AllThingsD » TellMe

2012: Siri Is a Stunner, Amazon Is Amazin' and Security Gets Spendy

Arik Hesseldahl — Fri, 09 Dec 2011 04:59:40 +0000

On Thursday night, I attended a dinner at New York’s Waldorf Astoria Hotel, hosted by Mark Anderson, the CEO of Strategic News Service, a newsletter that many senior tech execs subscribe to. At this annual event, which I missed last year, Anderson makes predictions concerning what he thinks will be the dominant forces shaping the technology world in the coming year. And his predictions are always interesting.

Ahead of the dinner, Anderson stopped by my office to let me have a peek at his 10 predictions, and we talked them over a bit. All 10 are below, along with some comments from Anderson that emerged from our conversation.

Before diving into the predictions, Anderson tells me there is a grand theme that unifies them all: “Integrating everything.”

What does that mean? “It means a whole lot of stuff that needs to be integrated. We don’t need anything new at all. There’s so much work that needs to be done with the existing tool sets. Steve Jobs didn’t really invent anything at all. But he was great at integrating things into a product. There’s a lot more of that work to do. We have to do it in the phone world and the TV world and the health care world. We have lots of devices and lots of chips and lots of operating systems and lots of content. The bigger question is, how do human beings use it all efficiently?”

As an example, he cites the collaboration between Nuance, the speech software company, and IBM, bringing the Watson computer of “Jeopardy” fame into the area of health care. “For the first time, the idea of evidence-based medicine won’t just be in a magazine article,” Anderson says. “A doctor will be able to pick up his phone and describe four symptoms, and find out what the likely diagnosis is, what the indications are. It’s fantastic.”

So here are those 10 predictions, with additional comments from Anderson:

1. TV becomes the new center of gravity in the tech universe. All the other devices find their niches in the TV galaxy. Microsoft’s attempt to integrate Kinect into TV is a strong if qualified success. Smart phone-TV integration software becomes a new category. Pad-TV integration becomes common.

“Apple will hustle to launch the next version of Apple TV, and it will be a roaring success and be seen as Tim Cook’s first great product success. But what it really will be is Steve’s last product.”

2. 2012 will see tectonic shifts in phone markets. “Nokia will fail to come back, which is pretty clear to everyone except the people in Finland.” Samsung, Anderson says, will retain its spot as the new global leader in mobile phones by volume, and will keep this crown despite the debut of Microsoft’s Windows Phone 7.

Meanwhile, Anderson says, Google will lose control over the Android operating system, mainly because unlicensed versions of Android will multiply in type and in installed base, especially in Asian countries. “It’s already a balkanized environment. Now Google loses control of the technology entirely. China is already running an unlicensed version of Android, and I think there will be more of that.”

Finally, the smartphone will finally emerge as the dominant category of wireless phone. “Why would you have anything else? And why would sellers of content and services want you to?” he says. “It doesn’t matter if you’re in a rich country or a poor country. This stuff is cheap.”

3. Clouds are for consumers, and for start-ups. Even as a large number of big companies move pilot projects onto external clouds, it will become clear that the real trend is for enterprise to stay away from clouds in all key areas, for reasons of both security and reliability.

“The cloud guys hate this because they want to sell to enterprises,” Anderson says. “But the security issues are becoming really intense. If you’re a CIO, it’s a terrible environment, and you’re a target, for sure, especially if you’re a company with a lot of intellectual property. I’m not implying that things like SAAS (software as a service) aren’t a big trend. But no one is going to put their valuable IP on the cloud.”

4. Security splits the tech world in two, finally getting attention from CEOs. Companies with real IP start to realize they have to “go big or go home” with their security response, and their spending on protecting their “crown jewels” rises dramatically.

5. Siri stuns the world. Siri, on Apple’s iPhone 4S, has sounded the arrival of Internet personal assistants, and the world will spend this year marveling at what Siri and its rivals can and cannot do — and what they can learn to do.

“I think we’ll see a bunch of these things,” Anderson says. “Siri will get much better. It will learn how you learn. We’ve never seen people have long-term relationships with machines before, but it will be a long-term relationship, and she will remember everything, but make good use of it. She will know you learn better by seeing than hearing, or that it takes three times to tell you something. All those things that you have to program today should be learnable. None of that has been done yet. That creates a real friendship. And I think we’re going to start seeing personal assistants not just for everyday life, but for professions like medicine or car repair. Instead of just having Siri be everything, there will be many Siris for different contexts.”

6. We enter the amazing world of Dave and HAL, as voice recognition comes of age. From hospital to car, mobile to home, Kinect to Siri, exercise to play, work to entertainment, remote control to direct action, from Microsoft to Apple, from Tellme to Nuance — the time has come for computers and humans to talk to each other. With lots of funny stories, big bloopers and amazing breakthroughs, humanity at the end of 2012 will be talking to machines in a normal voice, and it will not seem unusual, nor be the cause of unending frustration.

“The voice-recognition part is almost trivial,” Anderson says. “The important part is context-sensitive understanding. It used to be that all the researchers at Carnegie Mellon used to think that all you needed was more computing horsepower to do better at voice. It turned out that was wrong. It was right for a little while, but the real problem is context. And so, if you can build up that database where you can search it contextually for what to expect, that is where you get all the mileage.”

7. E-readers prosper, but pads continue to dominate what Anderson calls the “carry-along” market. Pads and tablets will come down in price and get closer to prices of e-readers. Meanwhile, Anderson says, Amazon’s Fire will move upmarket and evolve into a full-fledged tablet.

“If you look at the specs on the Fire, it’s a tablet, but it’s hobbled,” Anderson says. “So I think that this is part of the whole strategy: Come in and sell at a low price, and then later unveil a more complete tablet. Apple will stay ahead, though. A lot of people are asking me if Amazon will catch Apple, and the answer is no. The way it’s configured right now, there’s no way the Fire will catch up with the iPad.”

8. The consumption world explodes. Get ready for new devices, new content, new bundles, new connection techniques, new distribution channels, new aggregators, new tablets, new phones, new players, new self-published authors, new garage bands, new consumption models riding on social networks. There is nothing but high energy in the content consumer market. People are now ready to spend subscription money, and the publisher response will be huge. “It’s going to be a huge melee of stuff,” Anderson says. “We’ll invent more stuff to consume, and it will be very hard to figure out who the players are from week to week, and how they’re doing. They may not even know themselves.”

9. Governments and corporations focus on intellectual property as though it were their most prized asset. It is. This new global understanding leads to a reevaluation regarding giving critical IP away for nothing versus protecting it. The age of what Anderson calls “IP naïveté” is over, and the question of proper IP valuation is here.

What is IP naïveté? “When Jeff Immelt stood on the steps of the White House the day after he was named jobs czar, and handed the plans for GE’s most important jet-engine project to Hu Jintao in order to get the permission to be allowed to bid on maybe selling engines to China — that’s IP naïveté,” Anderson says. “Thinking that’s not going to come back and show up for sale in Houston from some Chinese company in about six months is IP naïveté.”

During 2012, he says, companies and countries will start valuing their intellectual property not for its replacement value, but for figures that are magnitudes larger. State-sponsored IP theft will shift from being considered a nuisance and more along the lines of an act of aggression.

10. Amazon gets it all. Between outdoing Wal-Mart online, to beating the booksellers and delivering groceries, and making new inroads in video streaming, Amazon will prove that one company can indeed have it all. Strong Kindle and Fire sales will only be icing on the cake.

Laryngitis Aside, Why Siri Is a Voice to Be Reckoned With

Ina Fried — Mon, 07 Nov 2011 11:00:52 +0000

Sure, she may be a bit flighty, and she only knows how to answer a few questions. But don’t let Siri’s youthful shortcomings fool you.

Apple’s personal assistant, which debuted on the iPhone 4S, shows the qualities one wants in an assistant. What she lacks in know-how and dependability, she makes up for by being whip-smart, a quick study and even a bit of a wiseass.

Google’s Andy Rubin may be publicly dismissive, but both Google and Microsoft also know that voice will be the key input method in the future — especially on the phone, with its touchscreen keyboards, even the best of which are still a pain today.

Siri already shows flashes of brilliance. While the assistant app only does a handful of tasks, one can ask those to be done in almost any construction and she will hammer away. Ask her the weather and she will tell you; ask how hot it is, or whether you need an umbrella or sunscreen, and she will tell you that as well.

It is only a matter of time before Apple expands her repertoire to handle more tasks. The company said as much during the announcement of Siri, saying she would be slapped with a beta tag until she finished her training and her foreign-language requirement.

