Mr. King is realistic about where books are headed. In digital publishing, as a writer, he’s what might be called an “early adopter.” Back in March 2000, Simon & Schuster Inc. issued Mr. King’s story “Riding the Bullet” as an e-book that was downloaded from the Web onto hand-held devices or computers.

More recently, Mr. King’s novella “Ur” was written exclusively for Amazon’s Kindle e-reader when the second generation of that device went on sale in February 2009.

Read the rest of this post on the original site

Steve Ballmer is delivering his annual state-of-Microsoft address at the Consumer Electronics Show in Las Vegas tonight–his second since assuming the duties of former CEO Bill Gates.

If anything like last year’s, Ballmer’s address will offer a broad overview of Microsoft’s (MSFT) consumer strategy for the year, touching on everything from the company’s hardware-software ecosystem to its home entertainment offerings.

Likely to figure prominently in tonight’s address: Windows 7 and the new touch-enabled PC form factors it has evidently inspired; Bing; and Natal, Microsoft’s controller-less game control system, which will launch in time for the 2010 holidays.

• The keynote begins with, what else, some introductory remarks from Consumer Electronics Association President Gary Shapiro: “Happy New Year and welcome to 2010 CES, the World Cup of innovation. The past year has been a challenge. The global recession has affected all companies. Fortunately, signs are pointing upward, and I believe CES will be remembered as a turning point.”

  Let’s hope so.

• Shapiro welcomes Steve Ballmer to the stage, and the Microsoft chief begins by noting that 2009, in case you hadn’t noticed, was a year of profound economic turbulence. But innovation persisted. And with that, he rolls a first video designed to demonstrate his point. It features “one random guy’s” experiences with technology this past year, namely Seth Meyers of “Saturday Night Live.” Seth talks to his grandmother on a Web cam. He plays videogames with a kid and loses. “Before texting existed, I never sent the wrong person a letter telling them they’re a jackass. Thanks, technology….Before Twitter, if I knew what someone’s cat was thinking, I would have had to be an idiot.”

• Ballmer: “We’re going to focus on three things tonight. The [first is the] increasing importance of the small screen, the ever-evolving PC and the future of TV. The second is the cloud. Third is natural user interface–NUI technology. The last few decades have been absolutely stunning in the changes they’ve brought.”

• And here’s the sound byte of the evening: “We Bing. And we Bing. And we Bing Bing Bing. At least in my world.” Ballmer says 2009 is a year in which the company has made incredible progress with Bing. “We added 11 million new users….We redefined what search should do for users–we work to understand user intent and anticipate what users are really looking for. We know we’re at the beginning of a long journey, but we think we’re off to a good start.”

  There’s some news about Bing today, a distribution deal that makes it the default search engine on HP PCs in 32 countries.

• Also figuring prominently in 2009: Xbox. Microsoft first launched it at CES in 2001. Today, there are over 39 million Xbox 360s around the world. And more than 500 million games. The console has generated $20 billion in total game revenue.

• Ballmer is moving on to the mobile space now. Windows Phone–technically Windows Mobile 6.5, a necessary stopgap on the path to 7.0–which debuted last fall in a nimbus of disappointment. Ballmer notes that Microsoft is announcing a new Windows Phone partnership today with T-Mobile, which is bringing HTC’s HD2 phone to the U.S. He says little about Windows Mobile 7, Microsoft’s “modern” mobile operating system, which at last check was scheduled to arrive at market sometime in late 2010.

• Ballmer is talking up Windows 7 now. PC sales jumped 50 percent the week the OS debuted, he says. And according to research outfit NPD, sales of Windows PCs grew 50 percent over the 2009 holidays and retailers sold 63 percent more PCs than they did this time last year. Gartner (IT) now sees three percent PC unit growth in 2009–nearly 300 million PCs shipped in 2009. For 2010, Gartner sees a jump of more than 12 percent.

  “Windows 7 is by far the fastest-selling OS in history,” says Ballmer. “Clearly, consumers are saying there’s never been a better time to be a Windows 7 PC….Windows 7 is a rising tide that’s lifting all boats in the PC business.”

• Ballmer calls Ryan Asdourian, senior product manager for Windows, to the stage. “We’re going to see some of Ryan’s favorite hardware and software,” he says. Among them the Sony (SNE) Vaio L–an all-in-one built for high-definition entertainment–and the Asus NX90, a slick-looking laptop designed with help from legendary audio firm Bang & Olufsen.

  “Being in Vegas, you’ve got to look sexy,” says Asdourian. Ballmer: “Good thing we brought some PCs.”

• Next, some software demos–Ray Kurzweil’s Blio Ereader App?, then a new Skydrive collaboration in Windows Live. Ballmer: “Developers baby! Developers! I love the people who’ve built this stuff.”

• Ballmer moves on to Windows Media Center and Mediaroom 2.0, which will now deliver live and on-demand TV through set-top boxes, PCs, and Windows Mobile devices like the HD2. It is coming to AT&T’s (T) U-verse. Streaming video on the HD2 looks pretty slick.

