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Visualizing 15 Years Of Acquisitions By Apple, Google, Yahoo, Amazon, And Facebook

Hi Folks,

Its been a while! I wanted to share a very interesting article from Josh Constine and Tech Crunch about 15 years of acquisitions by leading tech giants. Check this out. Pretty interesting stuff.

-DF

Visualizing 15 Years Of Acquisitions By Apple, Google, Yahoo, Amazon, And Facebook

You grow old, you slow down, and you die. That is, unless you can inject some fresh blood. After watching the last generation of tech giants wither or stagnate, today’s juggernauts are relying on acquisitions to keep them young and relevant. Check out the interactive infographic below to compare the size, frequency, and focus of the last 15 years of acquisitions by Apple, Amazon, Google, Yahoo, and Facebook.

Business insurance provider Simply Business created this infographic, which is only available here on TechCrunch. Each dot’s size represents the price paid for that startup if it was disclosed. Scroll over them for a link to learn more about the deal. The plus and minus buttons in the top right let you zoom in on specific time periods. Select categories at the top to filter for certain types of acquisitions. The Frequency toggle reveals phases when companies did heavy buying. And you can click any of the tech giants’ logos to view a complete list of their full-scale acquisitions (small acqui-hires excluded). Sorry to our mobile readers, but it’s much easier (possible) to navigate this on the web.

Trends crystallized by the Simply Business infographic include:

The drought of acquisitions by Yahoo in 2011 and 2012 before Marissa Mayer began her buying spree after being named CEO.
Apple has kept the price of its acquisitions low despite its huge cash reserves, as it prefers to buy for technology rather than market share.
Facebook accelerated its talent-focused acquisitions following its IPO to combat brain-drain.
While Steve Jobs saw acquisitions as a “failure to innovate,” Tim Cook has been proactive about buying companies to bring new intellectual property to Apple.
There was a recession in acquisitions in the “Rest In Peace: Good Times” era from 2008 to 2009.
Social, mobile, and hardware acquisitions have come into favor as search, media, and advertising buys have waned in the past few years

And the biggest acquisitions (with disclosed prices) by the giants were:

  • Apple – Anobit ($390 million), AuthenTec ($356 million)
  • Amazon – Zappos ($900 million), Kiva Systems ($775 million)
  • Google – Motorola Mobility ($12.5 billion), Nest ($3.2 billion), DoubleClick ($3.1 billion), YouTube ($1.65 billion)
  • Yahoo – Broadcast.com ($5 billion), Overture ($1.83 billion), Tumblr ($1.1 billion)
  • Facebook – WhatsApp ($19 billion), Instagram ($1 billion, closed at $715 million)

YOU CAN READ THE WHOLE ARTICLE HERE

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Written by David Frederick

February 26, 2014 at 12:01 PM

SoLoMo And What It Means For You And Your Business

Oh SoLoMo…..

What’s SoLoMo you say? SoLoMo (social, location, and mobile) is a trend larger than any single app or company, and it will encompass every industry on the planet. The future of mobile location will see the integration of location-enabled features and insights into every product you touch and every process you engage in during the course of your life, providing great efficiencies and incredibly valuable insights.

Every industry is, and will increasingly be affected by mobile devices and location-sensing technology. What we’re seeing today in the arenas of local commerce, deals, and productivity is only the beginning. With Internet and location-enabled phones in the hands of billions all around the world, the future of mobile location is rapidly becoming our future as an advanced civilization. As many of you know however, I am very concerned about the security responsibility and privacy issues around SoLoMo. Like all technology, there are always ethics issues involved in its development, deployment, and  utilization. But that’s a future blog posting!

Regardless, Fast Company has a really interesting article on SoLoMo and Mobile. You can check it out!

-DF

Written by David Frederick

December 6, 2011 at 5:26 PM

Mobile Spyware And Why You Should Be Concerned

Technology is truly a marvel, and like many “marvels” it can be used for good and evil. Apparently, the good folks at our mobile carriers are very interested in what you do with your mobile/smart phone. Consensual Data Capture is one thing, spying…. yes spying is another. No this isn’t a three-letter government agency doing this, but our mobile carriers or literally anyone else who happens to buy the right software to access the embedded spyware.

It was bad enough that “certain” organizations were tracking Black Friday shoppers without their knowledge in malls via their mobile/smart phones, but now we are learning about a new and very disturbing revelation around the amount of data, communication, and PII (Personally Identifiable Information) mobile carriers are collecting, whose using it, and how they are collecting it.

