Anyone who's been to SXSW in the past few years, ever since the iPhone's release, knows that the AT&T network absolutely explodes during the festival. Texts, if they ever make it through, take hours; calls are dropped at an alarming rate, even by AT&T standards; and Internet access is essentially impossible. It's hard for AT&T to keep up because Austin, any other week of the year, isn't absolutely flooded with iPhone users mucking about, asking where the Facebook party is, or if they're on the list for the Gawker party. (I'm on the list, but I'm not going this year so it doesn't matter.) The point is, AT&T has its hands full that week, so let's give them an A for effort for trying to prevent another iPhone meltdown this year.

SXSW starts on March 12, and runs through March 21. It's a couple of days worth of tech, music, movies, and open bars. It's sort of an exaggeration, but every single attendee rocks the iPhone. It brings AT&T's network, already sorta meh, to it knees. This year, though, AT&T has prepared itself for the huge influx of users.

AT&T has installed a distributed antenna system at the Austin Convention Center. In a perfect world, it adds the equivalent of eight cell towers to the covered area. AT&T has also three temporary cell sites for good measure. These things are typically installed during big, but temporary events. Think Super Bowl or, well, large conventions.

The company also says it has added fiber-optic connections to more than quadruple the backhaul capacity of each of the eight cell sites that serve the event area, and temporary sites will also be served by extensive backhaul. Whatever that means!

Fingers crossed, every SXSW attendee will be able to FourSquare till their battery dies. That's all you can ask for.

Flickr

(photo: plastic lemonade)

First, Sen. Richard Shelby put a blanket hold on all executive branch nominees to extort the executive branch into rigging procurement to guarantee that the company he favored won a bid on a defense contract. Oh, and he wanted the FBI to build a crime lab in his state, too.

And now Sen. Lindsey Graham is copycatting, placing a hold on the closing of Gitmo hostage to extort the Department of Justice into not having a civilian trial for Khalid Sheikh Mohammed. And Graham's not being subtle about it. In a well-researched piece for The New Yorker, Jane Mayer breaks some amazing scoops:

Rahm had a good relationship with Graham, and believed Graham when he said that if you don't prosecute these people in military commissions I won't support the closing of Guantnamo. . . Rahm said, If we don't have Graham, we can't close Guantnamo, and it's on Eric!'

[snip]

Graham told [Mayer], It was a nonstarter for me. There's a place for the courts, but not for the mastermind of 9/11. He said, On balance, I think it would be better to close Guantnamo, but it would be better to keep it open than to give these guys civilian trials. Graham, who served as a judge advocate general in the military reserves, vowed that he would do all he could as a legislator to stop the trials.

Okay, Senators Graham and Shelby? This is the U.S. Senate, not middle school. This blackmail thing? Its not like, Oh, the cool kids are wearing Hello Kitty wristwatches and you need to follow the fad.

There is zero logical nexus between whether or not to close Gitmo and whether or not to have civilian trials, so the only reason for making the kind of statement quoted above, is quid pro quo. While I'm not suggesting that this is a Hobbs Act violation (read the link, trust me), it certainly smells just as bad.

Kate Martin, the Center for National Security Studies director, warns, We can't have a situation where political pressure forces the federal government to forgo criminal prosecution. That would mean the system is fundamentally broken.

Message for Rahm, from Marcy Wheeler:

Remind me. Didn't Rove and the Bush White House get in trouble for this kind of tampering with DOJ issues?

Really, the White House needs to BACK OFF and let the Department of Justice and the federal courts do their job. And a bunch of non-lawyers with ZERO expertise in this area should NOT be part of the decision making process, much less driving that process. Hasn't Rahm done enough damage to the President with his mishandling of the healthcare bill? Why do you want him to screw up something he knows even less about?

Bloomberg is reporting that Verizon is planning on adding official support for Skype to its handsets. The two companies are expected to announce a partnership at the Mobile World Congress on February 16, which will allow Skype calls to be made from Verizon phones using the provider's 3G data plan.

