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Went to see The Social Network last night, and thought it was terrific. Even though most of the scenes set at Harvard and Silicon Valley were shot elsewhere, the versimilitude was high. And,while it was strange to see the recent past treated as history, the story actually works, and carries truth, even if it doesn’t ring true for the living subjects of the story. (I’ve haven’t met any of the movie’s characters, but I thought Justin Timberlake’s portrayal of the Sean Parker character was drawn straight from Jason Calacanis.)

The story that matters, at least to me, is about the making of a Silicon Valley success. In The Business-Movie Business, The New Yorker‘s James Surowiecki unpacks Hollywood’s small and mostly poor assortment of movies about business. His summary statement is “Movies’ mistrust of capitalism is almost as old as the medium itself.” Here’s how he puts “The Social Network” in that context:

Watching “Wall Street,” you’d think that business is a Hollywood obsession. But it’s really Hollywood’s biggest blind spot.

For that reason, the fall’s most important business film—indeed, the most important business film in ages—is not the second “Wall Street” but, rather, “The Social Network,” David Fincher’s film about Facebook. The film represents a rare attempt to take business seriously, and to interrogate the blend of insight, ruthlessness, creativity, and hubris required to start a successful company. Hollywood has made good films about money, loyalty, trust, and organization before—but most of them have been about gangsters. “The Social Network” suggests that it could also start making good films about businesspeople who don’t carry guns.

Henry Blodget’s blog post title sums up his own take: No Wonder Everyone Loves The Facebook Movie: It’s The American Dream. He begins,

True, it paints Harvard as a stuffy cartoon-scape. True, it treats women as as video-game props, sex tools, and platforms for coke-snorting. And, true, Mark Zuckerberg’s character comes off as a bit of an asshole. (But based on the other evidence I’ve seen, this would seem to be a fair representation of the reality at the time. And, thanks to Aaron Sorkin’s writing and Jesse Eisenberg’s delivery, even the assholishness is charming.)

But all this is secondary to the main message of the movie, which is a celebration of what makes a vibrant corner of our economy–and our country–great.

What’s the Facebook movie really about?

It’s about a college sophomore who says “fuck you” to authority, follows his passion, and creates something great. In so doing, he works ridiculously hard, inspires his colleagues, blows past the comfortable establishment, and becomes rich beyond belief.

In other words, the Facebook movie is the latest incarnation of the American Dream.

Ah, but we wake up from our dreams. And Hollywood knows how to make that movie too.

Mark Zuckerberg is clearly an extremely bright and prescient dude, and Facebook could hardly be a bigger success story. But that story isn’t over. In fact, it’s just begun.

(An aside… Both The New Yorker and BusinessInsider, from which I lifted the quotes above, do something I hate. They give me more than I intend to copy, putting on my clipboard a “Read more” and the URL of the piece. So, when I paste the passage, I get bonus jive. Sometimes this is handy, but it smacks of pure promotion, and its annoying.)

I love this from Dave:

The why of it: I want to create, out of RSS, something like Twitter, but not locked up on one company’s servers. Call me an opensorcerer or a rastafarian, but I like networks that aren’t controlled by one company. Esp not a tech company.

Doing what needs to be done. Yesss.

Here’s some what I’m looking for right now. Any help is welcome.

Topic 1: Advertising

  1. Size of the advertising industry, both in the U.S. and worldwide.
  2. Sums of advertising of various types to which individuals are exposed every day.
  3. Breakouts and growth rates of advertising sectors. Online and mobile especially.
  4. Weaknesses and/or declines in advertising sectors.
  5. Hard numbers on click-through rates on various advertising types, and ratios to impressions. Trends as well.
  6. Successes and failures of coupons and other forms of promotion.
  7. Overhead in the production of advertising. (Paper, electricity, server cycles, etc.)
  8. Size of the whole marketing category, including salaries for marketers.

Topic 2: History

  1. Need amounts invested, through the dot-com era (1996-2000), in start-ups. Especially interested in break-outs by business models of those funded. Regional break-outs would be good too.
  2. Success rates of investments. I want more than stock and sale prices for the companies. If possible, I want totaled revenues for those companies, by sector if possible.

There’s more, but that’s enough for now. Thanks.

