The culture-celebrating hijinks continue at Yahoo, it seems.

After free food and smartphones and even dressing up as a Yahoo purple banger, CEO Marissa Mayer now has a high-ranking exec dancing for employee enjoyment.

As part of an effort to improve participation in the annual Yahoo Employee Satisfaction Survey (YESS), Mayer instituted a punishment for the lowest participation rate of any division on her executive staff.

The culprit turned out to be Jackie Reses, EVP of people and development for Yahoo, which includes the unlikely combo of human resources and business development.

Thus, Reses apparently had to dance to the hit K-pop song “Gangnam Style” with her staff at the weekly FYI employee meeting at Yahoo’s Sunnyvale, Calif., HQ on Friday.

Despite having a rep as an intense New Yorker, said one employee, Reses has some “decent moves.” Others agreed.

Also decent was one of the top results of YESS, which showed that employee belief in the future vision of the company was up 32 points year over year.

That’s not a big surprise, given the upward trajectory of Yahoo’s shares of late. But, more to the point, it has a weak comparable in last year’s survey, which painted a picture of a deeply demoralized workplace. That’s because the 2011 YESS questions went out to employees the week that the company fired CEO Carol Bartz, with most of the responses gathered in the ensuing weeks.

Despite the improvement, this year’s YESS also still showed a lot of worry about whether Yahoo leadership can execute, and whether the company can achieve strong results over the long term.

[UPDATE: One reader said the Yahoo survey is now called YEES, the Yahoo Employee Engagement Survey. I could not determine if that name change had been made.]

That’s the question that at least one Wall Street firm was asking, in a downgrade of Yahoo stock today. In dropping Yahoo’s rank to “market-perform,” Sanford C. Bernstein analysts noted worries about its turnaround efficacy, a possibly jarring reorg of its advertising unit, and also whether the future sale of its assets in China’s Alibaba Group can save the day again, as it did for last quarter’s results.

“We think there may be upside from an eventual Alibaba IPO at a valuation much higher than $50B or a Yahoo! core turn-around, but it is hard to have high conviction in either given the facts we currently have,” said the report, in part. “In addition, there is manageable but real downside risk: reorganization (e.g., of the sales force) could be negative for revenues, management could decide to invest in growth now and cut excess later, and MSFT RPS guarantee could expire without a renewal.”

Those are all good questions for investors to ask, of course, although more have been caught up in the hype/hope ahead of actual performance gains.

Still, it’s no sweat to get caught up in digital execs being made to trip the light fantastic for their weak results. So, since I was not there to enjoy Reses’ performance, click here for an also fun-tastic JibJab Gangnam video I made of her.

iPad Mini is the future … it’s the future until May, at least. Probably more like the end of May. Or, more than likely, June. iPad Mini is, now, the future, until then.

– From John Elerick’s BANNED iPad Mini promo (spoof video)

New Yahoo CEO Marissa Mayer took to the stage today at the Silicon Valley Internet company’s URL’s Café on its Sunnyvale, Calif., HQ campus to outline — in very broad strokes — her plans for the future.

Very broad, as it turned out, and full of corporate bromides that many in attendance said were very well delivered by the former Google exec.

What she did not show, although Mayer had promised “an act of radical transparency”: Highly specific plans for overhauling search and email, as well as an in-process and dramatic home page redesign. She also said little about what she is going to do with Yahoo’s recent cash haul from its sale of part of its stake in China’s Alibaba.

Instead, it was big picture all the way, with a lot of small details. (It also bears a strong resemblance to plans once pushed by former product chief Blake Irving.)

First and perhaps most importantly, Mayer tried to answer that age-old question of what Yahoo was/is/will be.

Apparently, to Mayer, Yahoo is a company that excels at personalization in its various arenas, from email to content to advertising.

Her goals: To grow users and usage, as well as advertisers and talent, using personalization.

How Mayer was going to do this was a lot more squishy, but her strategy bullets included:

• Yahoo becoming a part of users’ everyday routines.
• A focus on core competencies (whatever that is!).
• Being friendly to partners across a range of companies from mobile carriers to social networks to hardware makers.
• A focus on shifting Yahoo’s platform to mobile.
• An emphasis on thinking big and at scale, which Mayer called the “Rule of 100 Million.” It presumably means attract that much of an audience to various products going forward.
• And, of course, a new push to move faster and take ownership for your work.

Mayer spent a good amount of time talking about this, as well as getting away from what one person described as “consensus culture” and taking too much time to get products out the door.

Increasing feedback loops was also important to Mayer.

If it all sounds a little Tony Robbins, it is, especially Mayer’s focus on what she called the “4 C’s” for talent at Yahoo.

They are: Culture, company goals, calibration (I have no idea what that is, frankly) and compensation.

Yahoo, I am sure, liked that part, although to get more of that, Mayer needs to probably paint a much more specific plan for investors to get excited about.

Yahoo is preparing to begin layoffs of what could be thousands of employees starting next week, according to multiple sources, and is then expected to announce a new restructuring of the company the week after.

The swirl at the Silicon Valley Internet giant has grown more intense this week, as new CEO Scott Thompson has brought in top management for a series of meetings both Tuesday and Wednesday to outline the plans.

What has emerged — although sources noted that Thompson and others communicating the pending changes said nothing was yet set in stone — is the picture of a drastically slimmed-down organization with a focus on media, advertising and new but unclear “future” initiatives.

First the layoffs: Sources said the cuts will be deep and mostly aimed at the product, research and marketing units of Yahoo, which are likely to take place Wednesday. The ultimate goal, said multiple sources, is to cut many thousands from Yahoo’s staff of close to 14,000 employees, which is actually much larger, due to contract workers not officially in its roster.

The entire cut will not take place at once, said sources, since Thompson and others are still trying to figure out how to dispense with its ad technology org and, potentially, its search business. He has been in discussions with both Microsoft and Google about this, although there are other possibilities, too.

Both these parts of Yahoo together have about 2,500 staffers, whose fate is not yet sorted out.