This would be a shrewd move on the part of Verizon. Voice calls are becoming a less and less of a profit center for wireless carriers. Look at the big price cuts that both Verizon and AT&T introduced last month: The biggest area of price savings are in unlimited voice plans. Data is still a premium, and in the case of Verizon, there are still data caps for mobile data usage.

For consumers, having Skype pre-loaded on a phone which Bloomberg says is to be on a range of low and high-end handsets might mean that instead of paying for a voice plan (or a more expensive voice plan), the option to get a better data plan and just use Skype when making calls might make more sense.

Bloomberg quotes IDC analyst Rebecca Swensen:

What's important is that Verizon understands that, at some point, they are going to be losing voice minutes to the data world. This makes their platform more valuable for end-users. It could be a differentiator for Verizon Wireless.

Although Verizon is the largest wireless carrier in the US, it faces stiff competition from AT&T. Although AT&T's service is pretty universally reviled, AT&T has the iPhone and that continues to drive customers to the carrier. While AT&T is expected to lose exclusivity at some point, it is unclear when or if Verizon will get to carry the device. As it stands, AT&T will be the 3G data provider for Apple's iPad this April.

Skype works on AT&T's WiFi network and a 3G version is in the works as well. Depending on which carrier can offer 3G access to Skype first and on what phones could depend on how valuable this feature is.

If given the choice, would you drop your voice plan and just use Skype over 3G data for making and receiving calls? Let us know!

Tags: 3g data, mobile voip, Skype, verizon, voip

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Alicia Keys

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Alicia Keys
Keys performing at Pavilho Atlntico in Lisbon, Portugal on March 19, 2008
Background information
Birth name	Alicia Augello Cook
Also known as	Lellow
Born	January 25, 1981 (1981-01-25) (age 29)
Origin	New York City, New York, United States
Genres	R&B, soul
Occupations	Singer-songwriter, multi-instrumentalist, composer, arranger, record producer, actress, music video director, author, poet
Instruments	Vocals, piano, keyboards, cello, synthesizer, vocoder, guitar, bass
Years active	1985present
Labels	Columbia, Arista, J
Website	www.aliciakeys.com

Alicia Augello Cook (born January 25, 1981), better known by her stage name Alicia Keys, is an American recording artist, musician and actress. She was raised by a single mother in the Hell's Kitchen area of Manhattan in New York City. At age seven, Keys began to play classical music on the piano. She attended Professional Performing Arts School and graduated at 16 as valedictorian. She later attended Columbia University before dropping out to pursue her music career. Keys released her debut album with J Records, having had previous record deals first with Columbia and then Arista Records.

Keys' debut album, Songs in A Minor, was a commercial success, selling over 12 million copies worldwide. She became the best-selling new artist and best-selling R&B artist of 2001. The album earned Keys five Grammy Awards in 2002, including Best New Artist and Song of the Year for "Fallin'". Her second studio album, The Diary of Alicia Keys, was released in 2003 and was also another success worldwide, selling eight million copies. The album garnered her an additional four Grammy Awards in 2005. Later that year, she released her first live album, Unplugged, which debuted at number one in the United States. She became the first female to have an MTV Unplugged album to debut at number one and the highest since Nirvana in 1994.

Keys made guest appearances on several television series in the following years, beginning with Charmed. She made her film debut in Smokin' Aces and went on to appear in The Nanny Diaries in 2007. Her third studio album, As I Am, was released in the same year and sold six million copies worldwide, earning Keys an additional three Grammy Awards. The following year, she appeared in The Secret Life of Bees, which earned her a nomination at the NAACP Image Awards. She released her fourth album, The Element of Freedom, on December 15, 2009. Throughout her career, Keys has won numerous awards and has sold over 30 million albums worldwide, establishing herself as one of the best-selling artists of her time. On December 11, 2009 Alicia Key's was ranked as top R&B artist, the fifth top overall artist and the second top female artist (behind only Beyonce) of the 2000-2009 decade by the Billboard Magazine decade end chart. ^[

Youth social networking researcher danah boyd has observed that many people presume the way they use social networks is the way everyone uses them. "I interviewed gay men who thought Friendster was a gay dating site because all they saw were other gay men," she says. "I interviewed teens who believed that everyone on MySpace was Christian because all of the profiles they saw contained biblical quotes. We all live in our own worlds with people who share our values and, with networked media, it's often hard to see beyond that."

