Notes from the eBook Summit in New York
Last week I attended MediaBistro’s inaugural eBook Summit at the New World Stages Theatre in Manhattan. For the whole day, my inner geek girl got to curl up with my inner bookworm and look at what lies ahead in the world of books and the move towards digitization.
For the book industry, just like music, film and photography beforehand, the move towards digitization brings with it a massive shift in user experience, and distribution. Along with this, obviously, comes major disruption to the business models of the publishing world, affecting not only authors and retailers but also publishers and agents whose roles are quickly morphing as authors find ways to self-publish online.
The summit delved deep into some of the issues that lie ahead and the change the industry will face. The prevailing attitude was summed up by Steve Wasserman of Kneerim & Williams, who said, “its all a little too early to tell”, but I think that based on the precedents set by the music industry we can anticipate some of the changes that lie ahead and what publishers need to do to capitalize on the opportunities that are there for the taking. For instance, without the physical need to print and truck books to retailers anymore, publishers need to quickly find a way to offer value to authors (such as multimedia eBook content and promotion resources) to remain relevant, otherwise, just as we have seen in the music industry with record labels, there will be increasingly less seats at the table for middlemen such as publishers.
A few of the panelists at the event called 2010 “The Year of the Tablet” and big developments are expected over the next few years in terms of eBook devices, most likely in the forms of convergence with other multimedia devices particularly the Web. However, with the preference being for ever-smaller devices, how an eReader will comfortably work within an iPhone-type device is yet to be seen. One panelist at the event said that they were aware of a dozen new eReader devices to be unveiled at CES in January 2010, with plenty more, such as Apple’s rumored Tablet device expected later in the new year.
So far, eBook device makers such as Sony understand the effort needed to ensure that readers are able to fully immerse themselves in a comfortable and immersive narrative experience, with cozy lighting and lightweight devices without too many bells and whistles. That said – they are not ignoring the possibilities that lie ahead for the book when color touch screens, digitization and 3G connectivity come into the mix.
One of the most fascinating (and possibly ADD-inducing) aspects of eBooks will be what the industry is calling the next generation of reading (Reading 2.0?) with built-in Web and interactivity including search, dictionary, multimedia content and Web connectivity. Imagine reading a book on your Nook/Kindle/iTablet, and being able to instantly Wiki/YouTube/Dictionary.com a word, phrase or scene? Or instantly search for a favorite passage? How will this change the formerly linear world of reading? Will we ever be able to get through a book again without being tempted to jump into the Web to find out more?
Just like filmmakers and musicians, authors (or their publishers) will now be expected to be full content powerhouses, producing “special features” such as author interviews, character sketches, possibly even music and video components to embellish and complement their written work. Publishers and agents will need to stay on top of this content to propel their authors forward in the new world of eBook sales, the content will be both a marketing tool and an additional revenue stream. An example of the new iteration of books with multimedia add-ons is LaunchSquad client Vook which, combines videos with books to create a whole new experience.
While the new world of digital books and Web-enabled reading is exciting, the path ahead for pricing and distribution is not yet set in stone. This week, major publishing houses Harper Collins and Random House, both announced plans to delay the launch of eBook editions, following hardback and paperback releases – an interesting move that most of the panelists saw as a stop-gap measure until they get a real eBook strategy in place. As we saw with digital music, if you do not make a product available to purchase, people will find a way to get it whether legally or not. Sony’s Head of Digital Reading, Steve Haber, put it best “We can’t be afraid of cannibalizing our physical book sales by treading too carefully into digital, because if we don’t cannibalize our sales, someone else will do it for us.” (I’m paraphrasing but that was the gist).
Pricing is of course, another pressure point within the emerging eBook market. While there is potential for experimental pricing (e.g. 99c for the first chapter of a book or $5 for additional special features material), panel members were not afraid to call out Amazon’s $9.95 pricing as a bully-tactic, a power-play to be the big shot in the industry to replicate the success that Apple had with MP3 players and their iTunes digital music sales arm. Most people in the industry see $9.95 as an unprofitable margin for authors and publishers that is ultimately unsustainable.
Just as we have seen with music, DRM is an increasingly prickly pear for the eBook industry that could determine which devices and distribution platforms become big, and which ones ultimately fail. Significantly, the move by blockbuster business author Stephen Covey to sign an exclusive eBook deal with Amazon.com (with exclusive DRM) could greatly bolster sales of the Kindle, particularly if Amazon is able to sign enough blockbuster authors upfront so as to disable efforts by iTunes or Barnes & Noble to make a play in the eBook world.
As an avid reader, book lover and geek girl, I am excited about the world of digital books and will also treasure my physical book editions as a relic of the printed past. It would be magnificent if eBooks could encourage more reading and literacy, and that as the price of production comes down, eBooks will be more accessible and the digital divide can be gapped in a joint effort between libraries, schools, device makers, governments and non-profits.