So , the Chatanooga power (and now high speed Internet) utility, is now offering Internet speeds up up to 1Gbps over fiber optic connections to homes. (A U.S. record, far as I know.) If you ignore EPB “triple play” offerings of TV and telephony alongside Internet connectivity and just go for the Internet connection, your prices are these (I’ve rounded up from the posted prices):

  • $58 for 30Mbps
  • $70 for 50Mbps
  • $140 for 100Mbps and $350 for 1Gbps.

Let’s assume you get one or more IP addresses with this, and no blocked ports. In other words, a full native Internet connection. Answer these:

  • Does that make you think about moving there?
  • If not, would you get it if you lived in Chatanooga?
  • And if your answer to that is yes, how would you recommend EPB improve its offering, either in its deployment or its characterization in marketing?

Just wondering.

I’m at a fascinating luncheon talk by Al Roth at CRCS with the irresistable title, “Kidney Exchange.” This can’t help but call to mind “Anonymous Philanthopist Donates 200 Kidneys“, in . which I hope Al has in this talk or puts in his next one.

So I’m taking notes here. Lots of good fodder for the Markets chapter of the book I’m wrirting.,,

Market Design is Al’s summary and collection of works on that subject, including Kidney Exchange. See his “Efficient Kidney Exchange” paper In the American Economic Review. Market design is around patient-donor pairs (usually relatives), even though one half the pair will not be donating a kidney to the other half of the pair. The two surgeries: transplants and nephrectomies. The latter is the removal of a kidney.

NEAD: Non-simultaneous, Extended Altruistic-Donor Chain. These can add up. Al shows how ten transplants came out of one donor starting the chain. In cost/benefit terms, this is also good. This is now cited in both the New England Journal of Medicine and People magazine.

There are currently ~86,000 people on the waiting list now. There is a question on the floor about calculations based on 100% of Americans on the donors list. Nor feasible, but one wonders if a much larger percentage could be recruited. Al calls these “non-directed donors.”

Wondering what kind of matches we might classify with personal RFPs. (Al is talking here about pairwise ones, because that’s how kidney donorship works.) Other considerations: “Markets must be thick, uncongested and safe.” Need to look at the long and short side of a market. Also matching efficiencies

Interesting point: relationships between hospitals and surgeons are a context. Also that we are starting to see pairs withheld, meaning that a hospital or two may not inform other hospitals about donor candidates. Arcanum: strategyproof industry rational (IR) mechanism.

(I’m surprised that all this stuff, most of which is new to me, does not hurt my brain.)

When creating the large exchange, respect the small exchanges that operated independenly before. “Mechanisms that give priority to internally matachable pairs have good incentive and efficiency properties in large markets. Theorem for k=2 (pairwise exchange), full participation is an E (the Greek letter epsilon) equilibrium for E(n) = 0(1/n).

“It could be that some regulation in order.” e.g., “If you participate, you must show us all our patients.”

Why do we have laws against simply buying and selling kidneys? The same reason we have the Ontario Dwarf Tossing Prevention Ban Act of 2003. The answer is, because it’s repugnant.(At least to lawmakers.) X may not be repugnant, but X+$ is repugnant — n some conditions, anyway, such when selling kidneys. Or kids. (Hmm… kidney sounds like a diminutive term for a kid. Or a kid part.)

Three repugnancies: Objectification, Coercion and Slippery Slope. (Hmm, don’t we have that in lots of business settings already? Such as excessive gathering user data online?)

Back on July 31 I posted The Data Bubble in response to the first of The Wall Street Journal‘s landmark series of articles and Web postings on the topic of unwelcome (and, to their targets, mostly unknown) user tracking.

A couple days ago I began to get concerned about how much time had passed since the last posting, on August 12. So I tweeted, Hey @whattheyknow, is your Wall Street Journal series done? If not, when are we going to see more entries? Last I saw was >1 month ago.

Then yesterday @WhatTheyKnow tweeted back, @dsearls: Ask and ye shall receive: http://on.wsj.com/9DTpdP. Nice!

The piece is titled On the Web, Children Face Intensive Tracking, by Steve Stecklow, and it’s a good one indeed. To start,

The Journal examined 50 sites popular with U.S. teens and children to see what tracking tools they installed on a test computer. As a group, the sites placed 4,123 “cookies,” “beacons” and other pieces of tracking technology. That is 30% more than were found in an analysis of the 50 most popular U.S. sites overall, which are generally aimed at adults.

