Cloud vs. Desktop

Seeing the success of Microsoft in Desktop software, many companies were trying to take some market share from Microsoft but they have not been successful. When Google initiated a new strategy with GoogleDoc to replace desktop software by the cloud based software: many thought that this will revolutionize the industry. Nevertheless, various factors did not support this logic. Still the strategy is valid and Google purchased DocVerse. The news from Read It India says the following:

“Google delivered the latest salvo in its battle to wrest control from Microsoft over office productivity with its purchase of DocVerse, a Microsoft Office collaboration startup. The Wall Street Journal reported the purchase price was $25 million.”

Apple vs. Google

A year ago, we were discussing about who will control the internet? At that time we looked at four companies: Apple, Google, Microsoft and Facebook! After a year while surfing around and discussing with visionaries–I came to a conclusion that the battle is between Apple and Google only. Others are fading away…

The recent acquisition of Quattro Wireless by Apple showed the intention they are having. It is an attempt to answer the move Google took with AdMob acquisition. On the other hand launching of Nexus One by Google created havoc in Apple’s board!! Even Eric, CEO of Google who was in Apple’s board had to leave. So the battle is fresh and both have the intention to become the number one in Mobile Computing!

Well the friendship was tight before Android launch by Google but after that the friendship turned into foe. And the success of AppStore triggered a wave of competition and Google followed it carefully.

The growth in mobile advertising will be coming and both want to have a leadership position there. It is a growing business…finding the right business model and usability is a challenge!!

125,000 mobile application on iPhone is an ocean to ride for Google. According to IDC, iPhone controls a 14% market share now while Android as 3.5% only. The same report says that Apple could employ its user data and geo-location technology to make ads more relevant–it is wait and see only now!!

On the search engine side Google has 65% of market share and in mobile search also a huge winner. But no one knows when Apple comes with its own search engine in iPhone replacing Google completely. I keep my fingers crossed!!

Another player in the market is Tablet from Apple. While looking at the software industry at least Microsoft never built PCs and I wonder why Google came to Nexus One? Any comments on this would be of great help!!

My bet is that Google might even make mobile phone free. If that happens then Apple would be in a difficult situation. But for that Advertisement Ecosystem in Nexus must be functioning and mCommerce might be a reality.

The loser in the game is Microsoft. Nokia is struggling with Ovi Store which has not been able to trigger any mass adoption unlike iTunes store or AppStore. Other tech giants are also fading away….as the game goes to Services not the design of mobile phone!!

Android is a threat to iPhone business (which controls 30% of Apple’s sales). Mobile search is going to boom with mobile advertising and there will be the battle coming. This collision of giants will accelerate Innovation and after a year we are going to revisit this blog and do the mapping again!!

TOTAL Cost of Ownership

This is the summary of the learning over two weeks and just reflecting on the learning from the past. While in previous job we used to talk about Total Cost of Ownership in evaluating a venture, project or business opportunity or investment opportunity. In today’s terminology it is called Application Lifecycle Management cost in software business and it might have other fancy synonyms everywhere. Nevertheless, the notion is still live and kicking. While evaluating an option the notion of capital expenditure only must be eliminated. Most of the bidding we have gone throughout our business life is based on this capital expenditure (CAPEX). Nevertheless, operating expenditure (OPEX) includes most of the expenses in our balance sheet and PL account. Any solution lower at the CAPEX level but higher on the OPEX side is not a good solution. in a recent seminar I learned that the notion of outsourcing is trying to estimate this lifecycle cost. And according to many CEO’s outsourcing is not a good solution for their long term health of the business. While 25% of all IT budgets are invested in application development, how can we ensure that the investments made result in a maximum business impact for an organization? This is the question asked during recent Microsoft seminar. At the same time, while 75% of the lifecycle costs of an application development project are maintenance costs, how can we ensure that the lifecycle costs are minimized without jeopardizing the business impact ?

According to Microsoft, there is no silver bullet, but it requires careful development of individuals, teams and organizations. It requires technologies, platforms, tools enabling the business impact while keeping the lifecycle costs at minimum. It requires understanding and commitment of joint goals and joint way of work when aiming for the business result.

I am impressed with the logic of practice based thinking in cross domain team from business and IT combined would be the right approach–according to Mr. Jacobson, the keynote speaker. Here I had a question to him–how about the context? Any process is valid for a context…we can not expect to have a universal process without specifying the context and assumptions there. For me a process is valid so far we agree on the assumptions and follow an agreed and proven methodology to produce the result. Then only I am convinced with the process–otherwise not..

I would love to quote Eric Ries on this…we need to have problem teams first and then solution teams…not the other way round!!!! Please be careful to solve the biggest problems we have gone through due to such problem of solving the problem without really understanding it!!!

(As I have written this post in a hurry–I could not put links to all keywords here)