Category: technology | 技術 | 기술 | テクノロジー

It’s hard to explain to someone who didn’t live through it how transformation technology has been. When I was a child a computer was something mysterious. My Dad has managed to work his way up from the shop floor of the shipyard where he worked and into the planning office.

One evening he broad home some computer paper. I was fascinated by the the way the paper hinged on perforations and had tear off side edges that allowed it to be pulled through the printer with plastic sprockets connecting through holes in the paper.

My Dad used to compile and print off work orders using an ICL mainframe computer that was timeshared by all the shipyards that were part of British Shipbuilders.

I used the paper for years for notes and my childhood drawings. It didn’t make me a computer whiz. I never had a computer when I was at school. My school didn’t have a computer lab. I got to use Windows machines a few times in a regional computer labs. I still use what I learned in Excel spreadsheets now.

My experience with computers started with work and eventually bought my own secondhand Mac. Cut and paste completely changed the way I wrote. I got to use internal email working for Corning and internet connectivity when I went to university. One of my friends had a CompuServe account and I was there when he first met his Mexican wife on an online chatroom, years before Tinder.

Leaving college I set up a Yahoo! email address. I only needed to check my email address once a week, which was fortunate as internet access was expensive. I used to go to Liverpool’s cyber cafe with a friend every Saturday and showed him how to use the internet. I would bring any messages that I needed to send pre-written on a floppy disk that also held my CV.

That is a world away from the technology we enjoy now, where we are enveloped by smartphones and constant connectivity. In some ways the rate of change feels as if it has slowed down compared to the last few decades.

  • Is there a luxury smartphone segment?

    There are luxury smartphones, but is there a meaningful luxury smartphone segment?

    From Apple’s iPhone price inflation to Huawei and Blackberry’s Porsche Design devices, manufacturers have looked to cater to a ‘luxury’ consumer.

    Prior to this is you had the Vertu phone with its concierge service and niche players like Goldvish catering for the the Gulf based clientele and Russian entrepreneurs. TAG Heuer tried launching its own phone.

    Pierre Cardin approach to licensing

    Prada and Bang & Olufsen had collaborations with Korean manufacturers. Even Dolce & Gabbana allowed their names to be used on a gold anodised Motorola RAZR. But these brand licensing deals rather like what Pierre Cardin were famous for in the 1970s and 80s.

    There was little input in the product beyond doing a launch.

    Luxury is an attachment

    Luxury brands have been smart enough to jump on the tech bandwagon in their product accessories. I used to have a Coach-made pouch for my Palm V courtesy of Sun Microsystems that I got given as part of a conference goody bag. (The dot-com era meant that money was thrown around willy-nilly).

    There were a variety slide in pouches from the likes of Louis Vuitton for Blackberry devices and Apple iPhones respectively. This then evolved into cases like Moschino’s famous ‘McDonald’s fries’ box.

    moschino

    Where’s the missing space?

    We know that China has become the workshop of the world. We know that Qualcomm’s reference designs, Google’s Android and Jolla’s Sailfish OS make smartphones easy (relatively speaking) to roll out.

    We also know that luxury firms are not afraid of:

    • Global supply chains and manufacturing in China
    • Attempting to step into complex manufacturing (like Louis Vuitton and Montblanc’s entry into watchmaking) or to do technology

    One only has to look at connected watches from the likes of Breitling or Louis Vuitton. Montblanc’s e-strap was way ahead of Sony’s WENA Wrist Pro Smart Watch Band.

    We know that luxury brands have moved away from the the stereotypical luxury buyer being an older western person of means to a younger Asian person with family money. That’s why we’ve seen the coalescence of streetwear and luxury brands.

    So where is the luxury smartphone? And why aren’t luxury brands embracing the space?

    Price elasticity

    I suspect that the issue is technology isn’t price elastic in the same way that luxury product categories are. Technology products by their nature are ephemeral. The benefits of technology products depends on network effects rather than exclusivity.

    In his blog post, Is the pace of technology adoption really speeding up? Nigel Scott put together evidence to show that price points and technology adoption are intrinsically linked. We are not in a state of constant acceleration of technology adoption, but instead only adopt it when the price is right.

