Rubenstein tells us how the advertising industry is evolving with the internet

Michael Rubenstein, President of AppNexus is the first interview for a while on the Decoding the New Economy channel.

Rubenstein joined AppNexus as employee number 18 in 2009 and has been part of the company’s growth from a small startup to a global technology company with a workforce of 1,000 professionals.

AppNexus is one of the new wave of companies managing and programming online advertising, helping advertisers and publishers target their products better while giving ad tech companies deeper insights and data.

In this interview, Rubenstein discusses some of the forces changing global advertising along with the challenges of dealing with a high growth business.

Apologies for the bad hair on my part.

First steps in an online journey

Getting your business online shouldn’t require a doctorate says domain registrar GoDaddy’s international boss

“The days of getting a PhD to get your businesses online are over” declared James Carroll, GoDaddy’s International Executive Vice President last week on a visit to Sydney.

GoDaddy is the world’s biggest internet domain name registration service and Carroll was in Australia to promote the expansion of the company’s local operations.

Australia’s a prime target for the company with nearly half the nation’s two million businesses not having a web presence. “I think there’s an awareness issue about the skill that are needed to get online,” says Carroll.

GoDaddy’s Australia and New Zealand country manager Tara Commerford suggested two reasons why small businesses aren’t going online, “I think it’s lack of awareness and people don’t know how to do it”.

Commerford suggests that simplified online tools are making it easier along with the easy access to other platforms like social media and location online services.

The problem though is these tools are not new, this blog has been discussing how companies need to get online for years and yet the proportion of small businesses getting a web presence has remained fixed around the fifty percent mark.

One of the barriers to getting online is confusion and the new top level domains haven’t helped this by muddying the message about which domains they should be registering under. This is only increasing the fear among small business owners that going online is complex, expensive and risky.

It’s understandable that domain registrars like GoDaddy would push the new domains given the industry’s low margins and need for scale, but that’s not the problem for smaller operators.

The problem for small businesses is getting the basics right with with a mobile friendly website, particularly for hospitality and tourism operators. Having the right domain name is an important first start of an important journey for most businesses.

Security, smartcars and Microsoft Windows – ABC Nightlife July 2015

Security problems with smartcars and dating sites along with asking if a new version of Microsoft Windows matters any more

Security problems with smartcars and dating sites along with asking if a new version of Microsoft Windows matters any more are the topics for July’s Nightlife tech spot.

Paul Wallbank regularly joins Tony Delroy on ABC Nightlife on to discuss how technology affects your business and life.

If you missed this month’s show, you can listen to the program through the ABC website.

July’s Nightlife

A decade ago people lined up all night for a new version of the Windows operating system. Next week Microsoft will be launching Windows 10 to an indifferent market place, does what was once the world’s biggest software company matter anymore in a world of smartphones, connected cars and cloud computing?

Some of the questions we’ll be answering include.

  • So what are Microsoft announcing next week?
  • What happened to Windows 9?
  • Does Windows really matter any more?
  • The internet has changed things but not always for the better. What about connected cars being hacked?
  • Is this a bigger problem than just connected cars when we’re seeing things like kettles being wired up to the internet?
  • Of course it’s not just cars suffering problems on the Internet, adult dating site Ashley Madison has had potentially 37 million customers’ details leaked online.
  • Could this happen to any business? How do we protect ourselves?

Listeners’ questions

A few of the questions from listeners couldn’t be answered on air.

Running Flash of iPhones and iPads: Steve Jobs’ hatred of Adobe Flash was legendary and as consequence iOS devices like the iPhone and iPad don’t come with the ability to run the software. That’s a problem for those who need Flash for some packages.

The Puffin web browser gives iPad and iPhone users the ability to use Flash on their devices and is available from the iTunes store.

Securing Android: While smartphones are less prone to viruses and malware than personal computers, they still are at risk. For Android users there is no shortage of choice for security packages, some of which include;

Android power hogs: A downside with smartphone apps is they can drain battery life. One excellent feature on Android phones is the ability to easily check what’s using your juice.

  • Open device settings
  • Scroll to “about phone”
  • Click on “battery use”

Join us

Tune in on your local ABC radio station from 10pm Australian Eastern Summer time or listen online at www.abc.net.au/nightlife.

We’d love to hear your views so join the conversation with your on-air questions, ideas or comments; phone in on 1300 800 222 within Australia or +61 2 8333 1000 from outside Australia.

You can SMS Nightlife’s talkback on 19922702, or through twitter to@paulwallbank using the #abcnightlife hashtag or visit the Nightlife Facebook page.

 

Social media and the changing media landscape

A Reuters report looks at the changing media landscape and how the older news industries’ decline has some way to go yet.