Also still baking is the new structure, although sources said it is most likely to be comprised of a global media division, one that encompasses Yahoo’s communications and search businesses, and ones focused on global and also regional sales. There could also be a small organization of about 50 aimed at future innovation.

Americas head Ross Levinsohn is the likeliest exec to run the media arm, while Shashi Seth — who now heads search and marketplaces — would be the obvious candidate for the the communications/search one.

Thompson has already been conducting a search for a new worldwide sales head, although one possible internal exec for the job could be Rich Riley, who was recently running Yahoo’s Europe, Africa and Middle East region.

It is not clear how Chief Product Officer Blake Irving fits in the possible new org, since much of the development could now move to the decentralized units.

Some current operational execs — such as service engineering and ops head David Dibble, CFO Tim Morse, and top lawyer Mike Callahan — are likely to continue to operate as before.

Thompson, along with consultants he has hired from the Boston Consulting Group, presented the possible plan in front of Yahoo’s senior execs on Tuesday. That was followed by more meetings with a wider range of top management yesterday, although Thompson was not as highly specific in these meetings.

In fact, according to a half-dozen sources, Thompson apparently grew somewhat testy in one of the gatherings, when asked if there was a strategy he was going to announce in more detail to the group.

(Dear Scott, these are very talented employees who love the company and who have been through the wringer and it’s not their fault that leadership has failed them, so it might be a good idea to treat them with as much respect as possible right now.)

More to come, obviously.

It began: “Yahoos: A lot has happened since I last talked to you.”

You can say that again!

Yesterday, Yahoo CEO Scott Thompson sent out an email to the troops in what appears to be an attempt to soothe the company, which has been under a lot of stress, including more high-level exec departures, board changes and more. More importantly, the Silicon Valley Internet giant is nervously waiting for a restructuring expected to hit within weeks, and also has been unnnerved by Thompson’s aggressive legal attack on one of its key partners, social networking site Facebook.

Unfortunately, the memo didn’t say much, except vaguely but definitively referencing that even more tumult was coming.

After noting that he had been making a “deep dive” into the company after getting there at the beginning of the year, Thompson said that he was focused on “what makes Yahoo special and what doesn’t work.”

The plan then? To get the company to be “aggressive and lean forward,” because “real change is coming.”

Rut-roh.

(In a related move, but not noted in the memo — which several sources said was linked to all the uncertainty around the expected restructuring and also high costs — Thompson also cancelled Yahoo’s annual global sales meeting, which was to be held for about 1,300 advertising staffers in Florida later in the month.)

“We are moving as fast with real urgency to move back to Yahoo playing offense once again,” said the Thompson memo, which was read to me by several sources, because of increased worries about the company once again hunting for leakers.

(Apparently, like his predecessor before him did unsuccessfully early in her tenure, Thompson is on a yet another pointless hunt for those who talk to outsiders. Memo to Scott: Yahoo is an online media company and not a pay-for-that-used-iPad-on-eBay outfit and the peeps there like to share.)

Back to the memo action. “Were are fundamentally rethinking every part of our business and looking at all options to put maximum effort where we can succeed,” wrote Thompson. “I’m putting tons of pressure on my leadership team … so we can move faster and more deliberately.”

He added — and the bolding is his — “the changes we make will not be incremental ones. We will make bold, fundamental changes to what we do and how we do it.”

After properly freaking the Yahoo staff out — with everyone trying to grok exactly what that meant in terms of their jobs — Thompson then went into three core things the company was going to focus on under his rule (more bolding!):

“1) Focusing intently on those parts of the business that have a competitive advantage.

2) Liberating all of us to work faster and make better decisions.

3) Thinking really creatively about how to build new businesses that leverage our trusted relationships with users.”

Those will be applied, wrote Thompson, to five key parts of Yahoo: Its core business (such as the homepage and news); platforms (such as its cloud services and Yahoo Publishing Platform); data (which Thompson said was the “single most underrated, underappreciated and underused asset, also calling it a “cornerstone for the next generation” of Yahoo); international; and an amorphous thing he called “our future.”

About that, Thompson said Yahoo would “go beyond simply protecting our core assets … we will more than just tweak what we have today … to innovate, acquire and disrupt outside our core.”

Then, without giving any specifics at all, he noted that it’s as “important to know what we’ll do as how,” before launching into three “core principles” for the company, which were all in bold caps (this dude loves punctuating, which I can appreciate!).

They are:

“LISTEN, UNDERSTAND AND PUT THE CUSTOMER FIRST.

GET STUFF DONE.”

(Thompson also underlined “listen,” as well as bolding it, in an orgy of key-shifting.)

“I learned early in my career that innovative concepts without execution are of no value,” he then said, in a classic business-bromide tone. “The Yahoo of the future has to be the organization that consistently surprises the world by how much we get done and deliver to our customers.”

The letter did reference the patent-infringement lawsuit with Facebook at the very end.

“I want to point out that this lawsuit has one simple purpose: Protecting valuable assets of the company and its shareholders,” Thompson wrote. “Others have respected and have licensed our valuable innovations and Facebook must too.”

Thompson ended by noting that “my door is open.” It will be interesting to see who has the guts to walk through it today.

Mr. Kaku, who is 65, enjoys making predictions. In his latest book, “Physics of the Future,” which Anchor released in paperback in February, he predicts driverless cars by 2020 and synthetic organs by 2030. If his forecasts sound strange, Mr. Kaku understands the skepticism. “If you could meet your grandkids as elderly citizens in the year 2100,” he offers, “you would view them as being, basically, Greek gods.” Nonetheless, he says, “that’s where we’re headed” — and he worries that the U.S. will fall behind in this technological onrush.

Read the rest of this post on the original site »

To many investors, visionary entrepreneurs come off as naïve or worse — isn’t it safer/easier/more profitable to create a(nother) social network for cat fanciers than to try to cure cancer, defeat terrorism, or organize the world’s information?

– Bruce Gibney, in a post on the Founders Fund Web site entitled “What Happened to the Future?”

At this point — remember, less than 20 years after the ads ran — you’d really have to be a quibbler to argue with any of the forecasts. (Yes, no one Skypes from phone booths, but that’s really because no one uses phone booths, and you can do it from your iPad, anyway.)