    It would be reasonable to assume from this work that there is an inelasticity in technology pricing that makes luxury smartphones hard to sustain. It also explains why relatively low price accessories make more sense than ‘luxury’ smartphones. This seems to be a conclusion that Apple has some to (at least in China). It has rolled out discounts through third party channel members and made devices cheaper to purchase with zero interest financing.

    This makes the moves by Huawei and Samsung beyond Apple pricing with their latest phone launches a bit odd and a definite move to define a luxury smartphone segment. These must be halo effect handsets with no expectation of real profitable production; rather like Ford’s special cars like the GT-40. More luxury related posts here.

  • Shut down digital marketing + more

    Mark Ritson: It’s time to shut down digital marketing teams for good | Marketing Week – return to media neutral and evidence based marketing? It also reminded me of a debate that I had back in 2008 with James Warren about when were we likely to see the end of the digital strategist. It hasn’t happened yet, because there are plenty of businesses selling ‘digital transformation’. Basically the old enterprise IT sales process in a new design thinking bottle. I suspect that the time to shut down digital marketing teams might be a while away yet, though I agree with Ritson’s sentiment.

    Carmakers quitting Britain won’t blame Brexit – it’s not in their interest | The Guardian – classic reputation management; I don’t blame the Japanese for taking this approach. I imagine that Mini, Bentley and Rolls Royce might take this approach too, if the brands survive electrification. Aston Martin and Jaguar Land Rover may go further showcasing India or China as a premium vehicle powerhouse.

    Europe lagging on 5G? Don’t be so sure, says Ericsson | total telecom – Ericsson believe that the move to speed up 5G rollout in Europe will come from Industrial, rather than consumer focused use cases. European government’s and operators are looking to fast track their 5G rollout programmes, dispelling the myth that Europe will be ‘late to the 5G party’, according to an industry expert

    WSJ City | Key investors unhappy with SoftBank Tech-Investment Fund – not terribly surprised

    Gender and box office performance: Applied Economics Letters: Vol 26, No 9having a male star in a film generated a premium in the neighbourhood of 12%, while female star had no statistical impact on a movie’s performance – is this down to the way that they are marketed or the way that male stars are perceived versus female stars? I also tend to follow directors because of the sense of style that they bring to a story. Their name is a mark of quality

  • Aeron chair + more things

    Why the Aeron Is Still the Most Coveted Seat in the Office | WIRED – love my Aeron chair. The Herman Miller Aeron was an icon during the dot com era. When Enron and at lot of internet startups went bust thousands came on the secondhand market. I picked up my own Aeron on the tail end of the dot com bust from a German reseller. More design related content here

    China’s social credit system shows its teeth, banning millions from taking flights, trains | South China Morning Post – Over 3.59 million Chinese enterprises were added to the official creditworthiness blacklist last year, banning them from a series of activities, including bidding on projects, accessing security markets, taking part in land auctions, issuing corporate bonds, according to the 2018 annual report released by the National Public Credit Information Centre.

    Return of the audio format wars and other money-making scams • The Register – I’d also put it down to dissatisfaction with Spotify et al

    Salesforce’s Marc Benioff speaks about sexual harassment and equal pay – Business Insider – this isn’t about being good but being smart – the value in the business would walk out the door otherwise

    China’s most popular app is a propaganda tool teaching Xi Jinping Thought | South China Morning Post – I wonder if it has been optimised for learning the content?

    AAAS: Machine learning ‘causing science crisis’ – BBC News – high propensity of bullshit results

    Spintronics by ‘straintronics’ | Electroniq – possibility of new hybrid ferro-magnetic semiconductor composite devices

    Amazon HQ2: Leaving New York proves all of Amazon’s critics right – Recode – interesting analysis of Amazon going beyond HQ2. Big tech can now expect a can of whoop-ass to come its way as the Amazon New York debacle showed its vulnerability. When Amazon threw in the towel on the New York City HQ2, it showed the rest of the world how to beat Silicon Valley (AMZN)

    Inside China’s crackdown on young Marxists | Financial Times – Interesting article that posits China’s governmental changes are due to potential societal disruption due to very high Gini score. The Gini score is a measure of inequality. With rising inequality goes potential questions around the Communist Party’s exclusive legitimacy. The 1989 protests where workers joined students came out of inflation, growing inequality, corruption and inflation. This year marks sensitive anniversaries – 30 years since 1989 and 100 years since the founding of the republic.