“We seek news on Twitter but bump into it on Facebook” points out the Reuters’ 2015 Digital News Report in its analysis of global media consumption.

The broad trends from surveying over 20,000 online news consumers in the US, UK, Ireland, Germany, France, Italy, Spain, Denmark, Finland, Brazil, Japan and Australia are clear – social media is becoming the main way people are finding their news while television is slowly declining.

Probably most concerning for the television networks how younger viewers have turned away from TV with only a quarter of those aged between 18 and 25 tuning in as opposed to two thirds of those aged over 65.

Given the aging of television network audiences it’s not surprising that last week Australia’s Network Ten, part owned by Lachlan Murdoch, found a lifeline from the country’s main cable network as the broadcaster is finding revenues declining.

The question is how long advertisers are going to stick with television as audiences increasingly move online creating a revenue gap estimated by analyst Mary Meeker to be worth around thirty billion dollars a year.

For the moment, the great hope for the online world is Facebook with Reuters finding the service is dominating users’ time. In that light it’s not surprising the company has such a huge market valuation.

The competing social media services are still facing challenges, particularly with Twitter showing a far lower level of penetration with the general public, leading Harvard professor Bill George to speculate the company risked becoming the new BlackBerry.

While the online services struggle for supremacy and television slowly declines, the real pain continues to felt by the newspapers who continue to find their relevance erode and few of their readers prepared to pay for their content.

The Reuters report confirms the trends we already know while giving insights into the unique peculiarities of each market.

Your own little part of the internet

The pivot of online publishing site Medium shows why you can’t trust other services for your web presence

Five years ago I did a presentation describing how a website was essential for every business’ online strategy.

The Business Cornerstone was delivered at the time where many advisers proclaiming Google Places and Facebook as adequate for building an internet presence.

Over time, the importance of having your own domain and website has been proved as different platforms have messed users around with changing terms, arbitrary rulings and often simply closing down services.

The importance of doing things your own way was underlined yesterday with the announcement by Medium, and Twitter, founder Ev Williams that the company is restructuring and shouldn’t be considered a publishing platform.

For those who’ve published pieces on Medium that the service is not a publishing platform would have come as a surprise given the company has spent the last 18 months encouraging people to contribute to their site.

That Medium is pivoting into something else – a Facebook, an Instagram or a Google Plus – shouldn’t be surprising but once again it illustrates the interests of this services are not necessarily the same as yours and when they conflict it’s your interests that will come off second best.

While platforms like Medium, Facebook and LinkedIn are useful for distributing your message, the best long term online presence you can have is your own website. It’s a lesson those who rely on free third party services keep having to learn.

Dividing the Internet of Things

Increasingly the Internet of Things is going to be split into different fields

One thing that’s becoming clear in researching and writing on the Internet of Things is how three distinct strands of the concept exist due to the different needs of industry and the marketplace.

This is articulated best by Bill Ruh, the Vice President of GEs Global Software Center, who in an interview this week – which I’ll post later – suggested the IoT is best divided into the industrial internet, the enterprise internet and the consumer internet.

At the base level the consumer internet includes the bulk of startups and the devices that get most of the publicity; the Apple Watches, Nest thermostats and smart door locks.

Largely operating on a ‘best effort’ basis, consumer IoT vendors don’t guarantee service and security is often an afterthought. This is going to present a few challenges for both consumers and retailers as the inevitable problems arise.

Catering for the enterprise

The IT industry vendors are at the next level, the Enterprise internet, where companies like Microsoft, Cisco and VMWear are adapting their businesses to the cloud and Internet of Things.

At this level, which Cisco calls the Internet of Everything, the security and reliability challenges are understood and the practices of the IT and communications industry lend themselves to the widespread transmission of data from smart devices.

Similarly most of the telcos with their machine to machine (M2M) technologies fall into the enterprise internet camp.

Driving the industrial internet

While the enterprise vendors are providing robust systems, the IT industry levels of service don’t quite meet the needs of mission – and often life – critical applications found in jet engines, precision manufacturing and most industrial processes.

Providing that level of security, precision, reliability and low latency is where the industrial internet is applied. This is where the companies such as GE and the other big engineering companies come in.

At the industrial internet level it’s far harder for startups to disrupt the existing players as it requires both specialist knowledge of their industry sectors and deep pockets to provide the necessary capital for product development.

However the existing industrial conglomerates don’t have all the skills in house and that’s an opportunity for smaller companies and startups to enter the industry.

The long product times are another aspect of the industrial internet, as Rue points out, GE are still supporting equipment that is over eighty years old. While that equipment will probably never be connected to the internet, the machines being designed today will be expected to have similar lifespans.

While the three different IoTs have their own characteristics, and in many instances overlap, all three are opportunities for savvy developers and entrepreneurs.

