Posts about google

What should Google do?

Twitter was abuzz last night with links to the David Segal’s amazing NYTimes yarn of a bad internet actor who says he uses — and eggs on — customer complaints to get more links and mentions online, thus more Googlejuice, thus more business.

The Times didn’t go the next step to ask what Google should do about this. And Google didn’t help itself by dispatching only an unnamed spokesperson who then, Segal complains, didn’t send a followup email. Google would have been much wiser to have hooked Segal up with Matt Cutts, the company’s wizard in the game of bad-guy whack-a-mole, to discuss the options and implications.

It’s not as simple as it seems, for Google and its algorithms are now a set of laws of the web and if you intervene in one way, you may trigger the law of unintended consequences in another.

What if Google sensed the positive or negative sentiment in links and used that to guide its placement in search, as some suggested? Makes sense in the case of bad-guy Borker and his virtual eyeglass store. But as someone pointed out on Twitter last night, if Google did let sentiment affect rank, then what would it do with the negative links regarding Barack Obama or Sarah Palin, to Islam or GM? How would you write that law, remembering that the code is the law?

What if instead Google intervened in a case such as this and, seeing all the complaints, manually downgraded the guy in search? The first problem with that is scale: how do you find and investigate all the bad guys? The bigger problem is whether we want Google to be the cop of the world. Google has been sued by companies it decreed were link-bating spammer sites, downgrading them in search, while the sites said they were legitimate directories. This is the one case in which Google holds the power of God in a market and it’s a dangerous position to be in.

I have suggested before that Google should set up a jury of peers to adjudicate such cases. I didn’t use the verb “crowdsource,” for crowds can be gamed, as Mr. Borker amply demonstrates. But a trusted (cue Craig Newmark) jury could give Google distance from the decision. I say peers — fellow business people — because in cases such as this, their interests and those of Google and us, the users, are aligned: We don’t want bad guys to game search. Google, especially, wants to — in Cutts’ words — find more signals of quality and originality so its results are of higher quality and relevance.

What I’m really saying is that as Google, Facebook, Twitter, and other private players come to be the law of the land on the internet, they need to start acting like public players with Constitutions and Bills of Rights and the means of enforcement and adjudication with due process. I’ll be exploring this notion in Public Parts.

In the end, Segal’s story looks like a failure of search, Google, and the internet. The internet made it possible for a bad guy to win. Well, so does Wall Street.

But I don’t think this was Google’s failure (cue fan-boy accusations). The moral of the story should be that if you search Google for the name of Borker’s company, you see plenty of loud complaints in the results. The internet doesn’t nullify the First Law of Commerce: caveat emptor. When I had my now-legendary problems with Dell, I kicked myself for not doing a search of “dell sucks” before buying my computer. That’s my responsibility as a shopper. And, as I pointed out at the time, Google would have given me the information I needed. Ditto for the lady in Segal’s story. If I think of buying from a new vendor, I’ve learned my lesson: I search Google first because fellow customers, using Google, will help protect me.

That is the lesson The Times should have given its readers: Use Google to guard against those who would use Google.

P.S. In fairness to Dell, I should add that we made up and it became a leader in social media. I figure everybody who comes here knows how that story ended, but in case not….

: UPDATE: Google responded to the story and the problem; here’s the blog post explaining. The NYT does a followup, the last graph of which kind of deflates the entire story and its premise that being bad is good for business:

At the blog Search Engine Land, Byrne Hobart also wrote in a recent posting that the review-generating strategy was not the driver of Mr. Borker’s success. His analysis found that Mr. Borker benefited chiefly from various “black-hat tricks” to improve his site’s standing, including links from what he called auto-generated spam pages. He also found that the store was frequently linked to by mainstream media sites — The Times included — when references were made to high-end eyeglasses.

The real Facebook burglaries story

I did a little reporting to get the real story behind the reports of a Facebook burglary spree that supposedly used the service — right after its launch of Places — to find victims who were away on vacation. I emailed Nashua, NH detective Dan Archambault, who told me that only two of the cases involved Facebook and in each case, “one or two of the suspects were Facebook friends with the respective homeowners. They basically had access to the walls and could read that the families were away on vacation. The information was only available to friends and the Facebook Places feature was NOT a part of this. And finally my advice to Facebook users is carefully pick your friends and watch what you post.”