If you’re old enough to have a hazy memory of these ads the first time around, the fact that the former future is now present tense might really give you pause. You know, if you were so inclined.

UPDATE: As Richard Raucci notes, the spots were directed by David Fincher, pre “Fight Club” and “The Social Network”. And Terry O’Gara, who worked on the music for the ads, has a fascinating look behind the scenes, with some thought-provoking perspective about sound + vision.

Bonus really, really old video!

“If you look at the ridiculous acceleration of iPhone hardware and technology, trying to find a sweet spot for tech to make your mobile game,” Capps told IndustryGamers, “I mean, what would your mobile game look like in 2015? Who knows how fast that’s going to operate, but you can bet it’s going to be faster than an Xbox 360. I think that’s the real challenge for us now, rather than worrying about the difference between a couple consoles and some order of magnitude, whether 3X or 4X. It’s about how do we deal with iPhone 8. … If you watch where the gamers are going, that’s where they are. Your iPhone 8 will probably plug into your TV, or better yet, wirelessly connect to your television set to give you that big screen gaming experience with good sound. So really, what’s the point of those next-gen consoles? It’s a very interesting situation to be looking at. That’s what we’re starting to think about more … not how do we scale from some Nintendo platform to some other future console.”

An interesting observation, coming as it does on the heels of similar remarks from EA CEO John Riccitiello, who last week described the iPad as the company’s fastest growing platform.

Nokia has already announced the key piece of its strategy–a shift to Windows Phone for future smartphones. Now the company is set to talk about the financial implications of that and go through the rest of its strategy, which includes a mix of Symbian and even a dash of MeeGo.

The investor event is scheduled to start shortly and due to run until about 2 pm London time. Mobilized will have live coverage, providing our battery holds out. I’ll try to mention only the high points, however. Mobilized loves numbers, but it is awfully early for a whole lot of financial speak, especially for the U.S. insomniacs tuning in.

12:02 pm: Still waiting for things to get going. But if you really want something to do, we have plenty of earlier coverage, including the press conference and the YouTube video of Microsoft CEO Steve Ballmer and Nokia CEO Stephen Elop, as well as a chat with Elop on how he made his big decision.

12:05 pm: Okay, things are getting going as Elop takes the stage (the same one as the earlier press conference.

12:06 pm: Elop is reviewing things. Lots of talk of both challenges and gems. If you read his memo, or anything else he’s said recently, you have heard this.

Battle of devices to war of ecosystems, etc. Mobilized has this part memorized.

12:09 pm: Smartphone strategy is just one piece.

Reviewing the three alternatives that Elop considered–MeeGo, Android or some partnership with Microsoft.

As for Google, Elop says it is the case there are some advantages for that approach.

“There’s something happening there. There’s no denying that.”

However, Elop says the company was worried it would be late and be just one of many, and was not sure how it could leverage assets like its Navteq location-based services.

“Our sense was differentiation could be a pretty big challenge,” Elop says. “The risk for commoditization would increase dramatically.”

Feels profit would have eventually moved to Google, with handsets becoming a commodity.

“It felt a little bit like giving up and not enough like fighting back,” Elop says.

12:12 pm: As for Microsoft, Elop says both companies are bringing something to the table.

As expected, Elop is characterizing this as more strategic than just taking a license to Windows Phone. Talking about Nokia services like mapping, local advertising and other things that Nokia can bring to the table.

“It’s far more interesting than a simple licensing deal,” Elop says. This was the only strategy that makes it a three horse race with Google and Apple.

Elop says he is convinced that Nokia will be able to differentiate within the Windows Phone ecosystem on a sustainable basis.

12:15 pm: There were some challenges and potential disadvantages, he acknowledges.

Top among these is the fact that Windows Phone 7 is new on the market.

“It’s early,” he says. “Will it succeed?”

12:17 pm: Also, there is the issue of being locked in or a lack of control. Elop does not disclose terms but says the company has flexibility and “substantial control” over the future of the ecosystem.

“This is not your mother’s OEM deal with Microsoft,” Elop says.

12:17 pm: Elop says the deal is at the “term sheet” stage, noting that the companies have yet to sign the “definitive agreement.”

12:18 pm: Already the engineers are working through, and Elop says this deal will allow Nokia to move far faster than it has in recent years.

12:18 pm: He’s also making the cost-saving argument, saying Nokia can focus its investment, which he acknowledges hasn’t been getting the return it should.

Elop earlier acknowledged that the company expects significant cost savings from the move as well as substantial workforce reductions.

“Bottom line: Products that are more competitive,” he says.

12:22 pm: Operators are excited by a third viable option, Elop says.

“A two-horse race is not a satisfactory [situation] for operators,” Elop says.

Elop says that Microsoft-Nokia will be operator-friendly, as compared with Google and Apple.

12:24 pm: Elop talking about differentiation–a key concern of analysts and investors.

Elop talks about Windows Phone as offering differentiation form Apple and Google, but also insisting that Nokia has the assets and business terms it needs to stand out from other Windows Phones. He focuses on camera technologies and “unique relationship.”

Stresses again that this is not a standard handset maker agreement. But he also says that just because Nokia can change lots of things within Windows Phone, doesn’t mean it should.

Nokia, he says, must “resist the temptation to customize just for the sake of customization.”

12:27 pm: Now talking about Symbian. For those that missed it, Elop reiterates this is a transition strategy, but adds that the company still expects to sell 150 million more Symbian devices before that transition is complete.

12:29 pm: Strategy is more than just smartphones. He wants the company to be a leading force in connecting the next billion people to the Internet via phones in emerging markets. “The market for feature phones is pushing down the price curve and that is an opportunity for Nokia.”

Nokia will do incremental work in that area–things like Nokia Money for people that don’t have a bank account or telephone. Another, Nokia Life Tools, helps connect, say, farmers to market information.

This area is still a target for innovation, he says, but it also faces competition from Chinese-made phones based on MediaTek chipsets.

