As a Google executives publicly state that the big growth ahead lies in the mobile search market, I thought this would be a good time to review what Physical World Connection really is. The search wars are heating up and it is becoming clear who is winning. But, what happens when Google runs out of runway space? What happens when the race changes venues? PC Search is about finding the best solution/answer. And advertising. Advertising drives search. There are only so many programs on your pc (surf, chat, email and now desktop) that you can find ways to advertise on. When you cant put any more pay-per-clicks on your pc screen, then what happens? How will search advertising continue this growth once this happens? How will advertisers shift their advertising dollar to the mobile device? There will come a point when there is more internet traffic from mobile devices than PCs. What happens to search engines then? What happens to the Golden Goose of advertising when people wont be using a search engine to do their surfing? That screen on your cellphone will be the most coveted piece of real estate to advertisers. People wont be using search engines on their phones. What replaces the keywords model for the advertising dollars? Now that the hyperlink owner has a direct connection to his site using a 2d code, outside of advertising, where is the need for search engine optimization? You are already optimized! So now every barcode on every can of Coke, 2d code on a movie poster, becomes a hyperlink, or direct connection to wherever Coke wants you to go. 4 Billion websites and hundreds of billions of physical objects have now found their own way to direct traffic without using a search engine. Companies wont give out websites to go to, they will advertise using 2d codes and get a direct connection, bypassing a search engine. They will put a code on a poster, or magazine ad, or a short code on the tv screen. When any user types, scans, texts this code, they will be directed to the specific site that company wants you to go. What happens when the physical world hyperlinks can link to the Internet? How does Google sell their keywords to these sites now? There wont be algorithms to decipher to put your site at the top of the search request. The physical world hyperlinks will be the direct link. How will Google and other SEs get a piece of these 4B plus unique hyperlinks? This registry will replace keywords. Will you really want to see the first page of 1200 top ten results for a search on your mobile? Between the slowing growth of PCs and the number of mobile devices connected to the Net, search and advertising will change. What companies will see this first and dominate Phase 2 of the internet. Offer the browser for the physical world? Phase 1 was about surfing, searching, chat, email. Machine to machine form of communicating. It was revolutionary, it disrupted many industries, it made our economy so much more efficient and it created many new powerful companies. The Ebay, Amazon, PriceLines found a way to create businesses from Phase 1. They recognized how commerce would change with the introduction of the internet and created businesses to accommodate this change. Not only did they disrupt the traditional method but by utilizing the internet they opened up the boundaries for potential customers. Now comes Phase 2 . This is what ubiquitous computing is all about. Phase 2 is when every physical item in the world can, and will be, connected to the internet. People are no longer stuck at their office, home pc, they are mobile, using their mobile devices for more than speaking. The combination of a portable microprocessor and trillions of objects having their own link to the net, this is Phase 2. When you walk down the street, look at how many people have their cell phones/PDA s in their hand or in their pocket. How many operating systems are now mobile? How many browsers are there that are untapped? Everyone of those cell phones represents an internet user. Another pair of eyes for Google. A way for Google to generate advertising, but how? How can Google continue their search/advertising dominance in the mobile world? What if MSFT unveils the browser for the physical world. The PCs are walking, untethered. How does Google and others get these users to their site when I m not at a desk? What does search look like when it s mobile? How will we surf/search when we are mobile? How do advertisers and service providers generate revenues (more than the 15. 00 unlimited web access a Sprint has). What happens when society is surfing more w/ their mobile device than the pc? What does Google do when this happens? Will they recognize there will be more Google eyes on mobile devices than pcs? How do you sell keywords for this? The bigger question, as an advertiser, how do I advertise with this new medium? Advertisers are still trying to catch up with the eyeballs that left TV to the stationary Net. What happens when the net shift goes from the pc to the cell phone. Will advertisers realize their new mediums are the supermarket, the restaurant, sporting goods store, billboard, movie poster,. .or in other words, every physical object in the world with a unique identifier. Google says their database is up to 8B now, MSFT bragging about 5B. The 1B cans of 12 oz Coke represent 1B ways to get to just one site. So instead of offering access to 8B sites, there are now 1B ways (just 1 12 oz can of Coke alone) to get to Cokes site. Remember search/surf changes when it goes public. What happens when every can of Coke can be hyper-linked to the net? Or every Elton John CD, or every menu, concert ticket, street sign, business card, bag of Pringles. With a direct link to the net, why do I need to pay Google for this? If I m Pringles, I don t need to pay ANY search engine to get me at