    China is worried that left leaning student activists will further inflame this. An academic research paper by Yuyu Chen et al at Peking University indicates social mobility fell in the post-Mao era of economic reforms to pre-civil war levels, as measured by the dependence of children’s educational attainment on their fathers’. The money quote: “China is now sufficiently capitalist to make Marxist categories perfectly suited to social analysis,” from Rebecca Karl, professor of Chinese history at New York University. – (paywall)

  • Delete your direct messages + more things

    Even years later, Twitter doesnt delete your direct messages | TechCrunch – interesting possible GDPR risk for Twitter. I have cleaned out my public tweet feed as what you share is ephemeral. I could imagine people doing foolish things, but Twitter doesnt delete your direct messages and they could conceivably gathered by court order

    HSBC forex trading costs cut sharply by blockchain – executive | Reuters – low transaction rate, less than 4,000 transactions a day. This looks more like a niche case for blockchain rather than a panacea for fintech

    Why I’m Deleting All My Old Tweets | WIRED – I do it because the content is of a time and loses something out of context and the content is ephemeral. Who cares about my Merry Christmas into the ether of late 2007? I don’t.

    Angry over campus speech by Uighur activist, Chinese students in Canada contact their consulate, film presentation – The Washington PostPeople participating in the chat expressed disbelief that their government operated mass detention centers, saying they had not seen Chinese news reports about them. (The centers have been widely covered in international media, but many of these reports are censored in China.) (paywall) – Interesting for the mirror that it offers up to our own media eco-system and our reality

    Madison Avenue Makeover Insights | Holding Companies at a Tipping Point – interesting take on the advertising holding companies

    EU Elections: Will Populists Win or Have They Peaked? Bloomberg – great use of graphics in this reporting. More design related content here.

    Mastercard’s new “sonic logo” will play every time you make a purchase | Quartz – will this become annoying or will the branding lose its meaning in our world of point of sale beeps particularly in supermarkets and big chain stores?

    Nato Straps – 031CWZ011621w | OMEGA® – Omega have made a strap of synthetic spider silk which is calls BioSteel which is made by AMSilk – a German textile company

  • One Small Step + more

    I had to start with this short film ‘One Small Step’ I saw that’s right up there with Pixar in terms of its storytelling and craft. One Small Step is an amazingly inspirational film. The space theme reminds me of the retro futurism of the Soviet bloc in terms of visual style. The characters have a lovely airbrushed feel to them. Keep an eye out for this director and animator in the future.

    I’ve been listening to this mix by Greg Wilson which contains his favourite edits and reworks from 2018. It is a beautiful set of tracks from a range of producers sympathetically rejuvenating classic tracks. It is more than ‘nu-disco’; Wilson imprints his usual eclectic style on the mix. More related posts here.

    If you’re doing anything in the international sphere on digital then bookmark this presentation: Digital 2019: Global Digital Overview — DataReportal – Global Digital Insights – I expect this will be in every strategists tool kit for creating client PowerPoint decks.

    Ken Block’s latest vehicle includes a huge intricate metal manifold made with additive manufacturing. Despite the voice over, this video about the manufacture of the manifold is very interesting. Ford engineers worked with  RWTH Aachen’s Digital Additive Production Institute, in Germany. Ford claims that it is the largest additive manufacturing metal part in a working vehicle. it is obvious that Ford is wondering how this could affect their manufacturing processes in the future, if parts can be created on demand.

    Cixin Liu’s short story The Wandering Earth has been adapted into a film that’s been released in China over the spring festival. The trailer looks immense but I don’t know if Liu’s work has been done justice through the film adaptation. Chinese cinema often manages spectacle but then fails on dialogue rather like George Lucas’ Star Wars scripts.