Facebook for Business Helps Organizations with Social Networking

  • Facebook announced the launch of “Facebook for Business” this week.
  • The service does not introduce any features new to Facebook, but is reportedly making it simpler for organizations to set up on the social networking site.
  • “Facebook allows small businesses to create rich social experiences, build lasting relationships and amplify the most powerful type of marketing — word of mouth,” a Facebook spokesperson told GigaOm. “We created Facebook.com/business to make it even easier for people to reach these objectives and grow.”
  • Facebook provides business services including user profiles for organizations, advertisements, sponsored stories, and assistance with creating Facebook apps and using social plugins.
  • The timing is interesting, since Google+ has recently been shutting down company profiles for violating user policy.

Amazon Sales on the Rise, but Expansion is Costly

  • Amazon announced this week that its revenue increased a staggering 51 percent to $9.9 billion in Q2, with significant help from the highly successful ad-supported Kindle (now the most popular version of the e-reader).
  • Amazon finance chief Tom Szkutak explains this marks the Seattle-based company’s best growth rate in 10 years.
  • However, the growth also comes at a cost; profit declined 8 percent as the world’s largest online retailer continued to invest in fulfillment centers and digital offerings. Additionally, operating expenses rose 54 percent.
  • Amazon also had 5,300 new hires in the quarter, giving the company a total of 43,200 employees, up from 28,300 a year ago.
  • Investors appear unruffled by Amazon’s infrastructure spending; stock rose 5.7 percent to $226.40 on Tuesday.

Op-Ed: The Internet Cannot Remain Free Forever

  • Brian Barrett of Gizmodo provides a compelling and timely opinion piece that addresses various issues related to the current and future cost structure of online media (“The Biggest Lie the Internet Ever Told: Free Everything, All the Time”).
  • Barrett’s post reminds us that the Internet is still in its infancy — and online media is still essentially in beta, and as it continues to grow we should accept that not all content can remain available for free.
  • We’ve seen an interesting collection of revenue and advertising models in recent years that were designed to keep up with online media distribution and related technological advances (all of which are really still in beta form) — as well as a steadily climbing level of consumer demand.
  • Barrett points out that in order to move forward we may need to recognize the need for paid subscriptions and get past the philosophy that everything on the Internet is meant to be free.
  • He cites recent examples of online media approaches that have drawn criticism (“each one a flaming arrow launched straight at the heart of free”), such as Hulu Plus, the New York Times paywall, the TIME magazine paywall, and Fox’s recent decision to delay new episodes from streaming.

Ustream Launches iPad App, Supports AirPlay Wireless

  • Ustream launched its first iPad-optimized app this week. According to TechCrunch, the app “allows users to view live and recorded content streaming through the service — and to stream their own footage direct from their iPad 2.”
  • The company released its Android app on Honeycomb two weeks ago. There is also an iPhone version available.
  • The free Ustream app supports AirPlay, which means users can stream whatever they are watching on their iPad 2 to bigger screens.
  • “The AirPlay support is especially nice because while the video is projected onto your TV you can still use your iPad for chatting and social stream,” writes Gizmodo.
  • Ustream will also allow users to broadcast their own videos using either of the iPad 2’s cameras.

Twitter: Do People Follow People or Follow Brands?

  • Exactly who owns a media company-branded social media account is coming into question as individuals change jobs between companies and take their followers with them.
  • Lost Remote provides the Twitter account @BBCLauraK as an example. Former BBC chief political correspondent Laura Kuenssberg recently took a job at rival ITV, and changed her account name to @ITVLauraK, effectively shifting 60,000 Twitter followers from BBC to ITV.
  • The account name change raises interesting issues. “If she built the account on the backs of BBC — under its brand — does she have the legal right to shift it to ITV?” asks Lost Remote. “Conversely, if she doesn’t convert the name, the account becomes useless unless the BBC can convert it to someone else. But are people following the person — or the content the person represents?”
  • Possible solutions may include creating Twitter accounts in a person’s name, without including the brand — or creating co-branded accounts for content verticals — or even creating two separate accounts. However, co-branded accounts may be problematic if people follow people first, and brands second.
  • We should expect this to be become a bigger issue as media companies continue their interaction with social networks. ETCentric staffer David Wertheimer asks, “Who owns your followers?”