In the meantime, Google and Microsoft are investing heavily in speech, as well. Microsoft spent a fair chunk of change buying Tellme a few years back, and has been working to make it a key component of Windows Phone and the Kinect, among other products. Google, meanwhile, has already built a series of “voice actions” into Android, and one can expect it to expand those efforts.

That said, Apple would be well-served to get its servers performing better. Siri has been frequently inaccessible since her launch. And while everyone likes a smart assistant, those who can’t reliably fetch coffee can find themselves quickly unemployed.

Exclusive: Flipboard Confirms $50 Million Funding at $200 Million Valuation

Kara Swisher — Thu, 14 Apr 2011 20:23:12 +0000

Late last month, BoomTown posted about a huge venture funding effort by the high-profile and even more highly designed social media reading app for the Apple iPad, Flipboard.

Today, its co-founder and CEO Mike McCue confirmed the $50 million round at an eye-popping $200 million valuation, in a wide-ranging interview at the start-up’s Palo Alto, Calif., HQ.

“We’re obviously thrilled, because we think it confirms our focus that people want a beautifully designed way to interact with content and to share it,” he said. “And there is a lot more to come–on a scale of one to 10, we’re just at a two or three.”

The bulk of the new second round of funding–Flipboard had previously raised $10.5 million–came from New York-based Insight Venture Partners.

Insight’s Jerry Murdock said in an interview that he was excited about the idea of “social endorsement” that Flipboard was pioneering.

“We back great entrepreneurs and Flipboard is that and also in an obviously unique position to solve a problem of media consumption in the digital age,” he said. “The sky is the limit. Or more precisely it is the best environment to consume curated real-time content for Twitter and Facebook, because of the user experience and social endorsement integration with the content.”

Insight is also an investor in Twitter.

Also stepping up in the new Flipboard round is Comcast’s venture arm, as well as previous investors, including Kleiner Perkins, Index Ventures and a spate of well known angels, such as Twitter co-founder and product guru Jack Dorsey, Facebook co-founder and Asana dude Dustin Moskovitz, the ubiquitous Ron Conway, actor Ashton Kutcher and the investment company of former News Corp. exec Peter Chernin.

“From a Comcast perspective, we’re intrigued with Mike and what he’s doing with content aggregation,” said Amy Banse, Comcast Interactive Capital’s new head. “We think we can learn from him and he from us.”

Co-founded by longtime entrepreneur McCue (Netscape, Tellme) and former Apple iPhone engineer Evan Doll in January, Flipboard launched to much attention in July.

The elegant Flipboard–which McCue recently told me in an onstage interview at the South by Southwest conference in Austin had zero revenues thus far–has changed the game on the consumption of social media.

Its innovative social magazine concept is attempting to make the social networking universe more accessible, consumable and, perhaps most importantly, visually arresting via its rich app.

Essentially, Flipboard pulls information from media RSS feeds and sites such as Twitter and Facebook data streams and then reassembles it in an easy-to-navigate, personalized format in a mobile tablet touchscreen environment.

In its current offering, there are pull-quotes, photos, videos, status updates and even the first paragraphs of linked-out content. There is also the ability to comment and share, as if one were on a social networking or microblogging site.

McCue said the new giant pile of cash will be used to increase its 32-person staff to about 50, international expansion, small acquisitions and more product development on more platforms.

The next in the arena will be the iPhone version of Flipboard, said McCue, followed by one for the Google Android mobile operating system eventually.

Left unsaid, of course, was the need for funding to fight the likelihood of increased competition in the hot space for delivering both professional and social content to consumers on a wide range of devices.

Rivals are varied, such as Silicon Valley’s most adorable news reader start-up Pulse and also Zite, a news reader which was recently sued for copyright infringement by a group of major publishers.

There are bigger potential players, such as Google, which is trying to find various ways to move into the social space.

In fact, said several sources, Google and others have made acquisition approaches to Flipboard, which has instead opted for raising more funding and staying independent for now.

McCue declined to talk about that, but did note that he is not surprised by publisher interest, especially of the worried and wary kind, in the arena.

“Anyone not respectful of others’ content is going to get in that kind of trouble,” he said, noting Flipboard has struck deals with 17 big publishers so far, including this morning’s announcement about a partnership with Oprah Winfrey’s and Discovery’s OWN cable network. “There is not one half to this equation.”

Right now, the Flipboard app is free and the business plan is advertising and some possible subscription scenarios.

McCue said advertising will be the key to Flipboard’s business plan in the future, although it’s not clear if the company will ever sell advertising itself.

Rather, it will partner with publishers seeking better distribution in the explosive tablet and smartphone market, where Flipboard has been gaining traction quickly.

But until that is sorted out, there is now $50 million more in the Flipboard kitty to figure it all out.

“With this funding, we can grow at the right pace and have a lot of flexibility to get the product right,” said McCue. “And, that’s the most important thing.”

Flipping Through Digital Pages With Mike McCue (Video)

Ina Fried — Wed, 08 Dec 2010 00:19:01 +0000

Although Flipboard is Mike McCue’s latest venture, in some ways it’s old hat. After all, if you loosely define Flipboard as a browser of sorts, it’s the fourth browser he has been involved with. (Paper Software, Netscape and Tellme were his earlier forays.)

McCue downplayed concerns that Flipboard appropriates others’ content. He said he gets more requests from publishers looking to share more content than from those seeking to have Flipboard include less stuff. He said that the company is looking to make money with publishers, not ride on their backs.

He also talked about the company’s current pilot program, in which publishers can work with Flipboard to customize their publications on the iPad app. (Disclosure: All Things Digital is part of Flipboard’s new publisher beta.)

Flipboard remains an iPad-only proposition, but McCue said the company is tinkering with other platforms in the labs, such as the iPhone. They haven’t worked with Android tablets, however, because that would mean hiring a bunch of Android engineers.

Below are some video highlights, but you can get even more of what McCue said by checking out Liz Gannes’s excellent liveblog.

[ See post to watch video ]

Meet Flipboard: Mike McCue Talks About Stealth "Social Magazine" Start-Up That Just Nabbed $10.5 Million in Funding

Kara Swisher — Wed, 21 Jul 2010 03:56:38 +0000

Today, BoomTown gassed up the MINI and headed down to see one of the more innovative new start-ups I have encountered of late.

That would be a new social magazine concept called Flipboard, which is attempting to make the social networking universe more accessible, consumable and, perhaps most importantly, visually arresting via a rich app on the Apple (AAPL) iPad.

Essentially, Flipboard pulls information from sites such as Twitter and Facebook data streams and then reassembles it in an easy-to-navigate, personalized format in a mobile tablet touchscreen environment.

In this social magazine, there are pull quotes, photos, videos, status updates and even the first paragraphs of content linked out to. There is also the ability to comment and share, as if one were on Twitter or Facebook.

Co-founded by longtime Silicon Valley entrepreneur Mike McCue and former Apple iPhone engineer Evan Doll in January, Flipboard decloaked itself tonight, announcing both a $10.5 million funding from top Silicon Valley power players and also the acquisition of Ellerdale, a relevancy search engine for the real-time Web.

The funders include Kleiner Perkins Caufield & Byers, Index Ventures and a spate of high-profile investors, such as Twitter co-founder Jack Dorsey, Facebook co-founder Dustin Moscovitz, angel investor Ron Conway, actor Ashton Kutcher and the investment company of former News Corp. (NWS) exec Peter Chernin.

Flipboard currently has about 20 employees at its downtown Palo Alto, Calif., HQ.

“Flipboard is a social magazine filled with all the the things your friends are sharing,” said McCue, who co-founded Tellme, the speech recognition service acquired by Microsoft (MSFT). “We’re trying to bring the timeless principles of print to social media.”

(You can read The Mossberg Solution’s Katherine Boehret’s review of Flipboard here.)

McCue left Tellme a year ago and was casting about for a new start-up when he settled on creating a new way to digest and present the noisy flood of information being spewed 24/7 by social networks.

Kleiner Perkins partner John Doerr, who backed Tellme, said he was immediately intrigued by the idea.

“It is at once intimate and alive and beautiful,” he said in an interview with me earlier today. “This is the next wave of social media and redefines what magazine is…and I think it will be one of the defining apps on the iPad.”

Right now, the Flipboard app is free and the business plan is advertising and some possible subscription scenarios.

Ellen Pao, also of Kleiner and a member of Flipboard’s board, said she hoped publishers, whose Web sites are reconfigured from tweets and other social links by the app, will welcome the new distribution format.

“Traditional publishing is facing a crossroads and this imagines it from the ground up,” she said. “I hope it paves the way.”

We’ll see about old media reactions, which has been decidedly mixed to aggregation apps like this.

The New York Times (NYT), for example, attacked rather than embraced another terrific news reading iPad app called Pulse, accusing it of misusing its content.

