Apple iPad: The Best iPod Touch Available

James McQuivey

I have a weakness. I like to think big. And when we heard so many juicy rumors about the Apple tablet device, now named the iPad, I knew that with Steve Jobs at the helm, I could afford to think big. So big did I think, that I suggested the iPad should take media consumption to the next level and create an entirely new category of device.

At first, Jobs appeared ready to confirm my suspicions. He said seductive things like, "Everybody uses a laptop and or a smartphone. The question has arisen lately. Is there room for a third category in the middle?" I was sitting on the edge of my seat, ready to hear Jobs demonstrate that new category of device. But he didn't.

Instead, what Apple debuted today was a very nice upgrade to the iPod Touch.

Don't get me wrong. I love the iPod Touch and I was this close to getting one for myself. Now that the iPad has arrived, I can finally get one, the new, big one. But it's not a new category of device. It doesn't really revolutionize the 5-6 hours of media we consume the way it could have. It doesn't even send Amazon's Kindle running to the hills for cover. In fact, the competitor likely to take the biggest hit from the arrival of the iPad is Apple, in the form of fewer iPod Touches sold and fewer MacBook Airs sold.

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Nytimes.com: How to survive charging your readers

James McQuivey

A storm has been brewing at The New York Times for a while now. Ever since TimesSelect -- the paid digital version of the Times -- was cancelled back in 2007, the "content wants to be free" crowd has danced around its proverbial grave, singing the equivalent of "ding, dong, paid media is dead." 

It's hard to argue against that viewpoint given the reality we're seeing: long-time newspapers closing their print editions entirely (see Seattle Post-Intelligencer), august magazines such as Gourmet shutting their doors, newspaper subscriptions at unprecedented lows, not to mention the power that Google has over the traffic that newspapers and magazines generate. Worse, our consumer surveys show us that 80% of US adults will choose not to pay for online newspaper or magazine content if they can't get it for free (see my colleague Sarah Rotman Epps' post on this for more).

It is amidst this maelstrom that nytimes.com is reportedly considering erecting a new pay wall -- one presumes a shiner, prettier one than the last wall, but a pay wall nonetheless. Read New York mag's take on the situation here. Not to put too fine a point on it, but this is a bad idea whose time has unfortunately come.

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3DTV at CES: Poking Holes in the Hype

James McQuivey

It's high time somebody said it. Sit through one too many CES keynotes, press conferences, or pitches, and you just might leave Las Vegas with the mistaken idea that 3DTV is going to be in all of our living rooms next year. ESPN and Discovery are committing to 3D cable and satellite channels, Sony is upgrading its PS3s to do 3D, and Taylor Swift's live performance opening night at CES was shown live in 3D (Right behind her, mind you. You had to put the glasses on in order to see Taylor Swift in 3D when she was, actually, in 3D already, right in front of the audience.)

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What's a book really worth?

James McQuivey

"Dear book industry, I'm so sorry to tell you this, but your books really aren't worth $25. Just like newspapers weren't really worth what people were paying for them and magazines, either. And CDs, and DVDs."

I caused a bit of a fuss last week when I blogged these words here, or in a mirror post on Paidcontent.org. This has been one of the most commented and tweeted posts I've ever offered and much of the feedback centered on this question: was it fair of me to drag the price of books down?

 

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Urgent note to book industry: There's a better way to window eBooks

James McQuivey

Frankly I am surprised that it took this long. But today, we read in the Wall Street Journal that two major publishers have decided to pull a music industry mistake. Simon and Schuster and Hachette Book Group have announced that they will not release most eBook editions until the hardbacks have been on shelves for four months.

And I quote David Young, CEO of Hachette Book Group, whom the article cites as saying: "We're doing this to preserve our industry, I can't sit back and watch years of building authors sold off at bargain-basement prices. It's about the future of the business."

 

Correction: This move is about the past of your business.

 

I'm just being a historian here when I point out that language like "We're doing this to preserve our industry" is a classic symptom of what we at Forrester loving call The Media Meltdown. I wrote a whole report on this ailment and its many symptoms, chief among them is that media businesses attempt to preserve analog business models in the digital economy, even when analog economics no longer apply. This is exactly that scenario.

I have two very important messages to offer the book industry (most all of them clients, so I'm trying to be delicate here, the way a group of friends running an intervention for an alcoholic have to act even if it involves summoning tough love). The first message is the hardest to hear and it will make me some enemies. But the second message offers some hope and I encourage you book types to give it a fair hearing, because I have history and economics on my side. 

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New magazine joint venture faces tough uphill climb

James McQuivey

Today the long-anticipated joint venture between Conde Nast, Hearst, News Corp, Time Inc and Meredith Publishing became official. These firms -- all of them up against the ropes in an effort to deal with declining magazine ad revenue and the lackluster performance of online ad models -- have decided that to face the digital future, they'd rather do it hand-in-hand. 