the top of the list. I m already there and I am interacting w/ my consumer. Advertisers will now have a service that measures an ads effectiveness immediately. It will merge the advertising in the physical world (magazines, TV, cereal box) with the internet. How much is this worth to a brand manager? Now every physical item in the world becomes a hyperlink to the net, bypasses any search engine, and is the medium by which advertisers will advertise and conduct e-commerce. What companies will see this first? Will Google realize the PC market is finite? The vehicle for their advertising is shrinking and is now becoming mobile? There is a head on collision coming. The search engine and the physical world hyperlink are on the path for a head-on collision. I ll put my money on the hyperlink, it is everywhere, doesn t matter who s OS is, will be marketed by the advertisers, and will give me a direct connection. MSFT, Symbian, Palm are on all of those untethered pc s (cellphones/ PDA s) where is Google? Texting isn t a direct connect. The question is who will have the physical world browser/OS for this? Google is stuck in the electronic world. Metrologic Instruments, Inc. today its image-processing software subsidiary, , is launching SwiftOCR and SwiftVerify, new software compatible with its premier two-dimensional bar code decoding engine -- SwiftDecoder. SwiftOCR software provides high-speed optical character recognition (OCR) of capital letters, numbers and punctuation for area-imaging devices used primarily for established format applications such as reading passport and ISBN codes. SwiftVerify easily integrates with any Windows or embedded platform and turns any document scanner, fixed-area imager or hand-held imager into a bar code verifier They are the best-kept secret of the business world: a whole new breed of C-suite managers who wear titles such as chief marketing officer, director, design and brand experience, or the voguish new moniker chief innovation officer. Patrick Whitney believes that companies today face an innovation gap. They have the tools of technology to make virtually anything, but lack the tools of empathy to understand what consumers really want. Filling this gap is the task at hand. It is also the sweet spot for top-line growth and high-margin profit. When outsourcing to China and India is universal, when creeping commoditization of products, services, and information hammers prices, innovation is the new currency of competition. It is the key to organic growth, the lever to widen profit margins, the Holy Grail of 21st century business Some for where innovation will be key. Under the terms of the agreement, Shanghai Fang Lai will market and sell Veritec products in China, and translate Veritec software products for use in China. Mr Zhou of SHanghai Fang stated We believe Veritec s VSCode and VeriCode Multi- Dimensional Symbologies will become the standard matrix symbols for ported applications in the future. It never hurts to have a big name VC like sponsoring innovative mobile ideas. Whereas certain initiatives pursue this aim primarily by condemning retail offerings that are potential health hazards, Codecheck takes a different approach: it helps consumers decipher the product rsquo;s barcode. The way this works is as simple as can be. The result is the creation of a reference work that is constantly being expanded and updated with contributions from manufacturers, wholesale distributors, specialized labs, consumer organizations and individual consumers. Potential purchasers thus have access to a wide variety of information, opinions and reports, a body of knowledge that constitutes a solid basis on which to form an opinion about a particular product. Plans are currently in the works to enhance this system by building in mobility. For example, a shopper in a supermarket could use his/her cell phone rsquo;s camera to photograph a product rsquo;s barcode and then send this image as an MMS to codecheck.ch, and the relevant information would immediately be transmitted back. By linking up diverse technologies (photography, Internet, telecommunications) in this way, Codecheck represents a step in the direction of well-informed consumers. The company tells their story, I highlighted the points I found of interest. As a company, Cobblestone Software regards itself as the true pioneer of the concept of hyperlinking the physical world using bar codes . Cobblestone was incorporated in March of 1995, and, to the best of our knowledge, is, by a good distance, the first company formed with print-to-digital-world as its express goal, where a key part of that concept was print-to-internet. As early as 1996, in a paper and presentation delivered at a US Postal Service conference, we had described our revolutionary concept of hyperlinking the world of printed media, and more generally the physical world, to the web and other resources. It is, so far as we are aware, the first such public description of this powerful idea. Cobblestone s licensed its technology to Mitigo (formed in 2001), which, we believe, was the first company formed to target the camera phone print-to-internet market. As many pioneering companies do, Mitigo essentially ran out of money before the market could develop -- but Cobblestone now retains full rights to our technology in this market. Cobblestone has also been targeting data heavy applications -- that is, applications that require a great deal of information to be stored on paper. For example, Cobblestone has licensed its technology to DeLaRue, the premier passport company in the world, for use in SecureIDs, encoding biometric information in a barcode of many kilobytes. It has worked in the past at some length with Kodak, and is also now working with other major companies in other industries. Cobblestone, at this