This latest Apple vs Google battle is fun to watch, but they’re both just getting warmed up.

Consider things from Apple’s perspective. Their secrecy is part of the appeal. Everybody wants to know what they’re going to do next, and the company does an excellent job of controlling the flow of information. They have a right to do this. They work within regulations and their shareholders are obviously happy.

So you’ve got this brand new iPhone in the works, and it’s impressive. It’s made of higher quality materials, build quality is going to go way up, the new CPU is much faster and more power efficient, it has a bigger battery and a higher resolution camera in addition to the new camera on the front. If you’re Apple, you want to keep these details secret. Less people want to buy this year’s model if next year’s is a couple months away. This is in contrast to cars, where the current model often becomes more attractive to a large segment of buyers, because it’s available at a discount. Apple doesn’t do discounts like that. The price on today’s model normally doesn’t change in the lead-up to new product. When new models are released, Apple will pay you the courtesy of upgrading your order (if you ask) if you placed it in the preceding 10 days, but if it’s day 11 you’re probably out of luck.¹ This is also perfectly legitimate. The result is less overstock, which means less discounting after the new model is out.

Leaking the new iPhone probably cost Apple millions in revenue. While it isn’t really a secret that Apple has an annual release cycle for iPhone, the previously-described effect is so strong that Apple is selling more iPhones today than it did during the holiday quarter. Think about that. Now that the forthcoming iPhone is common knowledge, I’m expecting that we’ll see a more pronounced dip in sales over the next month or so.²

The evidence to date suggests quite clearly that after the device was left at the bar, none of the people who handled it afterward did the right thing. The original finder³ didn’t make enough effort to return the device directly to Apple. He took money from Gizmodo, and handed it over. Gizmodo knew what they were getting, and they didn’t return it until Apple legal counsel asked for it back.

Leaving aside the lost sales from the current model, that prototype was assuredly one of a relatively small number of units. One-offs like that are normally costly to produce, on top of untold millions in research and development.

The long and short of it is that a crime occurred, and the police are obligated to investigate. Apple could probably intervene, but at this point in the game it isn’t fair to say Apple is going too far. Better to make an example of these fools as a warning shot to anyone else who might consider acting similarly. You can guarantee whatever money Gizmodo made from ad sales premiums when the story broke is but a drop in the bucket relative to what Apple lost by Gizmodo’s irresponsible behavior.

You might think Apple’s behavior is certainly reminiscent of The Man, but Cult of Mac made a rare good point about how things work at 1 Infinite Loop that lead me to think otherwise.

On the topic of AT&T, Mr. Stewart and I are one. Despite my overall disagreement with his arguments, the bit was hilarious.

* This post is a response to a comment by my good friend Josh Bernstein, on Facebook. I decided it was a little long to stick in a comment.

1. Unless you get a nice customer rep at AppleCare
2. On the flip side, it’s probably fair to say that the anticipation for the new iPhone may indeed be higher than if Gizmodo hadn’t taken the actions it did.
3. Now identified as 21-year old Brian Hogan of Redwood City, CA

It only took one line to accomplish the task:

It’d be a cinch to generalize for input video format.

In the past, the Google Wave team has spent countless hours solely on improving the experience of running Google Wave in Internet Explorer. We could continue in this fashion, but using Google Chrome Frame instead lets us invest all that engineering time in more features for all our users, without leaving Internet Explorer users behind.

Sounds good to me!

Never give in–never, never, never, never, in nothing great or small, large or petty, never give in except to convictions of honour and good sense. Never yield to force; never yield to the apparently overwhelming might of the enemy.

– Winston Churchill

Tomorrow’s a new day. Make the most of it.

“The ZFS team has produced a game-changing file system/volume manager. The chance to get it into the hands of 10s of millions of Mac users – and to influence Redmond’s file system strategy – seem to this outsider an opportunity of a lifetime.

If the ZFS engineering team opposed this – and I’d love to hear their take – I encourage them to reconsider. Marketers often ask the question ‘would you prefer 100% of nothing or 40% of something huge?’”