Now picture our perspective leaving our own experiences, zooming out and up until we can see how all the different groups are interacting on a worldwide social network. That bird's-eye view could be both beautiful and horrible if the resolution was clear enough. That's what a Ramen-eating, ex-Apple engineer named Pete Warden is about to release to the public this week.

Sponsor

This Wednesday, Warden will make Friend, Fan page and name data from hundreds of millions of Facebook users available to the academic research community. It's a move that Facebook has to have seen coming, a move that many in the data-centric community have been calling on the company itself to do for years, and an event that's been complicated by Facebook's recent privacy policy changes, which have muddied the waters of right and wrong but rendered even more data available for outside analysis.

If what people call Web 2.0 was all about creating new technologies that made it easy for everyday people to publish their thoughts, social connections and activities, then the next stage of innovation online may be services like recommendations, self and group awareness, and other features made possible by software developers building on top of the huge mass of data that Web 2.0 made public. It's a very exciting future, and Warden is about to fire one of the earliest big shots in that direction.

Nerds in Space: Social Graph Analysis For Solving Large-Group Problems

Warden studied Computer Vision in college in the U.K., then got into game development. After moving to L.A., he spent six years building graphics drivers for the original Playstation and the XBox. Then he started his own independent business, where, thankfully, he open-sourced much of his work (something he's still doing today).

When he found out that starting his own business wasn't going to work with his immigration status, he was very fortunate to have also caught Apple's eye with the software he had been releasing to the public. Apple bought his company in order to bring him on board. The proceeds of that small sale are now sustaining his next project after going independent again.

After spending five years at Apple struggling to navigate the maze of people and connections and types of expertise in order to get the information he needed, Warden decided to go independent and build a company that solved exactly that kind of problem. "I can't think of a better big company to work for, but it was still a big company," he says. "It was hard to find the right people to talk to, whether for particular expertise or for contacts at external companies." And so Warden left Apple to build a company that would use social graph analysis to solve problems like that. He called the company Mailana.

We've written here a number of times about Mailana's tool that analyzes the social graph of any Twitter user. Enter the username of someone on Twitter and Mailana will show you which 20 other people the user has exchanged the largest number of reciprocal public @ replies with. Find someone interesting or important? Mailana's Twitter analyzer will tell you who they most regularly interact with. See, for example, The Inner Circles of 10 Geek Rockstars on Twitter.

Pulling Down the Facebook Social Graph

Now Warden is about to unveil a much larger project along the same vein. For the past six months he's been crawling public profile pages on Facebook. He now has more than 215 million of them indexed and updated about once a month. When he began he was using the Web crawling service 80legs, but over time he had to build his own crawling infrastructure.

When I talked to him this afternoon, he had already begun uploading 100 GB of user data onto his server to make it available for academic research starting on Wednesday. Warden says he's removed identifying profile URLs but kept names, locations, Fan page lists and partial Friends lists. All those fields of data are just waiting to be analyzed and cross referenced. That's one very rich resource.

Yesterday Warden posted some of his own initial observations from the data on his personal blog. Those included:

• In almost every state in the Southern U.S., God is number one most popular Fan page among Facebook users. Among people in the L.A., San Francisco and Nevada regions? "God hardly makes an appearance on the fan pages, but sports aren't that popular either," Warden writes. "Michael Jackson is a particular favorite, and San Francisco puts Barack Obama in the top spot." In the Oregon and Idaho region? Starbucks is number one.
• In the Mormon-influenced areas of Utah and Eastern Idaho, the most popular Fan pages are The Book of Mormon, Glen Beck and the vampire book Twilight, which was authored by a Mormon.
• The bulk of Warden's posted analysis yesterday was about location networks. People in the western U.S. tend to have Facebook friends all over the country; people in the southern U.S. tend to mostly be friends with people who have remained in the same area.