The Changing Way We Read
Media consumption has always changed over time as new technologies are developed, from fireside storytelling shifting to printed novels, or radio to the evening news on television. For years now, we have adjusted to reading on screens, but today, we are at the brink of a fundamental shift in the way we read.
Earlier this year, Rupert Murdoch suggested that News Corp would restrict all its content within paid walls, perhaps going so far as to remove their content from search engines. With Google responding by very publicly stating how they can help newspapers and adjusting to allow publishers to limit users to view five pages a day without registering, it would seem that media giants still hold power. But this is less a complete collapse of media channels and more a merging of media with new reading platforms – desktop, browser, e-reader, mobile, tablet, etc. Publishers are just now starting to innovate on these mediums, developing new experiences and new ways to read.
The e-reader market has been picking up a lot of steam recently – Kindle just had their biggest sales month since launching and Barnes & Noble’s Nook joining the market, which, despite recent reviews, has continued to pique consumer curiosity. Apple is rumored to be releasing a tablet early next year, and companies such as Vook (a LaunchSquad client), are creating new reading formats. Just in the past few weeks, we’ve seen publishers left and right announce new initiatives that respond to this e-reader and tablet excitement.
Condé Nast announced last month its Digital Magazine Initiative starting with an e-reader version of Wired magazine, and the publisher has also been experimenting with iPhone app formats for its content, in the form of GQ’s Men of the Year issue. Early this month, Time Inc. released a demo of a new digital version of Sports Illustrated, complete with photo libraries, video and interactive ads. While its own physical tablet prototype has been developed, like Condé Nast, they’re not committed to any one particular platform yet. Hearst, just last week, announced a partnership with Sprint to launch Skiff, an e-reader platform and digital store focused on connecting publishers with marketers, in 2010. To top it all off, the five major periodical publishers – Condé Nast, Meredith, Time Inc., Hearst and News Corp – are coming together to create a “Hulu for magazines,” a digital news stand where readers can purchase and manage their subscriptions. The main challenge will be to develop digital standards and formats, so that their varied content can be viewed equally on a wide variety of devices – soon-to-come color e-readers or more multi-media friendly tablet computers.
Similar to the changing way we approach reading novels and longer-form magazine pieces, the way we consume the news is still taking shape. Customization is the new way to take in news – whether it’s your Tumblr community or your Facebook feed, we are hearing about and reading news in an instant and curated way. Twitter, for some, has come to replace RSS, news sites and even search as a main source for breaking news, and with its newest lists feature, it’s even easier to filter the stream and be selective about how you skim and read. PubSubHubbub is working with blog and social networking platforms to bring these updates and posts instantaneously to your networks and companies like ShareThis (client) are helping media fit into this new “sharing economy,” allowing them to capitalize on the virality and engagement of forwarding, retweeting, liking and voting. Even Google is trying to adjust old-world media to find a place in the online way of reading, with Living Stories, which is a new project in collaboration with the New York Times and The Washington Post that presents on-going, evolving stories in a new online format. All these means are helping us stay informed of content through a closer social circle or curated set of sources.
Mobile devices, and especially iPhone and Android platform, take real-time and personalization to another level by putting the content in your hand wherever you are. Apps from local news sources like Fwix (a LaunchSquad client), Outside.in or Topix show what’s happening in your neighborhood, and Fwix’s even allows users to “report news” in real time, directly from their phones. In addition to news and e-reading, there are also many apps that are useful for saving, noting or commenting on what you read. Instapaper is an iPhone app and bookmarklet that allows users to save articles and blog post to read later, a task that it invaluable for anyone that is keeping track of news during their busy work day. Evernote (another LaunchSquad client) is another great app to save and organize not only your own notes and photos, but Web pages and text from articles. This mobile reading is a shift beyond your typical browser reading – it’s not passive reading and goes beyond the conversation, it’s also personalized, localized and relevant to what we are doing in the physical world.
Technology is changing the way humans are interacting with text, with content. There’s no standard yet as ubiquitous as unfolding the morning paper, but it’s not for lack of trying. Give it some time though, and a few platforms will start to emerge as front-runner in this nascent market. Whatever does emerge as the new way we read, it’s going to be a whole lot different than unfolding that paper.
Technology Helping to Fight Breast Cancer
In October, I took advantage of LaunchSquad’s volunteer time off policy to participate in the San Francisco Bay Area Breast Cancer 3 Day benefiting Susan G. Komen for the Cure. The 3 Day visits major cities across the U.S. to organize thousands of walkers through a 60-mile course over 3 days. The event helps to raise millions of dollars and infinite awareness for breast cancer.
I once participated as a walker in the Los Angeles 3 Day and was unbelievably impressed with the seamless orchestration of such a massive event. This year, I decided to sign up as a crew member (unknowingly checking the “captain” box in spite of my lack of crew experience), which helps organize on-event to make sure things run smoothly and the walkers are taken care of. My assignment was captain of the check-in team, which meant scanning walkers out of camp every morning and into camp every evening of the walk.