Most people who have religion believe in an afterlife, and for most people that means death is not the end of their existence. Christians believe in Heaven and Hell, and they – like Muslims – all believe in some concept of an “eternal” life after physical death. This is both a blessing and a curse. ¹

I perceive time as finite insofar as we each have an allotment – the quantity of which we do not know – that inexorably and indiscriminately dwindles to zero. This scares a lot of people, and I would be lying if I said I was wholly comfortable with the concept of my own expiration. The difference is those with religion believe they get to cheat this clock. Whether a “true believer” dies tomorrow or in a century is simply immaterial, because the entire purpose of the exercise is to get to the other side. Buddhists believe in reincarnation, so they get a new bucket. It is filled with an unknown amount of water, and a hole is poked in the bottom. Rinse and repeat. Christians end up in a place where there is no spoon bucket to fill or empty. I have a tendency to get hung up on how we spend our time, but the average believer in any religion is drawing from a well that never goes dry. This has a profound effect on the way one approaches time. Religion makes people fundamentally more tolerant of delay.

The United States Congress is a perfect example of this. There is no other governing group that better exhibits a tolerance of delay, and with the lone exception of Pete Stark (D-CA), every elected member is a believer. ² In 2002, the USA Today covered a study which found that 18,000 working-age adults die every year because they were uninsured. 1,500 people will die during the month of August as Congress takes its annual recess, having failed to adequately cover the 45 million uninsured in the country today. Talk about comfortable with delay. ³

Life would probably be just a little bit better if we were a little more cognizant of the ephemeral nature of our lifespans. Everybody knows that they’ll die one day, but people usually wait until the end to make the realization that this means time isn’t infinite. There isn’t any right way to spend time, although I generally believe that time well spent is time spent pleasurably, across the board. Have fun at work. Have fun at home. Make money. Do what makes you happy. To me, that’s time well spent.

We – atheists and believers alike – can do each other a favor by recognizing that however we’re spending our time, costing another person time means costing that person a part of his or her life. Do unto others as you’d have them do unto you, and all that jazz.

1. Ha!
2. There are rumors of other atheists or agnostics, but Pete is the only one brave enough to own up to it.
3. It’s worth noting that this recess is more than twice the length of the average American’s vacation time. You know, the annual allotment most of us get to live however we choose.

There’s a new hotness the industry is trying to sell right now: social media. Self-proclaimed Social Media Experts are a new breed of marketer, and they’re here to help you make money on Facebook and Twitter. If you want to make use of these sites to promote your business, there is nothing compelling these people can offer over a real marketing expert without the specialization. ¹

I’m wary of this niche over something that’s largely semantic in nature: the word “expert.” We can debate the meaning of the word, but I have never met a successful internet marketer who wasn’t able to make social media work for them by applying the same basic common sense tactics. If you’ve got 140 characters, you need a hook. Something that grabs the user’s attention. Most marketing works that way. You also need something compelling at the other end. Your call to action has to lead to something that some people will actually want. Good marketing can sell a bad product, but it won’t sustain a bad business in the long-term. This, again, is nothing new. ²

There is also the aspect of how much time it takes to attain a mastery of anything. Geniuses do exist, but they rarely manifest in the form of a marketer. Most people, myself and marketers included, have to work at something to get better at it. We progress at different speeds, but the slope of progress generally trends north so long as diligent effort is paid to a task. The Social Media Expert has no defined task, so what specifically are they mastering? There may be people who might actually qualify for the title, but the only ones who ever seem to come close were already excellent marketers before the name change. It pains me to see an individual tag oneself with a ridiculous label in order to fit in, but what is advertising if not compelling demographics to do something en masse?

I had the sad realization the other day that for as much money as marketers are making on sites like Facebook, Twitter, and the like, the people behind the applications themselves are usually running in the red, with no clear way to the black. Facebook looks like it’s going to figure out how to make money long-term, and it’s certainly got the largest userbase, but the reality is that while advertising in the United States alone is a $150bn industry, that spend is increasingly spread over a larger pie, and at some point there simply won’t be enough to support it all. It is true that advertising dollars are shifting online at an increasing rate, but that money is primarily going into classic online ads. Google already owns the lion’s share of what’s being spent online, and combined with its closest competitors makes up the overwhelming majority of the entire online advertising market. Facebook is banking its future on grabbing enough of the advertising pool, but their concept seems to focus around highly targeted banner and text ads – classic online advertising. Right now, if you want to make real money online, you are still monetarily better off spending your advertising dollars on email programs and pay-per-click advertising, or a combination of the two. There is no need to spend money on a social media expert.

Nine times out of ten, if I find a company’s Twitter marketing spammy, a self-proclaimed SME is at the other end of the keyboard. It’s hard to mask the scent of bullshit when you only have 140 characters to make your case.

