Inventing the Xerox machine

If you like technology entrepreneurship stories, you’ll love Copies in Seconds by David Owen.  I just finished it and almost literally, could not put it down.

It’s about Chester Carlson, the inventor of the copy machine.  It’s easy to read, and is full if interesting technology and business details without being boring.  The introduction of the legendary 914 copier, and the story of rapid, out-of-control growth (in the early 60s) should sound familiar to any Internet entrepreneur.

It’s full of hilarious and quirky details, like the time an FTC official complained about over-representing the product’s capabilities (specficially, the ability to copy onto plain paper) and they responded by sending him back his letter copied onto a brown paper bag.  Or how the salesmen would show the copy speed by copying a stopwatch.

Great book, highly recommended.

Amusing Third-Order Implication of the Global Market

I got this email this morning from Advanced Circuits (I fiddle with electronics stuff in my “spare time”, and one of these days I’ll do a custom PCB):

For our Printed Circuit Board customers using Chinese vendors, please be aware of the following air quality policy announcement from Chinese authorities:

In preparation for the Olympics, China has announced a factory shutdown for 9 weeks to clear smog and improve air quality in a 200 kilometer radius of Beijing. The shutdown begins July 17th and will extend until September 20th. Beijing, Tianjin, Hebei, Shanxi, Inner Mongolia and Shandong provinces are affected by the shutdown.

If air quality does not improve before the start of the Olympics, there may be an expansion of the shutdown. There are concerns there could also be a bottleneck at two main ports.

All this to say that if you have a PCB vendor in the affected area, we are available to take care of your printed circuit board requirements. In addition to our large fabrication facility here in Aurora, we also have offshore partners in other non-affected countries that are available to handle the larger volumes.

We are currently offering “Half Time” Specials (142 and 244), and we will turn your board orders in half the time at no extra cost. If you have expedited needs, we specialize in quick turns and can even supply boards over the weekend, if required.

It was pretty amusing to see the third and fourth-order global implications of the Olympics in China.

Maybe it’s a Knee-walled Garden now

There’s a lot of chatter on the iPhone SDK mailing list about Apple’s approval process for the app store.  And Bijan Sabet writes:

I’ve been hearing more and more about apps that are still waiting for approval mode from apple. Some of those developers are friends of mine. These apps are somewhat competitive with iTunes I guess. Maybe that is the reason for the hold up. Or maybe it’s because apple is simply swamped.

(From Say it Ain’t So)

The mobile/wireless community has referred to on-device content and apps as a “walled garden“, because of the constraints and restrictions imposed by the old-line carriers.  The iPhone raised everyone’s hopes that the walls were coming down.

However, the process and criteria for getting App store approval from Apple is still unclear. Will Apple approve apps that are competitive with it’s own apps and businesses? Will they approve free apps that compete with paid apps (where Apple gets a rev share)?

Maybe the wall is still around the garden, but it’s now a knee wall.

Wireless provider wake-up call

I can only hope that the iPhone app store is wildly successful, and serves as a wakeup call to the old-school wireless providers.  I’m tired of being stuck with the hardware, firmware, applications, and features that Verizon dictates.

Have you ever looked at developing for BREW and getting “on deck” with Verizon?  What a disaster.

Internet and TV convergence, NOT!

If you equate money and brains, Mark Cuban should be a pretty smart guy.  But then he writes this:

Rather than Hulu sending its video directly across the net to your PC, and let the end user figure out how to watch and distribute from there, it should send it to a box hosted by your cable/telco and possibly even satellite provider, which then transcodes the video and places it on the existing TV distribution system and sends it across a channel branded with your name and the name of the file to your TV.

From:  The Way to Save Internet Video

(Please ignore the suggestion that Internet video needs “saving”).

Video is just another data stream, and there’s absolutely no reason why this data stream needs or deserves a specialized distribution infrastructure.  Historically, it’s had a specialized infrastructure because analog video distribution pre-dated the Internet.  That arrangement will continue for a  while, because of entrenched vested interests in doing things the “old way”.

When the core infrastructure and last-mile bandwidth became sufficiently fast, the Internet happily absorbed the task of audio (MP3) distribution.  Accordingly, CD sales declined and on-line sales of audio content rose (and iTunes is now the #1 music retailer).