It was a stupid move against inexorable concepts such as Pulse and Flipboard, which are beginning to make sense of the changing digital information landscape.

Here’s the video interview with McCue, followed by the official press releases about Flipboard:

[ See post to watch video ]

FLIPBOARD LAUNCHES WORLD’S FIRST SOCIAL MAGAZINE

INSPIRED BY THE BEAUTY OF PRINT AND DESIGNED FOR iPAD, FLIPBOARD TRANSFORMS THE SOCIAL MEDIA EXPERIENCE

Raises $10.5MM From Legendary Investors KPCB and Index Ventures and Media Innovators Including Jack Dorsey, Dustin Moskovitz, Ashton Kutcher and The Chernin Group

Acquires Ellerdale, Names Arthur van Hoff CTO

FORTUNE BRAINSTORM TECH–ASPEN, COLORADO – JULY 21, 2010–Founded by Mike McCue, former CEO of Tellme, and Evan Doll, former senior iPhone engineer at Apple®, Flipboard™ began a quest today to transform how people discover and share content by combining the beauty and ease of print with the power of social media. Flipboard also announced the immediate availability of it’s Flipboard App for iPad™, a social magazine that brings to life the stories, photos, news and updates being shared across Twitter and Facebook. Flipboard’s first public demo will happen at the FORTUNE Brainstorm Tech conference in Aspen, Colorado at 4:40pm MDT tomorrow.

“With over 1 billion posts shared every day, social networks are quickly becoming the primary way people discover and share content on the Web. The result is a huge influx of incoming messages and links people must sort through across multiple web sites just to stay up to date,” said Mike McCue, Flipboard’s CEO. “We believe the timeless principles of print can make social media less noisy, more visually compelling and ultimately more mainstream.”

Designed from the ground up for iPad, Flipboard creates a magazine out of a user’s social content. Simply launch Flipboard and “flip” open the cover to get started. From the Table of Contents readers can view their sections and personalize the magazine.

The Facebook and Twitter sections let readers quickly flip through the latest stories, photos and updates from friends and trusted sources. Because Flipboard renders links and images right in the magazine, readers no longer have to scan long lists of posts and click on link after link – instead they instantly see all the stories, comments and images, making it faster and more entertaining to discover, view and share social content.

Flipboard also lets readers easily create sections around topics or people they care about. Choose from Flipboard’s suggested sections on topics such as sports, news, tech and style, with content hand-curated from popular and interesting Twitter feeds. Or, create an entirely new section by searching by topic, person or Twitter lists to make Flipboard even more personal.

The Flipboard App is available for free at www.flipboard.com or from the App Store on iPad or at www.itunes.com/appstore/.

ACQUISITION OF ELLERDALE
As part of it’s quest to fundamentally improve the social media experience, Flipboard also announced the acquisition of Ellerdale (see press release: “Flipboard Acquires Ellerdale”). Ellerdale’s advanced semantic analysis of large, real-time data streams will enable Flipboard to extract, categorize and feature highly relevant and hot trending content from across a variety of social networks. Flipboard will also retain the world-class engineering team at Ellerdale, including Arthur van Hoff, a leading Silicon Valley technologist who played a major role in the creation of Java. Arthur will become Flipboard’s Chief Technology Officer and spearhead the company’s technology strategy.

INVESTORS
Flipboard is backed by legendary investors Kleiner Perkins Caufield & Byers, Index Ventures. Other key investors also include Twitter co-founder Jack Dorsey, Facebook co-founder Dustin Moskovitz, The Chernin Group founded by Peter Chernin, Ron Conway, Alfred Lin, Peter Currie, Quincy Smith, and Ashton Kutcher. The company has raised $10.5 million in a Series A venture capital round.

FLIPBOARD ACQUIRES ELLERDALE TO BOOST CONTENT RELEVANCY IN NEW SOCIAL MAGAZINE

Arthur van Hoff Joins Flipboard as Chief Technology Officer

PALO ALTO, Calif.–July 21, 2010–Flipboard today announced it has acquired Ellerdale, the real-time Web intelligence company. The acquisition concurs with the launch of Flipboard, a social magazine designed for Apple’s iPad, which provides a faster and more engaging way to discover, view, and share what matters on social networks such as Facebook and Twitter.

Ellerdale, founded in 2008, has developed a Web Intelligence technology that applies semantic analysis to large, real-time data streams to extract relevant and valuable information. To date, Ellerdale has indexed over 6 billion messages from around the social Web and currently processes nearly 70 million messages per day. This technology and data set will be become the relevancy engine for the next release of Flipboard, enhancing the reader’s experience by always surfacing the most important and personally interesting information from Facebook, Twitter and other social networks.

Designed from the ground up for the iPad, Flipboard creates a magazine out of a user’s social content. With Ellerdale’s technology, future versions of Flipboard will be able to extract, categorize and feature highly relevant and hot trending content from across a variety of social networks.

“Ellerdale has developed an impressive solution for understanding the ever-increasing stream of social data coming at us every day,” said Mike McCue, CEO and co-founder of Flipboard. “This technology will add deep relevancy for our readers, enabling us to present social content in a way that is not only more beautiful, but also more meaningful. It’s a great combination.”

Arthur van Hoff, co-founder of Ellerdale, is joining Flipboard as the company’s new chief technology officer. Van Hoff, who played a major role in the development of the Java programming language at Sun Microsystems, and was founder of six high-tech companies, including Marimba, Strangeberry and Zing, will spearhead Flipboard’s technology strategy.

“Combining the two companies creates a situation in which one plus one equals three, bringing together Flipboard’s innovative front-end with Ellerdale’s powerful real-time relevancy engine on the back-end,” said Arthur van Hoff, co-founder of Ellerdale and Flipboard’s new chief technology officer. “Our technology will play a key role in providing readers with the content that matters most to them.”

Mike McCue and Evan Doll founded Flipboard earlier this year and received $10.5M in funding from Kleiner Perkins Caufield & Byers and Index Ventures. The founding team members come from Apple, Netflix, Tellme/Microsoft, Aardvark and Adobe. Financial terms of the deal were not disclosed.

Swipely Nabs $7.5 Million in Series A Funding for Social Spending (And to Attack Blippy!)

Kara Swisher — Tue, 11 May 2010 08:59:50 +0000

Oh, joy: More venture bucks for more socializing of credit card information.

Today, it is Swipely’s turn to grab the spotlight in the ever-crowded space to, as the start-up’s press release so aptly says, “turn purchases into conversations.”

Yes, it says that.

BoomTown excitedly awaits the next big thing to be intrusively socialized, such as these start-ups: Wipely (it records and shares every time you clean your bathroom), Diaply (don’t let your friends miss every diaper change!), and, of course, Hypely (every time a social category is overfunded by VCs, you get a poke).

In any case, Swipely–now in private beta, founded by Tellme co-founder Angus Davis and backed by some top venture firms and Silicon Valley angel investors–got $7.5 million in funding to try to take on sites such as Blippy.

Index Ventures is leading the latest Swipely round, which includes Greylock Partners and First Round Capital, as well as investors such as Ron Conway and Chris Sacca.

Swipely said Danny Rimer of Index Ventures will join its board of directors, and Reid Hoffman of Greylock Partners will serve as an observer.

Swipely had previously raised $1 million.

Blippy, its presumable rival, has raised close to $13 million from its own fancy-pants group of moneybags: August Capital, Sequoia Capital, Charles River Ventures, Conway (again!), Twitter CEO and co-founder Evan Williams and other well-known investors.

To differentiate itself, the Providence, Rhode Island-based Swipely is trying to go for a more circumspect approach to what is essentially a service that encourages digital blabbery about purchases.

Swipely’s take on making shopping social will involve sorting out credit info and giving you, your friends and retailers a lot of options to share, and the service is stressing opt-in over automated sharing–as well as better security, taking aim after a recent Blippy breach–via a “swipe.”

Get it?

Unlike Blippy, Swipely does not show the amount of money spent–for now–and lards in data, such as catalogs, on some purchases to encourage others to buy too.

Swipely seems, most of all, to be aiming for the high-minded version of social spending. But, please let us not forget: All these attempts are trying to get people to spend more, no matter how pretty you dress it up.

Here is another screenshot (click on it to make it larger):

And here’s the official press release:

Swipely to Reinvent How People Shop, Share and Save

Index Ventures, Greylock Partners, First Round Capital and Industry Luminaries Unite to Back New Start-up with $7.5 Million in Series A Funding

PROVIDENCE, R.I.–May 11, 2010 – Swipely (swipely.com), an online service that gives users an easy way to turn their purchases into conversations, announced it has completed its Series A round of financing, and a new preview version of its service is now available by invitation. Index Ventures led the Series A round, with participation from Greylock Partners, First Round Capital, and a number of well-known angel investors.