And my advice is don’t believe everything you read. So this was not a case of a criminal using Facebook to find any old random victim. The implication of the coverage is that we were all — all 500 million of us — at risk for being so foolish to make ourselves public on Facebook and make ourselves vulnerable to every criminal out there. No, it’s foolish to make the wrong friends. Always has been. Still is.

I also contacted Facebook, and a PR person there sent back suggestions for how to wisely use the service: “I would recommend creating friend lists to separate people you really trust from others. Then, use the publisher privacy control to
send status updates to appropriate groups (and only them). I actually think it may make sense to tell people you really trust that you are gone through Facebook just as you would in person. Then, they can watch your place for you, feed your cat, etc… As for everyone else, if you wouldn’t tell them in person you were leaving town, you probably shouldn’t use Facebook to tell them. As always, we also recommend people only accept friend requests from others they actually know.”

All sensible.

If only things were so simple for Google, where, according to Gawker, an engineer used his high-level access to the company’s data bases to stalk teenagers. Google fired him. But the damage is done. We spoke about the case on today’s This Week in Google and as Leo Laporte and Gina Trapani said, to keep systems running, someone will always have access to data. Of course, that someone should be trusted. But as this case reveals, you never know whom to trust. So the company must come up with systems to assure trust. Should there be teams that must operate together in failsafe mode to get access to data? You tell me what would work.

The bottom line for both companies is that trust is essential and cases such as these can ruin trust and eventually ruin companies if we cannot depend on them. In the first case, media blew up a story for effect. In the second case, a dangerous vulnerability is revealed.

: AND: Being a journalism professor, I suppose I should point out the journalistic lesson here about reporting.

When this story first came out, it was marked by sloppy reporting that was only repeated and diluted. I read a number of the reports and backed up the line to the Nashua paper trying to find answers to basic questions. Nothing.

For anyone who knows the slightest thing about Facebook — that is, any reporter who uses it — the reporting raised obvious questions. So I contacted Facebook, who gave me the email of the detective, and I asked him: How did the accused use Facebook? In how many cases? Were they friends — that is, connected on Facebook — with any of the victims? Facebook tells me that its Places feature was not involved; true? Finally, what advice do you have for people using Facebook? Plus a few, more-detailed questions about the specifics of how these victims used Facebook.

The detective said this is an ongoing investigation, so he was limited in what he could tell me. But, as you can see, he answered the essential and obvious questions reporters and editors should have asked before. And if they didn’t have answers, they should have said so. I say lately that the key skill of journalists is going to be less saying what we know than saying what we don’t know. That is the essential skill in process journalism.

But all along the chain, nobody wanted to ruin a good story: USE FACEBOOK AND YOU’LL BE ROBBED! Much more fun, isn’t it? Reporting takes all the fun out of it.

Evil?

UPDATE: It’s looking more and more to me as if the New York Times report that provoked the first half of this post went too far. See the footnote below with denials of a deal from Verizon and Google, though those statements leave much to be asked: namely, what are the discussions; what is the compromise over net neutrality? But I just read this from a CNBC interview with Eric Schmidt that spoke more clearly: “Schmidt clarified that the net neutrality he advocates is not a neutrality between different types of content, but between the same type of content. He wants to make sure that there’s no discrimination between one video download over another.” So under that rubric, a YouTube video would not get discriminatory treatment over my video.

Update on the update: The Times stands by its story. What we need here is a good dose of transparency. It is, again, our internet they’re talking about.

The original post:

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The report that Google is making a devil’s pact with Verizon for tiered internet service is disturbing because I wonder whether people inside Google are still asking that vital question: “Is this evil?” I wonder whether Google is still Google.

I don’t mean to come off like a high priest of the net neutrality church. But if ISPs like Verizon can charge tiered pricing for quality (vs. unquality?) service, then it’s the consumers who’ll get screwed because costs will be passed onto us. ISPs (like newspapers) want added revenue streams but those streams always end up at our feet. But we know that.

What also concerns me is that creators will get screwed, too. Only the big guys will be able to afford to pay ISPs for top-tier service and so we return to the media oligarchy that — O, irony — YouTube and Google broke apart. Google, I fear, is gravitating back to the big-media side because it wants those brands on YouTube so it can get their advertisers on YouTube because those advertisers are still too stupid to see where the customers really are. And then we’re back to a world of big-media control over what we get to see. It was the millions of little guys — people who made their own videos, people who embedded videos — who made YouTube YouTube.

But that’s short-sighted strategizing, I think — I hope — because fragmentation is infinite; blockbusters will get ever-harder and ever-more-expensive to create; advertising will catch up with reality, the real world, and customers and (unless the Wall Street Journal ruins it) become far more targeted and relevant; advertising will also start to fade away; the mass market will shrink.