The difficulty some businesses, both as vendors and customers, will face with the IoT is applying the wrong technology set to their problems and industry.

Wandering around Wellington

How New Zealand’s capital is becoming a centre of the new economy

It bills itself as ‘the coolest little capital in the world’ however something is going on in Wellington, New Zealand’s capital city, as its technology sector takes off.

Last week I was in Wellington, partly to attend the Open Source, Open Society conference and also to have a look at how the city is doing so well as one of the leading startup cities.

While I’ll have a number of posts about the city, startup scene and conference over the next couple of weeks, it’s worthwhile noting some basic impressions that came from the visit.

The size of the city, Wellington is a small town with a population of 200,000, brings both advantages and negatives for the business and startup communities.

Small is sweet

One of the advantages of being so small is the business community is relatively accessible, a number of entrepreneurs told me how easy it is for them to find the specialists they need given there’s usually two degrees or less separation between everyone.

Normally having a small business community means it gets insular, particularly in a capital city where the business of government can create a bubble effect. What’s notable about Wellington is most of the businesses are looking outward towards the US, Australia and East Asia.

The city’s intimate business environment also improves trust within the community as one Aussie expat told me, “if you rip off anyone in this town pretty well everyone knows about it by the end of the weekend. It keeps everyone honest.”

Being small, the city makes it easy to walk around which compounds the business networking opportunities. A businesswoman, who is also a lifelong Wellingtonian, observed how she allows an extra 15 minutes to walk anywhere as she finds herself stopping for conversations.

Three dominant businesses

Having three successful businesses in the city – TradeMe, Xero and Weta – has both its upsides and disadvantages with the bigger players tending to dominate the employment market and funding opportunities.

Of the three businesses, TradeMe is the most domestically focused while Xero is growing in the tech sector and Weta is the most diverse with its range of special effects and movie production services.

With Weta, the business is exposed to the vagaries of the global film industry as Statistic New Zealand survey of movie production shows.

The film industry is one of Wellington’s important employers with the sector supporting around two thousand businesses in the city, although I didn’t get time to explore how much of an overlap there is between the tech and film industries.

TradeMe is largely a domestic focused business that provides a steady work and skills base for the local workforce. While it’s the least internationally exposed business of the three, it’s probably also the most consistent.

Xero, like Weta, is a globally expanding business and its success is attracting investors and expats from North America and Australia. While its the smallest of the three it’s probably the business that has done the most raise Wellington’s profile in the tech industry.

Community spaces

What’s particularly notable are the number of coworking spaces in Wellington ranging from the straightforward Bizdojo startup space and Creative HQ through to the quirky Enspiral coworking space.

The availability of shared spaces makes the city attractive to startups and adds to the vibrancy of the local tech community which links into hipster pursuits such as craft beer.

Communities like Enspiral also add another dimension to the local startup and creative industries environment by connecting entrepreneurs with their peers and service providers.

Partnerships with government

One aspect I didn’t get to explore while in Wellington was the relationship between the city’s business community and educational institutions, particularly Victoria University.

Similarly I didn’t get the opportunity to discover how much of a role local and national governments have had in the development of Wellington’s tech scene. It seems to be relatively hands off although some government agencies have supported Weta with co-investment funds.

What I did meet though were plenty of immigrants; from Croatia, Denmark, Holland, the US and, most of all, Australia.

Talking to some of the US and Australian expats it was clear that lifestyle combined with opportunity with lifestyle, as one Aussie emigre told me “I couldn’t get the water views, access to the city and be able to walk to work back home like I can here.”

While these are superficial thoughts that I’ll expand on over the next week as I decipher notes and listen to interviews, there’s no doubt that Wellington is carving a position as one of the global centres of the new economy. How big it becomes will depend on how many other businesses grow to the size of Xero or Weta.

Facebook’s and Google’s enlightened self interest

Facebook and Google both put their users first in their latest updates. It’s something other business should consider.

Over the last few weeks much has been written about Google’s mobile search update that went live on Wednesday, some said it would be the death of small business on the internet while others claimed it would be the end of corporates online.

While all the focus has been on Google’s search changes Facebook quietly made a change that will probably be more vexing for many businesses.

Both Facebook and Google are struggling with making their services more useful for users, with the Google changes the intention is to make search on mobile devices more useful in giving preference to websites that work on smaller screens.

In a post on Google’s webmaster blog, Developer Programs Tech Lead Maile Ohye answered the basic questions about the search engine changes which dispelled much of the hysteria and myths about the update. The main point of Ohye’s post is that Google want to show users useful information.

Facebook have a similar problem, they have to balance the often competing interests of their users and advertisers with the main aim being keeping visitors on their site for as long as possible.