“Our mission is to fundamentally change the way consumers shop and share by adding value to every swipe,” said Angus Davis, Founder and CEO of Swipely. “Our service will transform everyday purchases at restaurants, movies or online retailers into conversations with friends, personalized recommendations and opportunities to save money.”

Founded and backed by veterans of Tellme, Microsoft, Netscape, eBay, LinkedIn and PayPal, Swipely provides a secure platform for consumers to recommend purchase experiences, discover new places and products through trusted friends, save money, and have more fun shopping.

Enter Swipely

On Swipely, every purchase is a “swipe.” Users start swiping by following an easy and secure sign-up process to import purchases from their credit or debit card accounts. Users can also import purchases from email for purchases made at any online store.

Users can rate their swipes and add comments or photos. Many swipes are geo-located automatically to specific store locations. Swipely also supports product details by integrating catalogs and menus from more than 250,000 retail and restaurant locations, allowing users to start conversations around specific outfits, meals, songs, movies, gadgets and millions of other products.

Discovering a new restaurant, movie or pair of shoes is easy on Swipely when users follow their friends. Upon seeing a great swipe for a new restaurant, users can click to see it on the map, and add it to their wishlist. Discovering music, movies and apps is easy, too–users can just press play on select swipes to hear a song preview, see a video trailer or browse app screen shots.

Swipely places a strong emphasis on protecting consumer privacy and security, and has passed reviews and audits from leading third party security and privacy organizations. Users have complete control over swipes get posted, and the specific amount spent remains private.

Industry Leaders Across Coasts and Continents Unite to Back Swipely

Swipley’s Series A funding was led by Index Ventures, with Greylock Partners and previous investor First Round Capital also participating. Danny Rimer of Index Ventures will join Swipely’s board of directors, and Reid Hoffman of Greylock Partners will serve as an observer on Swipely’s board. To date, Swipely has raised $8.5 million in funding.

Swipely will use the funding to continue to grow the team and explore other benefits for consumers and businesses, including new ways for users to shop, share and save, and new tools to help businesses, understand and reward customers.

“We believe that the convergence of payments and social media is the natural next step in the evolution of the web. The notion of being able to use day-to-day transactions as a conversation element makes a great deal of sense and we expect it to be extremely popular,” said Danny Rimer, General Partner at Index Ventures. “Angus and the team have created the most compelling approach to enable this behavior and we’re very excited to be investors in Swipely.”

“We have been working with Angus since day one, when it was clear he had identified a huge opportunity with Swipely to change the way we shop and save on the Web,” said Josh Kopelman, Managing Partner at First Round Capital. “I’m excited to continue my support of Angus and his team as they take what started out as a visionary idea and turn it into a reality that will reinvent the way we talk our shopping experiences.”

“Swipely gets it right. Swipely offers a great service that helps consumers benefit from their card swipes,” said Reid Hoffman, Partner at Greylock, and Co-Founder and Executive Chairman at LinkedIn.

“Furthermore, the company has a great team: Angus is a seasoned tech entrepreneur with an impressive track record and it is great to work with Danny and Josh.”

Other Swipely investors include Lowercase Capital led by Chris Sacca, former head of special initiatives for Google; Keith Rabois, EVP of Slide, and former PayPal and LinkedIn executive; SV Angel led by Ron Conway; Anton Commissaris, previously SVP of revenue and business development at Mint.com and now director at Intuit; Lee Hower, venture capitalist and angel investor; Charles Moldow, former Tellme executive; and Emil Michael, White House Fellow and former Tellme executive. Davis is also a significant investor in the company.

As BoomTown Said: Partovi Brothers Finally Leave MySpace (Here Are the Internal Memos)

Kara Swisher — Wed, 21 Apr 2010 00:22:40 +0000

Well-known tech entrepreneurs and twin brothers Ali and Hadi Partovi (pictured here, right to left) are leaving MySpace, in a high-profile departure for the struggling social networking company.

Internal memos were sent around to staff this afternoon about the executive change, said sources, which you can see below.

“Hey everybody, it’s been super tough staying quiet about this news at the request of our execs,” said Hadi Partovi, in an internal memo obtained by BoomTown. “I know some of you are very surprised about this, and I want to apologize for not having had the option to brief you personally in advance.”

Hadi was SVP of Technology at the News Corp. (NWS) unit, while Ali was SVP of Business Development. Hadi will leave MySpace entirely, while Ali will have a special adviser role, said the memo from MySpace Co-President Michael Jones.

In a blog post in March titled, “MySpace Musical Chairs: Will the Partovis Stay or Will They Go Now?,” I wrote:

“In all likelihood, said sources, the Partovis will remain at MySpace for the next several months, although they are likely to move eventually to more senior advisory or special-project roles there in order to pursue longtime outside investing and entrepreneurial interests.”

Now that has come to pass.

The fate of the well-known tech wunderkinds has been one of the more interesting guessing games of late at MySpace.

MySpace managers have been keenly interested in avoiding the appearance that the company is in the grip of a talent drain, especially related to such well-known innovators.

The Partovis arrived in the midst of turbulent change at MySpace last August, just after its original CEO and co-founder, Chris DeWolfe, was suddenly tossed out and replaced by CEO Owen Van Natta, as well as COO Jones and Chief Product Officer Jason Hirschhorn.

As part of its new strategy to become an entertainment hub, the Beverly Hills, Calif.-based MySpace bought the Partovis’ social music start-up, iLike, in a deal engineered by Van Natta.

After it closed, Hadi was mostly working in MySpace’s Seattle office, and Ali was mostly based in San Francisco.

(See this funny welcome video Ali Partovi did at the time.)

But Van Natta suddenly got the boot in January after clashing with News Corp. digital chief Jon Miller, as well as Hirschhorn and Jones, sending MySpace into yet another storm.

Hirschhorn and Jones were then named co-presidents.

While several sources said the Partovis are not unhappy with the pair or with the new MySpace mediacentric strategy, the brothers sold their company with the idea of working with Van Natta.

“That firing reset things,” said one source close to the situation in March.

Nonetheless, there was some progress with iLike, including integration of MySpace Music with Google (GOOG) and a MySpace Events offering.

In addition, the pair have wide-ranging interests outside the company, including an active investment portfolio in such start-ups as Facebook, Dropbox, Opower, BlueKai and Flixster.

They have already scored big with investments in Tellme, which was sold to Microsoft (MSFT); Zappos, which was acquired by Amazon (AMZN); and IronPort, now owned by Cisco (CSCO).

And though iLike was not the success they had hoped for, their entrepreneurial record is strong. Ali Partovi sold LinkExchange to Microsoft, and Hadi Partovi, who also worked at Microsoft, co-founded Tellme.

Now, it seems, the Partovis are moving on to the next challenge.

Here are the internal memos from Hadi Partovi to iLike staff and from MySpace’s Jones:

From: Hadi Partovi
Date: Tue, Apr 20, 2010 at 5:15 PM
Subject: Fwd: Organizational Update (re Ali + Hadi)
To: staff
Cc: Ali Partovi

Hey everybody, it’s been super tough staying quiet about this news at the request of our execs. I know some of you are very surprised about this, and I want to apologize for not having had the option to brief you personally in advance.

I also want to call out looking backwards that we’ve all done a heck of a lot in just the last 6 months to help improve the MySpace business and to integrate iLike technology. Just a short list is below.

- iLike integrated MySpace Music into Google search (iLike provided the team, technology, and Google deal)
- iLike team+technology helped implement MySpace Events, launched with multi-million-dollar sponsorship commitments
- all iLike.com traffic has been merged into MySpace’s overall Comscore metrics
- iLike’s products have been featured in a TV ad by Apple, and will be in an upcoming TV ad by another major tech company
- iLike’s promotional engine has been used multiple times in coordination with MSM to promote new albums or new artists
- MSM videos have been integrated into iLike.com and iLike on Facebook
- iLike’s artist-stats are integrated into the MySpace artist dashboard
- iLike.com drives search engine traffic to MySpace artist pages
- iLike team implemented the imeem traffic redirection and data backend of imeem playlist integration
- iLike team provided backend metadata + recommendation engine for MySpace music search and song-similarities

Most importantly, thanks to our work, MySpace is the #1 provider of music on Facebook, music on Google, and Concerts on iPhone. Regardless of any challenges that MySpace needs to overcome, that is a great legacy that I know we’re all proud of.

I’m personally very sad that I won’t be working with any of you–the amazing team we built at iLike is perhaps our greatest accomplishment.