The most prolific site: Snazzyspace.com, which helps teens customize their social-networking pages, installed 248 tracking tools. Its operator described the site as a “hobby” and said the tracking tools come from advertisers.

Should we call cookies for kids “candy”? Hey, why not?

Once again we see the beginning of the end of fettered user tracking. Such as right here:

Many kids’ sites are heavily dependent on advertising, which likely explains the presence of so many tracking tools. Research has shown children influence hundreds of billions of dollars in annual family purchases.

Google Inc. placed the most tracking files overall on the 50 sites examined. A Google spokesman said “a small proportion” of the files may be used to determine computer users’ interests. He also said Google doesn’t include “topics solely of interest to children” in its profiles.

Still, Google’s Ads Preferences page displays what Google has determined about web users’ interests. There, Google accurately identified a dozen pastimes of 10-year-old Jenna Maas—including pets, photography, “virtual worlds” and “online goodies” such as little animated graphics to decorate a website.

“It is a real eye opener,” said Jenna’s mother, Kate Maas, a schoolteacher in Charleston, S.C., viewing that data.

Jenna, now in fifth grade, said: “I don’t like everyone knowing what I’m doing and stuff.”

A Google spokesman said its preference lists are “based on anonymous browser activity. We don’t know if it’s one user or four using a particular browser, or who those users are.” He said users can adjust the privacy settings on their browser or use the Ads Preferences page to limit data collection.

I went and checked my own Ads Preferences page (http://www.google.com/ads/preferences) and found that I had opted out of Google’s interest-based advertising sometime in the past. I barely remember doing that, but I’m not surprised I did. On the whole I think most people would opt to turn that kind of stuff off, just to get a small measure of shelter amidst the advertising blizzard that the commercial Web has become.

Finding Google’s opt-out control box without a flashlight, however, is a bit of a chore. Worse, Google is just one company. The average user has to deal with dozens or hundreds of other (forgive me) cookie monsters, each with its own opt-out/in control boxes (or lack of them). And I suspect that most of those others are far less disclosing about their practices (and respectful of users) than Google is.

(But I have no research to back that up—yet. If anybody does, please let me have it. There’s a whole chapter in a book I’m writing that’s all about this kind of stuff.)

Meanwhile, says the Journal,

Parents hoping to let their kids use the Internet, while protecting them from snooping, are in a bind. That’s because many sites put the onus on visitors to figure out how data companies use the information they collect.

Exactly. And what are we to do? Depend on the site owners and their partners? Not in the absence of help, that’s for sure. The Journal again:

Gaiaonline.com—where teens hang out together in a virtual world—says in its privacy policy that it “cannot control the activities” of other companies that install tracking files on its users’ computers. It suggests that users consult the privacy policies of 11 different companies.

In a statement, gaiaonline.com said, “It is standard industry practice that advertisers and ad networks are bound by their own privacy policy, which is why we recommend that our users review those.” The Journal’s examination found that gaiaonline.com installed 131 tracking files from third parties, such as ad networks.

An executive at a company that installed several of those 131 files, eXelate Media Ltd., said in an email that his firm wasn’t collecting or selling teen-related data. “We currently are not specifically capturing or promoting any ‘teen’ oriented segments for marketing purposes,” wrote Mark S. Zagorski, eXelate’s chief revenue officer.

But the Journal found that eXelate was offering data for sale on 5.9 million people it described as “Age: 13-17.” In a later interview, Mr. Zagorski confirmed eXelate was selling teen data. He said it was a small part of its business and didn’t include personal details such as names.

BlueKai Inc., which auctions data on Internet users, also said it wasn’t offering for sale data on minors. “We are not selling data on kids,” chief executive Omar Tawakol wrote in an email. “Let there be no doubt on what we do.”

However, another data-collecting company, Lotame Solutions Inc., told the Journal that it was selling what it labeled “teeny bopper” data on kids age 13 to 19 via BlueKai’s auctions. “If you log into BlueKai, you’ll see ‘teeny boppers’ available for sale,” said Eric L. Porres, Lotame’s chief marketing officer.

Mr. Tawakol of BlueKai later confirmed the “teeny bopper” data had been for sale on BlueKai’s exchange but no one had ever bought it. He said as a result of the Journal’s inquiries, BlueKai had removed it.