Don’t get me wrong, I am all for ways in which to drive and capture consensual consumer behavior, KPI’s, market metrics, and behavior to help drive more effective solutions, services, usage, and strategies, but the consumer should be informed AND give their consent to allow the capture and usage of this information. Apparently, this is not the case here.

Remember when Apple was tracking people’s location movements via their iPhone’s and cataloging the data? This is way worse. Of course, Apple was forced to stop that practice. But this new embedded spyware? If you own a non-Apple smart phone you should check out this disturbing article. So far, it effects 100 million of you. Even you do own an Apple iPhone, you should still check it out. This could still be happening with your iPhone.We just don’t know yet.

-DF

Tens of Millions of Smartphones Come With Spyware pre-installed, Security Analyst Says

Over 100 million smartphones are tracking their owners’ every step, Android developer Trevor Eckhart claimed, thanks to software that comes pre-installed on phones from most major carriers.

During a security demonstration revealed on Monday, Eckhart showed how software developed by Carrier IQ tracks virtually everything a user does — going as far as logging individual keystrokes and button presses. The company claims it helps its customers improve quality and performance “by counting and measuring operational information in mobile devices.” Security experts call it spyware.

“I assume that when I SMS my wife on the phone, no one is intercepting that message,” Chet Wisniewski of security firm Sophos told FoxNews.com. He called the whole ordeal is a “serious invasion of privacy.”

“Why do they need to know when I’m logging into Bank of America, when I’m accessing my password? It’s a different level of snooping,” he said.

Developed as a mobile analytics platform, Carrier IQ’s software can be found on most Android, BlackBerry and Nokia phones — over 140 million phones in total, the company’s website boasts. Some reports suggest Apple iPhones may carry the software as well.

The company has flat out denied that its software records keystrokes, a claim Eckhart’s latest video seems to refute.

“Every button you press in the dialer before you call,” Eckhart says in his latest video, “it already gets sent off to the IQ application.”

Eckhart did not return FoxNews.com phone calls, and Carrier IQ declined to comment on his claims. A statement on the company’s website reiterates the company’s claims that its software does not track customers or record keystrokes.

“This information is used by our customers as a mission critical tool to improve the quality of the network, understand device uses and ultimately improve the user experience,” the company said. By evaluating these metrics, Carrier IQ aims to help with issues such as “dropped calls and battery drain.”

In videos showing Carrier IQ at work, Eckhart showed it going beyond such utilitarian monitoring. He showed Carrier IQ’s software monitoring entire text messages, a Google search, and his location, even during sessions protected by HTTPS, a security protocol that encrypts communications for sensitive transactions like online banking.

Sprint has acknowledged using Carrier IQ’s software, but denies having access to personal data.

“Carrier IQ provides information that allows Sprint, and other carriers that use it, to analyze our network performance and identify where we should be improving service,” Sprint told CNET earlier this month. “We collect enough information to understand the customer experience with devices on our network and how to address any connection problems, but we do not and cannot look at the contents of messages, photos, videos, etc., using this tool,” Sprint continued.

While Wisniewski understands the needs for data and metrics, he believes carriers must be more forthcoming about how they are monitoring their users, what data they are collecting, and how they are protecting that data.

“If you’re going to collect that kind of information from people, you have to meet a different standard,” Wisniewski told FoxNews.com.

But for now, most users are stuck, unable to even turn off or uninstall the program.

“The Carrier IQ application is embedded so deeply in the device that it can’t be fully removed without rebuilding the phone from source code,” Eckhart wrote on his website.

“Even where a device is out of contract, there is no off switch to stop the application from gathering data.”

Read more: http://www.foxnews.com/scitech/2011/12/01/is-your-smartphone-secretly-spying-on/#ixzz1fJJ3Zfhk

Written by David Frederick

December 1, 2011 at 2:58 PM

The Future of Mobile is Content

Forrester recently came out with a new report called CMO: The Future of Mobile is Content. While this is a no brainer to many of us in the content and technology space, and certainly didn’t need a report to articulate this seemingly obvious trend, it does shed some interesting light on this topic. So lets take a quick look.

In the report, Forrester discusses how consumers will adopt and use convenient services and products. On mobile devices, this means services that offer immediacy and simplicity through a highly contextual experience. This is nothing new and was one of the key drivers for web 2.0 solutions. It’s now and not surprisingly moved to mobile devices.  Context — the sum total of what is known about an individual along with what he or she is currently experiencing — is a moving target that will pull consumer expectations of convenience with it.