But this is a last-gasp attempt to hold onto mass-market economics (vs. open-market scale). [Craig Roth in the comments makes the critical point that the story I linked to is supposition rather than announcement, a caveat I certainly should have delivered. As I said in response to him, I thought this was worth discussing before it was fait accompli in the hopes that it won’t be.]

It’s an uncomfortable moment for a Google fan boy. This report comes at the same time that Google killed Wave. Now Wave has had its detractors who are now cackling, but it’s not the specific platform that concerns me. It’s that Google can’t figure out how to launch new platforms. Wave was a bust. Buzz was a bust. Knol was a bust. Orkut was mostly a bust. Brilliant people like Gina Trapani hung their hats on these platforms; she wrote the book on Wave and others started developing it and now the rug’s pulled out from under them because Google didn’t support their development, which is what would have made Wave a success. Evil or merely rude?

The reason these efforts were busts is because Google didn’t think them through, didn’t have the corporate discipline to find and execute on clear-eyed strategy. I’m all for beta — I learned that lesson from Google — but you can’t just spend your life throwing shit against the wall to see what sticks. Eventually, you’re knee-deep in shit. But you can do that for a long time — if you have lots of money. A poor startup uses betas to learn precious lessons because they can’t afford to fail. This rich company is using betas, I fear, rather than making hard decisions up front — because it can afford to. So Wave may have ended up dead anyway but if it were run by entrepreneurs it would have struggled long and hard before taking its last breath.

I worry that Google isn’t an entrepreneurial company anymore. It didn’t start those platforms under the hard economics of entrepreneurship. And it hasn’t nurtured some outside entrepreneurs well. If it did, Dodgeball would be Foursquare today.

My real fear then is that Google is too big. I certainly don’t mean that in the way that EU regulators do: “so big we have to rule it.” Uh-uh. No, I mean it may be too big for its own good. Too big for the right hand to find the left hand and have coherent strategies for operating systems (Android v. Chrome) and applications (Docs v. Wave). So big that it starts to identify with other big guys (ISPs and Hollywood entertainment conglomerates). Big is a fine thing when it brings critical mass and the freedom to innovate. As Eric Schmidt himself says, lack of innovation can kill a tech company. So can bad innovation — fat innovation.

I’ve never bought the arguments that Google is a one-trick pony. Honda is a one-trick pony; it makes cars. That’s not Google’s problem. Its problem is that everything it faces is new and it can’t ever afford the luxury of leaning back on old lessons and old relationships. So what does it hold onto on that rapids ride? It has to hold onto its mission — organize the world’s information, etc. — and its evolving definition of evil so it doesn’t stray. It also needs to find the organizational structure — the firm-jawed management — to force different teams with different agendas to work to shared goals and to hold them to entrepreneurial discipline.

All of these are just early warning signs — every early. It’s good — for Google and also for a fan boy like me — to see these cracks because, used properly, they are lessons that help a company get back on its track and shade its eyes from the bright glare of hubris. But only if they ask the really hard questions. Like, is that evil?

: MORE: On a different thread, I also want to note that I think the way this devils’ deal works out is that it will give the FCC and possibly even the FTC and Congress the rope they need to hang ISPs on net neutrality. Is that Google’s really evil plan? It doesn’t like regulation but wants it in this case and so it’s creating the invitation for it? Naw. As I said, I’m not a conspiracy theorist. In any case, I do think that such a deal will invite regulation.

: I won’t cry for ISPs. I was at a meeting of cable ISPs some years ago when they were all cackling about their margins on broadband exceeding 40%. They ain’t hurting. The solution to all this remains competition. Remember that Google’s founders entered the big spectrum auction a few years ago to force neutrality and they want broadcast white spaces opened up to become “wi-fi on steroids” and thus competition for broadband providers.

: ALSO: I want credit for not making a WWGD? gag. I leave that to Twitter. But it may, indeed soon be time for a sequel (or update).

: LATER: Verizon put a statement on its public policy blog that says the Times report linked above is “mistaken.” It doesn’t say whether there’s any agreement but talks about its “purpose” — a “policy framework that ensures openness and accountability, and incorporates specific FCC authority, while maintaining investment and innovation. To suggest this is a business arrangement between our companies is entirely incorrect.” I’m not sure what that means. The more transparency about these dealings from all parties — including the FCC — the better.