stage, is deliberating whether or not to enter on its own into the mobile market, to license its IP and technology, or to sell its assets in this area . We ve developed technology that works robustly on a large variety of camera phones, and can in principle work on ANY camera phone, no matter its optics. We have versions that work on the Smartphone, but also on the Nokia 6680, 3650, and 7650. On the Nokia phones, for example, we have implemented an API that would allow people pretty much to encode, on a desktop, whatever they may want into a code, and then decode that code on the phone to do whatever they may choose to do. Cobblestone has already been granted three basic patents 6,098,882, 6,176,427, and 6,820,807, and has a number of others still in progress. One of these patents, 6,820,807, clearly covers the basic concept of using bar codes as physical world hyperlinks , a breadth that is unsurprising given our own priority as the pioneering company in this space. In fact, for example, here are the first two claims of the patent: 1. A method of accessing data comprising: producing digital instructions for accessing data, formatting into a pattern the series of digital data values representing said digital instructions for accessing data, distributing the pattern of formatted digital data, decoding the pattern of formatted digital data, and activating the digital instructions for accessing data, whereby the data is accessed. 2. The method of accessing data of claim 1 wherein said digital instructions for accessing data consists of hyperlinks to information extraneous to said formatted digital data. While interpreting claims is always a tricky business, and must be understood in the light of the description, it s pretty obvious that on its face these claims would comprehend, at minimum, ANY use of bar codes as hyperlinks to the digital world, the web most obviously; even the term, hyperlink , is used explicitly. And the description in the patent itself, along with the descriptions in our other patent applications, makes it quite evident that the generalized notion of hyperlinking the physical world to the web, and more generally the digital world, was being clearly envisioned. Cobblestone s emphasis was on 2D codes from its inception, because we believed that, over time, 2D codes would inevitably win the technology war as imagers became cheaper and more powerful. In fact, this has clearly proven to be true in the mobile market among others: any camera phone very naturally can handle our 2D code, but typically requires special macro, or add-on, lenses to do standard 1D codes; moreover, for new consumer applications, our 2D code requires vastly less space. So not only was Cobblestone the first company out with the concept of print-to-internet, it was first to recognize the crucial role of 2D codes in the emerging market. We believe that our IP backing up our concept is very strong, and the early priority dates should allow us full freedom to pursue this market, or to so enable anyone to whom we may sell or license the technology and IP. Who has 75 million, ideal demographic users and one of the most visited sites on the Internet? The owner of this site may be with a search engine, but has he ever thought of really leveraging this powerful portal? Rupert, here s what you do . Provide a free 2d code generating application on the MySpace home page. Call it MyCode or something catchy. Let the users create codes for URLs, text messages, phone numbers (and I m sure the kids will find other innovative ideas). Find a 2d code scanning application for a camera phone that is compatible with as many phones as possible . There s your service provider opportunity.. hint hint. Now let the kids/users decide what they want to click on, don t force mobile advertising down their throats. With 75 million potential users, the MyCode could become the standard 2d code . Advertisers will cater to these users and put the MyCode on their advertising.Instead of having consumers download a code scanning app to win some free fries, the advertiser can place a MyCode on THEIR advertising to get interest. Let advertisers adapt to consumers, not the other way around. In my opinion, you re going to have to give away a truckload of french fries to make PWC work the way it s being done now. Abaxia, a physical world connection has found a great way to get people to scan a datamatrix code using their camera phone for more information. Kelly Clarkson, Shakira or any of the big name music artists could create a viral campaign that would get a code reading application on a mobile phone. , a leading specialist in embedded mobile software solutions, is set to take the music industry by storm with its new technology, by including a MobileTag voucher with every copy of leading French singer Garou s new CD, released on June 12th. When scanned with a camera-phone, the Tag will give Garou fans the chance to win an exclusive meeting with the artist during his show in Paris in November. Sony BMG is happy to be able to promote and strengthen the image of its artists through the use of new technologies such as MobileTag. This technology offers new opportunities of privileged exchange between the artist and his public, says Christophe Waignier, Executive Vice President, Sony BMG. Here s an , why doesn t Sony offer to sell/create a 2d code for all of their artists on their packaging? The has already come to the attention of Orange, who tested it at the end 2005, and Nokia, who took part to the launching of the application in France on its 60 series handsets. I see this type of mobile marketing campaign having so much more traction, and catering more to the consumer, than getting a free box of fries from a burger chain. Think of all of the possibilities SONY and the artist could follow up with. |