Google TV: Another step towards convergence

The installed base of television far exceeds that of personal computers, particularly true for the emerging markets. I have special interest in this field of convergence.  I tend to view a TV as a monitor without a CPU.  Google TV is in a way opening up the existing investments that households have made in the TV set and enabling them to use a neighbouring WI-FI connection to browse the Internet. 

I can see enormous potential, however, Google needs to set up

• A brand and product awareness exercise to make existing customers aware of the product, that is, going beyond Internet advertisements and using print and TV campaigns to reach the end customer.
• A customer service organization - This is a hardware offering - which needs customer support and education.  What if the WI-FI hot spot is at a distance from the TV, with walls and roofs in-between? Will a customer service person tune and configure the system? Who will provide support and service?
• Support for community sharing - Will this work in apartment complexes who set-up a shared WI-FI link?

An interesting initiative, which has all the potential to succeed and yet, too many execution risks at this stage.  Google will need all the program management and marketing skills they have to make it a success.  I wish them luck !!

Adobe Flash - Customer is King !!

Last few months have been not kind to Adobe.  Apple, the creator of MAC operating system, has openly challenged Adobe on Flash, calling it a legacy application, buggy, slow and consuming too much power.  Adobe makes majority of its revenue and profits by selling applications which work on MAC and Flash was one of the main reasons for Adobe to acquire Macromedia in 2005. 

As Web as gained prominence in the last decade and print has lost relevance, PDF is no longer the growth engine that drives Adobe business.  Web is the future and Flash is at the center of Adobe strategy for web. Without Flash, Adobe will struggle to grow its business and maintain its 40% operating margin. Adobe has spent last couple of years battling Microsoft's Silverlight and just when it seemed Adobe has managed to slowdown Microsoft's momentum with Silverlight, Apple has directly aimed at Flash, that too with a religious zeal.

Clearly, Adobe has been pushed to a corner. And its attempt to create some elbow room, by allowing developers to embed Flash Player inside application, has been circumvented by change in licensing policy by Apple.

Left with no options, Adobe has come out with print ads "We love Apple", "We love Choice" and finally making an effort to connect with the customer.  This is certainly not the last word in this powerful tussle.  It is hard to pinpoint a specific reason for this strongly negative view Apple has been propagating about Adobe Flash.  By trying to push HTML5 instead of already established Adobe Flash, Apple risks alienating customers and developers who like Flash.  Apple might also provide some respite to Google and Research in Motion who are struggling to catch up with their offerings.  Android already supports Flash and Google is obviously using its support for Flash as a marketing tool.  Blackberry is not behind.  Is fighting Flash more important than preserving the strong market position that Apple has with iPhone? Apple is clearly aiming for strong market dominance which is hard to create and sustain in this hyper competitive world. 

In my personal view, "Customer is King".  Future of Flash will be decided by the customers, not Apple. Adobe best chance lies in making sure Flash succeeds on Android and Blackberry.  It is a fight for survival and failure is not an option.

Full Disclosure - Adobe is my ex-employer.  I have never used Apple products even though I admire iPhone and Macs and I hope to buy my first iPhone later this year.

Living Beyond Means Hurts - Even in Greece

You can't live beyond your means forever.  When you borrow, lender expects you to return the money along with interest.  When the borrower is a country, it is assumed that country has an ability to tax its citizens, print money and devalue its currency and pay back the debt.  However, when a country is in Euro Zone, the power of printing money and devaluation of currency is not a choice.  With the recent crisis, euro is coming under strong pressure with break-up now almost imminent.

India has gone through the similar phase in late 80s when Indian Government borrowed a large part of its consumption expenditure through short term foreign currency loans.  India was on verge of default before it pledged Gold to developed countries (by actually shipping Air loads of Gold).  Pledging Gold is known as the last step before bankruptcy and that was enough to prepare the country for hardships that followed.  India did manage to come out of the situation by a steep devaluation, $= 18Rs became $=33Rs in two steps, import duties (already in the range of 50%+) were raised further and tax increases helped mend Government finances.  What followed as a string of financial and economic reforms.

Can Greece learn from the experience? Can it come out stronger than ever before.  History has shown that it can be done. 

Sachin Tendulkar on Twitter

World of Internet is buzzing with the entry of Sachin Tendulkar on twitter.  This event can potentially be a significant game changer for not only for Twitter, but also for Internet penetration in India.  With 60 million Internet users, India has the third largest number of Internet users. Sachin's entry on Twitter may help India move to the top position.

• Twitter got coverage yesterday in almost every newspaper, radio and TV channel.  That's worth more than a few million dollars in free advertising money.
• Almost every Indian celebrity on Twitter is a fan of Sachin and they have posted welcome messages across Twitter
• There is no better icon of determination and success than Sachin Tendulkar in India. 
• During the recent concluded IPL (Indian Premier League), loyal supporters of IPL franchisees will make an exception for Sachin.  Instead of supporting their favorite team, they will root for Mumbai Indians simply because Sachin plays for them. 
• Will more Indians get accounts on Twitter to follow Sachin? Will telecom companies include Sachin's account on Twitter as one reason to buy their mobile phone service (and follow Sachin)? Will Airtel sign up Sachin as brand ambassador and use the punchline "follow me on Twitter"?

I have stayed away from Twitter so far. The question I am asking myself this morning - 'Should I join Twitter'?

Update - Well, thoughts led to action, I joined Twitter today (@jainvivekIndia) and promptly became a follower of sachin_rt.  Hopefully, I will learn the language of tweets in a few days.....