I’ll send an email to the Seattle folks to organize a proper going-away celebration :)

hadi

From: Mike Jones
Date: Tue, Apr 20, 2010 at 4:52 PM
Subject: Organizational Update
To: XXX
Cc: Jason Hirschhorn

Hi everyone,

Effective on Friday, MySpace SVP of Technology Hadi Partovi is leaving to pursue other opportunities. In addition to continuing his work as an advisor and angel investor to various startups, he will be following his passion for education by working directly with technology focused non-profits. Hadi leaves as a valued friend to the company, and we wish him the best of luck in his future endeavors.

Ali Partovi will be stepping down as SVP of Business Development, but will continue working with MySpace as a strategic advisor working on special projects. He will also be taking time to invest in and advise startups.

Hadi and Ali were instrumental in integrating iLike’s best in class technology into the MySpace brand. Last week’s successful Events launch was a direct result of that collaboration. Other noteworthy product integrations include last year’s Google Music Search integration and the Local Concerts App, which is currently the most downloaded concerts app for the iPhone and was featured in one of Apple’s latest iPhone TV spots.

Please join us in thanking Ali and Hadi for their contributions to MySpace.

-Jason & Mike

(Full disclosure: News Corp. owns Dow Jones, which owns this site.)

MySpace Musical Chairs: Will the Partovis Stay or Will They Go Now?

Kara Swisher — Fri, 12 Mar 2010 07:11:06 +0000

While there have surely been a lot of departures of talent at MySpace over the last year, including two major shifts in top management, one of the more interesting guessing games of late concerning the social networking company has been over the fate of well-known tech wunderkinds Hadi and Ali Partovi.

According to many sources inside and outside the company, that’s just the discussion the pair of serial entrepreneurs has been having with its newest leaders, as well as with News Corp. (NWS) digital head Jon Miller.

(News Corp. owns MySpace, as well as Dow Jones, which owns this site.)

In all likelihood, said sources, the Partovis will remain at MySpace for the next several months, although they are likely to move eventually to more senior advisory or special-project roles there in order to pursue longtime outside investing and entrepreneurial interests.

“They’re definitely staying for now,” said one source. “But it’s the ‘how’ is what’s being worked out.”

There are many shifting scenarios as the sides hash it out, said sources, but MySpace execs are keenly interested in avoiding the appearance that the company is in the grip of a talent drain, especially with such high-profile innovators.

Still, in an interview with BoomTown at MySpace’s Beverly Hills, Calif., HQ earlier this week (you can see part of that chat in the video below), Co-President Jason Hirschhorn said that there are likely to be a lot more departures at the company, as well as arrivals.

“It’s normal in a situation like this,” said Hirschhorn, quite correctly, given the wringer MySpace has gone through over the last year.

The Partovis arrived in the midst of turbulent change at MySpace, after its original CEO and co-founder, Chris DeWolfe, was suddenly tossed out and replaced by CEO Owen Van Natta, as well as COO Michael Jones and Chief Product Officer Hirschhorn.

As part of its new strategy to become an entertainment hub, MySpace bought the Partovis’ struggling social music start-up, iLike, last summer in a deal engineered by Van Natta.

After it closed, Hadi (pictured left) became an SVP of technology, mostly working in MySpace’s Seattle office, and Ali (pictured right) became its SVP of business development, mostly based in San Francisco.

But Van Natta suddenly got the boot in January, after clashing with Miller, as well as Hirschhorn and Jones, sending MySpace into yet another storm.

Hirschhorn and Jones were then named co-presidents.

While several sources said the Partovis are not unhappy with the pair or with the new MySpace media-centric strategy, the brothers sold the company with the idea of working with Van Natta.

“That firing reset things,” said one source close to the situation.

In addition, the pair have wide-ranging interests outside the company, including an active investment portfolio in such start-ups as Facebook, Dropbox, Opower, BlueKai and Flixster.

They have also already scored big with investments in Tellme, which was sold to Microsoft (MSFT); Zappos, which was acquired by Amazon (AMZN); and IronPort, now owned by Cisco (CSCO).

That said, with talent-retention packages in place for both Partovis, and good will between them and the new leaders, the sides are trying to come up with a workable arrangement.

MySpace declined to comment, but The Clash sure will (as well as Jones and Hirschhorn, below):

[ See post to watch video ]

[T-shirt photo courtesy of Zazzle.com]

New Tellme Mobile Product to Try to Help Microsoft Fight the iPhone With Voice Power

Kara Swisher — Wed, 29 Apr 2009 04:01:20 +0000

Tellme, the voice services subsidiary of Microsoft, is announcing a “one-button” voice access for Windows-enabled mobile phones, as well as some new technologies to improve call automation for customer service centers.

Aiming at smartphone users who might prefer to use voice over the Apple (AAPL) iPhone’s popular touch, tap and swoosh features, Microsoft (MSFT) is trying to differentiate its mobile offerings.

“Unlike other voice-based services, Tellme is the first to allow people to press one button, say what they want and get it, whether that is to send a text, make a call or search for information,” said the company in a press release, which noted the service would be available in the fall on WIndows mobile phones.

Here is a video of Tellme GM Mike McCue, showing off the new one-button service:

And, here are the full press releases:

MICROSOFT’S TELLME ANNOUNCES ‘ONE BUTTON’ VOICE ACCESS TO MOBILE COMMUNICATIONS AND INFORMATION

More than 75% of Smartphone Users Prefer Voice and Would Buy Phones With Tellme; Free to Carriers and Handset Manufacturers for Windows Mobile 6.5 Phones

APRIL 29, 2009–Mountain View, CA–Today Tellme®, a subsidiary of Microsoft Corp. and pioneer of voice services, announced the first mobile voice service to combine content and communications, simplifying how people interact with their phones every day. Unlike other voice-based services, Tellme is the first to allow people to press one button, say what they want and get it, whether that is to send a text, make a call or search for information. Tellme has designed a unique version of this experience specifically for Windows phones due out this fall.

The new service puts many of the most popular phone functions behind a single button. Windows phone users just press the side button of their phone to:

- Send a text by saying “text” to open a text box, then speak the text message and send to call anyone in their contact list

- Initiate a call simply by saying “call” and then the name of anyone in their contact list

- Search the Web with Microsoft Live Search by speaking your request, such as “weather in San Francisco, California”, “Pizza in Kansas City” or “mother’s day gift ideas”

“Because it’s so intuitive, we believe there is a real opportunity for voice to materialize as the leading user interface for the phone,” said Dariusz Paczuski, senior director of consumer services at Tellme. “By bringing voice access to calling, texting and searching together we reduce ‘menu surfing’ on phones and make the convenience of voice more tangible for everyday needs.”

In a head to head comparison, it’s clear why people prefer voice over touch. For example, it requires four touches and more than 20 keystrokes to find a business with the Apple iPhone, while it only takes one button push and one verbal command to find the same business with Tellme. Tellme’s research shows similar results for other tasks, such as making calls, sending text messages and searching for content like traffic, movies, news and sports.

“For example, Sprint has integrated our voice access to the Live Search application on Sprint Instinct phones and subscribers love it,” continued Paczuski. “In fact, we’ve seen impressive adoption of voice with 3 of every 4 search queries being initiated by voice.”

Finally, in a recent study conducted by Sanderson Studios, more than 70 percent of respondents said that voice is superior to keypad or touch-based methods to perform some of the most popular mobile tasks. This includes looking up a business listing or location (78 percent), sending a text message (72 percent), placing a call (79 percent), getting information such as movies, weather, traffic or sports (77 percent) and getting directions (81 percent).

For the past decade, Tellme has been pioneering voice services for businesses and consumers, answering billions of calls every year and helping millions of people get the information they need simply by speaking a request. Now the convenience of voice is coming to Windows phones, bringing people closer to the things they want by providing easier access to more of the phone’s functionality. With Tellme, people using the latest Windows phones will be able to simply say what they want, such as “call mom” or “text Jim” or “pizza,” and results display on the screen.

Tellme will be available for free on Windows Mobile 6.5 phones in the Fall 2009 when the phones hit store shelves. Initially available in the Windows Marketplace for Mobile store, Tellme will also make the service available for free to mobile operators and carriers to embed ‘on-device’ for a voice experience right out of the box.

MICROSOFT AND TELLME DELIVER BENEFITS OF VOICE IN THE CLOUD TO CONTACT CENTER CUSTOMER SERVICE

Speech Innovations Improve Call Automation, VoIP Infrastructure Shrinks Telecom Costs

APRIL 29, 2009–Mountain View, CA –Tellme®, a subsidiary of Microsoft Corp., today announced three core speech and network innovations that advance its platform for cloud-based voice services. The new technologies significantly reduce costs for enterprise customer service while enabling a faster, smarter caller experience. These advancements include the roll-out of a VoIP carrier service that reduces customer transport costs, advanced speech services that improve automation of customer service calls, and a new ‘voice font’ technology that delivers a more natural text-to-speech experience.