This is an interesting paradigm in that it creates a two-fold challenge – privacy concerns for the consumer/user and a voluminous amount data that a marketing executive will have to define, capture, parse, track, analyze/understand and act/respond to -KPI’s, etc. If they want to be successful. Most executives have a very difficult time understanding and defining their data, determining what data to look at and what to do with it, so marketing leaders will need to clearly define and deliver highly contextual experiences to build mobile relationships with customers that drive engagement and ultimately sales or the desired response. Not all marketing executives need to move at the same pace to embrace new contextual information, but marketing executives must orchestrate, define and enable collaboration across all the members of their organization to build effective contextual mobile offerings.

The report covers a variety of topics and demonstrates that:

  • Mobile Phones Will Be Your Customers’ Preeminent Digital Engagement Channel
  • Contextual Experiences Will Define Mobile Success
  • Technology Innovations Will Drive Context Capability Forward
  • Reaching The Right Level Of Context Will Take Time And Strategic Alignment

The report also provides the following key advice and conclusion:

  • Aspire To Mobile As The Primary Digital Medium for your business.

What does this mean to the consumer and content provider?

  • The Cost Of Convenience Is Privacy
  • Supplemental Material will be needed
  • A voluminous amount of data can and will be captured. How do you define what you need and how do you use the information to create the desired response from consumers.

As I said, if you have been alive in the last 10 years and were involved in the content space, you would know much of this. Still, the report provides a strong case for the dominance and explosive growth mobile devices play in our everyday life. In the not to distant future mobile devices will control and enable a large part of our everyday life – shopping, banking, navigation, entertainment, payment and payment collection, communication, control of remote devices….wait….they already do that today! So if they already do that, imagine the further intrusion or shall I say integration, these ubiquitous devices will have on our everyday experience.That means two things. For the consumer – empowerment and convenience. For the marketer a new and highly intense real-time engagement with the consumer to drive revenue, brand support, engagement and more.

Mobile devices, platforms, and content will be the dominant tool for humanity in the coming years as well as one of the most powerful revenue generating models. From medicine to finance. Finance to entertainment. Supply chain to shopping. From Shopping to, well you get the point. Check out Forrester’s new Report. It has some interesting data points that truly validate this explosive trend.

-DF

Written by David Frederick

July 30, 2011 at 8:51 AM

S Curves Everywhere

If you have ever worked with predictive models and trend mapping you are no doubt familiar with the S curve. The ubiquitous S-curve (also known as the sigmoid function) has long been recognized by economists, technologists, and scientists as a strong tool for understanding patterns. Now professor Adrian Bejan at Duke University, with collaborator Sylvie Lorente from the University Toulouse, has developed an exiting new theory that explains the reason for the prevalence of this particular pattern throughout nature and the man-made world.

Their research shows that this phenomenon can be predicted entirely by recognizing in it a flow. The flow is not by diffusion alone, rather it is a combination of tree-shaped “invasion” by convection, followed by “consolidation” by diffusion perpendicular to the invasive lines. The S curve is not unique: its scales depend on the relative magnitude of the speed of the invading lines and the diffusivity perpendicular to the lines. Tree-shaped invasion covers the territory with diffusion much faster than line-shaped invasion. The predicted S-curve flow architecture unites the designs of spreading flows and collecting flows (e.g., mining, fossil fuel extraction, Hubbert peak) in all the realms of nature: animate, inanimate, and human-made.

Economic trends, population growth, the spread of cancer, or the adoption of new technology seem to follow certain patterns, says Bejan. A new technology, for example, begins with slow acceptance, followed by explosive growth, only to level off before “hitting the wall. Rebecca Henderson – one of my favorite MIT Sloan Professors who is now at Harvard Business School had some very interesting theories and practical models for working with S-Curves when developing a successful product and technology strategy. You should also check out her work as well.

Bejan’s theory, known as the constructal law, uses a large river basin as a visual description of flow systems, growing fast and far, with smaller branches growing laterally from the main channels. It is based on the principle that designs of flow systems develop over time by facilitating flow access — reducing and distributing friction or other forms of resistance.

  • A new technology, for example, after a slow initial acceptance can be imagined moving fast through established, though narrow, channels into the marketplace. This is the steep upslope of the “S.”
  • As this technology matures, and its penetration slows, any growth, or flow, moves outward from the initial penetration channels in a shorter and slower manner.