Taking a Deeper Look

These observations are interesting, but they are only the beginning of what's possible. Name, location, friends and interests are great data points to analyze. Warden has written a program that will estimate gender as well, based on names. All these data points can be cross-referenced with outside data, too. Members of Facebook's own staff did this kind of analysis when they compared user last names to U.S. Census data, which allowed them to estimate changes in Facebook's racial composition over time based on the likelihood of people with particular last names to report a particular racial backgrounds.

"I'm mostly thinking 'What do I try first?'," Warden says. "There's so many interesting ways to slice the data - especially as I'm starting to get changes over time. I'm also trying to map out political networks in aggregate; how polarized the fans of particular politicians are - so how likely a Sarah Palin fan is to have any friends who are fans of Obama, and how that varies with location too. One of my favorite results is that Texans are more likely to be fans of the Dallas Cowboys than God."

Warden says he hasn't talked to anyone from Facebook since he started crawling the site, but he did get an email from someone on the security team asking him to take down instructions he'd posted that exposed a security hole that made harvesting peoples' email addresses easy. So the company is paying attention. "I'd love to see them put me out of business by putting decent data out there," Warden says. He says his Amazon Web Services bill was over $5,000 last month.

Why is he indexing all this content and why is he going to hand it over to the academic world later this week? "I am fascinated by how we can build tools to understand our world and connect people based on all the data we're just littering the Internet with," Warden says.

"Nobody thinks about how much valuable information they're generating just by friending people and fanning pages. It's like we're constantly voting in a hundred different ways every day. And I'm a starry-eyed believer that we'll be able to change the world for the better using that neglected information. It's like an x-ray for the whole country - we can see all sorts of hidden details of who we're friends with, where we live, what we like."

For a great example of the kind of social impact that data analysis can make, Warden points to some of the fascinating ways that GIS data is illuminating the intersection of race and public services. Data has shed light on social injustices for decades, and measurable information about the interactions of hundreds of millions of people every day on Facebook offers opportunities to discover both good and bad news about the contemporary human condition.

Warden says he's not yet been able to interest any investors in his ideas for businesses based on this data, so his girlfriend Liz Baumann, a former insurance actuary, stepped in to help and is now running much of the crawling. He says he's now focused on "working on ways of presenting all this information in a form that answers questions for people willing to pay." His first experiment along those lines is the very interesting FanPageAnalytics.com.

What does Pete Warden hope for from this week's public release of all this Facebook data? "Hopefully I'll get to see a bunch of interesting [academic research] papers come out of it, worst case. And I'd like to be the guy people turn to when they need stuff like this."

Already well-respected among a fringe group of bleeding-edge geeks, we hope that Warden's work on social graph analysis will end up impacting a far larger number of people than may ever know his name.

Last week was a busy one for new APIs and in addition to the 7 new APIs we profiled earlier this week, here are 6 more new listings from our API directory. These include an API for tracking political and business relationships (an involuntary facebook of powerful Americans), a real-time website analytics service API, an API for getting the Mood of the Nation, a ringtone search API, a museum geolocation service, and an API for internet hosting and resellers. Below are more details on each of these new APIs:

LittleSis API: LittleSis is a free database tracking the key relationships of politicians, business leaders, lobbyists, financiers, and their affiliated institutions (also described as an involuntary facebook of powerful Americans, collaboratively edited). The LittleSis API exposes the raw data used on the LittleSis website. The data consists of basic information about people and organizations, and the relationships between them. It uses a RESTful interface and responses are formatted in XML and JSON.

Mixpanel API: Mixpanel is a web service that lets companies track how users engage with their websites in real-time. The Mixpanel API allows users to post and access the data that Mixpanel is analyzing. This is a RESTful API and responses are returned in JSON format.

Mood of the Nation API: Mood of the Nation API allows clients to retrieve the raw trending data associated with the free Mood of the Nation iPhone application. The application collects mood information (physical, mental, emotional) from users and trends over day, week, month.