The new speech services area a result of collaboration between Tellme and Microsoft’s Speech Components Group. These jointly designed technologies will be leveraged to advance natural user interfaces across Microsoft products to benefit billions of customers worldwide. Because Tellme operates as an on-demand service, the new capabilities are immediately available to enterprises across Tellme’s platform. In addition, Tellme is now using these technologies to power its mobile services, including the Windows Mobile 6.5 application announced today.

“Providing quality customer service is a top priority for E*TRADE. Tellme’s flexible platform has helped us unify our customer service experience across multiple channels and deliver improved performance year over year,” said Hartley Caldwell, Senior Vice President, Software Engineering at E*TRADE FINANCIAL Corporation.

“Our goal is to provide enterprises with technology that improves their customers’ experience but also affords them the ultimate financial flexibility when deploying voice services. From initial deployments we’re seeing impressive cost savings and results that we’re sure our customers will be excited about,” said Jamie Bertasi, senior director of Business Solutions at Tellme.

Saving Money on Operating Costs

Handling customer phone inquiries represents a multi-million dollar expense for many Fortune 1000 companies, with telecom being one of the largest technology costs. Now with carrier VoIP service, enterprises can extend their VoIP strategy to customer service calls and eliminate transfer fees, lowering the average per-minute cost 60% per call and reducing transfer fees by 100%.

Additionally, Tellme enterprise customers have another option to save significant money on telecom beyond the expensive maintenance of toll-free numbers: local number service. With the rising, widespread use of mobile phones, nation-wide caller plans lessen the need for consumers to use toll-free numbers. With the benefit of toll-free numbers diminishing, having an alternative local number can save costs without affecting the consumer experience. Now, Tellme’s VoIP service makes it possible for enterprises to use less expensive local numbers for their customer service.

Getting the Right Answer More Often, Increasing Automation

One of the biggest frustrations of speech services is that they don’t always understand the caller. Increasing the odds of getting it right makes the overall customer experience better, improving their confidence in using the system, and lowering the total cost per call to the enterprise.

Partnering with Microsoft’s speech team, Tellme provided tuning data from its billions and billions of calls and design expertise to develop new acoustic models, phonetic dictionaries and grammar products that increase the accuracy of every response. The teams built an “online adaptation” capability where the system can adapt to a caller’s acoustic patterns within the first three seconds of speaking. These new platform features make it possible to get the right answer to the caller more often.

Results in early deployments are impressive. With an average of $3 per customer service call handled by a live agent, a phone service handling 200,000 calls per day would save nearly $6 million per year for every 1% improvement in call automation. Trials of the new services with customer applications that handle millions of calls every week indicate an up to 2% increase in automated task completion, which translates to millions of dollars in savings every year.

Creating a Faster and More Natural Experience

Both the way customers request information and the way they hear the answer have been improved with two new technologies: expanded multi-slot recognition and a new ‘voice font’ called Zira.

Multi-slot technology makes it possible for callers to ask for information in a full sentence or phrase, such as “I wanna buy five thousand shares of Coca Cola” and the system listens for the relevant words, in this case “buy,” “five thousand shares” and “Coca-cola.” Then, if any information is missing or not understood the system can ask just for the specific word clarification without re-prompting for the entire answer, making the call faster and increasing the customer’s satisfaction.

In addition, Tellme, leveraging the Microsoft Text-to-Speech (TTS) engine, has developed a new custom TTS service with its ‘voice font’ called Zira. Zira has been created with a patented technique designed for consistency in voice quality and delivery that provides a more conversational experience. The Zira voice talent was coached by audio engineers to record popular phrases and words used in customer service requests. The Zira technology benchmarks close to actual human pronunciations–delivering the industry’s highest quality TTS service and reducing the expense of custom audio recordings for enterprise IVR.

Microsoft's Man in Silicon Valley, Dan'l Lewin, Speaks!

Kara Swisher — Thu, 12 Mar 2009 17:07:47 +0000

A few weeks ago, BoomTown had lunch at Microsoft’s Silicon Valley campus in Mountain View with Dan’l Lewin, the software giant’s corporate VP for strategic and emerging business development.

In other words, Microsoft’s friendly face in the Valley, in charge of its operations there, which has about 2,000 employees.

Most of them work for other Microsoft (MSFT) divisions, leaving Lewin primarily responsible for the company’s relationships with start-ups, venture capitalists and industry partners.

It has, for example, relationships with Web 2.0 players like Digg and Facebook of late (pricey friendships, but friendly nonetheless). And it bought Tellme several years ago.

But Microsoft is not much of a big acquirer and has long been portrayed as Silicon Valley’s nemesis.

But times change and that image has been slowly shifting as its hammerlock of power has lessened with the surge of important players like Google (GOOG).

Lewin attributes that to more predictability from Microsoft (translation: not coming down like the Visigoths and pummeling folks without warning).

Unlike many Microsoft execs, Lewin has worked all around the tech industry, including at Apple (AAPL), NeXT Inc. and GO.

Here’s my chat with Lewin, where we talked about all that and more:

[ See post to watch video ]

If You Have ChaCha and a Cellphone, You Have Answers

Walter S. Mossberg — Thu, 24 Apr 2008 00:01:00 +0000

If you’re sitting in front of a computer, it’s easy to look up information on the Web. It’s almost as easy if you have a sophisticated cellphone with a decent Web browser and you’re in a place with a good Internet connection where it’s possible to type.

But what if you only have a standard cellphone with a lousy Web browser — or even the best Web-browsing phone, but it lacks a fast data connection? What if you’re speeding down the road in a car, where typing is dangerous?

[ See post to watch video ]

Now, there’s a way to get your questions answered despite those hurdles. It’s a free cellphone service that lets you ask any question answerable via a Web search, using any cellphone, by simply making a voice call. It’s called ChaCha, and I’ve been testing it out.

To use ChaCha, you just dial 800-2chacha (800-224-2242) and state your question. In a few minutes, you’ll get an answer via text message. In one test, I asked ChaCha who was the winning pitcher in the previous night’s Red Sox victory against the Yankees. In a few minutes, I received a text message with the correct answer: Daisuke Matsuzaka.

ChaCha requires no registration and works on any cellphone carrier. It needs no special codes or key words. You just state your question as if you were asking a friend. If you prefer to type your question, you can text it to “ChaCha,” or 242242. Though ChaCha itself charges no fees, your phone carrier may charge for the minutes you use, or for the text messages.

The service works by routing your questions to one of 10,000 hired “guides” — students, stay-at-home parents, retirees and others — who look up the questions on the Web and reply. They get paid 20 cents per answer.

Naturally, these guides vary as to their speed and accuracy. If you don’t like the answers they give you, or you want related information, you can call back or reply to the text message with a follow-up question. For instance, after learning which pitcher had won for Boston, I asked who lost the game for New York. I was quickly informed it was Phil Hughes.

Overall, I liked ChaCha. In most cases, I received fast, accurate, useful answers. But it has two weaknesses. One is that the low-paid, part-time guides can provide inconsistent service. When I asked for the best Mexican restaurant in D.C., for example, ChaCha came up with a choice that few locals would cite.

The other is that, unlike many other cellphone information services, ChaCha doesn’t automatically know your location. So, unless you include a location in your query, it’s clueless about questions such as “Where’s the nearest drugstore?”

ChaCha is hardly the only information service for cellphones. Google offers a text-message service where you can ask questions on a wide variety of topics, and a voice-based service that locates businesses near your location. Microsoft’s TellMe subsidiary just introduced a voice-based service that answers location-specific questions about businesses, weather, traffic and movies, and displays the answers on the screens of BlackBerrys.

But these competitors are more limited than ChaCha in key respects. Google’s broader mobile-search service, Google SMS, requires that questions be sent via text message using special key words. Its voice service, Goog411, finds only local businesses. TellMe’s new service is limited to location-based information and works only on certain phones.

I tested ChaCha using three very different phones: a cheap, bare-bones Samsung flip phone from Sprint; a midrange Motorola Razr from Verizon; and an Apple iPhone running on AT&T. I asked questions via voice and text from various locations, including my car, where I used a hands-free microphone.

I asked about sports, TV shows, journalism, history, weather, nutrition, demographics and shopping. ChaCha handled most of these inquiries correctly and was able to fix most of its errors after I asked follow-up questions. For each question, it sends two text messages: one restating your query and saying it’s working on it, and the second containing the answer.

Each ChaCha answer is accompanied by a Web link. If your phone has a decent browser, you can go to that link to learn who the guide was, and what his or her Web-site source was.