If your involved in predictive models, product development, technology development or analysis this is a very interesting study and I recommend you check it out. You can get the study below:

-DF

Ref.: A. Bejan and S. Lorente, The constructal law origin of the logistics S curve, Journal of Applied Physics, 110, 024901 (2011); [DOI:10.1063/1.3606555]

Written by David Frederick

July 21, 2011 at 9:49 AM

The Six Steps In Cost/Benefit Analysis

I am always amazed at the confusion, misunderstanding and ineffectiveness of middle and senior management when it comes to conducting meaningful and actionable cost/benefit analysis.

Either the effort is to high level or mired in too much data which ultimately produces inaccurate and non-actionable outcomes.

We all know it’s easy to make an investment decision when the benefits obviously outweigh the costs, but few people understand what really should go into the analysis. So here are six steps to help you produce a meaningful and actionable CBA.

  1. Understand the cost of status quo. You need this to measure the relative merit of an investment against the “do nothing” option. Sometimes doing nothing is the right decision.
  2. Identify costs. Consider up-front costs as well as any in future years. Almost any initiative will have up front cost. Most people get hammered when they fail to consider the upfront costs or hidden costs.
  3. Identify benefits. Ascertain what additional revenue or return will come in from the investment. This is dicey because you need to define an ROI. The challenge is how to define the ROI. Remember, ROI to one constituency may be efficiency. To another it may be revenue. To another it may be market share, etc. ROI is subjective and you will need to consider all perspectives and ROI definitions to truly get a true benefit picture/metric.
  4. Determine the cost savings. What can you stop doing if you make this investment? Sometimes its a trade-off. If we do X, can we stop using Y. That’s another hidden variable that many forget about. If you stop doing Y because of X that cost savings could exponentially increase the benefits of doing the initiative.
  5. Create a timeline for expected costs and revenue. Map out when the costs and benefits will occur and how much they will be. This is critical for two reasons. One, expectations. By having a defined timeline you can align and define expectations of all interested parties. Two, understanding the timeline allows you to plan for the cost and revenue impacts to your operations thus empowering you to better manage and adjust course accordingly if things change.
  6. Evaluate non-quantifiable benefits and costs. Assess whether there are intangible benefits such as strengthening your firm’s position with distributors, or costs such as creating unnecessary complexity. This kind of goes back to point 2. It’s important to understand the benefits from all perspectives including tangible and non-tangible. Benefits or ROI are subjective understanding and accounting for them are key. Defining non-quantifiable benefits and costs i.e. emotional toll, work load, disruption to the enterprise, client or market confusion, etc. can all impact the overall benefit and cost of the initiative. Even if you don’t include these variables in the actual equation, as a responsible leader you should consider these issues in full to ensure you have a complete grasp of the impact on the project and can manage the initiative effectively and productivity to a successful outcome.

I hope you find these tips helpful but remember, when conducting a CBA be careful of data overload. While considering all the data to make an informed decision is important, you need to balance the effort so you don’t end up with paralysis by analysis. The ultimate objective is to make in informed and actionable decision based on a reasonable and responsible CBA.

-DF

Written by David Frederick

July 14, 2011 at 8:47 AM

What Google’s Quiet Failure Says About Its Innovation Health

I wanted to share this interesting article from Michael Schrage with you. Michael is a research fellow at MIT Sloan School’s Center for Digital Business, and is the author of Serious Play and the forthcoming Getting Beyond Ideas. Michael is considered one of the top minds in innovation and I found his recent blog post/article very insightful and interesting. Check it out.

-DF

What Google’s Quiet Failure Says About Its Innovation Health

Let social media mavens debate whether Google+ will succeed as a ‘Facebook killer’ where Buzz did not. I think they’d benefit from a quick look back at a failed innovation Google quietly DNR’ed. It offers a sobering reality check for anyone who believes that great people, great skills, great wealth, a great brand, and a great opportunity invariably lead to great innovation, They don’t. Not even for Google. There’s a valuable lesson here.

Google Health should have become yet another of the super search engine’s high-impact, paradigm-busting successes. All the essential ingredients were there. A huge global market consistent with Google’s espoused mission to ‘organize the world’s information.’ An increasingly info-centric industry rife with inefficiencies achingly ripe for transformation. The chance to bring algorithmic ingenuity, superior scalability, and simpler user interfaces to individuals and institutions overburdened with complication. No dominant incumbents but intense interest from serious rivals such as Microsoft to spur competitive creativity. A controversial and humongous health care reform initiative in America to promote top-of-mind awareness and concern. Literally hundreds of billions of dollars of opportunity.

