Posted 10:53 AM (0) comments

Brad Silverberg, still a visionary?

Former Microsoft Windows honcho Brad Silverberg resurfaced in the press recently with a Q&A session for the Milestone Group. While much space is given to his new venture, Ignition Partners, he did have some interesting thoughts on Microsoft's situation today.

For example, he notes that MS controls 95% of the desktops worldwide, while the growth in the number of desktops is fairly stagnant. That means Redmond needs to pump up upgrades in order to stay in the black. But, as he notes, upgrades are time-consuming and fraught with problems: "The cost of the software is not the factor, you could get Windows for free, and a corporation may decide still not to do the upgrade. That problem I think is their biggest challenge."

He also notes that Microsoft initially made its mark by being the low-priced alternative to high-priced mainframe and mini-computer software, and with Linux and Open Source the shoe is now on the other foot.

It looks like he may have gotten out of Microsoft at just the right time, which augers well for his judgment of companies to fund with his VC firm. Brad Silverberg is still a man to watch.

Posted 3:01 PM (1) comments

Support your local author

Lots and lots of comments around the web on a New York Times story, "Online used-book sales concern some publishers", about amazon.com's practice of selling used books as well as new books. But most folks are concentrating on the ridiculous opening sentence: "Is Amazon.com becoming the Napster of the book business?" pointing out that there's nothing illegal about re-selling a used copy of a book. All of these "obvious Ottos" are overlooking the real objection most authors (and some publishers) have to the Amazon.com situation. While its true that there's no royalty earned on the used book sale, the real problem is that Amazon is enticing new book purchasers (part of whose purchase price is a royalty paid to the author) to buy cheaper used books (with no royalty going to the author).

Very few new bricks'n mortar book stores sell used books alongside new ones. Readers wanting used books go to specialty sellers of that product. But Amazon is, in effect, offering a title at two different prices with everything else equal. How many people will opt for the higher price? How many authors will decide that flipping burgers pays better?

It isn't legality we're talking about, but ethical treatment for authors.

Posted 9:03 AM (0) comments

Open Source: the job killer?

In a speech to key Southeast Asian press representatives reported in Asia Computer Weekly, Microsoft's Bill Gates tried to paint Open Source software as a job killer:

"If you don't want to create jobs or intellectual property, then there is a tendency to develop open source.
It is not something you do as a day job. If you want to give it away, you work on it at night," he said.

Open Source, the job killer that lurks in the shadows of the night. But Bill, tell us more about Internet Explorer - wasn't It "given away" when you were trying to overcome Netscape - was it also only worked on at night? And what about all those software engineers at Novell, IBM and Sun who are creating Open Source software - during the day on the company payroll. How do you explain them?

Microsoft's war against Open Source appears to be a history of Redmond losing one battle after another. Maybe its time to simply compete on the merits of the software, Bill - or would that be too hard?