Google said on its public policy Twitter feed: “@NYTimes is wrong. We’ve not had any convos with VZN about paying for carriage of our traffic. We remain committed to an open internet.”

The AP quotes the FCC saying that Google and Verizon are involved in stakeholder talks and Verizon is quoted saying that it is talking with Google about a “compromise on net neutrality” in the AP’s phrasing. The question remains: What are they talking about?

Google takes the FTC to school

Google just issued a response to the Federal Trade commission’s staff discussion draft on potential recommendations to support the reinvention [read: preservation] of journalism [read: newspapers]. (here was my reaction). It’s a wonderful document that takes the FTC — and the news industry — to school on the First Amendment, copyright, fair use, antitrust, media history, business, and technology. The government and publishers should be embarrassed to need such remedial education.

Highlights:

This says it best:

The large profit margins newspapers enjoyed in the past were built on an artificial scarcity: Limited choice for advertisers as well as readers. With the Internet, that scarcity has been taken away and replaced by abundance. No policy proposal will be able to restore newspaper revenues to what they were before the emergence of online news. It is not a question of analog dollars versus digital dimes, but rather a realistic assessment of how to make money in a world of abundant competitors and consumer choice.

Google’s doc leads off with promotion of its efforts to work with news organizations: Living Stories, traffic sent to news sites, technology help, and so on. They might as well just have linked to James Fallows’ paean and Eric Schmidt’s Wall Street Journal op-ed. You’ve heard these points before. My problem with them, as I’ve said, is that Google is trying to make friends with an industry that only wants enemies to blame for its failures. But at last, Google stops pulling punches and slaps down the industry’s self-deluding myths and the FTC’s dangerous ideas.

“[T]he current challenges faced by the news industry are business problems, not legal problems,” Google says,”and can only be addressed effectively with business solutions. Regulatory proposals that undermine the functioning of healthy marketplaces and stall the pace of change are not the solution.”

Google points out that newspapers’ circulation peaked between 1890 and 1920; that newspapers declared radio would kill them and only newspapers should hold the sacred and hallowed mission of news; that newspapers declared TV would kill them and characterized broadcast reporters as “parasites” (a lovely tip of the hat to Rupert Murdoch). We won’t buy that again. “The internet, rather than being the cause of journalism‘s downfall, provides a unique opportunity for news organizations to renew and reinvigorate journalism,” Google says.

Google lectures the FTC and the industry on internet business basics: “Unfortunately, the Discussion Draft does not acknowledge the basic economics of search engines and similar services and instead erroneously suggests that search engines are somehow cannibalizing newspaper advertising revenue rather than serving as an important connection to potential consumers.” Aggregators, Google points out earlier, send traffic and business opportunities to publishers. And Google does not make a significant amount of revenue from news … just as newspapers do not (subsidizing it with more lucrative verticals).

Google lectures the FTC et al on the unbundling of news. Fact o’ life. It then offers a primer on how publishers should be treating the readers who come to them via links.

Google restates the FTC’s dissection of newspaper revenue: 80% advertising, 17% newsstand, 3% subscriptions. “Pay walls,” it says, “could be an effective way to raise the 3% revenue figure.” A zinger for publishers. But Google’s fine with pay walls if publishers want them. It’s just not fine with government regulating them. “Innovating to create products and services that consumers want to pay for,” Google says, “is the only way to guarantee long-term subscription revenue growth, and none of the policy proposals are designed to foster that kind of innovation.” A zinger for the FTC (one I wish Google had dwelled on more since it does know innovation.)

Another zinger to the industry and the FTC comes as Google points out that classified revenue implosion had “nothing to do with copying or free-riding and everything to do with the emergence of a new, more effective and more efficient product into the marketplace. The FTC would ordinarily regard such a situation as a cause for celebration – consumers are getting a better product at a lower price – not an opportunity to slow down that innovation through regulation.”

Google salutes the flag the FTC raised on making government information more accessible — but then Google went the extra step to suggest “harmonization of state and federal law relating to copyrightability of government information.” There, the agreement ends.

Google decries proposals to extend copyright law and limit fair use and repeats its fine arguments against the antiquated notion of hot news from its FlyOnTheWall brief. “Facts, hot or cold, cannot be protected by copyright since there is no author of them,” Google instructs the FTC. “This has been the law of copyright since its inception….”