The FTC is reviewing the only federal law that limits data collection about kids, the Children’s Online Privacy Protection Act, or Coppa. That law requires sites aimed at children under 13 to obtain parental permission before collecting, using or disclosing a child’s “personal information” such as name, home or email address, and phone and Social Security number. The law also applies to general-audience sites that knowingly collect personal information from kids.

So we have pots and kettles calling each other black while copping out of responsibility in any case—and then, naturally, turning toward government for help.

My own advice: let’s not be so fast with that. Let’s continue to expose bad practices, but let’s also fix the problem on the users’ end. Because what we really need here are tools by which individuals (including parents) can issue their own global preferences, their own terms of engagement,  their own controls, and their own ends of relationships with companies that serve them.

These tools need to be be based on open standards, code and protocols, and independent of any seller. Where they require trusted intermediaries, those parties should be substitutable, so individuals are not locked in again.

And guess what? We’re working on those. Here’s what I wrote last month in Cooperation vs. Coercion:

What we need now is for vendors to discover that free customers are more valuable than captive ones. For that we need to equip customers with better ways to enjoy and express their freedom, including ways of engaging that work consistently for many vendors, rather than in as many different ways ways as there are vendors — which is the “system” (that isn’t) we have now.

There are lots of VRM development efforts working on both the customer and vendor sides of this challenge. In this post I want to draw attention to the symbols that represent those two sides, which we call r-buttons, two of which appear [in the example below]. Yours is the left one. The vendor’s is the right one. They face each other like magnets, and are open on the facing ends.

These are designed to support what Steve Gillmor calls gestures, which he started talking about back in 2005 or so. I paid some respect to gestures (though I didn’t yet understand what he meant) in The Intention Economy, a piece I wrote for Linux Journal in 2006. (That same title is also the one for book I’m writing for Harvard Business Press. The subtitle is What happens when customers get real power.) On the sell side, in a browser environment, the vendor puts some RDFa in its HTML that says “We welcome free customers.” That can mean many things, but the most important is this: Free customers bring their own means of engagement. It also means they bring their own terms of engagement.

Being open to free customers doesn’t mean that a vendor has to accept the customer’s terms. It does mean that the vendor doesn’t believe it has to provide all those terms itself, through the currently defaulted contracts of adhesion that most of us click “accept” for, almost daily. We have those because from the dawn of e-commerce sellers have assumed that they alone have full responsibility for relationships with customers. Maybe now that dawn has passed, we can get some daylight on other ways of getting along in a free and open marketplace.

The gesture shown here —

— is the vendor (in this case the public radio station KQED, which I’m just using as an example here) expressing openness to the user, through that RDFa code in its HTML. Without that code, the right-side r-button would be gray. The red color on the left side shows that the user has his or her own code for engagement, ready to go. (I unpack some of this stuff here.)

Putting in that RDFa would be trivial for a CRM system. Or even for a CMS (content management system). Next step: (I have Craig Burton leading me on this… he’s on the phone with me right now…) RESTful APIs for customer data. Check slide 69 here. Also slides 98 and 99. And 122, 124, 133 and 153.

If I’m not mistaken, a little bit of RDFa can populate a pop-down menu on the site’s side that might look like this:

All the lower stuff is typical “here are our social links” jive. The important new one is that item at the top. It’s the new place for “legal” (the symbol is one side of a “scale of justice”) but it doesn’t say “these are our non-negotiable terms of service (or privacy policies, or other contracts of adhesion). Just by appearing there it says “We’re open to what you bring to the table. Click here to see how.” This in turn opens the door to a whole new way for buyers and sellers to relate: one that doesn’t need to start with the buyer (or the user) just “accepting” terms he or she doesn’t bother to read because they give all advantages to the seller and are not negotiable. Instead it is an open door like one in a store. Much can be implicit, casual and free of obligation. No new law is required here. Just new practice. This worked for Creative Commons (which neither offered nor required new copyright law), and it can work for r-commerce (a term I just made up). As with Creative Commons, what happens behind that symbol can be machine, lawyer or human-readable. You don’t have to click on it. If your policy as a buyer is that you don’t want to to be tracked by advertisers, you can specify that, and the site can hear and respond to it. The system is, as Renee Lloyd puts it, the difference between a handcuff and a handshake.