Elop says that the company must also plan for the future so that it can be disruptive down the road. “As they say in Finland, it is time to shoot ahead of the duck,” he says.

That’s where MeeGo comes in–the mobile version of Linux that until recently was seen as Nokia’s future. Nokia said that team will ship a phone later this year and then see where the future is headed.

12:35 pm: Want to point out this New York Times article that said both Google and Microsoft were offering hundreds of millions of dollars in engineering and marketing support in order to woo Nokia.

12:36 pm: Elop now talking about cost cuts, including significant job reductions.

“We are not announcing how many and in what country,” Elop says, but adds that the company wants to move quickly on that front.

He says that he has made changes to the business to ensure speed, including leadership structure changes aimed at ensuring accountability. “If things go well today, I’ll be the CEO.”

Of note, the two of the three business unit leaders are women–Mary McDowell, who will lead lower-end phones, and Jo Harlow, who will head the smartphone business.

12:40 pm: Nokia looking for a new leader for its services and developer division. The acting head is Tero Ojanpera, but he will soon be looking for other opportunities within Nokia, Elop says.

Also of note, Louise Pentland, who is head of the legal and intellectual property unit, is being elevated to the top leadership team.

“We have one of the strongest patent portfolios out there” he says, adding that he would encourage all players to take a license to said patents. (hear that, Apple?)

New leader of North American sales unit to be named in coming days.

“We are creating a different industry,” Elop says in closing his introductory remarks.

12:44 pm: Elop Brings on CFO Timo Ihamuotila to go through the numbers.

12:46 pm: Ihamuotila acknowledged Nokia didn’t meet the targets it had set out to achieve at its last financial analyst day.

“Our execution did not cut it.” he says.

12:49 pm: Ah, Now on to the good stuff. CFO talking financial impact from Microsoft deal. Says should be good over the long term.

Slide shows royalty payments to Microsoft causing lower gross margins, but says sales and marketing support from Microsoft should lower operating expenses.

“We will receive substantial go-to market support from Microsoft,” he says, without giving numbers.

12:52 pm: Ihamuotila talking now about the company’s long-term targets for devices and services period “after the transition period.”

Device sales to grow faster than the market, with operating margins of 10 percent or more–but this is only after the transition period, which the company has said could last this year and next.

Significant uncertainties in this period.

Ihamuotila shows a slide showing Symbian sales slowly giving way to Windows Phone with lower-end mobile phones remaining about half of sales.

12:57 pm: Ihamuotila shows chart of how it expects to cut R&D with the company investing less in services, more in entry-level phones and far less on MeeGo, though still some. The investment in Symbian will be replaced by a far lower investment in Windows Phone R&D. Overall, R&D should be a fraction of what it was.

1:02 pm: Over long term, Ihamuotila says that the Microsoft deal should help significantly boost the company’s Navteq navigation business.

“We think this new strategy is the best way to maximize long-term value, both to our shareholders and to other stakeholders,” Ihamuotila says.

On to Q&A for financial analysts.

1:03 pm: Question on how Nokia will keep employees motivated, something else and when to expect the first Windows Phone.

“Thanks for the one question” Elop quips, before addressing them in turn.

Elop says that the key is on focused innovation so they see the fresh opportunities (at least for the ones who don’t get cut by the large workforce reductions also promised).

He also pointed to his sharply worded memo, which he said was designed to convey the message that “Here is the truth, we’re making decisions and we’re moving forward.”

Won’t give date on first Windows Phone, but says again that the move will allow a substantially faster pace than the company was on with Symbian.

1:07 pm: Elop is asked about some of the challenges with Microsoft and Nokia each responsible for different pieces of software and services, as opposed to Google and Apple, where things are more integrated.

“We wanted to drive operational simplicity,” Elop says, adding that the companies talked about other arrangements, though not a full-on acquisition. The companies, Elop says, decided not to go with the operational complexity of a joint venture.

1:10 pm: Elop says Nokia has opportunities to differentiate from other Windows Phone devices, but adds it is in Nokia’s interest for there to be other strong handset players supporting Windows Phone.

“We’ve got to make Windows Phone successful,” he says.

Nokia’s mapping technology, he says, will benefit rivals like Samsung and HTC. “We’re willing to make those trades,” Elop says.

1:11 pm: Elop is asked why he feels comfortable with a “bet the farm” strategy on Microsoft, a company he clearly knows well.

Elop points out that it was harder to see how Microsoft would rapidly be successful without someone like Nokia.

“But this is now different,” he says, adding that this is now an ecosystem that Microsoft and Nokia are jointly helping to build.

Mapping and local advertising were not part of the ecosystem before the Nokia-Microsoft partnership.

As for impact of the transition, it’s hard to say, Elop says. Symbian is strong in some places where Apple and Google are present today.

1:14 pm: Asked whether Nokia will remain profitable during the transition. “It’s hard to say financially, and I am not going to provide any further specific guidance.”

1:17 pm: Elop won’t say when the first Windows Phone will ship, but lots and lots by next year at various price points.

“We’ll be shipping in volume in 2012,” he says.

1:20 pm: Another two-parter! 1) Why will Symbian be supported if it is transitioning away? 2) Why does Nokia think it will be able to have double-digit operating margins using someone else’s platform?

Elop: They recognize Symbian is key to Nokia being able to transition, but he agrees that consumers will have to want the Symbian phones Nokia builds. CFO also notes that less than half of Symbian phones are sold through carriers.

As for question on margins, CFO says the company has opportunities for higher margins around services and advertising.

1:23 pm: Asked about how the company is confident Windows Phone can get to lower prices, Elop says that was a key consideration, down to which chipsets will be supported, etc.

Between the two companies there was a lot of work to get a high degree of confidence.

“That was a critical evaluation,” he says.

That said, Elop agrees there is a smartphone market below Windows Phone that Nokia will manage with an evolution of today’s Series 30 and Series 40 operating systems.

1:31 pm: Elop: Some of the hardware designs that would have run MeeGo or Symbian will be repurposed for Windows Phone. Some devices may come out with similar models for both Windows Phone and Symbian.

