Had an interesting conversation with a reporter earlier this week on the topic of “green tech.”  Green tech has always been one of those loosely defined segments of consumer tech.  Many want to box it concretely – but increasingly green is a story of relativism instead of absoluteness. Many (dare I say most) consumer electronics products today have lighter shades of green.  Their singular or primary purpose might not be to lower one’s carbon footprint, but by providing a unique service or offering they might indirectly also provide environmentally beneficial results.

In a few weeks I’m speaking briefly on a call with executives at Korn/Ferry – the world’s largest executive recruiting firm. My remarks will cover major trends in the consumer tech space and how the global search for talent will be impacted.  For several years now, I’ve talked about companies reaching to create a 360 degree solution. Today the drive towards a 360 degree solution is pronounced. In some corners of consumer tech it is no longer simply a nice approach – it is an integral part of competing in that segment. So how does this impact talent acquisition?

This week Barnes & Noble upgraded the software running on their Nook Color e-reader tablets. Users can now access apps, have email pushed to the device and watch flash videos.

There are a variety of reviews on the web (see: here, here, and here) discussing the anticipated update so here I’ll take a differ tack and discuss two things: what we learn about the evolution of technology in the Nook and what it means for adjacent categories like tablet computers (as opposed to tablet e-readers).

While their initial foray into personal electronics with the original nook might have been more than just an experiment, B&N moved relatively quickly onto the Nook Color. The original Nook was launched in November 2009 and while it was largely sold out during that introductory holiday season, there was likely very little opening stock available. By June 2010 the price had been cut consistent with pricing cuts across the entire e-reader category. Within a year of the initial Nook launch, B&N had a higher-end, full color screen e-ereader tablet and the Nook line collectively was “the company’s biggest bestseller ever in its nearly 40-year history.”

Last week I provided an estimate of the implied revenue Amazon expects to earn in advertising from the newly discounted Kindle with Special Offers. I happened to catch MG Siegler’s post on TechCrunch on the same topic.  Siegler takes an approach I heard frequently immediately following the announcement, namely that $25 isn’t a strong enough discount.  Amazon should have been more aggressive and marked the device down to $99 – then we’d be talkin’.

I agree with Siegler that this is part of a broader pricing experiment for Amazon.  Amazon loves to experiment with pricing (among other things) and by so doing they can more accurately estimate demand elasticity (among other things). Thus, the recent price cut could have simply been an info gathering exercise. On the other hand, Amazon has on several previous occasions cut the Kindle price so I imagine they have a good handle on the shape of the demand curve as well as demand for ebooks (additional books sold) as a result of additional devices moving into circulation. As I wrote, Amazon could have arbitrarily picked $25 – it is after-all a very round number.  In this spirit, I don’t agree with Siegler where he suggests Amazon “must have looked over the potential numbers from advertising and determined that $114 was as low as they could go.” They could have gone lower, but opted not to. And I don’t think that decision was heavily influenced by per unit revenue loss rates.  

Amazon recently announced they would sell a new Kindle with “Special Offers”version.  Kindle with “Special Offers” has the same specs as their WiFi-only Kindle but will include advertisements as the screen saver and on the home screen bar.  In exchange, Amazon will only change $114. 

In all likelihood Kindle hardware will one day be free (or close to free) because of cross subsidization (give away the hardware and monetize the content). The Kindle app for other devices is logically already free.  And of course, this go-to-market approach is common for other technology categories like gaming.  Gaming hardware doesn’t drop to zero likely in part because of the retail relationships that must be maintained by the OEM, but it isn’t uncommon to see it sold below cost at different times. With Amazon’s Kindle in other retail channels, this might be the approach Kindle takes.  You also don’t want consumers taking more than they’ll use.  With a registered Kindle account this becomes less of a concern.  I won’t be surprised if the Kindle with “Special Offers” remains exclusively available through Amazon because of the confusion it might cause in other retail chains which might help drive volume back through Amazon. 

In October I said I expected 80+ tablet launches at 2011 CES.  AS CES approached it was clear 2011 was going to be the year of the tablet and a few days before the show I said that my 80+ estimate was looking conservative.  I updated my expectations and said I wouldn’t be surprised by 100+ tablet launches at CES and by my count we saw over one hundred launches. Here is a draft list of the launches we saw:

What apps are downloaded (or conversely not downloaded) tell us much about a given individual’s tastes and preferences. These metrics in aggregate tell us even more about the desired use-case scenarios of hardware.

Last week Apple released their iTunes Rewind 2010 where they highlight the top performing apps for 2010. They did this in 2009, but with the release of the iPad earlier this year there is a new richness to the data that provides several insights into what the masses are trying to accomplish with a suite of devices largely differing only in form-factor…..

 

 

 

 

On Monday Amazon premiered a new Kindle commercial during Good Morning America. The ad (above) portrays two individuals trying to read poolside – one on an iPad and one on the new Kindle.  The essence of the commercial touts the relative readability of Kindle’s e-ink display in direct sunlight.    

Commentary (for example: here and here) on the new ad suggests a Kindle v. iPad strike. But the pundits miss the quintessential goal (and subsequent achievement) of the marketing spot. The Kindle ad isn’t about besting the iPad, it is about showing the consumer a discernible value. In the past brands created a value proposition, but moving forward they will increasingly create what I refer to as a value position…..

Last week I spoke at that the Digital Media Conference where I shared some of the following thoughts on connectivity and Internet accessible devices.

The number of devices connecting to the Web via cellular, wireless, or wired connections continues to proliferate. But many of these devices frame the value of connection within a historical context. More connection in an ambiguous sense means more data. Adding connectivity to these devices is intended to drive more data to the device. Or at least the option of more. But more needs meaning. Tomorrow’s connectivity needs to be more than just greater options and greater flexibility for the end-user. Connectivity needs to be about choice with meaning and context.

Take for example the mobile phone. When we originally brought the Web to the mobile phone it was largely about browsing the Web from the phone. This was the historical context of the time. At this time we largely understood Internet access from the context of a computer browser. The focus at the time was on a better browser experience. A mobile Web experience needed to make it easier for users to get to and between the websites they were most interested in visiting. Websites even got involved by building sites optimized for mobile viewing. During these early years of Internet access on the phone the primary story was still about the phone. Browsing the Web on the phone was secondary to using the phone as a phone….

Much has been written about the “death” of Microsoft’s Kin (see: here, here, and here). The focus of these analyses has centered on what might have gone wrong. I’d like to focus on something slightly different. In the death of the Kin phone I think we see something that has greater implications for technology innovation. Namely, the rate of innovation is accelerating and this puts increasing pressure on products at the intersection of success and time.

Let’s first step back in time a few years. The year is 2004. In the fourth quarter of that year, Motorola introduces the RAZR. By July 2006 it will sell over 50 million units. The Motorola RAZR would go on to sell over 110 million units before things where said and done four years after the initial launch. This record makes the RAZR one of the most successful consumer electronics products of all times and the most sold mobile phone ever (a record it still holds)….