Tag: Apple

The Castle Doctrine

home castle

The Castle doctrine has been around a long time. Cicero (106–43 BCE) wrote, “What more sacred, what more strongly guarded by every holy feeling, than a man’s own home?” In Book 4, Chapter 16 of his Commentaries on the Laws of England, William Blackstone (1723–1780 CE) added, “And the law of England has so particular and tender a regard to the immunity of a man’s house, that it stiles it his castle, and will never suffer it to be violated with impunity: agreeing herein with the sentiments of ancient Rome…”

Since you’re reading this online, let me ask, what’s your house here? What sacred space do you strongly guard, and never suffer to be violated with impunity?

At the very least, it should be your browser.

But, unless you’re running tracking protection in the browser you’re using right now, companies you’ve never heard of (and some you have) are watching you read this, and eager to use or sell personal data about you, so you can be delivered the human behavior hack called “interest based advertising.”

Shoshana Zuboff, of Harvard Business School, has a term for this:surveillance capitalism, defined as “a wholly new subspecies of capitalism in which profits derive from the unilateral surveillance and modification of human behavior.”

Almost across the board, advertising-supported publishers have handed their business over to adtech, the surveillance-based (they call it “interactive”) wing of advertising. Adtech doesn’t see your browser as a sacred personal space, but instead as a shopping cart with ad space that you push around from site to site.

So here is a helpful fact: we don’t go anywhere when we use our browsers. Our browser homes are in our computers, laptops and mobile devices. When we “visit” a web page or site with our browsers, we actually just request its contents (using the hypertext protocol called http or https).

In no case do we consciously ask to be spied on, or abused by content we didn’t ask for or expect. That’s why we have every right to field-strip out anything we don’t want when it arrives at our browsers’ doors.

The castle doctrine is what hundreds of millions of us practice when we use tracking protection and ad blockers. It is what called the new Brave browser into the marketplace. It’s why Mozilla has been cranking up privacy protections with every new version of Firefox . It’s why Apple’s new content blocking feature treats adtech the way chemo treats cancer. It’s why respectful publishers will comply with CHEDDAR. It’s why Customer Commons is becoming the place to choose No Trespassing signs potential intruders will obey. And it’s why #NoStalking is a good deal for publishers.

The job of every entity I named in the last paragraph — and every other one in a position to improve personal privacy online — is to bring as much respect to the castle doctrine in the virtual world as we’ve had in the physical one for more than two thousand years.

It should help to remember that it’s still early. We’ve only had commercial activity on the Internet since April 1995. But we’ve also waited long enough. Let’s finish making our homes online the safe places they should have been in the first place.


Your actual wallet vs./+ Google’s and Apple’s

Now comes news that Apple has been granted a patent for the iWallet. Here’s one image among many at that last link:


Note the use of the term “rules.” Keep that word in mind. It is a Good Word.

Now look at this diagram from Phil Windley‘s Event Channels post:

event channels

Another term for personal event network is personal cloud. Phil visits this in An Operating System for Your Personal Cloud, where he says, “In contrast a personal event network is like an OS for your personal cloud. You can install apps to customize it for your purpose, it canstore and manage your personal data, and it provides generalized services through APIsthat any app can take advantage of.” One of Phil’s inventions is the Kinetic Rules Language, or KRL, and the rules engine for executing those rules, in real time. Both are open source. Using KRL you (or a programmer working for you, perhaps at a fourth party working on your behalf, can write the logic for connecting many different kinds of events on the Live Web, as Phil describes here).

What matters here is that you write your own rules. It’s your life, your relationships and your data. Yes, there are many relationships, but you’re in charge of your own stuff, and your own ends of those relationships. And you operate as  free, independent and sovereign human being. Not as a “user” inside a walled garden, where the closest thing you can get to a free market is “your choice of captor.”

Underneath your personal cloud is your personal data store (MyDex, et. al.), service (Higgins), locker (Locker Project / Singly), or vault (Personal.com). Doesn’t matter what you call it, as long as it’s yours, and you can move the data from one of these things into another, if you like, compliant with the principles Joe Andrieu lays out in his posts on data portability, transparency, self-hosting and service endpoint portability.

Into that personal cloud you should also be able to pull in, say, fitness data from Digifit and social data from any number of services, as Singly demonstrates in its App Gallery. One of those is Excessive Mapper, which pulls together checkins with Foursquare, Facebook and Twitter. I only check in with Foursquare, which gives me this (for the U.S. at least):

Excessive Mapper

The thing is, your personal cloud should be yours, not somebody else’s. It should contain your data assets. The valuable nature of personal data is what got the World Economic Forum to consider personal data an asset class of its own. To help manage this asset class (which has enormous use value, and not just sale value), a number of us (listed by Tony Fish in his post on the matter) spec’d out the Digital Asset Grid, or DAG…


… which was developed with Peter Vander Auwera and other good folks at SWIFT (and continues to evolve).

