Insights into how technology and the outsourcing of R&D are changing the software industry

…or at least July 2010.

With the announcement of the Open AXIS Group a few weeks ago there’s a lot of questions about the eventual role that it will play in setting messaging standards. Will it help move the industry forward or will it simply result in a fragmentation of messaging frameworks (vis-a-vis OpenTravel) that slows the industry down?  In the end, it’s up to the industry to decide.  So far it sounds like the Big 3 GDS’s want a single framework but haven’t made any official pronouncements on how they feel just yet.

But don’t wait for them to have your voice heard!

This blog, in coordination with Tnooz and Ness Software Product Labs has created a survey to find out what you think. Please take 5 minutes to fill out the survey.  The survey closes out at the end of the month.

We’ll be posting results in another week or so in Tnooz in a follow up to the original story.

Two different announcements from Google came out last week with regard to their Android platform and taken together seem to indicate that they don’t care quite as much about their developer partners.

First was the announcement of Google’s App Inventor which puts app development in the hands of virtually everyone.  This would seem to not only diminish the relative value of the development skills that people have been investing in learning the ins and outs of the Android platform over the past year or two. And it would seem to contribute to an increased of low-quality apps that already seems to pervade the Android store, at least in comparison to those found on Apple’s App Store. I’m pretty sure that’s not a good thing.

The second item came from Google’s earning call when Jonathan Rosenberg, Google’s SVP of Product Management said: “I think the most important thing beyond the growth [of the Android ecosystem] is that the most popular app is a browser.”  Rosenberg also noted that search on Android devices grew 300% in the first half of 2010. But monetizing mobile web properties is harder than monetizing apps.

So that tells me a few things. One Google doesn’t really care as much about app growth and still sees search as the key element of its mobile strategy.  But apps are theoretically how developers get paid.  Taken together with numbers quoted on how many dollars have been paid out between Apple and Google through apps it seems to me that if I were considering where to put my development efforts, I would be less interested in developing on the Android platform.

Do you agree with my point of view? Are you putting more resources behind iOS development, Android or some other platform (e.g. RIM or WebOS)?  Let me know.

There were several stories today on TechCrunch about upcoming tablets as well as several…shall we say curious…statements from Microsoft executives at their Worldwide Partner Conference in the nation’s capital.  I find much of the conversation and posturing from vendors and pundits interesting and incredulous at the same time.  Sometimes I’m not even sure if they know what the game is that they’re playing.

From a media perspective it seems to come down to whether you’re an Apple fan or someone who wants to see Apple knocked down a few pegs.  I mean one of the dumber comments I’ve seen was by Inc.’s Renee Oricchio who when comparing a proposed Droid tablet to the iPad asked:

“Who’s more business oriented? Do you really see the UPS man having you sign for a package on his iPad? Hmmm… But, I bet you can see doing it on an Android pad. I can. I can see the UPS man using a mashup app between Google maps and his delivery route data, even Google calendars.”

Is there inherently anything different about an Android-based tablet that could possibly make this statement true? Did I miss where you can’t access Google Maps or Calendars on the iPad or where those services couldn’t be built into an app or via a HTML5-based site. I didn’t think her other points made any sense either.

Anyway, not that anyone’s asking me, but I’d suggest that tablet vendors follow this advice:

1. If it’s not shipping within the next 6 months, shut up. Earlier this week there was an “announcement” of sorts from HP about a flexible tablet based on the WebOS from the recently acquired Palm. Personally I think that WebOS is a great platform and that it provides HP a chance to really own the corporate tablet market. But as someone who owns a Palm Pré, just focus on taking the OS to the next level and get out a new phone and the Slate before you start talking about something that won’t ship for 5 years.  Another example of getting too far ahead of yourself was the Microsoft Courier. When it was first introduced it seemed a dream device, and perhaps most notably a very-non Microsoft-like. It seemed like a sure fire hit…except that Microsoft killed it a few months ago and we’ll never know. But of course none of that stopped Microsoft CEO Steve Ballmer from telling the world that he’s hardcore about tablet computers at WPC 2010. Ship something…please.

1. Do not focus on specs. It’s a race to the bottom, not the top. This is the classic mistake that many tech companies make, often borne out of a lack of any real differentiation. It’s also the easiest thing to get “beat” on by the next product the competitor releases. Besides, so many companies use the same components and it’s difficult (if not impossible) for customer to really understand what impact the difference in specs really has on the performance and quality of the product they bought (didn’t we learn this about processor clock speed?).  Author Steven Sinek’s latest book “Start with Why” premise is that best, most profitable companies with the most loyal customer base are those that don’t focus on what they do (focusing on product specs) but have a very clear vision, understanding of “why” they created their company and the products they make flow from that vision.

1. Keep usability front and center. This is the flip side of the spec issue. It’s amazing to me that companies learn the lessons of why different mobile devices have succeeded and others have failed. The success of the first Palm Pilot was its simplicity. There were 4 buttons on the device, built around a customized operating system and the apps worked well.  On the other hand, there’s Microsoft’s Windows Mobile OS. Microsoft proffered this shrunken version of the Windows desktop operating system that was ill-suited to the medium, putting the importance of extending the Windows franchise ahead of the needs of the customer.  Well it worked so well that Microsoft finally had to shed the Windows moniker for the launch of Windows Phone7 this fall.

Yet usability is what’s been behind the success of the iPod, iPhone and now the iPad. Neither of the first two products were first in the market, but they redefined the category and thrust Apple into the American consciousness as never before. The iPad is often ridiculed as a giant iPhone or a device for your Mom, but the execution is excellent and it’s the elegance of the interface, designed for the medium has been the key to the success of the device and Apple’s ability to define the segment – so much so that everyone else on the planet is rushing to join the party.

