David H. Deans

McKinsey's Cloud Computing Report Is Not So Clear

@raytayzmd I agree that this assessment reads like the kind of "analysis advertorial" that Aberdeen Group will produce for the right price.

Frankly, even though I'm sure that McKinsey & Company has suffered a loss of consulting work due to the economy, I'm puzzled why they would risk damaging their brand a associated reputation. Very short-sighted.

YouTube: Google's Recession-Proof Cottage Industry

Julia, perhaps the Prosumer online video production sector is the segment to watch more closely in 2009 -- not just the actual content they produce, but the tools and services that are used by those individuals to create and distribute their content.

Armed with creative talent, an idea for a niche market segment, and the knowledge of how to engage their target audience -- Prosumers benefit from the continued fragmentation of the mass-media marketplace.

Online Content: Trading Analog Dollars for Digital Pennies

Fred, what you have called the "scarcity driven business models" would be better described as the "systematic restraint of trade models." Consider the facts: the government gives your corporation public radio spectrum for free. You use it to broadcast only the content that you decide will reach the public. As the gatekeeper, you ignore the FCC requirement for content to be "in the public interest" and instead sell access to your captive TV audience to the highest bidder. You give preference to producers with high-quality production values -- this essentially ensures that little to no independently produced art content reaches the public. For decades, low-budget creators of unique films and thought-provoking documentaries are left standing outside your gates, which enables you to extract the utmost profit -- while demonstrating that you can successfully block any attempts to mess with the safe status-quo that you've been able to fabricate for yourself and your shareholders. Then, the Internet emerges as a lost-cost unrestricted distribution network that levels the playing field, and the "restraint of trade model" loses value as independent content creators (including Prosumers) gain an audience and fragment the marketplace. The public now has a multitude of news and entertainment sources to choose from, and the once-unthinkable happens -- nearly 20% of Americans surveyed say that when analog TV broadcasts end, they will retire their traditional television forever. My point: Zucker's digital pennies are assured as long as he resists the "new rules" of the free-market distribution meritocracy. Meanwhile, he will milk the uninformed advertisers who continue to pay for "impressions" when the only meaningful metrics will be engagement and interaction.