You should absolutely be on Twitter and Facebook, but the companies that do this best are companies that have a person in-house who actually gets it: someone who primarily uses social networking sites to network socially. Need an example? Take a look at game developer Infinity Ward’s Robert Bowling. Better known by his gamertag, @fourzerotwo has been tweeting and blogging constantly about Modern Warfare 2, their upcoming release. ³ Earlier this year they launched #mw2, a site that allowed people to submit suggestions for the game by posting a tweet with the #mw2 hashtag. It’s the best use of Twitter for marketing I’ve ever seen, and it was built by a very small team headed up by Richard Henry, an English web developer – not a marketer.

Social media is too young for anyone to really be an expert. At best, what we have today are Social Media Technicians. They know how to work the buttons in a way most marketing execs don’t, but there isn’t a skill in and of itself they have mastered. I honestly get the impression most of them just spend so much time on Facebook that they had to figure out a way to make it pay the bills.

I have no doubt there is plenty of money to be made here, and I don’t blame anyone for capitalizing on the market opportunity, especially in this economic climate. That being said, marketing dollars are normally the first to go when times get tough, so what you do spend needs to deliver. A smart email program and PPC campaign will almost always be better for you if the product you’re selling doesn’t have general mass-market appeal. Go ahead and spend ad dollars on Facebook, but trust a PPC expert to set that up.

1. Personally, I blame CNN. These people were out and about beforehand, but as soon as mom and pop heard about “The Twitter,” I knew it was too late.
2. Unless, of course, you work for GM.
3. Disclaimer: My enthusiasm for this game knows no bounds.

Hello guys, I’m Eston, the director of MI6.

The Directorate have found a large amount of Spymasters have mysteriously ended up with quite a few billion dollars in their Swiss Bank accounts, something that isn’t even possible for as short as our spy rings have existed.

This means that all of this money has been generated through exploiting the wire transfer service and through a lot of hacking of the Spymaster system. It is all part of a large money laundering operation that has been put in place by rogue agents. Because of this, we have reset all accounts that have been affected by the hackers in this money laundering scheme. This means it will appear that your account has been opted out of the Spymaster system.

If you want your account back and we have banned you, you may appeal by posting your Twitter username here. We will reinstate your account’s original level, experience, and spy ring, but we cannot reset your funds to the same amount. . You have been scammed by the money launderers and should blame them for any financial issues you have.

The Directorate is not responsible for money laundering operations and, just as in the real spy world, you should never give out your Swiss Bank account number to anyone you do not know.

I was one of the affected people. As instructed, I added my name to the list. We’ll see what my account looks like after a few hours.

The bottom line here is that Spymaster was hacked, and a large number of people have had their accounts reset. While it’s certainly unfortunate that this happened, cheating is a common problem in all forms of gaming both online and off. Blizzard spends a considerable amount of energy working to keep all walks of the unscrupulous in check. Vegas casinos spend huge sums of money to combat the issue. In either case, when someone is accused of cheating, the proper protocol is to notify the suspect of the claim, present evidence, determine the punishment, and provide a means for appeal. Spymaster has failed on three of these four steps.

I wasn’t aware this had occurred until I attempted to sign into my account earlier this evening, and was informed that I had opted out of Spymaster Twitter invitations (I hadn’t). After posting a quick tweet I was informed by a follower that Spymaster had detected some cheaters and reset their accounts. That led me to this tweet: “All of those blatantly exploiting Spymaster, your accounts have been reset to zero.”

At this point the only evidence any of us have is the explanation provided on the Get Satisfaction page. While Spymaster has made provisions for accounts to be reinstated to their former state, all earned funds are lost, and at this point it looks like there is no means for us to get our money back.

Spymaster is gaining traction quickly, and with good reason. It’s a fun game with very little commitment. I’ve been playing it daily since I got my invite, and while I’m disappointed, I understand that these things happen. What I’m having trouble swallowing is the fact that Spymaster publicly accused all of the affected of cheating and reset our accounts with absolutely no evidence that any of us did something wrong. Their explanation regarding Wire Transfers and Swiss Banks Accounts rings hollow, as I never once used a Wire Transfer and had not yet earned enough to open a Swiss Bank Account ($560k). As I noted in an @reply earlier today, the concept of exploiting the app in any way had not occurred to me. While I don’t mind having to re-earn what little money I had, Spymaster’s own words on the matter border on libel. Many of the people in our Spyrings are colleagues and other business professionals, and I take the accusation very seriously.

I hope that after everything settles down Spymaster will come forward with some evidence of wrongdoing, or at the very least a better explanation of how it was determined that an account was involved. The Directorate owes us that much.