Motime API: The Motime Open Access platform is an affiliate program based on the APIs of the Motime service which allows partners/affiliates to advertise Motime ringtone content on their own web or mobile sites and earn money for each referral given to Motime. The search API offers a REST protocol to allow developers to link their content with Motime's catalog of ringtones.

Muselius API: The Muselius API can be used to display information on up to 99 museums in an area on your own web site. The information about museums can be used to enrich your art related sites, hotels and tourist sites. Muselius is a global directory of museums. Our mission is to facilitate the information you need for visiting museums all over the world. Muselius is created and maintained with the help of many users who update and complete the data we have about each museum.

OpenSRS API: OpenSRS API is intended for resellers who offer domains and supporting services to their customers. Resellers can provide functionality to their customers by integrating data from the RESTful API functions (includes SSL support). Developers can use the API to run queries or automate tasks that would otherwise be performed manually using the Domain Name Control Panel.

By Senior Editor Kris Smith (@croncast)

I won't argue this to much but the Sony PSP is the original closed platform, shiny, black, movie watching, web surfing, game playing device.

It didn't have a camera when it was released or multi-tasking. The only way that the iPad has it beat is mulitouch . . . well, touch for that matter. Hell, both are even lacking a kick stand of any type that isn't an add on.

We had a first gen PSP kicking around the house until my son in a fury of play with MegaMan lost his grip and the screen shattered. It was like watching someone burn Washington's wig. Noooooooo!

But as I digress, there is something that brought these similarities to my attention today.

Sony has developed a program to live stream sporting events to attendees in the stadium for enhanced experiences via PSP.

Not only that, you can also get replays, statistics, player profiles and live results piped directly to the Sony PSP.

No one would deny that the live experience is the ultimate way to watch sport. What this new service offers is an even more immersive experience for fans, said Mark Grinyer, Head of Sports Business, Sony Professional about the new app.

The iPad does have the PSP beat in one area though if Apple of one of the developers were to hook this up using the iPad as a tray for game day beers. The PSP can slip into a pocket but the iPad can balance on the arm of your stadium chair and illuminate your beverage with the blur of color from a live playback. Fancy.

This product for the PSP is being tested at the Emirates Stadium in London. So I guess America will be up for grabs?

Related articles by Zemanta

• Sony Turns PSP Into Instant Replay Device At UK Stadium [PSP] (kotaku.com)
• A Modest Proposal for Sony's PSP (technologizer.com)
• Sony PSP-3000 Sweet Limited Package (ubergizmo.com)
• Why Has No One Made a Great Gaming Phone? (games.slashdot.org)
• Sony Pleased As Punch With Apple's iPad [Apple] (kotaku.com)

Sony PSP, The Original iPad but Better is a post from: TechStartups.com

Less than 100 tickets remain for Mashable's Social Media Week event, NextUp NYC The Future Journalist on Wednesday, February 3rd, 2010 at 92YTribeca.

Join us for networking and a conversation and Q&A with Sree Sreenivasan (Professor and Columbia Journalism School Dean of Student Affairs and contributing editor of DNAinfo.com) and Vadim Lavrusik (new media journalist and digital media graduate student at Columbia University Journalism School).

Details

Location: 92Y Tribeca, 200 Hudson Street, New York, NY 10013

Socialize: Facebook Event Page

Pricing: $20 in advance, $25 at door. Tickets on Sale Now.

Food and drink: Full cash bar and food menu available

Schedule

• 6:00 7:15 = Open Networking
• 7:15 8:45 = Conversation and Q&A with Sree Sreenivasan and Vadim Lavrusik
• 8:45 Bar Close = Open Networking

A Conversation and Q&A with:

Sree Sreenivasan Prof. Sree Sreenivasan, Columbia Journalism School Dean of Student Affairs and contributing editor, DNAinfo.com.

