Hesitancy on the New Web 2.0 IPOs

Here’s a reality check: Groupon lost $456.3 million in 2010. It lost $146.5 million in Q1 2011. Sounds like a winner, huh? … Groupon has all the classic hallmarks of the 90’s era dot-com failure. Big new idea: check. Media hype: check. “Too good to be true” come-on to consumers: check. Endless need to expand into new markets/acquire new customers or perish: check. One-trick pony: check. Read the full article here.‘Hot’ Doesn’t Equal ‘Profitable’ | ClickZ. And for some really good meaty bits, be sure to read the “new lessons…

Apple’s Mid-Stream Policy Changes Kill a Successful Business

So iFlow Reader is being forced to end their app due to Apple’s policies requiring in-App purchases. Two key quotes from them that are definitely worth reading: All you have to do is put the book in In-App Purchase. Sounds so reasonable, doesn’t it? But do you know how you do that? You go onto iTunes Connect, OK? And then you press some buttons and you get to a page that lets you create a new In-App Purchase item. You sit there and type in all the information, this description…

The Erosion of Price Due to the Pervasiveness of “Free”

When it comes to any product, there are costs involved in its creation.  For things such as cars or waffles or underpants, part of that cost is purely in raw materials.  Each of these items is a physical good, requiring actual matter to create.  The same is the case for items like DVDs, books, CDs and videogames. The difference in these verus the formerly mentioned physical goods, however, is that the vast majority of their primary value (the reason that someone actually wants them) can be replicated digitally, without raw…

Jaron Lanier’s Right: The Web Needs Some Scarcity

If you’ve been paying any attention to my recent Twitter updates, you can probably tell from my constant updates that I’m really digging reading You Are Not a Gadget, by Jaron Lanier. I’m a little over halfway through, but so far it’s an excellent look at how Web 2.0 and open/free culture are not only damaging our society, but destroying our importance as individual human beings.  It reminds me a bit of Andrew Keen’s Cult of the Amateur, and whether or not you agree with the premise, I strongly recommend…

People Are Probably Going to Steal Your Stuff Online

If you’re a creator (artist, musician, author, etc.), publisher, copyright holder or anyone else who deals in intellectual property, there’s one basic rule about the Internet that you should pay attention to: People Are Probably Going to Steal Your Stuff Online. It’s been over a decade since Napster first launched, and although there have been steps forward in policing of intellectual property, new distribution deals and other major changes to the Internet, the fact remains that people steal a lot of stuff online.  Some may argue that sharing files or…

DoJ Creates New Intellectual Property Task Force (Great News)

If you’ve ever gotten into a conversation with me regarding politics, you probably know that I’m quite cautious when it comes to trusting the government to really work in the best interest of the people it represents.  Today, however, I am happy to say that I’m quite impressed with the current administration’s approach to copyright and intellectual property protection. This is because, on February 12, 2010, the Department of Justice announced a “New Intellectual Property Task Force as Part of Broad IP Enforcement Initiative.” (Read the press release) As a…

Celluloid Cowboy: What Indie Publishing is For

With the experiences I’ve had so far as an independent author, I’ve come across quite a few like-minded individuals. The problem is that some of them aren’t that great at writing something that grabs me (sorry, but it’s true). Some of them, however, are.  This is where Scott C. Rogers falls with his debut, Celluloid Cowboy. To be honest, at first I really wasn’t very interested in reading his book. The cover art definitely screamed indie, and the premise seemed a bit cliche (man’s life sucks, is presented with chance…

Plan to Sell Your Creation? Then Be a Business and Claim Your Tax Deductions.

Whether you’re an author, musician, artist or any other kind of content creator, one important thing you need to think about is whether you create as purely a hobby, or if you intend (or hope) to someday make money off of your creations. For many creators, this intent becomes obvious once you’ve decided to go beyond creating for yourself, friends and family and taking the big step into offering your creations to the rest of the world (with an intent to make some money while you’re at it.)rec If you’ve…