1:32 pm: Question again on who pays whom in Microsoft-Nokia. Is there a lump payment from Microsoft?

Elop doesn’t answer and instead refers to slide that shows opportunities on both sides. Saying value going both ways. As for Microsoft’s payments, “That is a significant part of the conversation,” Elop says.

1:35 pm: Two good questions: Can Windows Phone be put on any current devices? What happens to QT development layer that Nokia bought and had sought to unify developer approach?

Elop: It’s not as simple as plugging in and downloading on to current phones, though some technologies can be repurposed.

QT continues to be the development for Symbian and lone MeeGo device. Also could have a role on low-end devices.

However, Elop says, “We are not proposing a QT on Windows Phone” approach. Adding another development environment could fork the ecosystem, which is not good for Nokia or Windows Phone, he says. Development environment for Windows Phone will be Silverlight and XNA–Microsoft’s current tools.

1:38 pm: Asked about branding, he says in some cases you will see both Microsoft and Nokia brands. Examples could include Nokia Search powered by Bing or Bing maps powered by Nokia, though he says those are examples and not final choices.

1:39 pm: Asking about tablets, questioner points out that Nokia had an early lead in tablets, but Apple “stole the show.”

“We are not announcing today a specific tablet strategy,” he reiterates, saying that Microsoft creates opportunities.

Elop notes that there are rumors of Windows Phone and Windows that could power tablets.

“We could do that,” he says. “We might do that.”

Also an opportunity for Nokia to step back into the game using its own software.

1:41 pm: Elop wrapping up.

“We have set a new course for Nokia,” he says, adding that despite what has been written, Nokia is still an incredibly powerful company, though perhaps not in North America. “Today we are diving forward” he says. “We have a strong partner in Microsoft who is incented as are we in making this successful.”

Investor guy closes by reminding there were forward-looking statements. He’s still going as people leave the room.

COMPLETE COVERAGE:

• Nokia’s Stephen Elop Talks to Mobilized About the Big Microsoft Deal (Video)
• Massive Layoffs Expected at Nokia
• Nokia’s Microsoft Partnership: Does the New Strategy Add Up?
• Live From the Nokia-Microsoft Press Conference: It’s a Windows Phone World After All
• More From Nokia: Forecast Gets Cloudy, Plus Expected Executive Changes
• Nokia-Microsoft: What Steve Ballmer and Stephen Elop Have to Say in Their Joint Letter
• Nokia Confirms Microsoft Partnership With YouTube Video
• R&D Spending: Nokia Vs. Apple Shows Size Doesn’t Matter
• Not Seeing Much Return on That Massive R&D Spend, Are You, Nokia?
• Nokia: Big and Slow

Perusing AOL’s leaked damn-the-journalism-full-speed-ahead business plan, BoomTown was a little late to the Microsoft Bing event this morning called “Farsight: Beyond the Search Box.”

But things had certainly been cooking with gas when I walked into the meeting room at the University of San Francisco, which the organizers had decked out in white nubby rugs, white pleather couches and those white egg-shaped chairs found only in 1970s decor.

Schweeet!

First up was well-known investor and entrepreneur Peter Thiel, poo-poohing Microsoft’s prospects of ever making money in search.

“It’s difficult to produce a new search company,” said Thiel, noting that even with a growing market share it’s curtains for Bing, given the huge fixed costs. “As far as I can tell, it’s still not breaking even.”

Ouch!

By the way, Thiel sold semantic search engine Powerset to Microsoft for upward of $100 million in 2008 to help it, you know, get ahead in search.

Way to insult your money-bearing hosts!

Then, moderator Vivek Wadhwa harangued the panelists from Google, Microsoft and Blekko in the session “Who Will Win the Spam Wars?”

And they say I’m a snarky moderator! Wadhwa is snarktastic!

Wadhwa did not like any of it–not crappy content sites that sully Web search, not the efforts the companies were making to fix things, not the vision the trio had of the future.

And, by the way, Microsoft was not ever going to make money off all the company’s efforts.

Way to insult your hosts! I like this event!

Of course, what everyone was interested in was a smackdown between Google and Microsoft, given that the search giant accused the software giant of stealing its results today.

In an excellent, if exhaustive, post by Search Engine Land’s Danny Sullivan, Google said Bing was cheating by lifting its search results, which Google said it had proved via a “honeypot” sting operation.

“I’ve spent my career in pursuit of a good search engine,” Google’s Amit Singhal told Search Engine Land. “I’ve got no problem with a competitor developing an innovative algorithm. But copying is not innovation, in my book.”

The very presence of the word “honeypot” in any story about search algorithms is superb, in my book, even though this “controversy” is pretty much a he-said-he-said geek-off.

Google’s Matt Cutts kept up the cheater pressure at the Bing event, in a short debate with Microsoft’s Harry Shum, who was not having any of it.

“It’s not like we actually copy anything,” he said.

Translation: Actually, we do borrow, just like Facebook’s Mark Zuckerberg did to the Winklevii, resulting in a social networking behemoth that will soon take over all search and make this whole debate moot.

Microsoft is rubber, Google is glue. And Facebook, which was not present at the search event, is the real sticky honeypot.

“Tablet was the focus, but the changes we did also free it up to be more flexible for other contexts as well,” Honeycomb lead designer Matias Duarte told Mobilized. “It’s about really eliminating all the barriers to all the different kinds of form factors that people might want to interact with.”

Google plans to show off its work with Honeycomb, also known as Android 3.0, at an event on Wednesday. There, it will talk about the specific changes it has made, as well as the vision behind the shift.

Duarte, who joined Google from Palm last year, said there were really three major areas of focus. Clearly one was to change the way Android worked so that it was suited to devices larger than a phone. But beyond that, Duarte said, Honeycomb was about evolving Android to be better overall at mobile computing tasks. Finally, Duarte said, Honeycomb is designed to make the operating system more usable.

“All of those are works in progress,” he said. “Our work is far from done in any of those.”

One of the most notable changes in Honeycomb is the fact that it no longer has a reliance on physical hardware buttons. That paves the way for all kinds of devices, Duarte said.