Sree Sreenivasan is a tech evangelist and skeptic specializing in explaining technology to non-techies. He is a professor and dean of students affairs at Columbia University's Graduate School of Journalism, where he teaches in the digital media program. Sreenivasan is contributing editor at DNAinfo.com, a Manhattan-news startup he helped launch in 2009 with Joe Ricketts, the founder of Ameritrade and whose family just bought the Chicago Cubs and Wrigley Field. He also has been a fixture on NYC-area television. For more than eight years, he served as technology reporter for WABC-TV and WNBC-TV and now occasionally appears on various TV shows (on CNN, NBC's Today Show, CNBC and elsewhere) to talk tech. He has written articles for The New York Times, BusinessWeek, Rolling Stone, National Journal, Bloomberg, Forbes and Popular Science. You can find him on Twitter at twitter.com/sreenet and on the Web at sree.net.

Vadim Lavrusik Online journalist and M.S. candidate in Digital Media at Columbia Journalism School

Vadim Lavrusik is a new media journalist and social media consultant studying digital media at the Columbia University Graduate School of Journalism where he is launching NYC 3.0, a tech start-up news site as part of his Master's project. He's reported for publications like the Star Tribune, The Minnesota Daily, the Mpls./St. Paul Business Journal and most recently was a guest feature writer for Mashable.com, where he covered trends in news media, and contributed to Poynter Online's E-Media Tidbits. You can follow him on Twitter at twitter.com/lavrusik and the Web lavrusik.com.

Thanks to our Sponsors

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Zemoga is an award-winning digital innovation agency that specializes in the creation of meaningful and engaging interactive experiences and applications. With offices in the US and Colombia, Zemoga empowers customers with groundbreaking solutions through a model that provides efficiencies at every level. Zemoga's clients include Sears Holdings, HBO, ING, Yahoo, Viacom, A&E Television Networks, Toyota, SONY Music, and Rodale.

Thanks to our Partner

Tags: Events, nextup-nyc, social media week

What really jumped out to me as I looked over the iPad's feature set is that the device is clearly built for media consumption. Movies, music, books, news -- the bread and butter content that keeps iTunes humming. That's good for Apple, obviously, but it also creates an interesting opportunity for publishers. They've got a new distribution mechanism and a new canvas.

With that in mind, I decided to filter the barrage of iPad coverage through a publishing lens. What follows are intriguing ideas culled from all sorts of sources. Most revolve around content applications the iPad may provide.

There's no way I'll catch all the good stuff -- there's just too much out there -- so please use the comments area to post links and commentary that grab your attention, publishing-related and otherwise.

Ebook pricing could get interesting

The iPad's release portends a price-point battle between Apple and Amazon. That's ebook pricing, not hardware.

The Wall Street Journal says Apple is pushing book publishers to set two ebook price points, $12.99 and $14.99, with Apple taking its customary 30 percent cut from any sales. They key word in all this is "set." The big kahuna of ebooks, Amazon, controls its pricing. Most bestsellers are parked at $9.99, which is below what Amazon pays a publisher for a title. Amazon is subsidizing its low price point.

But that's the present. The future is a different matter. The thought is that Amazon is taking a short-term loss on ebooks so it can solidify its position as the dominant channel. Once it owns the ebook market, Amazon can ditch the subsidy and force publishers to renegotiate pricing.

That's the fear, and Apple appears to be playing to it by giving publishers an option: get a measure of pricing control through Apple, or make more with Amazon but pray they don't rewrite the rules later. (Apple could always rewrite rules, too ...)

What's really interesting about this -- and kind of bizarre -- is that the binary Apple-or-Amazon thinking obscures an important point: mobile devices already offer publishers plenty of pricing options.

What about e-reader applications?

Steve Jobs famously quipped a couple of years ago that "people don't read anymore." Well, I guess Apple changed its stance on that one. The new iBooks app -- and accompanying store -- is a big ol' cannonball in the ebook pool.