As bandwidths continue to increase, the exact same thing is happening right now with standard definition (SD)  video, and will happen soon with high definition video.

Maybe there isn’t a killer app for the iPhone

What’s the killer app for the iPhone?  Most hardware platforms have had one:  the app so great you go buy the hardware just to get it.   But it occurred to me in a recent conversation:  there might not be a killer app for the iPhone (and it might not need one).

With the App Store, Apple’s done the expected exceptional job of app distribution, including enabling small dollar payments.  Can you name another mainstream system where you can seamlessly buy, install, and run $1 apps?  It’s no surprise the first batch of apps are “narrow apps”, that do one specific thing, (in most cases) do that thing well, and don’t cost much.

When combined with Springboard’s ability to customize the launch screen icon layout, it’s entirely possible that the “killer app” for each user is not a single distinct application, but a personalized selection of a dozen or so narrow apps chosen by that user.

In other words, the killer app for each user is a sort of “app mix tape”.

OS Document Scanning Support

I wish operating systems had native document scanning support.

I bought a scanner years ago in an attempt to manage paper load:  scan to PDF, electronically file, and shred the original.   It’s a great feeling to find an important document electronically, instead of sorting through reams of paper (and then having to scan it).

I just want simple “scan to PDF” — why are the tools so bad?  The software supplied with my scanner stopped working one day (on Windows — it just went to permanent hourglass).  I gave up trying to fix it, and turned to the world of $20 scan-to-PDF applications, most of which are pretty crappy.

Am I missing some easy solution?

I remember the days when sound cards were add-ons:  driver hell, version conflicts, limited app support, etc.  Apple and Microsoft:  please provide bundled, well-designed, and well-integrated document scanning!

The iPhone app Gold Rush

Daniel Cozza and I have been working for the past few months on number of iPhone app ideas.  We’ve got a some prototypes and working code.  But honestly, it’s been very hard to find interesting angles:  the iPhone app space is off-the-charts on the hype curve and is extremely crowded.

This app “gold rush” is great for Apple and for consumers (once the App Store is open).  The availability of third party applications will further distance the iPhone from other mobile devices.   However, entrepreneurship is fundamentally about discovering and developing unnoticed opportunities.  The iPhone market app has clearly been “noticed”!

(Worse, the real Gold Rush was open-ended:  there was always a chance that there was enough gold for everyone.  The iPhone app rush is finite:  there’s a large batch of developers competing for a finite (but growing) set of devices and user attention.)

What to do?  Options:  (a) dive into the rush anyway, (b) sell tools to the miners, or (c) look elsewhere?  It’s your typical non-obvious entrepreneurial judgment call.

Gorilla platform APIs: let your “partners” figure out new features

Last year I wrote about the brilliance of platform APIs for the big guys:  let your app developers figure out what the market wants, and then incorporate those into your system.  Most API terms prohibit you from suing the platform provider, effectively giving them a non-exclusive license to everything you do.

Now, we have examples of Facebook absconding app features.  From VentureBeat:

Facebook has a history of mimicking the functionality of hot services around the web. Your status updates weren’t always there, you used to have to go to Twitter to do that. Then Facebook rolled out that functionality in a way that looked eerily similar to Twitter in some regards. 

Reader Q: hiring folks for only equity?

A blog reader (one of three, as far as I can tell) asks:

I was wondering: do some startups only pay equity? I am thinking of launching a startup and I think I have a killer idea — there are very low equipment costs, etc, the only costs are labor and marketing, so I was trying to eliminate labor as an up-front since I have the personal capital for the needed initial equipment.

Yup, in some cases, people work for only equity (at least for some period).  Of course, any person in this “mode” needs some other means of cash support:  financial independence, a working significant other, or a willingness to dip into savings.

However, it gets tricky with multiple people not all in the same situation.  For example, if you’re paying Bob a salary, but not paying Fred, Fred can rightly ask, why are we carrying Bob’s salary and not mine?  You could give Fred more equity to make up the difference, but it can be hard to translate between equity and salary cash.  It can get delicate very quickly.

Also, in my experience, it’s very difficult to get folks other than your closest friends & co-founders (that already know you) to work for just equity.  Everyone else will need a lot of convincing the equity will be worth something.