Giving customers means for showing up in the marketplace with their own terms of engagement is a core job right now for VRM. Being ready to deal with customers who bring their own terms is equally important for CRM. What I wrote here goes into some of the progress being made for both. Much more is going on as well. (I’m writing about this stuff because these are the development projects I’m involved with personally. There are many others.)

You can check out some of those others here.

Bonus link: Tracking the Companies that Track You Online. That’s a Fresh Air interview by Dave Davies of Julia Angwin, senior technology editor of The Wall Street Journal and the lead reporter on the What They Know series.

Tags: , ,

‘s @WhatTheyKnow tweet stream is still going strong, but we haven’t seen anything new in the series since Google Agonizes on Privacy as Ad World Vaults Ahead, on August 10. That was “fifth in a series” that had many more than five items in it. Dunno whassup with that, but my favorite follow-ups so far are from Don Marti, whose two posts on the matter are Framing discussions of web privacy and Privacy tweaks for browsers? Both put the onus on the user, rather than the websites.

Interesting angle. Go dig it.

First, three posts by:

His bottom line in the last of those: “… people are saying the web dumbs us down. This is wrong. The web can dumb us down, but only if we choose to let it.” Much substance leads up to that, including many comments to the first two posts.

In the first post, JP says, “For information to have power, it needs to be held asymmetrically. Preferably very very asymmetrically. Someone who knows something that others do not know can do something potentially useful and profitable with that information.” He adds,

So when people create walled-garden paid apps, others will create unpaid apps that get to the same material. It’s only a matter of time. Because every attempt at building dams and filters on the internet is seen as pollution by the volunteers. It’s not about the money, it’s about the principle. No pollutants.

Which brings me to the reason for this post. There’s been a lot of talk about the web and the internet making us dumber.

I think it’s more serious than that. What the web does is reduce the capacity for asymmetry in education. Which in turn undermines the exalted status of the expert.

The web makes experts “dumb”. By reducing the privileged nature of their expertise.

Every artificial scarcity will be met by an equal and opposite artificial abundance. And, over time, the abundance will win. There will always be more people choosing to find ways to undo DRM than people employed in the DRM-implementing sector. Always.

Joe Andrieu responds with Asmmetry by choice.  After giving some examples, Joe adds,

These types of voluntary acceptance of asymmetry in information are the fabric of relationships. We trust people with sensitive information when we believe they will respect our privacy.

I don’t see abundance undoing that. Either the untrustworthy recipient develops a reputation for indescretion and is cut off, or the entire system would have to preclude any privacy at all. In that latter scenario, it would became impossible to share our thoughts and ideas, our dreams and passions, without divulging it to the world. We would stop sharing and shut down those thoughts altogether rather than allow ourselves to become vulnerable to passing strangers and the powers that be. Such a world would of totalitarian omniscience would be unbearable and unsustainable. Human beings need to be able to trust one another.  Friends need to be able to talk to friends without broadcasting to the world. Otherwise, we are just cogs in a vast social order over which we have almost no control.

Asymmetry-by-choice, whether formalized in an NDA, regulated by law, or just understood between close friends, is part of the weft and weave of modern society.

The power of asymmetry-by-choice is the power of relationships. When we can trust someone else with our secrets, we gain. When we can’t, we are limited to just whatever we can do with that information in isolation.

This is a core part of what we are doing with and the . Vendor Relationship Management (VRM) is about helping users get the most out of their relationships with vendors. And those relationships depend on Vendors respecting the directives of their customers, especially around asymmetric information. The Information Sharing Work Group (ISWG) is developing scenarios and legal agreements that enable individuals to share information with service providers on their own terms. The notion of a is predicated on providing privileged information to service providers, dynamically, with full assurance and the backing of the law. The receiving service providers can then provide enhanced, customized services based on the content of that data store… and individuals can rest assured that law abiding service providers will respect the terms they’ve requested.

I think the value of this asymmetry-by-choice is about artificial scarcity, in that it is constructed through voluntary agreement rather than the mechanics/electronics of the situation, but it is also about voluntary relationships, and that is why it is so powerful and essential.

I’ll let both arguments stand for now (and I think if the two of them were talking here right now they’d come to some kind of agreement… maybe they will in comments here or on their own blogs), while I lever both their points toward the issue of privacy, which will continue to heat up as more people become aware of liberties taken with personal information by Web companies, especially those in the advertising business. I hadn’t thought about this in terms of asymmetry before, but maybe it helps.