• “The world of entertainment and content will come in different forms and flavors. But no matter what the source, Windows PCs will offer the greatest entertainment experiences in the world,” says Ballmer. And with that, he shows offs some new slate PCs. Sadly, the Courier–the dual-screen multitouch device that many had been hoping to see–is not among them, as BoomTown reported earlier today. There are, however, some cool-looking offerings from Hewlett-Packard (HPQ) and Archos.

• Ballmer rolls another Seth Myers video, “Milestones in Technology.” Not funny. Yeah, I don’t really miss “Saturday Night Live” at all anymore.

• Robbie Bach, president of Microsoft’s Entertainment & Devices division, takes the stage. “Computer science is the only science bounded solely by our imaginations,” he says, referring to Xbox. “2010 is going to be a landmark year for Xbox customers. We’ll be offering the best line of Xbox 360 games.” Examples: Mass Effect 2 and Splinter Cell Conviction. Also an episodic “psychological action thriller” called Alan Wake. “Imagine ‘Lost’ written by Stephen King, filmed by David Lynch,” implores Bach.

• Bach: “What ‘Star Wars’ is to film, what Harry Potter is to fantasy books, Halo is to videogames.” And with that, he rolls some video of Halo Reach that I can’t see because I’m watching the event remotely. The game is coming in the fall of 2010, but will be available as a multiplayer beta on Xbox Live this spring.

• Bach announces Game Room for Xbox Live! More precisely, a vintage gaming service that offers 30 classics from Atari, Intellivision, etc. The company plans to add over 1,000 games to Game Room over the next three years.

• And here comes the pitch for Project Natal: “We’re at an exciting inflection point in tech, where we can create an experience that is more intuitive. With Natal we’re freeing you from the last barrier, the game controller.” Bach rolls a video of the folks behind the Xbox’s new natural user interface, or NUI, which is due out later this year. “Project Natal will be available this holiday 2010….It will work with your existing Xbox 360.”

• “When I said 2010 was going to be a big year for Xbox 360, I was lying: 2010 is going to be the biggest year in Xbox history!”

• Bach wraps things up with some big-picture remarks and–well, I guess that’s it. He leaves the stage and the house lights come back up.

The software giant has jokingly renamed it Omuk, which is Kumo spelled backwards.

No kidding, but BoomTown likes it better!

As I wrote about Kumo and Microsoft (MSFT) efforts to compete better with archrival Google (GOOG) in early March:

“Sources at Microsoft said the company has not yet decided whether it will keep the Kumo name, which sounds a little too much like that crazy dog from the Stephen King novel.”

Thus, I was heartened when I obtained this internal memo, sent suspiciously on April Fool’s Day.

The Bernie Madoff and “muk it” jokes are actually funny.

Here’s the screenshot (click on it to make it larger) and the memo:

From: Brian MacDonald
Sent: Wednesday, April 01, 2009 5:16 AM
To: Search FTE’s
Subject: Yesterday’s brand leak

Based on all the mail I have been getting on the topic, I imagine most people have seen the blog posts from late yesterday leaking the new brand. Marketing has asked me to share some of the “why” behind the final brand decision, but everyone should know that we are still officially keeping a “no comment” stance on the leak. We shouldn’t be discussing the new brand name externally until after the official launch.

In picking the new brand, marketing tried to have a brand that resonated with power users. We want to increase our fanbase amongst the heaviest searchers and want to pick a brand that will support that. Google had the scientific/math term kind of savvy user appeal and we wanted something akin to that. One of the real clever product names of all time was the operating system Gnu, which stood for Gnu’s Not Unix, with the G not really standing for anything. Kind of quirky and kind of fun.

So this same kind of thinking was behind the brand name. So it was Kumo after all, but with a twist. Kumo was just our new brand spelled backwards. The new brand “Omuk” stands, gnu-like, for “Omuk means unlimited knowledge.” The phrase “unlimited knowledge” really resonated with focus groups as something they most wanted to achieve with a search engine. It is rare that you can get the brand promise so neatly tied directly to the brand name. It also ties in corporate wide with the Unlimited Potential group etc.

There is a lot of riffs marketing can do in advertising with “unlimited knowledge.” If you recall the Dreyer’s Ice Cream ads where they brought in people who said they were abducted by aliens etc. and then did the tagline “unbelievable product from an unbelievable spokesperson” etc., we can do something similar. For example, tying Bernie Madoff, Unlimited Chutzpah with Omuk, Unlimited Knowledge. That type of thing.

In testing, Omuk scored very high on attributes like “empowering”, “organized” and “warm/fuzzy.” Another key attribute was ease of spelling and Omuk did very well. There was some concerns that people might spell it ohmuk or omuck but that didn’t happen.

The final key feature for the brand was verbability. Here marketing is planning to go with a little ingenuity and drop the o and just push “muk it.” In ads they will get playful and have the actors talk about the joys of accessing unlimited knowledge by just “muking around”, etc. The hope is to generate a lot of word-of-mouth and free impressions on the internet the way that the very successful Bill and Jerry commercials did for Windows.