There are more pieces than that, but I want to bring this back around to where your wallet lives, in your purse or your back pocket.

Wallets are personal. They are yours. They are not Apple’s or Google’s or Microsoft’s, or any other company’s, although they contain rectangles representing relationships with various companies and organizations:

Still, the container you carry them in — your wallet — is yours. It isn’t somebody else’s.

But it’s clear, from Apple’s iWallet patent, that they want to own a thing called a wallet that lives in your phone. Does Google Wallet intend to be the same kind of thing? One might say yes, but it’s not yet clear. When Google Wallet appeared on the development horizon last May, I wrote Google Wallet and VRM. In August, when flames rose around “real names” and Google +, I wrote Circling Around Your Wallet, expanding on some of the same points.

What I still hope is that Google will want its wallet to be as open as Android, and to differentiate their wallet from Apple’s through simple openness.  But, as Dave Winer said a few days ago

Big tech companies don’t trust users, small tech companies have no choice. This is why smaller companies, like Dropbox, tend to be forces against lock-in, and big tech companies try to lock users in.

Yet that wasn’t the idea behind Android, which is why I have a degree of hope for Google Wallet. I don’t know enough yet about Apple’s iWallet; but I think it’s a safe bet that Apple’s context will be calf-cow, the architecture I wrote about here and here. (In that architecture, you’re the calf, and Apple’s the cow.) Could also be that you will have multiple wallets and a way to unify them. In fact, that’s probably the way to bet.

So, in the meantime, we should continue working on writing our own rules for our own digital assets, building constructive infrastructure that will prove out in ways that require the digital wallet-makers to adapt rather than to control.

I also invite VRM and VRooMy developers to feed me other pieces that fit in the digital assets picture, and I’ll add them to this post.

Dawn of the Living Infrastructure

So how do we get out of this place?


Let’s face it. Mike Arrington’s problem with the iPhone, Om Malik’s problem with AT&T, the FCC’s problem with Apple + AT&T together, my own problems with Cox, Dish Network and Sprint, David Pogue’s problem with the whole freaking cell phone industry … all of these are a great big WAAAH! in the wilderness of industrial oblivity to what customers want. We’re in the graveyard of what Umair Haque calls the zombieconomy. We’re living in Night of the Living Dead and complaining that the zombies want to eat us alive.

What they really want is to strap us down while they bleed us for small change—tiny amounts of ARPU. They do this, for example, by forcing us to sit through “The … number … you … have … dialed … eight … zero … five … seven …” until a small ka-ching happens somewhere deep in their billing system, so you get bled whether or not you’ve left (or received) a message. David Pogue:

Is 15 seconds here and there that big a deal? Well, Verizon has 70 million customers. If each customer leaves one message and checks voicemail once a day, Verizon rakes in — are you sitting down? — $850 million a year. That’s right: $850 million, just from making us sit through those 15-second airtime-eating instructions.

It was JP Rangaswami (disclosure: I consult JP and his company, BT) who first pointed out to me that the primary competence of phone companies isn’t technical. It’s financial. They’re billing machines. That’s their core competency. And it was r0ml who pointed out, way back when he was with AT&T Wireless (before it became Cingular, and then the AT&T we all know and hate today), that phone companies arrived at the holy grail of micropayments decades ago. They don’t charge small amounts, but they know how to add them up, and round piles of microminutes into billions of dollars.

A better movie metaphor is The Matrix. We’re all wet cell batteries inside giant phone company billing systems. The machines took over a long time ago, and they’re still running the world.

Not that acting like machines does them much good in the long run. Umair Haque:

Profit through economic harm to others results in what I’ve termed “thin value.” Thin value is an economic illusion: profit that is economically meaningless, because it leaves others worse off, or, at best, no one better off. When you have to spend an extra 30 seconds for no reason, mobile operators win — but you lose time, money, and productivity. Mobile networks’ marginal profits are simply counterbalanced by your marginal losses. That marginal profit doesn’t reflect, often, the creation of authentic, meaningful value.

He adds,

The fundamental challenge for 21st Century businesses — and economies — is learning to create thick value. We’re seeing the endgame of a global economy built to create thin value: collapse. Why? Simple: thin value is a mirage — and like all mirages, it ultimately evaporates. In the 21st Century, we’ve got to reconceive value creation.