 

The motivation for the union is simple: eReaders are taking over the book publishing world, meanwhile magazines are left in the dust, with no devices they can call their own.

 

I mean, really, have you tried to read Business Week on your eReader? It ain't pretty. And on the Kindle, most magazine publishers want to charge you for the painfully slow page turning experience of the device all in exchange for the convenience of automatic delivery to your portable device. So the industry -- seeing a world that is evolving without their interests in mind -- is joining hands to solve two problems:

 

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The Nook changes the game with the first built-in social experience

James McQuivey

The official announcements about the Nook went out yesterday and much has been said about the device, such as whether it trounces the Kindle (it does not) and whether the delay in shipping (units you buy today, for example, are expected to ship January 15) will permanently keep the Nook out of the running (it will not).

Because so much has already been said, we paid attention to what hasn't yet been said -- as far as we can tell, by anyone. It's this: the Nook is the first eReader to hit the market that has any kind of social connectivity built in to it. I'm referring to the "loan a book" feature the Nook offers. Read reviews like the one at CNET and you'd think that the book loaning feature is a flop because: a) it only applies to select books (at the publishers' whim) and b) it only lasts for 14 days.

I'm gonna tell you a secret: it doesn't matter how limited today's loan a book feature is, it's a huge step in an increasingly important direction for eReaders.

People share books. They share them, and then they talk about them. A lot. This fact is so critical to the way people read books that it is amazing that none of the eReaders yet offered to the market have any meaningful book sharing built into them. So even though the Nook is shipping late (folks, this is the eReader market, demand has been outstripping supply for the past two years now, stop acting surprised that Barnes and Noble and Sony are experiencing delays), we applaud its arrival because it opens Pandora's social box in this space. Once it's open, this box will set free all kinds of goodies that we are excited to have, including:

 

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Why Comcast-NBCU really IS about digital

James McQuivey

Today is the big day: when Comcast announces it has taken a controlling share of NBCU in the latest mega media merger. And though the media have been covering it rapaciously for months now, the obligatory reaction stories are now being posted, analyzing something we should really know by now, namely:

 

This deal isn't about clamping down on runaway digital video content to save cable's collective hide.

 

If you're not careful, you may run into people who assert the contrary. Rafat Ali of paidcontent.org, whose opinion I generally value, earlier today titled his remarks "Comcast-NBC Deal Isn't About Digital." By which he means it's not about purely digital content (generation or delivery). While that's true, when he then goes on to say that Comcast's digital moves (thePlatform, Fancast) don't have "the potential to change the game for the cable giant," he is 100% wrong.

 

Because the future of cable is entirely dependent on digital. The future of all media of any sort is dependent on digital. Ergo so is the deal.

 

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How to Sell Connected TVs this Holiday Season

James McQuivey

The signs of the holidays are all around us: my teenagers have started listening to the local holiday music station, people are bundling up in anticipation of the snow that will soon be upon us, and the Wall Street Journal is reporting on the expected sales of TVs at WalMart this Black Friday. 

Aside from the economy, I'm following holiday shopping results because of the humble little devices we call connected TVs. CES 2009 featured many a promise from major TV makers – they assured us that connected TVs were finally ready to rock. Based on that, we estimated that a million of these TVs would be in US homes by the end of the year. In fact, if all the promises were kept, these million would be an easy sell because they would have fancy widget experiences just like the iPhone. Plus, we were assured the technology would get better every day so that accessing Internet content on the TV would feel as natural as switching from Dancing with the Stars to House (an activity I encourage).

This is not the time to go into my disappointment at the failure of some of those TVs to even arrive, much less the less-than-iPhone-like widget experiences they have delivered so far. Instead, in the spirit of technology denial, I’d rather focus on the fact that even if these TVs could do everything we hoped, somebody still has to sell them at retail. No, I'm not concerned we won't hit the million mark. Instead, I'm concerned that we'll have a million or more out there, but that fewer than 40% of them will actually connect to the Internet.

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It’s Berlin, Circa 1989, and the Media Industries Are East Germany

James McQuivey

Allow me to add my voice to the chorus of those applauding the fall of the Berlin wall twenty years ago this month. It was this event that taught me firsthand why revolution is simultaneously impossible as well as inevitable. In 1986 I sat with other students from around the globe just blocks from the wall and debated whether it would ever come down. The naïve among us insisted freedom was imperative: It was inevitable. The others asked if we had stopped to think about the massive relocation of people, economic resources, and government structures that such a revolution would require: It was impossible.

Until it happened, just three years later.

 

Brandenburg tor eastside

The author, pictured left, photographed in front of the Brandenburg
Gate from what was then the East German side

 

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