“Some of them might look more like a laptop…some of them might not even have soft buttons,” Duarte said. “They might be purely gesturally driven.”

The first Honeycomb devices, however, will all be tablets, starting with the Motorola Xoom, which is headed to Verizon in February.

But, if he has done his job right, Duarte said that hardware makers will be able to create devices that Google never even contemplated. “Whatever they come up with, the most important thing is that we have given that flexibility.”

That could range to attaching Android to a refrigerator or creating products aimed at a specific demographic, such as young kids or the elderly. Heck, someone could even use Android to build a big table computer to take on Microsoft’s Surface. “I can’t see why not,” Duarte said. “I can imagine that.”

As for the potential tablets in particular, Duarte notes that those who initially brushed aside Apple’s iPad when it debuted a year ago underestimated the impact of what Apple did in bringing the multi-touch screen to a larger-size device.

“I think those skeptics were short-sighted,” Duarte said. “That’s the genius of what Apple achieved with that iPad.”

The tablet experience, he said, is largely about the touch interface, which changes people’s relationship with the content they are viewing. In moving the content into a closer and more comfortable position, people relate more and have more emotional experiences, he said.

“People have seen screens that size and have been taking screens that size to bed with them and to their coffee shops with them. They’ve been sitting with them hunched over and in all kinds of contorted positions” Duarte said. “But having that touch interface means that you can interact with the Internet or with a book or with a video player in a totally different posture, in a totally different way. It changes how you engage with the content, how long you engage with the content and even how emotionally close you are to it.”

With Honeycomb, Duarte said, he wanted to make sure that Google was opening Android up to enable those kinds of experiences, but also improving the underpinnings of the operating system to be a more powerful computing experience.

One of the changes, he said, is recognizing that people use tablets differently than they use their phone, even if they are running many of the same types of programs.

“It used to be that Android was something that you held in your hand and you would use in these relatively fine slices of time throughout the day, and then when you sit down at a table or a desk or you go home, that Android stays in your pocket or goes in a charger,” he said. “Now your experience with Android is alternating between these fine slices and these longer periods….So we need to think of Android as an experience that you have 24/7, throughout the entire day. What that means is that you are doing a lot more and you are doing a lot more for longer periods of time.”

That shift, he said, means that the operating system needs to do a better job of shifting between tasks and notifying users of what things are going on in the background. With Honeycomb, Duarte said, Google is improving its recent application switching feature that lets users easily see the places they have been working and point to them, while at the same time getting better notifications from background activities without being constantly interrupted.

Duarte characterized Honeycomb as the biggest change since the debut of Android, but it is also the latest in a series of updates that have come in rapid succession. In many cases, both device makers and wireless carriers have struggled to keep pace with Google, often failing to allow their devices to stay updated with Google’s latest and greatest, even if the phones themselves were capable of being upgraded.

But while others wonder whether Google is moving too quickly in evolving Android, Duarte said he wonders why the rest of the industry is moving so slowly, and promises even faster change to come.

“Using computers suck, to this day,” Duarte said. “It’s one of my daily frustrations that the rate of change in computing experiences is so slow.”

In particular, Duarte said that the basic interaction with programs and files hasn’t changed much. “It’s the same way I did [things] in high school on a Mac Plus.”

One piece of that shift, Durate said, is evolving our expectations of computing devices from a world in which computer users put in information and turn a crank to get a result to one that more resembles an ongoing dialogue.

“What I am looking for is that sense that you get when jazz musicians improvise together,” he said. “The computer should be doing things in concert with you, in support [of] you, not acting like a servant waiting for commands and then returning with results. That’s a little aspirational, I know.”

Honeycomb will get the company partway to that vision, but Duarte said much of that work will reveal itself over time. But make no mistake, he said–although they don’t appear to be the stuff of science fiction, computers are starting to become extensions of the human brain.

“People always think of cybernetics with computers as being this thing that happens far in the future, and you have Star Trek, Borg-like scary things” Duarte said. “But the way computers are used today through social networking, through email, through accessing information like Google–they are already becoming [those] cybernetic parts of our mind.”

However, Piper Jaffray’s Gene Munster did say it would be helpful to know just how far out Apple plans its products.

Chief Operating Officer Tim Cook wouldn’t say whether Apple plans its products one year out or five years out.

“That’s a part of the magic of Apple,” Cook said. “I don’t want to let anyone know our magic because I don’t want anyone copying it.”

He did say the company is happy both with how it is doing now and with what is to come.

“In my opinion, Apple is doing its best work ever,” he said. “We are all very happy with the product pipeline.”

Cook noted several times how Apple is struggling to keep up with demand for the iPhone. He also said that the company has “unparalelled breadth and depth” among its employees.

“Excellence has become a habit,” Cook said. “We feel very very confident about the future of the company.”

Cook said that despite recent blowout sales, Apple still has just a tiny portion of all computer sales or all phone sales.

“It would seem like there is enormous opportunity still there,” he said.

Update, 3:02 pm PT: Apparently no one wanted to be “that guy” and ask a question related to Jobs’s health. The conference call just ended and Munster’s question was as close to the subject as any analyst was willing to veer. All the rest of the questions were directly product related.

• A lot of iSales: Apple sold 7.3 Million iPads, 16.2 Million iPhones in December Quarter
• Apple’s Earnings Insanely Great

“Apple’s stock could face headwinds for several weeks as the media feeds on a yet-to-be-determined mix of speculation and disclosures about Jobs’ future role at Apple,” Oppenheimer analyst Yair Reiner said in a note to clients today. “At the same time, Apple’s investors will theorize and worry about what Jobs’ status will mean for future innovation at Apple. But this worry stage will likely run out of fuel relatively quickly, because convincing evidence of how Jobs’ presence or absence is impacting Apple’s fundamentals won’t present itself for years. Lacking evidence, investors will shortly go back to trading AAPL’s stock based on measurable fundamental performance.”

