QR Codes Added to USA Today

If you are on of the 33% of smartphone users, your mobile experience is not complete unless you are accustomed to using QR codes, those graphical boxes on print materials, that link to online content on your phone. And USA Today is introducing these QR codes, more specifically, the Microsoft Tag, to their daily addition. "Microsoft is enthused about the partnership, as it brings big potential market share to their Tag system. 'We’re excited that USA TODAY is using Tag to engage with readers in a more interactive way. Microsoft Tag makes the world around you clickable, and now with the scan of Tag, customers will get a richer, more enhanced experience from the pages of the newspaper,' said the director of Tag, Bill McQuain."

Smartphone penetration continues to rise. The launch of the Verizon iPhone will only push penetration further. The smartphone has become the must have device, connected to most of us 24/7. It connects us with voice, test, GPS, email, and more. It can be our still camera, our video camera, our radio, and even as a wallet. The Microsoft Tag or QR code enables us to enjoy a more interactive experience with the information and content we encounter. Adding it to newspapers like USA Today seems like a no brainer, yet it is only just now being added. Tags don't have to be just for advertising; they add more value to editorial as well and hopefully that connection will only serve to make USA Today a more desired newspaper.

Is Cable Against the Google TV Revolution?

Sometimes I come across articles like this one that really captures my attention. I have not bee a fan of the CableCard and believe that cable has worked hard to make it a difficult solution for consumers to access content outside the set top box. Google has a device that would seem to truly create a convergence of cable and internet programming, desired by the consumer, that is also easily managed by the consumer. But it needs the push by the FCC to make Google TV work most efficiently. "That's at the heart of the FCC's proposal for an AllVid system, which Google very loudly supports. AllVid doesn't exist yet, but the idea is to mandate an industry-wide gadget that you could plug into your broadband router and connect to your cable TV provider, then watch online video and pay channels through a variety of AllVid-friendly devices. Not surprisingly, Google and Sony love this idea, because it could transform the Google TV from just a neat product into a revolution."

Is cable truly fighting this or is this also an opportunity to partner in a way that still protects the cable operator. I believe a win-win solution can exist. A partnership of internet and cable would improve functionality, interactivity, sharing, and viewing. The CableCard is a failed experiment; it is time to try something else.

Would You Watch 3D TV?

I must first admit to not being a fan of 3D movies. Despite its excessive price tag, I find the glasses uncomfortable and the viewing experience unsatisfying. That being said, its popularity in the theaters has helped ticket revenues and encourage even more 3D movies to be made. And while 3D is a value added to the theater business, I wonder if it is as important for the little screen.

Sales of 3D TVs have not been as impressive as sales of HDTV. And it is the slower rate of adoption that makes me wonder if it is necessary for the home. Obviously the greatest impact would be on the most watched genres: movies, sports, news, and perhaps music/concerts. Is 3D just as necessary for documentaries, TV series, and other programming? Sony, Discovery, and IMAX think so. "A general entertainment service, 3net will feature natural history, documentary, action/adventure, history, lifestyle and cooking, to name a few genres."

Its first carriage agreement is with DirecTV. But do they support enough 3D sets to deserve a license fee? And what about the commercials? I doubt that many will be filmed in 3D. Today many are still not filmed in HD. For these companies, the belief is that 3D is the next generation of device in the home, for others, it may simply be a fad that will lose steam. Like the video phone, it may take many, many attempts before it is more embraced. A more realistic 3D experience, without glasses. For now, Discovery and DirecTV are putting down a placeholder for the future.

And to answer the question. No, I would not watch 3D TV. Not in its present form. Give me my big screen HDTV any day.

Will Smartphones and Tablets Replace Computers?

Do we need the desktop computer anymore? Especially in the home, can we get by without even the laptop as tablets and smartphones provide all the surfing we need? It seems when it comes to sales, smartphones are outselling computers. "While advanced mobiles are selling like crazy, the PC market has been far more subdued. In fact, it barely even registered any year on year growth in the 4Q of 2010." Perhaps it is the simple fact that a smartphone is a one user product while a computer gets shared in the household. For a family of four, the simple math is that smartphones take a 4 to 1 lead. Add to that the lower price point of smart phones and you see quicker obsolescence and a willingness to keep buying a new phone every 2 years.

And the rise of the tablet demonstrates that everything a PC can do can be easily accomplished with an iPad. "There’s no denying that 14 million iPad sales took a chunk out of the laptop market, and it’s evident in the sales stats." Since the house is wireless enabled, communication and printing is just as easily managed. And yet the computer is not going away so quickly. It's role as the server to household products will continue to play an important role. And business still relies on the computer for daily functions.

The rise of smartphones and tablets simply reshapes the use of the computer and its role in the household. The ability of these devices to talk to each other and facilitate efficient functionality is key. Today iPads and iPhones can talk to cable boxes. Sharing content inside the home from phone to computer and back means a much richer experience. And this link will only continue to grow.

