Posts from Industry Trends

News-driven and industry relevant topics. Designed to be a place where a business person might start.

July 31

The Quarterly Earnings Call is Passé

Much has been discussed about the availability of new socially oriented financial products for the retail audience, however even the very traditional institutional audience is beginning to tread into the area.

The retail world offers many examples of best practices. From great sites such as Mint.com, which can organize an individual’s financial accounts, to crowd-sourced investment ideas at the Motley Fool, there are a host of opportunities to gain from the wisdom of the crowd. Recently, Jeremiah Owyang from Forrester listed many retail examples.

Now the institutional side, more traditional and conservative, is beginning to adopt social media practices. No, I don’t expect Facebook and Myspace to have a many buy-side friend groups, however there is a deep interest in more meaningful interactions between investment managers and their institutional clientele.

Advisors and investors are looking for more contact with portfolio managers and members of the investment team. For example, the typical earnings call offers minimal capabilities beyond listening and getting in queue to ask a a question. Feedback is that they are typically too structured, too scripted, and question and answer sessions require too much time, or are of little value.

Research has shown us that analysts and decision makers want to interact beyond phone calls. They want to ask tough questions and physically see how the manager reacts. They want to be able to view it on their own time, and their own devices. They want to understand and learn from other people’s questions. They want to rank questions to make the most of their valuable time. They want to search for specific comments. Some want to offer feedback on the answers and others want to create an evolving dialogue.

In order to be successful, web-based interactions need to delicately balance corporate and legal compliance concerns with the vast opportunities that technology affords. Investment managers that don’t evolve their interactions risk perceptions of transparency and risk providing the conviction that investors need to recommend or purchase a product.

July 18

Code Blue! Cellphone!

Thursday evenings, it’s Gray’s Anatomy. Our living room suddenly converts into a breathless waiting room, inhabitants imbibing each nuance of dialogue with rapt attention. Will the patient miraculously recover and whisk Katherine Heigl away (if so, o Lord, let me get sick in Seattle), or croak at the very end of the episode?

Unlike the drama at the Seattle Grace hospital, the prognosis for the cellphone is certain, and it’s not good. As phones get smarter, data plans become cheaper, and consumer experience improves, the demise of the cellphone grows ever closer. People will still have phones, absolutely and always, but phones will have morphed into something else entirely.

Instead of a tool designed to support voice communications, it will become a digital jackknife – a device that does everything you want portable electronic devices to do. Not only take pictures, and voice, and text, but a storage center for files that can access the internet. Or act as your GPS unit complete with driving directions. Or act like a credit/debit card. Basically, the sky is the limit so long as people want new and better toys, and the way we use these devices will fundamentally change.

While Apple’s debacle last week was a bit of a pooch, the release of the app store is going to be gasoline on the fire of phone OS development. With a huge array of applications at the user’s disposal, the iPhone will be used less and less for talking, and more and more for other things. The iPhone is a platform, not a product, and it’s direction is oriented more towards compting than yapping.

This change will extend to other phones and applications, as well. Google is working on the Android platform, along with a host of other investments into the mobile computing space, to force the carrier’s grip off of network content. The software available to users, and the things that the systems will perform will mirror the functionality of our current laptops, not cellphones.

It’s truly exciting to watch the changes sweeping the mobile space. Almost as exciting as watching Katherine Heigl and the patient, but hey, I have yet to see a cellphone in scrubs.

oops, commercial’s over. bbl.

July 2

Recap - Mobile Mondays - Browsers: Driving the Web, or Driven by the Web?

We’ve all heard the news: Apple’s 3G iPhone (to be released next week) will again alter the mobile landscape with its low(er) price, rich features, robust platform, and powerful network. The iPhone is the most visible (and the most consumer-friendly) sign of change in the mobile landscape, but industry-wide, there are many interesting initiatives and advances are taking place. This past Monday, Mobile Monday Boston brought together a panel of mobile web thought leaders to discuss these changes, as well as the hidden challenges and opportunities for mobile content and technology developers.