J.P. Morgan’s Mark Moskowitz was similarly optimistic. “While not knowing the details behind the current medical leave, we point out that Mr. Jobs has demonstrated a great resolve to improve his health previously, emboldened by the attitude and philosophy that helped him lead Apple’s remarkable rise over the past decade,” he writes. “In our view, Mr. Jobs and his team have made Apple become the primal force in shaping consumers’ technology-driven ‘way of life.’ While the competition is increasing in the areas of smartphones and tablets, we do not expect Apple’s technology and user experience leadership to fade.”

PREVIOUSLY

• Steve Jobs’s Finest Product–Apple–Won’t Break Down
• Steve Jobs Asked for Privacy–and He Deserves It This Time
• Apple Shares Down Nearly 8 Percent in Frankfurt on News of Jobs’s Medical Leave
• Citing Health, Steve Jobs Steps Away From Apple, Again
• Deutsche Bank Joins the Running of the Apple Bulls
• Jobs: “I’m Vertical, Back at Apple and Loving Every Day of It”
• Apple Investors Are Wusses
• When Steve Jobs Said “Stay Hungry. Stay Foolish,” He Did Not Mean This Foolish
• AAPL Sauce
• Apple’s Steve Jobs: “I Have Decided to Take a Medical Leave of Absence”
• The Entire Letter: Steve Jobs Explains His Health Problem: “Hormone Imbalance”–Predicts Recovery by Spring and Will Stay On as CEO
• Ain’t Nobody’s Business If Jobs Is or Isn’t

Being the largest e-commerce company is an obvious barrier to entry, but there are at least two opportunities in 2011 that will drive even more traffic to its site and others: Social and mobile.

A 78-page presentation by J.P. Morgan on the Internet Sector Outlook of 2011, which focuses a lot on the e-commerce market, predicts that the big losers will be physical retailers as more spending shifts online.

If you’ve been reading eMoney, you already knew this. Last month, we referred to these trends as the so-lo-mo trifecta, referencing the impact of social, local and mobile on e-commerce.

In 2010, J.P. Morgan found that nearly 8 percent of Amazon’s traffic was coming from Facebook, compared to 20 percent coming from Google, and that e-commerce revenues are expected to grow by 13.2 percent in 2011.

But as more consumers discover products and services through social networks, like Facebook, and compare prices on their smartphones in stores, traditional brick-and-mortars will lose market share and face bankruptcy, J.P. Morgan concludes. (It’s a small coincidence that Macy’s said it expects to add about 725 new positions over the next two years to beef up its Macy’s and Bloomingdale’s Web sites).

Here’s how J.P. Morgan makes the case for the future of e-commerce:

–U.S. e-commerce revenues totaled $28 billion in 2000, soaring to $166 billion in 2010. Revenues are expected to grow by 13.2 percent in the U.S. this year alone.

–In 2010, 36 percent of people said they bought something online at least once a month. Slightly less, or 32 percent of people, said they purchased one to two items online a month. However, less than 2 percent of folks bought more than 10 items a month.

–Traffic to Amazon’s sites is increasingly coming from Facebook, jumping 328 percent over the past year to almost 8 percent. That compares to almost 20 percent of referrals coming from Google.

–Facebook is driving less traffic to eBay than to Amazon, or roughly 4.7 percent, compared to 11.4 percent from Google.

–E-Commerce 2011 Top Picks: Amazon, Priceline and Latin American e-commerce provider MercadoLibre.

Just as the chickens always come home to roost, BoomTown always has a video ferreted away of someone who makes it to the bigs.

In this case, here is a video interview I did in April of 2009 with new Nokia CEO Stephen Elop (pictured here), just a year after he had taken over as president of Microsoft’s Business Division.

I caught Elop just after he had given a speech where he talked about how the software giant had gotten the “open” religion and was becoming “the most interoperable company in the world.”

I am still not sure about Microsoft, but one thing’s for sure: Elop has turned out to be one of the most interoperable of tech execs.

Along with his stint at Microsoft (MSFT) running that powerful franchise, he has been COO of Juniper Networks (JNPR) and CEO of Macromedia, which was acquired under his tenure by Adobe (ADBE).

His new job at Finland’s telecom giant is going to be a big one, given how far Nokia’s star has fallen in the mobile market, with the fast growth of the Apple (AAPL) iPhone and the Google (GOOG) Android mobile operating system.

Elop also has five kids–including triplet 11-year-olds–so how do you say “babysitter” in Finnish?

Here’s my interview with him, as well as another video Elop ordered up while at Microsoft as part of an “Envisioning” series.

These “world of the future” videos were done by Microsoft Office Labs as part of a “Productivity Future Vision” series that sketched out a world of smartphones, touchscreens everywhere and a whole lot of innovative interacting.

It will be interesting to see if Elop can bring such a big vision to Nokia (NOK), where it is sorely needed.

Until then, enjoy Elop unplugged–as you will see, he is a very compelling dude.

(You can also watch the unembeddable–get on it, since sharing is big on phones now, Steve!–video press conference about his new job today at Nokia here.)

]]> http://allthingsd.com/20100910/meet-nokias-new-ceo-elops-boomtown-video/feed/ 2 http://allthingsd.com/20100225/one-in-six-iphone-owners-interested-in-buying-ipad/ http://allthingsd.com/20100225/one-in-six-iphone-owners-interested-in-buying-ipad/#comments Thu, 25 Feb 2010 12:59:53 +0000 John Paczkowski http://digitaldaily.allthingsd.com/?p=35577 AdMob, the mobile advertising company Google acquired last November for $750 million, published its latest mobile metrics report this morning and it offers a bit of insight into future iPad purchasing decisions. One in six of the iPhone owners AdMob surveyed say they intend to purchase Apple’s (AAPL) forthcoming iPad slate. Apple’s sold about 34 million iPhones to date, I think. So one sixth of that is 5.5 million. Not bad.

Among Palm (PALM) device owners, the ratio was lower: One in nine. And among people who own smartphones running Google’s (GOOG) Android OS, it was lower still: One in 17 (see chart; click to enlarge).

So iPhone owners appear far more likely to purchase an iPad. Not much of a revelation, really. But it does lend a bit of credence to Apple CEO Steve Jobs’s claim that the iPad, though a brand new category of device, already has a market in the millions of iPhone and iPod touch users.