The Web has always embodied the design asymmetry of . Sites have servers. Visitors have clients (your computing device and its browser). To help keep track of visitors’ relationships, the server gives them . These are small text files that help the server recall logins, passwords, contact history and other helpful information. Cookies have been normative in the extreme since they were first used in the mid-nineties.

Today advertising on the Web is also normative to an extreme that is beginning to feel . In efforts to improve advertising, “beacons” and flash cookies have been added to the HTTP variety, and all are now also used to track users on the Web. The Wall Street Journal has been following this in its series, and you can find out more there. Improvement, in the new advertising business, is now about personalization. “It is a sea change in the way the industry works,” Omar Tawakol, CEO of BlueKai, told the Wall Street Journal. “Advertisers want to buy access to people, not Web pages.”

Talk about asymmetry. You are no longer just a client to a server. You are a target with crosshairs on your wallet.

Trying to make advertising more helpful is a good thing. Within a trusted relationship, it can be a better thing. The problem with all this tracking is that it does not involve trusted relationships. Advertisers and site owners may assume or infer some degree of conscious assent by users. But, as the Journal series makes clear, most of us have no idea how much unwelcome tracking is really going on. (Hell, they didn’t know until they started digging.)

So let’s say we can construct trusted relationships with sellers. By we I mean you and me, as individuals. How about if we have our own terms of engagement with sellers—ones that express our intentions, and not just theirs? What might we say? How about,

  • You will put nothing on my computer or browser other than what we need for our  relationship.
  • Any data you collect in the course of our relationship can be shared with me.
  • You can combine my data with other data and share it outside our relatinship, provided it is not PII (Personally Identifiable Information).
  • If we cease our relationship, you can keep my data but not associate any PII with that data.
  • You will also not follow my behavior or accumulate data about me for the purposes of promotion or advertising unless I opt into that. Nor will your affiliates or partners.

I’m not a lawyer, and I’m not saying any of the points above are either legal or in legal language. But they are the kinds of things we might like to say within a relationship that is symmetrical in nature yet includes the kind of asymmetry-by-choice that Joe talks about: the kind based on real trust and real agreement and not just passive assent.

The idea here isn’t to make buyers more powerful than sellers. It’s to frame up standard mechanisms by which understandings can be established by both parties. Joe mentioned some of the work going on there. I also mention some in Cooperation vs. Coercion, on the . Here’s a long excerpt:

What we need now is for vendors to discover that free customers are more valuable than captive ones. For that we need to equip customers with better ways to enjoy and express their freedom, including ways of engaging that work consistently for many vendors, rather than in as many different ways ways as there are vendors — which is the “system” (that isn’t) we have now.

There are lots of VRM development efforts working on both the customer and vendor sides of this challenge. In this post I want to draw attention to the symbols that represent those two sides, which we call r-buttons, two of which appear above. Yours is the left one. The vendor’s is the right one. They face each other like magnets, and are open on the facing ends.

These are designed to support what calls , which he started talking about back in 2005 or so. I paid some respect to gestures (though I didn’t yet understand what he meant) in The Intention Economy, a piece I wrote for in 2006. (That same title is also the one for book I’m writing for . The subtitle is What happens when customers get real power.) On the sell side, in a browser environment, the vendor puts some RDFa in its HTML that says “We welcome free customers.” That can mean many things, but the most important is this: Free customers bring their own means of engagement. It also means they bring their own terms of engagement.

Being open to free customers doesn’t mean that a vendor has to accept the customer’s terms. It does mean that the vendor doesn’t believe it has to provide all those terms itself, through the currently defaulted contracts of adhesion that most of us click “accept” for, almost daily. We have those because from the dawn of e-commerce sellers have assumed that they alone have full responsibility for relationships with customers. Maybe now that dawn has passed, we can get some daylight on other ways of getting along in a free and open marketplace.

The gesture shown here —

— is the vendor (in this case the public radio station , which I’m just using as an example here) expressing openness to the user, through that RDFa code in its HTML. Without that code, the right-side r-button would be gray. The red color on the left side shows that the user has his or her own code for engagement, ready to go. (I unpack some of this stuff here.)