Apple Dominates the Movie Download Business

It should come as no surprise that Apple knows what the consumer wants and knows how to deliver it. Before the iPod, mp3 players and other portable devices were hard to operate or too bulky. Apple streamlined the process and made the download process idiot-proof. It started with music and that expertise has expanded into the video download world. "Apple's iTunes accounted for 64.5 percent of all the money spent in 2010 on electronic sell through (EIS) and Internet video on demand (IVOD) despite facing increased competitive pressure from Microsoft's Zune (Xbox), Amazon, Sony's Playstation, and Wal-Mart." Two thirds of all movie downloads were through the Apple iTune store. Impressive. In fact, that percentage is down. "In 2009, iTunes held 74.4 market share, and its share fell 9 percent last year, according to iSuppli. The good news is that the overall market grew by more than 60 percent." And by all accounts the size of this business will only continue to grow.

And where are the cable operators in the mix? Sure VOD offers rental opportunities but what about a download to own option. What if I like what I rent and I want to keep it. Cable could incent with a discount attached to the on demand rental. They could enable the purchase and take a share of the revenue. Liked Harry Potter, push the button to get a download to your account. It seems like a missed opportunity given the dollars going toward the digital business, and yet cable operators keep watching this content being sold through other distributors, like Apple.

And Apple continues to own the music download business too. Their ability to be content feeders to iPads, iPods, iPhones, Macs, and other devices cements the Apple brand as the aggregator of all content. So what is next; how about digital subscriptions of newspapers and magazines. Content and distribution working together to give the consumer what they demand. Certainly, competition will continue to push Apple to work harder to maintain its lead. Its share may drop a bit but as they continue to innovate, the growth of the business will more than offset. And as long they can continue to adapt to the changing demands of the consumer, Apple will continue to lead the change.

Should Apple Buy Sirius or Perhaps Direct TV?

Its early in the year and the talk is of acquisitions. With AOL buying the Huffington Post and Apple flush with cash, I wonder if it is time for Apple to make a purchase. The linked article describing Sirius's new website and link to iTunes makes me wonder, should this relationship be even more connected? Should Apple buy Sirius? Is it time for Apple to own a distribution platform?

A Sirius purchase would give Apple a mobile connection and perhaps lead to a stronger connection. And adding a Sirius subscription not only to the car but also to iPhones and iPods would be a consumer benefit. Could Sirius also drive video through its subscription, Apple would gain even more of a platform share.

But if not Sirius, the other platform that would seem to make sense for them could be Direct TV. Both in its reach and content delivery, it could add another dimension to Apple TV. The challenge of satellite, for both Sirius and Direct TV is the one way nature of the signal. Designing a solution to correct that issue would be another game changer in the entertainment and communication landscape. And I have no doubt that the folks at Apple are up to the task.

What is the Internet, Anyway

Great video from the Today Show with Katie Couric and Bryant Gumbel. Boy have we come a long way since 1994.

Apple's Lemming 1984 Ad Keeps Coming True

Apple's Super Bowl commercial, modeled after 1984 and showing lemmings all in a line marching to their death is all coming true, and ironically it is due to Apple. With each new release of product, consumers are waiting in line for hours for their turn. Today, that line is for the Verizon version of the iPhone. "After less than one day Verizon sold out of its online pre-order stock of iPhones. When the phone goes on sale in stores in a week, we fully expect to see people lined up for blocks." And this need to follow the pack and wait in line with the hope of receiving a phone is a little too much. You can't wait a few more weeks for things to settle down. Afraid you might miss something. I simply find this need to wait in a line amusing and a little sad. Of course, it is all good business for both Apple and Verizon. With inventory selling out, the demand over supply mentality only builds more want. All I can say is chill. A couple more weeks to wait won't kill anyone and you will probably get better service getting your iPhone authorized.

Cord Cutters Rejoice, Hulu Adding More Content

For those tired of their cable bills and eager for more web content, more is coming your way. Viacom and Hulu have partnered again to allow Viacom content to be viewed across the web. "Content under the agreement to be added to the Hulu Plus $7.99 monthly subscription service will come from Viacom media networks including Comedy Central, MTV, BET, VH1, Spike TV and TV Land." In addition to the subscription portal, Viacom will be providing content into the free space as well. For those with kids though, the exception is its Nickelodean content including Dora, Spongebob and other shows. It has been about a year since Viacom pulled its content off Hulu so this new agreement is good news for those consumers waiting patiently for the return of shows like The Daily Show and The Colbert Report.

And with the Comcast NBC deal signed, Comcast retains an ownership stake in Hulu but not a voice in its strategic direction. A lost sub to a Hulu subscription is certainly not a zero sum game. Still as Hulu continues to grow, NBC and its new owner Comcast will find some benefits of this arrangement. And Comcast continues to push itself through TV Everywhere and its own mobile content. The more content Comcast enables on computers and smartphones, like the recently announced Turner deal, the more Comcast remains connected to its consumers' needs.