Constructive Capitalists are disrupting their rivals by creating thicker value. Thick value is sustainable, meaningful value — and a new generation of radical innovators is wielding it like a strategic superweapon.

Rick Segal thinks Mike Arrington‘s CrunchPad is one of those superweapons. Here’s what the Crunchies say will look like:


Sez Rick,

No, this probably isn’t the next Apple or Motion Computing, but here’s the secret.

Let’s assume there are just 1000 people out of all the TechCrunch people in the world that want this device.  If this device gets made and sold to 1000 happy people and the result is a manufacturing world and process which can now do these “one off” type devices, the game changes.

That’s why I want this device to get made. It begins a high profile (and positive) disruption at the point of manufacture and that can mean exciting things to you.

One way to blow up silos and walled gardens is de-verticalize industry itself. Not by making it horizontal (that’s too abstract), but by making it personal. Rick’s angle here is to go all the way to the source, and make manufacturing personal.

That’s what Rick thinks Mike & Co. are doing here. I also think the Crunchpad is compliant with what Dave says in this post here:

I’ve been through this loop many times, this is Mike’s first. The only platform that really works is a platform with no platform vendor, and that’s the Internet.

Right. The Crunchpad, as I understand it (and the Crunchies have explained it) is a Net-native device. Standards-based. Commodity parts. Full of open source stuff. The platform is the Net. The vendor is TechCrunch, but trapping users isn’t their game. They’d rather have thick value than thin.

So how do we contribute, besides paying cash for goods? By being constructive customers, rather than passive consumers. That’s what Rick is calling for here, and why we, as free and independent customers, can choose to support something that uses the Net as the platform, and is built to be user-driven.

Think about it. Is the Crunchpad crippled by any deals with a major vendor of any kind? Is it locked into any phone company’s billing and application approval systems? Is it locked into any one industry’s Business-as-Usual? No.

So who is in the best position to contribute to its continued improvement, besides the Crunchies themselves?

You. Me. Users. Customers.

We can drive this thing. Even if what Dan Frommer says is right, and Apple comes out with the world’s most beautiful pad ever, and pwns the whole category, there’s more vroom for improvement in the Crunchpad, because Apple’s device will be closed and the Crunchpad will be open. Or should be.

You listening, Mike?

Adjusting Business to a Networked World

In response to The Trillion Dollar Market, which adds a few paragraphs to Gain of Facebook (below), which responded to How Facebook Could Create a Revolution, Do Good, and Make Billions, by Bernard Lunn in ReadWriteWeb, Nate Ritter raised some questions that I’d like to answer in detail. We begin…

…one question that needs to be solved is that if both suppliers and demanders are getting value out of the transaction why is it the suppliers are always fronting the money to make the connection?

The short answer is that we’ve done it that way ever since Industry won the Industrial Revolution. The long answer is that customer choice in the prevailing industrial system is provided by sellers. This includes telling customers what their choices are. We call this “marketing”.

At the level of simple customer choice, the industrial system is no different than it was when sellers operated out of carts and stalls at village crossroads. Such is the nature of straightforward retailing. But in our industrial system, sellers sit out at the last link of many value chains. Exchanging goods and services for money is a small part of that system. The final transaction is just the far end a process that moves from source to sale through a series of complex stages in which individual customers have little if any direct say. At the end of those stages the customer’s choice is to buy or not to buy. The customer’s job is to consume, and not to do much more than that. It’s not a bad system, but it’s one that’s open to countless improvements in a world where everybody is approximately zero distance from everybody else. That world is the Internet.

The Net makes it easy — or should make it easy — for customers to advertise their demand. That is, to find and drive supply. To a very limited degree, the supply side helps this with CRM (Customer Relationship Management) systems, but those systems are all silo’d and allow very limited input from customers themselves. Put crudely, they have ways of making you talk. And a very limited set of allowable words and phrases. If this weren’t already broken enough, many are also poorly designed or maintained.  Think about what all of us go through when we need customer service or tech support. Why should you have to give a series of call center people your account and phone numbers, even after you’ve already punched them in, time and again? These systems are lame because they put all responsibility for maintaining a “relationship” on the sell side. They exclude most forms of customer input because they don’t want more variables than they can easily “manage”. That excludes countless clues about what the market is up to, in addition to countless sums of money left on tables they can’t see through the CRM blinders they wear.

To be clear, I’m not saying CRM is inherently bad here. But it’s no closer to what we need than AOL and Compuserve were to the Internet. Or than mainframes were to PCs.