Early discussion on a back-channel publishing list I follow has focused on how Apple will treat its new ebook competitors. Will established applications, like Stanza and the Kindle app, be removed? Kirk Biglione, co-founder of Medialoper, thinks competitors will remain in Apple's universe. Just don't count on sharing titles across apps:

Look for books to be added as a new media type in the device media library. The other reading apps may be able to co-exist as long as they don't access books stored in that library. So, for example, you probably won't be able to use Stanza to read iBooks. [Note: Kirk gave me permission to post his comments.]

One thing to consider here: Past inquiries from the Federal Communications Commission may soften Apple's competitive instincts. At least for a while.

Of course, FCC heat doesn't preclude Apple from a little friendly rivalry. Digital Trends picked up on the backhanded compliment Jobs gave Amazon during the iPad presentation:

... [Jobs] basically told the online retailer that we'll take it from here.

The reading/viewing experience

Apple has already shown what it's capable of on the music and video front, so I'm curious to see how it handles the book experience. Early word is positive from folks who've had a chance to demo the iPad. Here's Gizmodo's take:

It's an optical illusion, but just seeing the depth of pages makes the iBook app feel more like a book than a Kindle ever did for me. The text is sharp, and while the screen is bright, it doesn't seem to strains the eyesbut time will tell on that.

The iPad is backwards compatible with existing iPhone applications. That seems useful on first blush, but Joshua Topolsky of Engadget called out a big issue with "old" apps:

It's kind of silly looking. A lone app in the center of a black screen.

More to come

I'll be adding to this post in the coming days as more analysis bubbles up. Again, please use the comments to point out interesting or informative links you come across as well.

As the war of words ramps up between Google and some news publishers, the latest spin seems to be how worthless the traffic is that Google sends. In reality, the traffic probably does have value, but the newspapers are likely doing a terrible job of monetizing it.

I'll give some examples in a minute, but how about an imaginary story to illustrate the problem?

Let's say a newspaper executive opens a store. They put some story headlines up in their shop window.

Now one of those old fashioned newskids comes along. You know, the type that you'd see in movies selling papers on the street. Let's call the kid Google.

Google reads the headlines and then scampers off down the street, shouting out to people things like Senate's debating health care! or 1 out of 4 homeowners are in the red!

Some of these people are interested. They ask this Google kid for more information, and Google sends them back to the news store.

At the store, the news exec owner greets visitors by asking them what the hell they want. Perplexed, they visitors say they heard about these stories and wanted to know more. The exec shouts at them. Get the hell out of my store, you freeloader! This is for members-only. We don't need riff-raff like you in here.

That's a hell of a way to run a business, don't you think? But it's pretty much how News Corporation execs seem to view the world. Consider what News Corp digital chief Jonathan Miller said earlier this month:

The traffic which comes in from Google brings a consumer who more often than not read one article and then leaves the site. That is the least valuable of traffic to us the economic impact [of not having content indexed by Google] is not as great as you might think. You can survive without it.

Today, we got similar remarks from James Moroney, executive vice president of A.H. Belo, which publishes the Dallas Morning News and other papers:

This is traffic that's not being monetized to any great degree, Moroney said. It's akin to a person who drops into town, buys one copy of your newspaper and leaves town again and yet you spend a whole bunch of time building your business around that type of customer.

Let's be clear about one reason why these statements are coming out. This is round two against Google. In round one, some publishers said Google steals our content. Google's response was that it sends them millions of visitors for free. So in round two, it's time to make out like those visitors aren't worth much. That's especially important if you're an executive who, after floating the idea of dropping Google, comes under attack as stupidly cutting your own throat.

Me, I see visitors as opportunities. This is the internet, where you can tell far more about a visitor to your web site than you can in print. You can tell:

• They're visiting for the first time or on a repeat basis
• They came from Google
• They came from a specific page, or using specific search terms
• The geographic area they're located in

And the visitor who buys your paper printed on a dead tree out of a newsstand? You can tell you sold a copy. And that's it. That regular subscriber? You know they live in a particular area, maybe some demographic info, but you can't custom your dead tree version in any way to target for that.

Can you imagine what would happen if the Wall Street Journal did a one time promotion where for a day, they gave away 1 million copies of their paper? Since there's a real cost to doing so, don't you think they'd figure out a way to make that promotion count? They'd sell special ads? They'd have a super attractive subscription offer?