ChaCha gave me the weekend weather forecast in Boston, the date of death of Abigail Adams and the cast of the TV show “Brothers & Sisters.” It provided Peyton Manning’s salary and the sodium content of a McDonald’s quarter pounder. Its most impressive performance came when it correctly answered an obscure historical question: “When was the Gaspee burned?” The Gaspee was a British tax-collection ship burned in Rhode Island in 1772 in what is often considered the first act of war of the American Revolution.

The company is working on adding automated location knowledge, at least on certain carriers and phones. For now, you can tell it your location by sending a special command via text message. But even without the location features, ChaCha is a fun and useful service.

Find all of Walt Mossberg’s columns and videos online, free, at the new All Things Digital Web site, http://walt.allthingsd.com. Email him at mossberg@wsj.com.

Corrections & Amplifications

ChaCha, a mobile-phone search service, is incompatible with several small U.S. cellphone carriers. This column incorrectly said that the service works on any cellphone carrier, based on incorrect information supplied by the company.

Kara Visits Tellme (aka A Little Bit of Microsoft in Silicon Valley)!

Kara Swisher — Fri, 07 Mar 2008 15:24:39 +0000

Earlier this week, I jokingly said Tellme Founder Mike McCue displayed “the cheeriness of someone with acute Stockholm syndrome and $800 million in Microsoft money,” after he was quoted in an Associated Press story about what life was like after a takeover by the Redmond, Wash.-based software giant.

“We are pretty much doing everything we were doing before–just a lot more of it,” said McCue about Microsoft (MSFT) ownership of Tellme, a message squarely aimed at Yahoo (YHOO) CEO and Founder Jerry Yang, who has thus far refused Microsoft’s unsolicited advances.

That prompted the jovial McCue–whom I have know since he was a major tech exec at Netscape, the best known Silicon Valley victim of Microsoft’s aggression–to send me an email inviting me down to Tellme’s HQ in Mountain View, Calif. “I’m pretty sure our captors will allow you to film,” he added.

Well, Patty Hearst of Silicon Valley, you don’t have to ask me twice with an offer like that!

Thus, I headed to Tellme yesterday to make a video at the company, which specializes in voice-controlled technologies and directory-assistance services. When it was sold to Microsoft a little less than a year ago, Tellme was its largest acquisition in Silicon Valley until the recent Yahoo offer that is currently valued at about $40 billion.

Since then, McCue has remained on as Tellme’s general manager and the company still operates as an independent subsidiary in the same funky offices by the CalTrain tracks that I visited eight years ago. It now has 330 employees there.

Here is my video of my visit to its offices and the always sharp McCue talking about living la vida Microsoft at Tellme and about the Yahoo bid (and here is another post and video in which he talks about trends in the voice-automated services business):

[ See post to watch video ]

Tellme's Mike McCue Speaks!

Kara Swisher — Fri, 07 Mar 2008 15:20:16 +0000

Along with my visit to the HQ of Tellme (see my post and video on that here) in Mountain View, Calif., to check out the treatment it is getting as a recent subsidiary of Microsoft (pay attention, Yahoo!), I also talked to Founder and now General Manager Mike McCue about trends in the voice-automated services business.

Here’s the interview, which we did at a lovely Thai restaurant on Castro Street in Mountain View as the trains sped noisily by, where we discuss a wide range of issues about the sector and about Tellme:

[ See post to watch video ]

Day 32, Yahoo Held Hostage: Microsoft Recruiting "Big-Name CEOs" for New Board?

Kara Swisher — Mon, 03 Mar 2008 12:40:26 +0000

Since BoomTown did an obsessive countdown after Yahoo CEO Jerry Yang last year unwisely promised a 100-day, top-to-bottom look at the company, with “no sacred cows” spared (as it turned out, they all were), I decided that–after the month-mark had passed since Microsoft (MSFT) made its unsolicited bid for Yahoo (YHOO)–it was time for a count-up!

Thus, Day 32 (we’re counting from Friday, Feb. 1, when the offer was made public)!

And, frankly, with the added Leap Day this year to add to Yahoo’s agony, this battle is getting about as exciting as Yang’s 100-day slog–with nothing really page-turning on the horizon since Yahoo’s board kicked Microsoft’s $31-per-share offer to the curb several weeks ago.

Now, of course, Microsoft is returning the favor by loudly prepping a proxy fight and trotting out Silicon Valley companies like TellMe to report that a Microsoft takeover is just hunky-dory.

“We are pretty much doing everything we were doing before–just a lot more of it,” said TellMe head Mike McCue to the Associated Press, with the cheeriness of someone with acute Stockholm syndrome and $800 million in Microsoft money.

And if happy, shiny, Windows-cash-gorged tech people don’t impress, according to several sources close to Microsoft, perhaps a little fear factor will work better.

Said these sources, there will be “three to four big-name CEOs” on its list of new board members that Microsoft must nominate in the next two weeks for its slate of directors to replace Yahoo’s current board.

BoomTown recently reported that the software giant was sniffing around for prospects in Silicon Valley.

But, sorry to say, I still cannot figure out what CEOs these are, despite a lot of effort to find out.

So, I started trying to figure it out myself, focusing on tech and Web execs, who are the obvious choices.

Nonetheless, after going over a long list of possible execs, none of the ones I considered seems likely to turn on Yahoo.

Intel? No, CEO Paul Otellini is on the board of Google.

eBay? No, that’s too big a move for the new CEO John Donahoe.

Sun? No, after Scott McNealy’s funny diatribes against Microsoft for so long, CEO Jonathan Schwartz simply cannot.

Dell? No, CEO and Founder Michael Dell has his hands full.

Amazon? CEO and Founder Jeff Bezos is sassy and lives up near Microsoft, but it would be a real slap at another Web icon like Yang.

WPP Group’s Sir Martin Sorrell? Well, to include an ad biggie would be a good move and Sorrell likes to make pointed remarks about Google, but not that sharp.

Frankly, other than non-tech companies, of which there are probably many choices who owe Microsoft in some way, I am officially out of guesses.

Well, of course, except for one Web 2.0 CEO, who has a big name and is in great–and I mean, great–debt to Microsoft.

In fact, $240 million worth of IOUs. In other words, Facebook CEO and Founder Mark Zuckerberg.

It would be ironic (Yahoo tried to buy Facebook a little more than a year ago), it would be poetic (only in Silicon Valley does the young eat its old) and it would be really fun to watch the fireworks (Facebook is no friend of Google’s).

Most of all, Zuckerberg on the board of Microsoft’s Yahoo would be Steve Ballmer’s ultimate SuperPoke at Yahoo.

Please see this disclosure related to me and Google.

Gates at CES: Big Pimpin'

John Paczkowski — Mon, 07 Jan 2008 01:59:20 +0000

Tonight, tech’s highest roller gave what may have been his final Vegas performance. Sadly, it was far from his most memorable. All glitz and very little glory–certainly not the sort of glory befitting such an iconic figure. In the end, the memory of the event that lingers longest is not Gates reflecting on his storied career in tech or prognosticating about the future, but Gates singing “Big Pimpin’ ” to rap star Jay-Z. Which was funny as hell, but not exactly “The Road Ahead” material. Anyway, here’s what we got, more or less in reverse chronological order as I live-blogged his keynote:

7:40 p.m. A few more moments of guitar wankery from Slash and … well, I guess that’s it. Bach, not Gates, ends the keynote. “I’ll see you again next year,” he says as Gates waves briefly and leaves the stage. Must be rushing off to that billion-dollar-a-hand poker game at Caesars … And the lights go up. That is it. Quite a disappointment. Take away the celebrity appearances and what’s left is a well-rehearsed series of anticlimaxes and rehashes of demos past. A pity, really.
7:38 p.m.: Gates: She’s pretty good. But I’ve got my own ringer here … (Pleeeeease let it be Wayne Newton)
Nope. It’s Carrot Top. Kidding … It’s Slash it’s from Guns n’ Roses playing “Welcome to the Jungle” for real. He doesn’t miss a note either. Dry ice smoke and flashing lights.
7:36 p.m.: Bach challenges Gates to a Guitar Hero 3 match. Bach invites Guitar Hero champion Kelly Clarkson to play against Gates. … She plays Guns n’ Roses’ “Welcome to the Jungle” and doesn’t miss a note.
7:35 p.m.: Gates using the device to navigate video archives of keynotes past. Microsoft’s version of iTunes’ ‘Cover Flow.’ Messy.
7:33 p.m.: Gates uses the device to scan a photo of the Vegas skyline behind him. Clicks on the Venetian. The screen displays information for his keynote address. Pops another note indicating Ballmer’s playing nickel slots at another casino. Laughter.
7:31 p.m.: Bach brings Gates back onstage to discuss the future. … Gates takes the stage again with a handheld video recognition device. He points it at Bach and clicks. It recognizes Bach, displays his name onscreen, along with a note saying he owes Gates money.
7:29 p.m.: Fellow presenter uses Tellme to search out a movie theater, browse movie listings, purchase tickets for a movie and then send them to a friend. Pretty slick, especially given the size of the mobile advertising market.
7:27 p.m.: On to Windows Mobile and Microsoft’s Tellme service.
7:26 p.m.: Bach and fellow presenter now demoing “Sync”–an in-car voice-command technology that enables Zune owners to sync their Zunes to their car stereos and then navigate their music libraries with voice commands.
7:24 p.m.: Bach talks about Zune Social as a service that drives music transactions from discovery to purchase. Find a song you like on a friend’s page, click on it and purchase from Zune Marketplace. Again, haven’t we heard all this before?
7:22 p.m.: Listening habits are tracked via “cards.” Bands can create their own Zune Social pages as well. Essentially, MySpace for music.
7:20 p.m.: Zune Social apparently tracks your listening habits in real-time. It’s all about “people-powered music discovery.”
7:18 p.m.: Bach talking up the Zune now. … Demoing Zune Social.
7:17 p.m.: British Telecom is to begin selling Xbox 360s as Media-Room based set-top boxes. Price of relocation to UK not included with activation fee …
7:15 p.m.: In addition to this, MGM will also be adding its film library to Xbox Live. End result: Twice as many hours of on-demand programming as any cable provider out there.
7:14 p.m.: ABC and Disney will be bringing their programming to Xbox Live.
7:13 p.m.: Gates brings Robbie Bach onstage to talk about Xbox 360.
7:11 p.m.: Using Microsoft Silverlight technology, NBC and MSN will put some 3,000 hours of high-definition footage of the Beijing Olympics online. Wow: 3,000 hours of video. What a massive effort. First of its kind.
7:10 p.m.: Gates commenting on broadcast television: “It simply isn’t as fulfilling an experience as online video.”
Here comes another video segment. … Bob Costas pitching.
7:09 p.m.: Moving on to Silverlight. Gates says NBC has chosen Microsoft as its exclusive online video partner for the 2008 Olympics.
7:08 p.m.: He finishes up the design, lays his phone down on the screen and it automatically emails his design to friends for review.
7:07 p.m.: Gates, thankfully, back onstage for another demo. Wait, what’s this. Another Surface demo?! Didn’t we see this last year? Yes, we did–but given by Steve Ballmer, not Gates. Gates using Microsoft’s Surface multitouch computer to demo a snowboard-design service.
7:05 p.m.: The big achievement being touted here seems to be the connection between these services and the single log-on. As Dan Aykroyd might say: Isn’t that AMAZING?
7:04 p.m.: Windows Live Photo Gallery … in browser photo editing, sharing (via email or Flickr) and exporting to blog. Bor-ing. They would have been better off playing the farewell video again. That ‘Bib Pimpin’ segment was comedy gold.
7:02 p.m.: First up: Windows Live Calendar now with … wait for it … multiple calendar overlays (YAY! sigh…)
But wait, there’s more … Windows Live Events, an invitation/event organizing service. They really should have called it Windows Live eVites …)
7 p.m.: Gates brings Mika Krammer, a director of product management for Windows, onstage to demo some new features of Windows Live.
6:59 p.m.: And here comes the product line-up overview: Windows Vista, Windows Live, Windows Mobile ….
6:58 p.m.: A key building block of the second digital decade, the centerpiece building block will be. … (drum roll, please) … Microsoft Windows!
6:56 p.m.: “Devices will know our context and location,” Gates continues. There will be new modes of interaction and natural interfaces. “We’re very interested in simpler ways of navigating our technology.” If he were going to announce Microsoft Bob 2.0, now would be the perfect time to do it. Nope. Ah, well. “The software industry will build these new modes of interaction–touch, voice, gesture–into the software.”
6:55 p.m.: And now for a few predictions. “In the future Microsoft products and services will run on the desktop and in the cloud,” he says. Would that be the cloud with all the Google AdWords all over it? “And 3-D environments will exist for Web experiences, high-quality video and audio in a pervasive way.” Make way for Third Life …
“Devices and services will be connected.” As an example, Gates talks about photos automatically being uploaded to digital-memory application.
6:54 p.m.: Gates back onstage discussing the coming transition in leadership at Microsoft when he will step down from his day-to-day role as the company’s chairman. He says Microsoft is aligned well for success with Steve Ballmer, Ray Ozzie and others.
Moving on … “The second digital decade heralds the following: high definition experience is everywhere.”
6:52 p.m.: Video ends to thunderous applause. UPDATE: Here’s the video:

[ See post to watch video ]

6:50 p.m.: Footage of Gates cleaning out desk, taking box of office supplies to his Ford Focus. Ford Focus–now that’s funny.
Cut to Peter Jennings: “Let’s face it, all of us here at NBC News will miss reporting on this brilliant, powerful, sexy man who just doesn’t like to pay more than $7 on a haircut.”
6:49 p.m.: Gates calls Jon Stewart and asks about a co-anchor job. Stewart turns him down.
Gates calls Hillary Clinton. She turns him down as a running mate, so he calls Obama:
Gates: It’s Bill.
Obama: Bill Shatner?
Gates: No, Bill!
Obama: Bill Clinton?
6:48 p.m.: Steven Spielberg reviews Gates’s audition reel (“X-Men” and “Matrix” re-enactments; Gates in Wolverine get-up, Gates and Ballmer in Matrix-style black trench coats) and denies him a part in his next film.
6:47 p.m.: Footage of Gates calling Bono in the middle of a U2 concert. Gates plays guitar riff on “Guitar Hero” for Bono. Bono tells him there’s no place for him in U2. Which is OK, I’m sure, since there’s certainly no place for Bono at Microsoft.
6:46 p.m.: My God … Gates in recording studio with Jay-Z… Holy … Gates singing “Big Pimpin’.” Wild laughter and applause. “It was great,” Jay-Z tells Gates, before turning to the camera and muttering, “not so much.”
6:45 p.m.: Various Microsoft execs talking about Gates. Clip of Gates in office playing with action figures: “Never doubt the power of software.” Laughter.
Quickly followed by Gates in gym working out with Matthew McConaughey, who doesn’t really strike you as a Windows user.
6:44 p.m.: “This is my last keynote. Come July, it will be the first time I won’t be working at Microsoft since I was 17.” And here comes the inevitable farewell video ….
6:42 p.m.: He mentions the progression of digital entertainment–music, movies, photos. The trend is clear: all media and entertainment will be software driven in the second digital decade. And in the third, it will all be driven by Microsoft Windows! Muahahahahaha. Kidding … Moving on … “I’ll soon step down as chairman.”
6:40 p.m.: Gates finally takes the stage. He recalls his first keynote in 1994, a time when Windows ’95 was first coming together. “It was the beginning of the first digital decade.” Ah yes, “The Digital Decade.”
6:39 p.m.: Here comes another silly video, this one set to “Believe in Magic,” featuring people from all walks of life extraordinarily happy to be using Microsoft products. They look like they’re all on Ecstasy. And it’s probably safe to say that nobody has ever looked like that while using a Microsoft product.
6:35 p.m.: Shapiro says Gates has given 10 CES keynotes, eight consecutively. He’s spoken at CES 11 times. Guess he must be the Guinness World Record holder. How ’bout that, huh?
6:33 p.m.: And here comes Gates. Wait–that’s not Gates. It’s Consumer Electronics Association President Gary Shapiro. OH RAPTURE! Disappointed applause. “In my opinion these are the best four days of the year,” says Shapiro. (Tell that to Steve Jobs next week.)
6:30 p.m.: Silly CES promo video… Correction: advertisement.
6:29 p.m.: Getting started right on time. Guess Jim Allchin and the Vista development team didn’t do Gates’s makeup this time around. Lights dim….
6:25 p.m.: In a few moments, Bill Gates, the Frank Sinatra of the Dat(a) Pack (Steve Jobs presumably in the Dean Martin role), will deliver his 11th Consumer Electronics Show keynote–and by many projections his last.
6:00 p.m.: The ballroom of the Venetian Resort Hotel Casino is pretty much packed, and like most things in Las Vegas it’s BIG. But it has to be the worst pre-keynote music EVER: from 1982 video game soundtrack to passed-out-after-the-rave techno to European disco to new wave. Really covering all the genres. At this rate, Bill Gates could take the stage to the theme from “The Dukes of Hazzard” or the “Annie” soundtrack.

Gates at CES: Big Pimpin'

John Paczkowski — Mon, 07 Jan 2008 01:59:20 +0000

[ See post to watch video ]