1. The characterization of the iPad as a consumption device is a false argument. I’m not sure that I can’t count the number of times I’ve heard this repeated. Nor do I necessarily believe that it’s true (at least compared to other similar devices) or whether or not it matters.  There’s no debating that many of the apps that were featured in the launch were consumption based, but considering apps like Documents to Go by DataViz, Evernote, OmniGraffle, Wordpress, twitter apps, I just don’t believe it’s true.  And that’s not considering the fact that we’re looking at a product that’s only been in the market for just over 3 months so the best apps are still in the future. And it’s clear that iMovie for the iPad (just released for iPhone4) is in the very near future.  And if you look at this video, I’d like you to tell me that you can’t create on the iPad with a straight face.

1. One last thing…if your tablet requires a stylus, you’re doing it wrong. Bill Buxton from Microsoft Research recently declared at WPC “A device without a stylus is like chinese food without chopsticks”, meaning that their new tablet concepts are going to use a stylus…something not considered on the oft-praised, but not to be released Courier. When will they learn.

Well I’m back from vacation and I hope everyone had a great 4th of July weekend.  So what happened last week? Let’s see:

1. The big news of the week is that finally, Google buys ITA Software for $700M. Here’s some “expert analysis” via Tnooz that somehow includes me.
2. Rumored last week, a new airline standards group called OpenAxis emerges, rallying around Farelogix messages. As they are also proposing XML-based messaging schema, I’m not quite sure how technically this will differ from OpenTravel. They say that perhaps they will be more agile and move more quickly than OpenTravel, but it’s easy to say when you have only a few founding members. Let’s see if they create traction and whether they can remain agile once they reach any sort of scale as an organization. As an aside, and maybe I’m dating myself, but any group that has “Axis” as part of their title makes me feel uneasy (see WWII). I’m not making any comparisons, I’m just sayin’ I might have chosen a different name. Perhaps Valyn will license the Captain America imagery for OTA
   

   Image Credit: Marvel Comics

3. If you’re going Cloud, having a billing engine that supports granular metering, pricing and billing is critical.
4. RockCheetah founder, Robert Cole’s presentation on Mobile Distribution from the HITEC conference.  Other than a few quibbles on slide 18 (in my view the walled garden on searchability is more about security of personal information than control, e.g. Facebook; Apple doesn’t block AdMob ads, just collection of personal information), a very good overview of the intersection of travel and mobile.
5. Via Tnooz, 4 Vital Social Media Tips for the Travel Industry. The most important thing to note is that the 4 steps happen in exact opposite order for the buyer versus the seller.
6. Not only does it appear that the Google-ITA Software deal has hit a snag, it seems that other potential suitors have coming knocking on the doors in Cambridge [Update see article #1. Always hard to prognosticate].
7. YouTube says that it still sees Flash as an important part of their distribution, but unlike how it’s been reported in some places, it’s not because of the video CODEC, but because of the granularity of control that the player provides.
8. Timothy O’Neil-Dunne tells us what we already know – travel websites leave a lot to be desired by the consumer – but gives some good context as to why. The question is whether the people who run the travel websites will ever do anything about it.
9. Good post on CloudAve about the disservice that many engaged in the Public v. Private Cloud debate are doing for the industry. I’ve commented on the post itself.  Take the time to watch the embedded video of Amazon Web Services CTO, Werner Vogels’ keynote at last week’s Structure 2010 conference put on by GigaOM.
10. Great article, bad news. Harvard Business Review talks about the problems being faced by the VC community (and by extension entrepreneurs) and the coming VC shakeout

Last week I presented on a webinar alongside PhoCusWright analyst Bob Offut, entitled “Travel Innovation and Technology Trends: 2010 and Beyond”, sponsored by my company Ness Software Product Labs.  I’m providing links to both the PDF of the slides and the replay of the webinar via WebEx below.

In the webinar, Bob talks about the Top 10 travel technology trends, based on PCW’s report that came out in March (subscription required).  Then I pick up at the 45:00 mark (slide 81 in the PDF) to discuss the impact of Cloud Computing and Mobile on the travel industry. Some highlights from the presentation:

• Cloud Computing and Travel
  • Watch out for Cloudwashers. There are a lot of people who are either trying to prey on those still confused about Cloud, some of which are purposefully obfuscating their solutions to cash in on the trend.
  • Cloud can be an important part of a modernization strategy, but isn’t an end in and of itself. Evaluate the “Six degrees of Modernization” and think about how Cloud can fit within the direction you chose.
  • The Public v. Private Cloud debate is interesting, but it’s not necessarily and either/or proposition. Private Clouds do lack certain attributes and benefit of Public Cl0uds, but think of the difference as an evolutionary process, not alternatives.
  • Moving to the Cloud requires a change in perspective from mere software development to a systems engineering mindset.
• Mobile and Travel
  • Mobile Devices are Becoming the Center of Traveler Interactions
  • 5-step Framework to a successful mobile strategy. Understanding the use cases of your customer and the role that you want mobile to play in their overall experience with your brand is critical.
  • Determining whether you want to take an mobile web-oriented approach or an app-oriented approach, and what platforms/devices your target customer is likely using make a big impact on the technology choices you make.

Anyway, enjoy the presentations. I had a good time and I hope you find the information interesting and useful.  Please let me know what you think. Contact me directly  or add to the conversation in the comments.