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June 25

In the RIA World, there is a new “Silverlight” on the Horizon

A prospective client recently asked what Molecular’s opinion was on Microsoft’s Silverlight technology.  Specifically, they were curious if they should seriously consider using Silverlight (over Adobe’s Flash/Flex platform) for building their future rich Internet applications.   This is a question that is bound to be asked more and more by our clients in the near future.  At that time Silverlight was (and still is) in beta and lacked the necessary RIA capabilities the client required.   However, the latest version of Silverlight is getting very close to an official release.  When this happens, it will provide application designers and developers the rich Internet features that are necessary to build the next generation of sophisticated web applications.
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June 20

Haptic. It’s more than just a 25 cent word.

I love words; as a guy who specializes in how people interact with technology, a big part of understanding these interactions is framed by the vocabularies that articulate what we’re doing, or how we’d do it. And it’s really fascinating to watch how words evolve to describe our reality, especially as the rate of change accelerates how our culture adapts, and what we’re doing. Some words are new, and become used in interesting colloquial ways as technologies are adopted and integrated with society. For example, it seems highly unlikely that people in the mid-1700s were saying that they focused on churning butter with a laser like intensity. Other words are old, but get dusted off as technology picks them up and finds new applications for them.

The word ‘Haptic’ is a great example of this. From the Greek haptesthai, meaning ‘to touch,’ it made it’s debut circa 1890 describing the psychology of the sense of touch. Over time, it has come to include all things touch related. And now, as mobile technology becomes increasingly sophisticated, it is starting to be used as a new marketing term to describe phones that respond not only visually and aurally, but with some kind of touch response as well.

For example, I get in trouble with my girlfriend. Because I’m in low-to-mid trouble, I can get out of it by being kind of cute. So I might MMS her a little heart icon, and as the heart beats, the phone vibrates. Now, she’s probably not thinking “awwww, he sent me a little haptic message that alerts my sense of touch!’, she is hopefully thinking ‘awww he’s thinking about me and this is cute!’ (Disclaimer: I don’t actually know if haptic MMSing will get a guy out of trouble, and don’t plan to test. Don’t take unnecessary risks and rely on technology to get out of them) Another example would be a blackberry vibrating as it rings. Not terribly sophisticated, and not terribly sexy, but you get the idea.

It’s not the behavior of the iPhone; while multitouch is a revolutionary feature, the user still poking an inert screen with no response. But what the iPhone has done is raise the awareness with the consumer of a truly portable touch screen, and raise the bar for Apple’s competitors. These two forces will combine to accelerate development of truly haptic interfaces. Many iPhone users lament the fact that their phone is tough to use, and would prefer a more sophisticated typing experience. It’s certainly an area where competitors can hope to compete with the incredible design of the device, through creating an interface that actually reacts to the user pressing on the keyboard.

Enter Nokia. After more than 10 years of development, they have introduced a prototype device that makes touching a screen feel like clicking a keyboard. The N770 internet tablet provides the user with a true sensory experience, complete with downward movement, resistance, clicking, and an upward movement. It makes typing feel “incredibly responsive” and simplifies the task greatly. Apparently, they will ship the technology with the S60 touchphone, as well, and are working on haptic interactions for scrolling and painting applications.

When these applications reach the US market, and as the technology cascades down in cost and up in availability, terms like “haptic” will worm their way more and more into common usage. As the technology moves from the realm of research, to phone geeks, to mainstream, the word haptic will become more and more commonly used. While I don’t think it will capture the public imagination like the acronym LASER did in the past, it will become a feature that people expect, and marketing touts, until it’s taken for granted as a feature set on future devices. And hopefully, by that time, there will be a reliable technology that gets guys out of trouble – sort of the electronic equivalent of roses and chocolate. Lord knows I’m waiting for that one.

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