The objective of keeping users engaged is the reason for a series of tweaks Facebook announced this week that change the newsfeed visitors see.

The goal of News Feed is to show you the content that matters to you. This means we need to give you the right mix of updates from friends and public figures, publishers, businesses and community organizations you are connected to. This balance is different for everyone depending on what people are most interested in learning about every day. As more people and pages are sharing more content, we need to keep improving News Feed to get this balance right.

Facebook are putting their users priorities first in making sure the news feed is interesting and relevant, which the company believes will entice visitors to spend longer on the site and make advertising more attractive.

If it works then it’s a win for Facebook, their users and those who pay to advertise on the site. Again though, the losers are the companies and brands not advertising who thought they could get views by the quality of their content.

Unless the content is very good, those companies not paying Facebook are in for more disappointment as their reach collapses even further than its current pathetic rates.

Google’s change too is something that puts users first; rather than dumping mobile web surfers onto an unreadable page, they are making sure people get to sites that are useful.

In many ways Google is only encouraging what has been best practice for at least five years, that every site should work equally well on mobile devices as they do on desktop computers.

What Facebook and Google are showing us is the value of putting users’ needs first. If your guests are happy then your business model has a much better chance of succeeding, regardless of who the eventual customer is.

Making business more user friendly should be a priority for all companies in a competitive world.

A small business makeover challenge

Microsoft’s Modernbiz technology makeover program is an interesting study on how small business computer usage has changed

One of the key factors in bringing the Personal Computer era of business to a close was the end of the upgrade cycle where users tended to buy new systems every three to five years.

For companies like Dell, Acer, IBM and Microsoft this cycle was an important and reliable income stream.

In the early 2000s though it stopped as customers decided that with most new innovations coming onto their computers through web browsers they didn’t need to buy new systems.

For the PC industry, particularly Microsoft, this presented a huge threat to their business models and all of them have been trying to find ways to refocus their businesses.

The ModernBiz Technology Make-Over

Late last year I was asked by Microsoft Australia to participate in their ModernBiz Technology Make-Over where a small business running Windows XP and Server 2003 was given a free tech upgrade to the latest equipment.

This was interesting as it was an opportunity to see how Microsoft and the market are adapting to a very changed industry.

As well I still carry the many scars – most psychological but some physical – from my years of running PC Rescue where upgrading companies’ old technology was a core part of the business.

Doing a tough job

The fallacy many managers and inexperienced companies fall for is that migration customers from old equipment to new systems is a simple matter of copying a few files. It is never that simple.

Upgrading company computers a tough field as every business is unique and in workplace where the technology has been in use for over a decade the learning curve onto new software is insanely steep for staff and management alike.

So watching the process from a relatively safe distance where I wasn’t worrying about losing customers’ data or trying to complete a complex task within a short deadline was quite attractive. Basically I wanted to see the other guys sweat.

Another attraction in participating was to see how Microsoft are managing the transition from supplying business servers to provisioning cloud services and how customers are managing that change in product offerings.

Dealing with a shifting market

For both Microsoft and their customers the shift from one off hardware and license purchases to cloud based monthly subscriptions is a major change in mindset, so seeing how small business users adapt to online services will be interesting.

Overall the technology makeover promises to be an interesting exercise on how the small business computer industry is changing.

For his participation in the Modern Biz Technology Makeover program, Microsoft gave Paul a Lenovo laptop which he hasn’t yet used.

Local gets left behind by social and mobile in SoLoMo

Local reminds the poor cousin of social and mobile in the SoLoMo world

One of the tech buzzwords, or acronyms, a few years back was SoLoMo – Social Local Mobile. In reviewing the slides for the Future Proofing Your Business presentation next week, the term came up in one of the notes.

It’s interesting look at the fates of the three different concepts over the past few years; mobile has boomed and redefined computing and social has become big business with Facebook growing into a hundred billion dollar company.

Local though has struggled with Google, Facebook and a host of smaller and newer startups struggling while the Yellow Pages franchise dies. Despite the power of maps and geolocation, local just isn’t doing as well as the other two.

This could be down to the difficulty in harvesting the massive amounts of disparate data available to any service trying to draw an accurate picture of what’s in the neighbourhood.

Google Places tried to standardise that information for local businesses but the complexity of the service and its opaque, arbitrary rules meant adoption has been slow and merchants are reluctant to update details in case they fall foul of the rules.

Local services’ failure to take off has also had a consequence for the media as its in hyperlocal services that publishers have possibly their best opportunity to rebuild their fortunes.

That failure to properly harness mobile has also hurt merchants as many local operations are struggling to find useful places to advertise given Google Adwords and Facebook can be extremely expensive places to advertise.

So the mobile space is still ripe for a smart entrepreneur – a new Google or Facebook – to dominate.