Google goes after proposals to establish taxes and fees to support legacy news operations. And it attacks efforts to let news organizations fix prices and charge aggregators. The doc makes the FTC eat its own words: “The FTC‘s long-standing position regarding antitrust exemptions properly subordinates a desire to advantage individual firms (here, print news organizations) to the need for a competitive, even playing field that offers the maximum good to consumers.”

Bottom line: There’s no need for the FTC’s meddling:

….Google continues to work with publishers to find ways to ensure that journalism survives and thrives on the Web. We remain optimistic about the future of journalism: The Fourth Estate is too crucial a part of a functioning democracy, and the Internet too powerful a medium, for journalism to die in transition to a Web-first approach. News organizations have more readers than ever, more sources of information than ever, more ways to report and tell stories than ever, and more potential ways to generate revenue than ever. Journalism will change, but the free market and free society will ensure that it won‘t die.

Amen and good night.

Comments to FTC 20 July 2010

Related: Here’s a segment of On the Media this week with me lambasting the FTC:

The Quark of programming?

I think Google’s App Inventor tool that enables anyone to program an Android app could be profound. But then, I thought Buzz was a big deal, so what the hell do I know?

Is it possible that the App Inventor could do to development what Quark did to publishing and Blogger did to the web: enable anybody to do it?

Dave Winer is skeptical and speaks from experience. He and I just made a bet: “that in two years Google’s Android app developer will not have any effect on the priesthood of programming.” If it does, Dave pays me — and he’d be a happy man if he loses. But I fear he’s right and I’ll end up paying him $20, making us both sad because in my view it’s a good thing when priesthoods get displaced. (Nick Carr, Andrew Keen, et curmudeonly al would disagree.)

As soon as I tweeted about App Inventor, developer curmudgeonliness erupted. @srmccoy said, “I’m afraid the WYSIWYG model is going to create a bunch of lazy devs who never bother to learn the skills of their craft.” That’s what I heard about Quark and design in its time. @fakebaldur said, “Quark was an exp. app for print designers, blogger free for amateurs and App Inventor a hideous monstrosity for geeks.” Straddling the fence, @thunsaker said, “I’m kinda scared of what this will produce. Glad that non-techies will bet a taste of development, though.” Now that’s the attitude.

Will App Inventor yield lots of crappy apps? Of course, it will, just as Quark enabled sinful design and Blogger wasted bits. That is true of all such technologies that lower the barrier to entry to a former domain of priests. That’s precisely what the printing press did. As much as the web breaks down priesthoods, it created new ones. Developers are merely the latest. They say that mortals can’t do what they do. But what if they could? What if they could translate a thought not just into words and design but into action?

I imagine Marc Benioff of Salesforce.com going positively batshit over this, enabling businesses to create apps for, say, their sales teams to manage and share information about and with clients. I imagine small businesses using App Inventor to create apps like Chipotle’s that enable customers to make burrito orders before they arrive. I imagine teachers being able to make exercises and quizzes in apps (forget the electronic textbook; give me the electronic workbook!).

More important, I imagine, as @thunsaker says, someone who never thought she’d develop picking up App Inventor to make the first step and then deciding to learn more using more sophisticated means. That’s how priesthoods really get destroyed. Oh, at first, the priests always lament that people can do crappy versions of what they do. But soon, they, too, start making good versions. And that’s when priests are displaced.

App Inventor is also a brilliant competitive shot at Apple. Steve Jobs would never tolerate this as he won’t tolerate crap. So those companies and small business and teachers I listed above will have to go to the free space of Google’s Android to create. There’s a clear competitive differentiation. Google believes it will win by having more devices running its free OS and more applications running on them.

But this also brings out a key challenge for Google and another key competitive differentiation: quality. There will be — there already is — more crap on Android. So Google has to do two things: invent better means to surface quality (if anybody can do that, they damned well better be able to) and encourage the creation of more quality (I think they need to invest in talent, as YouTube is doing with video creators). That’s what I said on the latest This Week in Google.

On Twitter @charlesarthur invoked Sturgeon’s Law. I’ll invoke another. What App Inventor really does is bring the new law of content creation even to development: In a world of overabundant content creation, value flows to the curator. Before, development talent and resources were scarce. Now, if their product is not scarce and if easy tools make the creation of crap easier, then there’s value in finding and enabling the good stuff. The trick is extracting value from that; that’s the problem journalists are having today.

As my son goes off to college to study computer science, this makes me wonder whether there’s a new opportunity and challenge here. Dave Winer’s right to question whether there will be any impact at all. We’ll see. I have $20 and more riding on this.