But on the internet, where they're not paying anything for all that traffic flowing from Google, there just doesn't seem to be any effort. Millions of people are just written off as worthless. If they're watching The Simpsons on Murdoch's Fox TV network, they're valuable (see Free Isn't A Four-Letter Word Offline, So Why Does The Media Hate It Online?). Put the exact same people on the internet, and suddenly they're net neaderthals.

The problem isn't with the people. They didn't suddenly change when sitting in front of a computer keyboard. They don't suddenly have less money. They aren't suddenly less attractive marketing prospects. The problem is with how you're targeting them.

Remember what Miller said? That most of these visitors read a story once and then leave? Well, clearly the WSJ has some analytics running to understand that. Someone, somewhere has churned a report to arm Miller with that information. But that same data can be used to target those visitors better.

Time for a real life example. Today, at lunch, in the hard copy of the Wall Street Journal that I pay $100 per year for, I read a story bout how 1 in 4 US homeowners are underwater or owing more than their homes are worth.

I guess I have at least $100 per year in value to the Wall Street Journal, since I'm a subscriber. But that's gross revenue. Someone's being paid to deliver the hard copy to my door. There are print costs involved with producing it. I doubt the $100 I pay per year covers all that. But the WSJ also convinces advertisers that I'm somehow valuable to them, which is why they pay to place quality ads in the WSJ like this in front of me:

Now that same story is currently being featured on Google. The minute I click from Google to read it, I'm transformed. My $100 per year value is lost. Instead, I become one of those people who Miller says that he doesn't make any money from.

Well, let's see what I get:

That's the beginning of the story. It is EXACTLY the same thing I see if I read this story by clicking through to it from a link on the WSJ's home page (they've made it free to anyone from there). It's also the same thing I see when I'm logged in using my paid account.

Why is the WSJ treating the one-time / first-time visitor the same way as a regular reader? See those two big arrows I've drawn pointing into the story? I'm pointing out that one of the top goals the WSJ would have for first time visitors is to get them to take that 2 week free offer to subscribe or to take one of the free stay connected via email or RSS options. And yet, these things are shoved off to the top and side of the page.

Place them in front of the reader! At worst, you lose nothing. But more likely, you've slightly interrupted one of those freeloaders in the same way you interrupt them when they watch News Corp TV shows and get commercials. And more of them will convert. They may buy more subscriptions, or they may register so you can do outreach marketing to them.

Meanwhile, money IS being made, even off the supposed freeloaders. There's a big ad sitting there off to the site, plus another one right above. Oh, there's too much ad inventory? Then find a way to convince your advertisers to buy more ads or pay more for them, which probably means showing that your ads perform well. And if they're not performing well, fix your problem. Why aren't they?

This is an article about mortgage owners being underwater. Can we assume some of the readers are attracted to it because they may want help with their mortgages? Are there no companies that offer this to type of service? Are there no ad execs who could figure out how to reach them?

Instead, I get served with an ad from Zurich about how to buy the right insurance for my business. Seriously? That's the ad you show me? This is targeting? Roll out one of those Get a mortgage for below 5% ads that I see offline everywhere.

Even better, here's another ad that also shows for this article:

Yeah, in an article about how people can't afford their homes, you show me an ad about buying an iconic residential masterpiece in Boca Raton. And when I don't click on that, because it has nothing to do with my interests, you call me a freeloader.

Your loss, I think. I've got money to spend. Plenty of your visitors do. You're just not figuring out how to get it from me.

That visitor from Google? Show them a completely different experience, if you want. Article and ad, perhaps embedded within the content (labeled as ads, but inline, rather than off to the side). Please, go hire someone like Jeremy Shoemaker or Jennifer Slegg, both of whom live and breathe how to make as much money out of visitors as possible.

Do something. Anything. Please. Survive. But there's one thing you shouldn't do. Blame others for sending you visitors and not figuring out how to make money off of them.