Rarely do the post-industrial stars align so well for an entrepreneurial enterprise hellbent on market revolution. Between the ongoing digitalization, consumerization, and personalization of health care delivery, Google was supremely well-positioned to have as big an innovative impact on medical informatics as it’s had on mass media. Admittedly, Google Health’s original conception and execution as a ‘personal health records’ portal wasn’t particularly sexy or exciting. But then, that’s what many naysayers had said about search and maps. Google had the skills and resources to iterate its way greater impact. Everyone understood that organizing the world’s health care information was a worthy business ambition squarely in Google’s innovation sweet spot.

The market reality proved sour. Nothing much happened. Barely three years after the service launched, Google announced its demise. Health officially dies in January; all whimper, no bang. By virtually every metric that matters, it’s been a stunning disappointment. The service may not have lost Google much money but, relative to opportunities and expectations, Google Health transformed nothing. No paradigms were nicked or even nudged. Genuinely talented people with top management support and technological brilliance don’t even have the satisfaction of a successful failure. (Google Wave, for example, may have been a market failure but even its critics acknowledged its innovation chops.) One of the world’s most innovative companies didn’t just fail to innovate as a business, it dramatically underachieved even as a technical innovator in one of the world’s biggest, most dynamic, and most important industries. What happened?

Some observers say that regulatory and privacy concerburns deterred participation. Google insiders point out that an internal champion left the company to launch a digital healthcare company of his own. External critics complain Health’s initial user interface was clunky and that the burden of inputting personal health care data was a discouraging bore. Even more damning are accusations that Google Health’s ‘records management’ value propositions simply weren’t compelling enough to command commitment from either health care organizations or individuals. An upgrade last year didn’t meaningfully shift momentum.

No doubt each of these points have elements of truth. But none of these reasons comes close to explaining ‘the why.’ Here are mine:

Google Health failed both as a business and as a product because Google ignored — rather than embedded — the innovation sensibility that made it successful. Google Health failed because it wasn’t designed to deliver the fundamental value proposition that Google has done best. Google Health failed because it betrayed the very Web 2.0 ideals that made it both a technology and market leader. Access to great talent, great tools, great technology and great markets collectively couldn’t compensate for Google abandoning its computational core competence

“A true Web 2.0 application is one that gets better the more people use it,” noted internet infopreneur and publisher Tim O’Reilly, whose team coined the phrase ‘Web 2.0’ over five years ago. “Google gets smarter every time someone makes a link on the web. Google gets smarter every time someone makes a search. It gets smarter every time someone clicks on an ad. And it immediately acts on that information to improve the experience for everyone else. It’s for this reason I argue that the real heart of Web 2.0 is harnessing collective intelligence.”

Simply put, Google Health was never a true Web 2.0 application. Google Health didn’t get better the more people used it. Google didn’t get smarter every time someone made a link or search. Google certainly didn’t ‘immediately act on that information’ to improve the Google Health user experiences. The real heart of Google Health certainly wasn’t a harnessing or harvesting of ‘collective intelligence.’

Contrast that with the ongoing success of Google Maps and Gmail. For an even more compelling case, look at how Android — formally launched after Google Health — and its Open Handset Alliance evolved. Android was a true Web 2.0 innovation platform in every way Health was not; Android enabled a true Web 2.0 innovation ecosystem in every way Health did not. Android was predicated on empowering Web 2.0 user experiences in almost every way Health did not. Indeed, where were the Aetnas, Kaiser Permanentes, and British National Health Services in adding ongoing value to the Google Health experience?

Web 2.0 innovation isn’t just about who uses the application, it’s about who is trying to make it better. Because Android truly embraced and embedded the Web 2.0 ethos, Google was able to do for handset manufacturers what it proved unable to do for health care companies. Google Health never became an innovation ecosystem where users, usage and partnerships combined to continuously create new value. It didn’t have the Web 2.0 heart for it.

But the very reasons for Health’s failure help explain why Google+ deserves all the attention it’s been getting. Social media platforms like Facebook can’t succeed unless they, too, honor the commandment to creatively harness collective intelligence. Google’s renewed efforts to compete with Facebook force it to revisit its most fundamental Web 2.0 innovation sensibilities. Google’s future health depends on learning the right lessons from Google Health.

Written by David Frederick

July 13, 2011 at 12:11 PM