Putting in that RDFa would be trivial for a CRM system. Or even for a CMS (content management system). Next step: (I have Craig Burton leading me on this… he’s on the phone with me right now…) RESTful APIs for customer data. Check slide 69 here. Also slides 98 and 99. And 122, 124, 133 and 153.

If I’m not mistaken, a little bit of RDFa can populate a pop-down menu on the site’s side that might look like this:

All the lower stuff is typical “here are our social links” jive. The important new one is that item at the top. It’s the new place for “legal” (the symbol is one side of a “scale of justice”) but it doesn’t say “these are our non-negotiable terms of service (or privacy policies, or other contracts of adhesion). Just by appearing there it says “We’re open to what you bring to the table. Click here to see how.” This in turn opens the door to a whole new way for buyers and sellers to relate: one that doesn’t need to start with the buyer (or the user) just “accepting” terms he or she doesn’t bother to read because they give all advantages to the seller and are not negotiable. Instead it is an open door like one in a store. Much can be implicit, casual and free of obligation. No new law is required here. Just new practice. This worked for (which neither offered nor required new copyright law), and it can work for r-commerce (a term I just made up). As with Creative Commons, what happens behind that symbol can be machine, lawyer or human-readable. You don’t have to click on it. If your policy as a buyer is that you don’t want to to be tracked by advertisers, you can specify that, and the site can hear and respond to it. The system is, as Renee Lloyd puts it, the difference between a handcuff and a handshake.

Renee is a lawyer and self-described “shark trainer” who has done much in the community to help us think about agreements in ways that are legal without being complicated. For example, when you walk into a store, you are surrounded by laws of many kinds, yet you have an understanding with that store that you will behave as a proper guest. (And many stores, such as Target, refer by policy to their customers as “guests.”) You don’t have accept “terms of service” that look like this:

You agree we are not liable for annoying interruptions caused by you; or a third party, buildings, hills, network congestion, rye whiskey falling sickness or unexpected acts of God or man, and will save harmless rotary lyrfmstrdl detections of bargas overload prevention, or if Elvis leaves the building, living or dead. Unattended overseas submissions in saved mail hazard functions will be subject to bad weather or sneeze funneling through contractor felch reform blister pack truncation, or for the duration of the remaining unintended contractual subsequent lost or expired obligations, except in the state of Arizona at night. We also save ourselves and close relatives harmless from anything we don’t control; including clear weather and oddball acts of random gods. You also agree we are not liable for missed garments, body parts, electronic communications or musical instruments, even if you have saved them. Nothing we say or mumble here is trustworthy or true, or meant for any purpose other than to sphincter the fears of our legal department, which has no other reason to live. Everything here does not hold if we become lost, damaged or sold to some other company. Whether for reasons of drugs, hormones, gas or mood, we may also terminate or change this agreement with cheerful impunity.

[   ]  Accept.

And for that you get a cookie. Yum.

gives a great talk in which he reduces History of E-Commerce to one slide. It looks like this:

1995: Invention of the Cookie.

The End.

Not content with that, Phil has moved history forward a step by writing KRL, the , which he describes in this post here. The bottom line for our purpose in this post is that you can write your own rules. Terms of engagement are not among them yet, but why not? It’s early. At last Friday, showed how easy it is to program a relationship—or just your side of one—with KRL. What blew my mind was that the show was over and it was past time to leave, on a Friday, and people hung out to see how this was done. (Here’s a gallery of photos from the workshop.)

And those are just some of the efforts going on in the VRM (and soon, we trust, the CRM) community. What we’re trusting (we’re beyond just hoping at this point) is that tools for users wishing to manage relationships with organizations of all kinds (and not just vendors) will continue to find their way into the marketplace. And the result will be voluntary relationships that employ asymmetry by choice—in which the choice is made freely by all the parties involved.

Tags: , , ,

ERP Software Advice has put together an informal but well-thought-out poll on Oracle’s next take-over target. Dig it here. My own off-the-wall bet was on Akamai, which Stephen was kind enough to include in his report. Even if you don’t follow Oracle or the other companies listed, it’s a very interesting exercise (created by Stephen Jannise). And it will be fun to see who is right and why. Because Oracle is a hungry cannibal. It can’t help eating other companies. Somebody’s gonna get chomped. (And somebody after that, and after that.)

Bonus link.