Spotify Sees Early Success with 70,000 Paid U.S. Users

  • Billboard reports that Spotify has already reached 70,000 paid U.S. subscribers, one week after the streaming music service’s invite-only launch.
  • It’s too early to tell what the initial success will mean in the long term since the service’s closest competitors have been on the market for years (Rhapsody and Napster, for example, have more than 10 times Spotify’s number of paid subscribers but took years to get there).
  • Spotify currently has an ad-supported free option, but also offers two paid tiers that start at $4.99.
  • Paid subscriptions provide ad-free service, unlimited play time, and mobile device access.
  • In a recent review, Digital Trends found the service “to be the most well-rounded service out of Pandora, Spotify, and Grooveshark.”
  • In related news, licensing firm BMI announced it has completed deals with Spotify and Turntable.fm to provide some 6.5 million songs to the online music services.

Netflix Pursues DreamWorks Animation, No Facebook Integration

  • Netflix is reportedly negotiating for exclusive streaming rights to DreamWorks Animation films.
  • The deal would replace DreamWorks’ contract with HBO (which runs through 2014).
  • DreamWorks reportedly has permission to end its HBO contract early. If it does, it could provide content to Netflix by early 2013.
  • If the deal goes through, it would mark the first time a major studio has licensed content to subscription VOD at the same time (as opposed to after) its pay TV window.
  • In related news (see LA Times link), Netflix will not be including Facebook integration anytime soon in the U.S. (although it will be integrated in Canada and Latin America). This is based on the 1988 Video Privacy Protection Act that requires peoples’ video rental information be kept private. Netflix feels that the law is ambiguous as it relates to Netflix/Facebook, but they’re not taking any chances.

Unreleased Facebook iPad App Discovered Inside iPhone App

  • Facebook’s iPad app may be closer to launch than earlier reported, since a fully operational version was recently discovered “hidden” inside the current iPhone app.
  • The iPad app reportedly has a more modern look than the “tired old” iPhone version, resembling Twitter’s iPad app. The navigational features are said to be intuitively positioned whether the device is held vertically or horizontally.
  • According to Wired writer Charlie Sorrel: “Facebook has managed to fully port the signature confusion of its website to a tablet app, a not insignificant achievement.”
  • The iPad app has also been described as “spectacular.” For those who can’t wait for the official release, the CNN post includes a link for instructions to get it running from inside the iPhone app.

Study Analyzes Potential Effects of Viewing Stereo Displays

  • We’ve seen another wave of press reports the last few days suggesting 3D viewing causes discomfort and fatigue.
  • For those interested in a detailed study regarding the prolonged viewing of stereo imagery, ETCentric staffer David Wertheimer forwarded this fascinating report published in the Journal of Vision (“The zone of comfort: Predicting visual discomfort with stereo displays”).
  • The study offers findings on three recent experiments and the relevance of these findings for the viewing of mobile devices, desktop displays, television, and cinema.
  • David’s comments: “A link to Marty Banks’ story on 3D and vergence-accomodation conflict, which has people buzzing (with the wrong conclusions) on the Web. I wish more people read the studies through before causing hysteria!”

Global VOD: Web-Based TV Revenue to Overtake Terrestrial by 2012

  • According to a new report from London-based Direct TV Research Ltd., worldwide revenues from video-on-demand movies and TV shows will top $5.7 billion in 2016.
  • These 2016 projections represent a 58 percent increase from 2010 global revenues of $3.6 billion.
  • Internet-based television revenue is expected to overtake that of digital terrestrial TV by 2012.
  • The U.S., Italy and China are projected to be the top three VOD markets.
  • Simon Murray, author of the report, points out there is minimal evidence free VOD offerings will drive transactions. “There is little evidence to suggest that these free services actually encourage subscribers to pay for on-demand titles,” Murray wrote. “In fact, it may be harder to convince households to pay for on-demand services if they have become accustomed to receiving free on-demand titles.”