Below is a sample homepage screenshot with the new brand. Really looks great. This also has the latest thinking on default “scopes.”

–Brian

Here below are three screenshots of Microsoft’s internal test of a new search product called Kumo.

The long expected upgrade to the Live Search product from Microsoft (MSFT) is being tested for a public rollout later this year.

The blogosphere was a-twitter, literally, after a Twitter post by Powerset co-founder Barney Pell this past weekend, about a rebranding and updating of the search offering. (Microsoft acquired Powerset last year and Pell works on search strategy.)

Sources at Microsoft said the company has not yet decided whether it will keep the Kumo name, which sounds a little too much like that crazy dog from the Stephen King novel.

Maybe that’s the point, at least related to Google. (Chomp!)

In Japanese, actually, Kumo has two definitions–cloud and spider.

Microsoft has been trying to catch up in the search game by spending big-time after it failed to acquire Yahoo (YHOO) last year.

And it still wants to do a search deal with Yahoo, in order to make a dent in the market dominance of Google (GOOG).

Until then, of course, Microsoft must innovate. And, so far, Kumo seems to be an interesting effort with a clean and spare look.

But what do you think? Let me know in the comments.

Also, here is the memo from Microsoft search head Satya Nadella about it, urging all company employees to try it out and send feedback:

From: Satya Nadella
Sent: Monday, March 02, 2009 4:18 PM
To: Microsoft–All Employees (QBDG)
Subject: Announcement: Internal Search Test Experience

The Search team needs you. We’ve been working hard to improve our search service and want to share the progress we are making with you. We are launching a new test program called kumo.com for employees to try and provide feedback. Kumo.com exists only inside the corporate network, and in order to get enough feedback we will be redirecting internal live.com traffic over to the test site in the coming days. Kumo is the codename we have chosen for the internal test.

In spite of the progress made by search engines, 40% of queries go unanswered; half of queries are about searchers returning to previous tasks; and 46% of search sessions are longer than 20 minutes. These and many other learnings suggest that customers often don’t find what they need from search today.

We believe we can provide a better and more useful search experience that helps you not just search but accomplish tasks. During the test, features will vary by country, but you’ll see results organized in a way that saves you more time. An explorer pane on the left side of results pages will give you access to tools that help you with your tasks. Other features like single session history and hover preview help accomplish more in search sessions.

Your Next Search…

To get started, visit kumo.com or click one of the samples below to see how it’s possible to find the right results more easily:

· Audi S8
· Taylor Swift
. Bose Lifestyle 48

You can also set your search defaults to test site using the instructions here.

Your Feedback is Critical

As employees, you are some of our most informed users and our toughest critics, and we highly value your input and feedback to help us build a better service. You have been an important voice in our efforts, and the feedback you’ve sent us since the company meeting has been amazing.

When you visit kumo.com, at the bottom right corner of the each page you’ll see a feedback badge. We ask that each time you use the test site, click the feedback badge and take a moment to answer four quick and simple questions. Feel free to reach out to give us extra feedback directly on our blog and by mailing sfeed. For answers to common questions make sure to see our FAQ.

We are committed to rapid innovation and improvement. Please give the test site a try, rate the results and let us know what you think.

Satya

Here are the three screenshots too (click on the images twice to make them larger):

Taylor Swift

Audi S8

Bose Lifestyle 48

Pumped up about the potential for e-books? So is Stephen King.

Just as he was nine years ago.

The Wall Street Journal, Feb. 4, 2009:

In a sign that the electronic book is gaining clout in the publishing world, Amazon is also expected to say it has acquired a new work by best-selling novelist Stephen King that will be available exclusively, at least for a time, on Kindle.”

Forbes, Aug. 21, 2000:

STEPHEN KING HAS JUST RELEASED his umpteenth scary novel, and it particularly horrifies the publishing industry–but stirs new hope among those engaged in a long-thwarted pursuit: the electronic book.

E-books used to get lumped in with the same science-fiction stuff as jetpacks and lunar colonies. Suddenly they are present tense. A few months ago half a million people downloaded a Stephen King novella, the first big splash. Now King is bypassing Simon & Schuster to release his next novel online, selling it for $1 a chapter. Some 41,000 fans downloaded Chapter 1 in the first 15 hours.

‘My friends, we have a chance to become Big Publishing’s worst nightmare,’ King says on his Web site.”

My point (besides the fact that Forbes writer, circa 2000, Peter Kafka may be going places–keep an eye on that guy)?

Only this: Whether Amazon’s (AMZN) Kindle is a big hit or a modest one, we’re probably going to have to wait some time before digital books are a mainstream reality.

These digital revolutions always take longer than they should–just ask the music business, which sells a product that is already delivered in digital form yet derives just 20 percent of its revenue from digital products–a full nine years after the original Napster. Don’t plan on ripping down your bookshelves just yet.

[Image Credit: Tabitha King, via StephenKing.com]