Given that we were to spend four days outside (camping at Chrissy Field) with a lot to do, I was actually looking forward to giving up technology and modern conveniences for a weekend. I figured I’d spend time outdoors, get some exercise, enjoy the gorgeous fall weather and generally disconnect, all while supporting a great cause.
But wait, technology is everywhere, even on the 3 Day.
Forgive me for stereotyping, but given the demographic of 3 Day participants (women over about 40) and the personal and emotional elements of the cause, I didn’t expect technology to play a huge role. But then I would be underestimating just how widespread the everyday use of technology and social media are in our lives.
Check-in crew team member Robin Shannon, an inspiring 6-year breast cancer survivor, led the Twitter initiative (@Walker4Life), tweeting throughout the event from her iPhone. She communicated with walkers out on the route while we were back at camp, exchanging pictures and giving updates on walker progress. Seeing the walker perspective in real-time – views from Ocean Beach and the Golden Gate Bridge, supporters who dressed up and came out to cheer, the infamous and fabulously decorated 3 Day Pit Stops – added depth to the experience and made it more complete.
I myself was decked out from head-to-toe in tech gear with a bar code scanner, walkie talkie and Nextel radio – none of which I knew how to use very well, even though I was supposed to be the young, tech industry maven. When I said goodbye to my crew members (all of whom I loved and was so lucky to work with!), we not only exchanged phone numbers, but Twitter handles and Facebook pages as well.
In advance of the event, all walkers and crew members were given online fundraising pages and I even downloaded a Facebook fundraising application for my friends to donate to the cause and see my fundraising progress.
The San Francisco Bay Area 3 Day included 1400 walkers, 250 crew members and raised more then $4 million for breast cancer research. Each person’s experience and each dollar raised was, to my surprise, enhanced by technology and social media.
This year’s 3 Day season has come to an end, but be sure to follow the 3 Day on Twitter to see how you can sign up for 2010!
Working Together For A Better Web
Tim O’Reilly kicked off the Web 2.0 Expo in New York last week with words of caution, an extension of his recent blog post “The War For The Web.” The Web visionary that coined the term “Web 2.0″ and defined the Internet as an “operating system” sees a battle brewing that is very reminiscent of one that took place over a decade ago. In the mid-1990s a browser war started between Netscape and Microsoft as the two fought for desktop penetration, eventually leading to incompatibility across the Web, as some sites were best viewed with a certain browser.
Today, things aren’t so different, as behemoths like Apple, Google, Facebook and Amazon are building their own platforms which are often accused of being “walled gardens,” rather than building upon the Internet as a free, and open platform. Examples include the strict review process for the iTunes App Store, Rupert Murdoch’s recent mention of removing News Corp. sites out of Google’s search index, and the inability to take your personal data with you from sites like Facebook and Twitter. To say these companies are evil is taking things too far, but O’Reilly stressed that more emphasis must be put on creating benefit for the user, instead of solely focusing on building competitive advantage.
O’Reilly sees two sides of the Internet operating system, and in a nod to Lord of the Rings, named them “One Ring To Rule Them All” and “Small Pieces Loosely Jointed.” The path we’re currently headed on is reflective of the former – a no-holds-barred death match between the platform owners, while the latter describes a world that has fewer controls and helps to foster creativity and innovation. Concluding with a quote from Jeff Jarvis, O’Reilly urged businesses to, “Do what you do best, and link to the rest.”
At Web 2.0 Expo NY, several new businesses are doing just that – innovating while also building on what others have successfully created, and opening up further development to even more people. Here are a few examples from the conference:
Boxee
Although Boxee technically didn’t announce anything new (the beta unveiling is on December 7th), CEO Avner Ronen hosted a panel on customers acting as brand evangelists. If you aren’t familiar with Boxee, consider it a social media center for your TV. Not only does it pull in your personal content like videos and photos, but you can also stream content from the MLB, Last.FM, Netflix, Pandora, and more. Since Boxee allows developers to create their own “channel,” more than 150 great applications are available to enhance your living room experience. One of our favorites is Cliqset (a LaunchSquad client), which allows you to have a real-time conversation with friends while watching your favorite video.
Foodspotting
Described as a “foodie-powered field guide,” Foodspotting was born after founder Alexa Andrzejewski realized it was difficult to search for specific dishes on existing city guide services. The Web site (a mobile app is coming soon) allows “food spotters” to post photos and descriptions of dishes they’ve eaten. “Food seekers” can then search through these dishes, and vote them up, which awards credibility points to the original spotter. The service hopes to eventually tie into different products like Foursquare, where foodspottings would be incorporated into location check-ins. Now I won’t be scratching my head when I’m trying to find the best banh mi.
EarthAid
Think of it as a dashboard for all of your utilities, the power meter of the future. Currently compatible with 106 utility companies, EarthAid empowers users by allowing them to monitor and effectively reduce energy consumption. Incentives in the form of points redeemable towards discounts, and offers from partners, and the ability to share data with friends, makes conserving energy fun.
I encourage you to explore the great videos and presentations given at Web 2.0 Expo NY to learn more about how the Web is evolving.