I recently realized that the line “Markets are conversations” (familiar as the first thesis in The Cluetrain Manifesto) was born at least partly from my experience as a resident of many forums on Compuserve, in the late 1980s and early 1990s. It was on Compuserve that I learned the differences between flaming, trolling and plain old heated discussion. While I wasn’t a full-time sysop (discussion leader) I often came off the bench as a back-up, and learned a lot about good sysop practices from forums devoted to the subject.

Perhaps the most cardinal among rules enforced by syops was this one: no personal attacks. (Wikipedia agrees.) Personal attacks were a broad category that included unwelcome characterizations, ad hominem arguments and various forms of passive aggression. Most often, however, they could be flagged by the pronoun you. Written or spoken in the second person singular, you tends to provoke a defensive response, especially if it implies a state of being. When A says to B, “You are wrong,” A is not making a statement about what B has said, but rather about B himself or herself.

Conversations risk going south when one person characterizes the other’s very being as “wrong” — even though the phrase “You’re wrong” could hardly be more common.

This fact came to mind today when I read The Evolution of Society, Madness and Social Media, by Tac Anderson. In it Tac says this:

Anytime I have a visceral reaction to something, I’ve learned that it’s usually because there’s some truth to the statement that threatens my own closely held beliefs. This kind of fear is rooted one of two concerns: a) The truth is misrepresented and misleading or b) the truth is right and that means that I’m wrong (for the record it’s almost always that they’re wrong).

All of which is something of a corollary to a bit of wisdom I often give my 13-year-old son: “Being right is overrated.” We’re here to learn, I tell him. Not just to score points in a game that others aren’t also playing.

The trick in conversation is not just to listen, but to do two things that come hard for people with an unhealthy need for being in a state of rightness. One is to respect the other person as an original source of interesting (if not necessarily correct) things to say. The other is weigh without prejudice the substance of what the other person is saying. Neither, of course, comes easy. Both, however, are helpful.

The case Tac brings up is his own aversion to Nicholas Carr and two items for which Nick is lately best known. One is an Atlantic article titled, Is Google Making Us Stupid? The other is The Shallows: What the Internet is Doing to Our Brains, a book that enlarges on the article, about which Tac says, “…once you take away his intentionally provocative title and approach, for the most part I think he’s right – about the facts at least.” Tac goes on to say,

The Internet, like every other technological advancement, is changing the way we think, live and work. But where I disagree with Carr, is that the Internet is not making us stupid. Instead I believe the Internet is making most of us smarter. But there is a consequence to this evolution: Not everyone evolves.

Tac adds a number of points that I agree or disagree with to varying degrees. Here is what I would like him, and anybody else who is interested, to think about: What if the Internet does not persist as an environmental condition?

It certainly won’t persist in the forms we know it best right now. Phone and cable companies, by whose graces most of us access the Internet, have self-serving ambitions for the Net that are at variance from the ideals of the Net’s founding protocols. Phone companies, especially mobile ones, want to bring the Net inside their billing systems, with metered charges for data use and national boundaries across which customers pay huge additional fees for “roaming.” Cable companies wish to become “content providers”, as publishing, broadcast and entertainment goods move from paper, airwaves and cable channels to new all-digital forms that display on glowing rectangles of all kinds.

In other words, I wonder if the world in which Tac and others like him (including myself) find themselves adapting so well isn’t doomed to become Business As Usual 2.0. That’s what Jonathan Zittrain warns in his book The Future of the Internet — and How to Stop It. As Jonathan sees it, the Internet was designed to be generative. That is, it encourages originality and productivity for everything it runs on and that it supports — not just for the companies and technologies that “carry” it. (By the way, the old sysops forum on Compuserve was run for many years by Jonathan, who later co-founded the Berkman Center.)

I think the Net will get worse before it gets better. But I think we need to consider seriously whether it will get better at all. Recent defeats of the FCC by carriers make clear who holds the cards. (And I’m not saying that the FCC was right. I’ve always felt that “Net Neutrality” was more effective as a red flag for carriers than for helping its proponents’ legislative and regulatory agendas.)

Here’s what I believe, at least for now. The Internet, as the open and generative thing its protocols like to support, is good for humanity, for human evolution, for society and for business. I would like that to be right, but it might be wrong, and I’m open to hearing that.

Meanwhile, I don’t think we’ve had enough time to prove anybody’s case. And evolution will prove more patient than any of us.

Ancestral bonus links here, here and here.

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