E-Commerce: Purchasing via Tablets on the Rise

  • Consumers are increasingly using iPads and other tablet devices for mobile purchases, according to a new report by Forrester Research released this week.
  • Tablets might even one day outpace smartphones and PCs in terms of e-commerce volume.
  • The devices already account for 20 percent of mobile sales, even though just 9 percent of online shoppers have tablets. Additionally, 60 percent of tablet owners say they have used the devices to shop.
  • Tablets typically offer richer catalog presentations than those available via smartphones, and applications often produce faster loading times than retailers’ websites.
  • “Everyone thinks that mobile phones and mobile commerce are the next big things, and I think what this data shows is it’s probably actually tablets,” explains Sucharita Mulpuru, a Forrester analyst. “We have always capped e-commerce at 10 to 15 percent of total retail sales, but this potentially has the capability of really expanding e-commerce much beyond that.”

Review: Critics Chime In on New MacBook Air

  • Apple introduced its new MacBook Air last week (in 11.6 and 13.3-inch versions, starting at $999) and announced it would discontinue the iconic white MacBook. Gizmodo reports that critics across the board are enamored with the new ultra-thin device. This meta-review provides clips from six notable sources.
  • Laptop Mag (11-inch): “As an ultraportable, the Air is superior in almost every way.”
  • CNET (11-inch): “…if you’re looking for a small, fast MacBook and don’t mind paying a higher price for superior design and performance, the 2011 11-inch MacBook Air is flat-out the fastest ultraportable we’ve ever used.”
  • TIME (13-inch): “I keep trying to stumble across a task or two that will prove that an Air is just too wimpy for some folks, but I’ve failed so far.”
  • PC Mag (13-inch): “The Air 13-inch (Thunderbolt) is perfectly adept at running any video and photo editing software package, compiling a huge database, or watching a 1080p video clip.”
  • Engadget (13-inch): “Keys are more springy than before, more solid and responsive than the somewhat loose, flappy ones on the last generation… It continues to impress when it comes to contrast, brightness, and viewing angles… The 2011 MacBook Air addresses nearly every concern anyone could lob at its predecessor.”
  • TechCrunch (13-inch): “With just the right combination of portability and power, it is hands-down the best computer I’ve ever owned.”

20th Century Fox will Offer Movie Downloads for Android

  • Twentieth Century Fox has announced a new service that will offer Fox movie downloads on Android devices as early as October. This is a first for the Google Android OS.
  • Due largely to the lack of playback and copy-protection technologies, Android has so far taken a backseat to Apple’s iPhone and the convenience of the iTunes store.
  • These issues should be addressed now that Google has acquired rights-management company Widevine.
  • Digital Trends points out that the service won’t enable downloading directly to phones: “Customers will need to initially buy a physical Blu-ray disc of a Fox movie. Afterward, they will be allowed to download a digital Android-friendly copy of the movie from Fox’s website to a computer, which can then be side loaded onto the Android device.”

Hitachi Announces LCD Screen: 720p and Glasses-Free 3D

  • Smartphone screens may continue to get larger. Hitachi announced it has developed a high resolution 4.5-inch, 720p display that the company hopes will be used for portable TVs, phones or handheld game devices.
  • The 1280×710 resolution may enable 720p HD movies to be viewed in native resolution on phones — and the backlit LCD would be an IPS-based display, allowing for a wide viewing angle like that on the iPhone.
  • Additionally, this new 3D-capable display uses a lenticular lens (rather than a barrier approach) that would enable glasses-free 3D.
  • ETCentric contributor Phil Lelyveld points out: “3D is driving the display industry towards higher and higher resolution phone screens, since 3D effectively halves the resolution. Resolution has become a marketing point in this highly competitive market.”

Update: Google+ Reaches 20 Million Users in First Three Weeks

  • ETCentric recently reported that Google+ may be one of the fastest growing networks ever, when it hit the 10 million mark two weeks from its launch.
  • Web analytics firm comScore reports that the new social network has already doubled that amount. Google+ has had 20 million unique visitors since its release late last month, including five million from the U.S.
  • Additionally, the Google+ iPhone app released earlier this week is expected to boost these totals.
  • “I’ve never seen anything grow this quickly,” commented VP of industry analysis at comScore, Andrew Lipsman. “The only other site that has accumulated as many new visitors in a short period of time is Twitter in 2009, but that happened over several months.”
  • According to Digital Trends: “The long-term plan for Google+ is to integrate it with other Google services such as YouTube and Gmail. When that happens, it’ll become a service to be reckoned with and will likely begin to make big gains on competitors such as Facebook and Twitter.”