What VRM proposes is shifting appropriate relationship responsibility to customers, for the simple reason that the customer is, for many purposes, the best point of integration for his or her own data — and the best point of origination for what can be done with it.

For example, a customer’s VRM system should be able to say, globally, “I want receipts emailed to me. Here is my email address. You can do business with me if you don’t share that address with anybody, and if you don’t send me unwanted emails. Sign here (digitally) if you agree to these terms.” Yes, that may sound scary to sellers, but guess what? The customer-control horse left the seller’s barn as soon as the Internet came along. All that precious customer data that sellers think they own is a tiny fraction of what they can gain from customers in a relationship where both sides are open to whatever the other brings to the table. In other words, one in which the seller does not speak of “acquiring”, “managing”, “controlling”, “owning” or “locking in” customers as if they were slaves.

What VRM offers are better ways for sellers and buyers to relate — on terms of equal power and range of options. Yes, we’ll need open and standard protocols, data types and methodologies. Not to mention agreements that the customer (and not just the seller) asserts. We’re working on all that stuff.

Next item…

I have a feeling the culture of consumerism dissuades consumers from believing they are giving up anything (or devalues the money they are giving away for the product/service). For example, the belief that everything is free that is on the web. That’s an inherent problem that has to be solved before there will be an market that starts with the consumers. The “market’ necessitates a trade of value, and if one side is inherently told that what they want is free, then why would they give up money to trade for it?

First, what we call “consumerism” should be re-labeled “producerism”, because it’s a phenomenon driven by production. As Thorstein Veblen put it long ago (and I used to put it before discovering Veblen said it first), invention is the mother of necessity. Consumers participate, of course, but they don’t drive it. The production side does.

Of course, I’m speaking on the general scale, and of course there are definitely products and services that exist because people wanted them to. And of course they do well in charging for something because the demographic believes it’s worth the trade. But that’s not a change of the macro market. And although it’s nice and warm and fuzzy, the reality is that on a large scale people are simply being conditioned to take things for free. They don’t want to trade value for value.

When Napster came along, and suddenly everybody’s CD collection was free for the taking, “everything is free” became a mantra. Nobody, it seemed, would ever pay for music again. Why would they, when all of it is free, and one’s chances of getting caught and nailed by the RIAA and its running dogs was so small? Then Apple created the iPod and iTunes and the iTunes store, and started charging 99¢ for medium-fi music that didn’t work on more than five “authorized” devices. And people ate it up. Suddenly music had two price points: $.00 for illegal music and $.99 for legal but crippled music. How big is the latter business? Said here two years ago that Apple had already sold 2.5 billion songs. And how much has the former non-business driven the whole music industry in a new direction? Why cry about how disruptive the Internet is, and how much it devalues every old business it touches*, when it’s an expanding planet-sized environment on which countless new businesses can be built — and built to do far more, and make money from (and for) many more people, and companies, than the old ones?

My point: it’s early. The Net is a giant zero between everything and everybody. It takes distance, connectivity and the costs of storage and distribution all toward zero. There is still plenty of money to be made at the commodity level (just ask Nick Carr, or Amazon), but that’s one more reason why the Giant Zero is a great place to build all kinds of new businesses. And why it’s still very, very early in what Craig Burton calls the “terraforming” of the Net’s new world.

The point of my two postings (in the first sentence up top) is that there is much more money to be made, in this Giant Zero world, in helping demand find and drive supply, than in helping supply find and drive demand. And that this will be much better for the supply side than the old system, where suppliers have to do it all.

I wish it weren’t that way. Perhaps some day it won’t be. But we have to start changing the message that we’re sending out there, or even better than pushing a message, finding the areas where people are indicating they’re willing to pay for a product to be created. Harder done than said.

True. But we’ve already started. If one looks at markets (or, more precisely, economies) as places where parties signal each other, we’re already well underway. Nate himself did a heroic job of putting Twitter on the map as a great signaling system on the Live Web during real-world emergencies. In his case it was the San Diego Fire. It’s conceivable that what the market learned in that experience helped save my own house during the two recent fires in Santa Barbara.

Last winter I used Twitter successfully to signal our family’s interest in a good restaurant during a layover at O’Hare. This was way less significant than what Nate did during a huge fire, but no less eye-opening for me.

Still, tweeting — microblogging — is just one early step in a direction where lies an endless variety of signals that can move from demand to supply. Creating open, standard and simple pro forma ways of doing that is what VRM is about.

* Tom Foremski is right when he says The Internet Devalues Everything It Touches, Anything That Can Be Digitized. But you have to read Tom’s points deeply to get the full implications. Losing the old will be painful. But there is far more value to be found in the new. For example, in fourth parties.

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