Other findings of note from Admob’s report:

• iPod touch users download an average of 12 apps a month–37 percent more than their iPhone and Android counterparts. They spend far more time using them, too: 100 minutes a day–25 percent more than iPhone and Android users.
• 91 percent of iPhone users and 88 percent of iPod touch users said they would recommend their device to a friend, compared with 84 percent of Android users and 69 percent of Palm webOS users. Interestingly, AdMob found that owners of webOS smartphones are more than three times more likely not to recommend their devices relative to iPhone OS users.

]]> http://allthingsd.com/20100225/one-in-six-iphone-owners-interested-in-buying-ipad/feed/ 0 http://allthingsd.com/20100125/more-stuff-you-wont-see-on-tablet-day-conde-nast-magazines/ http://allthingsd.com/20100125/more-stuff-you-wont-see-on-tablet-day-conde-nast-magazines/#comments Mon, 25 Jan 2010 18:22:01 +0000 Peter Kafka http://mediamemo.allthingsd.com/?p=15487 I got a great glimpse of the future of magazines last week. It’s the March issue of Wired, transformed into a digital edition that takes full advantage of the Apple tablet we’re going to see Wednesday.

I’d show you a video demo, but Wired publisher Condé Nast is keeping it under wraps for now. But not because the company plans to show it off at the Apple event.

It doesn’t.

Like just about everyone else in the media world, Condé Nast executives think they know what Steve Jobs is going to unveil, but they’re in the dark when it comes to details. The demo they showed off at an industry dinner was much more advanced than the one they showed off in November. But as beautiful and engaging as it is, the demo is still just a demo.

I should note here that the Condé guys–along with the Adobe (ADBE) team helping them–are appropriately proud of their demo. They point out that it is built on live code, as opposed to Flash movies they and other publishers have shown off in the past.

But as Adobe design manager Jeremy Clark told me last week, Condé Nast can’t build a digital magazine for an Apple tablet–or a Hewlett-Packard (HPQ) tablet, for that matter–until it gets its hands on one, and it hasn’t done so yet.

Which is why when you do see the first Condé Nast products on the tablet later this spring, they are likely to be supersized editions of the GQ app it is already selling for the iPhone and iPod touch and not the more ambitious stuff Wired is working on.

Condé executives have talked to Apple (AAPL) about their intentions to build tablet-ready magazines–as have executives from Time Warner’s (TWX) Time Inc.–but those conversations are pretty much one-way affairs, sources tell me: The magazine guys tell the Apple guys what they’d like to do, hoping for some kind of guidance from the Apple guys. And the Apple guys listen politely, but don’t say much.

This applies to both technical stuff–the Condé guys don’t know if Adobe’s AIR platform, which they used for their demo, will work on the tablet–as well as big-picture business questions. For instance, Condé would like to sell tablet magazine subscriptions directly to consumers, without having to work through Apple’s iTunes store. And through an Apple proxy, the publisher has communicated that desire to Apple CEO Steve Jobs, I’m told. No word back, though.

Again, you can extrapolate this scenario for all but a select few media companies. Even for some that you’d expect to be on board for an Apple launch. Disney’s (DIS) ESPN unit, for instance, is sending representatives to the Wednesday event, but won’t be participating, sources tell me.

The good news for Apple’s would-be media partners: All of this should become much clearer by Wednesday afternoon.

]]> http://allthingsd.com/20100125/more-stuff-you-wont-see-on-tablet-day-conde-nast-magazines/feed/ 0 http://allthingsd.com/20090929/terminator-terminated-actually-restructured/ http://allthingsd.com/20090929/terminator-terminated-actually-restructured/#comments Tue, 29 Sep 2009 07:41:28 +0000 Kara Swisher http://kara.allthingsd.com/?p=18925

Memo to all Cyborg Geeks:

“Gentlemen, we can rebuild him. We have the technology….We can make him better than he was before. Better, stronger, faster.”

Wait, that’s “The Six Million Dollar Man” motto!

But it might as well apply to the entertainment outfit that owns the “Terminator” movie franchise.

Today, according to blogger Nikke Finke of Deadline Hollywood, the Halcyon Holding Group, after recently filing for Chapter 11 protection, has hired FTI Capital Advisors “to evaluate strategic alternatives for the company.”

In other words: Selling off Skynet!

Halcyon, which made the most recent “Terminator Salvation” film and “owns the first-look rights to the works of science fiction writer Philip K. Dick,” has been fighting with a hedge fund that gave it money to buy the famous series that takes a very bleak view of the future.

Almost as bleak as that of Halcyon if it doesn’t come up with a plan to bring me my annual dose of cybernetic organisms, which is–of course!–living tissue over a metal endoskeleton.

It better be back.

Here’s the original trailer for the very first “Terminator” movie, which pretty much rocks:

]]> http://allthingsd.com/20090929/terminator-terminated-actually-restructured/feed/ 0 http://allthingsd.com/20090814/microsofts-vision-of-the-future-and-the-inevitable-spoof/ http://allthingsd.com/20090814/microsofts-vision-of-the-future-and-the-inevitable-spoof/#comments Fri, 14 Aug 2009 07:09:55 +0000 Kara Swisher http://kara.allthingsd.com/?p=17591

One of my favorite “world-of-the-future” videos recently has been one done by Microsoft Office Labs, because it does not seem ridiculously fanciful or impossible to imagine actually happening sooner than much later.

Part of an “Envisioning” series, the “Productivity Future Vision” video below sketches out a world of smartphones, touchscreens everywhere and a whole lot of innovative interacting.

The look is sleek and smooth–which is unusual for Microsoft (MSFT)–with a bit of “Harry Potter” whimsy, and all without falling into the trap of a lot of such imaginings and making the way we live someday seem like “The Jetsons.”

But, of course, the folks at IGN.com’s Sarcastic Gamer managed to find the perfect way to poke fun at the video from the software giant in a spoof that hit the target deftly.

Watch each and enjoy: