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Category: value

Space/Name Space: “Syndication Doesn’t Make Sense In The Age Of The URL”

clay-shirky

I’d like to take something Clay Shirky said out of  context. First of all, here’s the context from which I’m going to extract the quote: Shirky gave a talk to a group of journalists about the forward visibility of what he calls “Accountability Journalism.”  There are a couple excellent posts on Shirky’s talk by Ethan Zuckerman and David Weinberger. Both are highly recommended reading. The bottom line seems to be that while Shirky, at least, is beginning to be able to articulate why newspapers, as a media type, are unsustainable— visibility into the method by which “accountability journalism” will perdure is very limited. Listening to the Q&A after the talk brought to mind a song by Aimee Mann.

Oh, better take the keys and drive forever
Staying won’t put these futures back together
All the perfect drugs and superheroes
wouldn’t be enough to bring me up to zero
All the king’s horses and all the king’s men
couldn’t put baby together again
All the king’s horses and all the king’s men
couldn’t put baby together again

Aimee Mann
Humpty Dumpty, from the album Lost in Space

The journalists in attendance continued to sift through the pieces of egg shell looking for the formula that will put it all back together. I imagine them watching Shirky closely for some signal that pay walls or micro-payments just might be the glue for pieces they’ve been left holding.

Shirky makes clear that he values what “accountability journalism” provides— investigative journalism that holds people, corporations, governments and other institutions accountable for their actions is a crucial function in a democratic society. However, the notion that only newspapers, or news organizations, as they are currently constituted, can fill that need fails to heed the lessons of history.

And while the thread of this discussion is extremely important, I was taken off track by a phrase thrown out by Shirky in the middle of supporting one of his points. And this is where I’d like to remove this sentence from its context and treat it as a standalone fragment. It addresses the mechanics of distribution in space and name space:

“Syndication doesn’t make sense in the age of the URL, as AP has figured out, which is why they’re driving people towards their own content.�

Clay Shirky
in a talk to the Shorenstein Center
for the Press, Politics and Public Policy

The business of syndication is distributing copies of material to non-overlapping localities in physical space. Something produced for one locality can be leveraged into new markets for the cost of sales and distribution. Electronic distribution changed the economics and size of addressable markets substantially. The mechanisms of redistribution generally take the form of local newspapers, television and radio stations. In order for the model to work, there must be a high barrier to entry for local redistribution endpoints.

The qualities of physical space— distance and nearness are the medium through which syndication operates. As McLuhan notes, under electronic information conditions, everything changes. Once there’s a shift from physical space to name space, the concept of distance evaporates. When the Network is the distribution channel, what’s the difference between remote distribution and local distribution? Access via URL obviates syndication, distribution is direct. There’s no business model for local redistribution of remotely produced media product.

It’s interesting that we model physical syndication in technical formats like RSS. Media content is transported from an originating production facility to remote reading machines. The sales proposition is a reversal of transportation energy. Rather than you expending energy “going” to a news source, the news source expends energy “pushing” the news to you. News distribution takes the form of file transfer from over there to my local computer. The value of the pushed news stream is in the editorial decisions around feed subscription. There’s no item level granularity, so while the aggregation of feeds is a substantial advance, it’s only in “shared item” feeds that we start to see the possibility of filtering tools to produce high value synthetic feeds.

The URL, the hyperlink, has allowed readers to tear up the New York Times and share the interesting parts through multiple messaging buses. As Shirky notes, the publication is reassembled on the demand side. This feed of high-value items doesn’t require transport of the items from here to there. In a broadband environment, a playlist of URLs (tweets) delivers the news without moving an inch.

When we use the metaphor of physical space to think through economics of a name space, we end up like the journalists staring at Clay Shirky looking for a sign that everything is going to be all right.

You can read a transcript here or listen to Clay Shirky’s talk here: Clay Shirky on Accountablity Journalism

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High And Low Culture: The Price of a Ticket

verdi-tamagno

I’m a fan of the opera. And generally when I bring it up in normal conversation, I can see a barrier form. Opera is high art, high culture, expensive— it’s for rich people, old money preferred. There’s a very thick wall between most people and attending an opera. When examined from a monetary perspective, the results are quite interesting. Buying a single ticket (without a season’s subscription) to see an opera at the San Francisco Opera will cost you between $15 and $210. If you’d like to sit in a box seat, it’ll cost $275.

If you wanted to see the band U2 in a stadium this summer, a single ticket will set you back between $30 and $250. A Bruce Springsteen ticket will cost you between $29 and $89. Rock and Roll was originally considered low art, low culture— something on the fringe of popular culture. Through the 60s and 70s, it slowly moved to the mainstream of popular culture. Pop culture is abundantly distributed in multiple distribution formats, it’s on the radio and television. You can buy it on CD and MP3 download, and you can preview it on Lala.com or YouTube.com. The price of a ticket is related to the phenomena of scarcity. There are only so many performances, and a fixed number of seats available for each performance.

Of course, opera was popular entertainment and part of popular culture for many years. However now, more often than not, it’s used as a signal of class differential.

The barrier that some feel when approaching opera isn’t related to the ticket price. For a medium priced seat there’s no difference between grand opera and any other popular entertainment. It has to do with the distribution of the free part of opera. Popular music is sampled widely to create a demand for performances and sales of recordings. There’s a dynamic feedback loop between exposure to an art form and interest in an art form.

Many people find baseball boring because they don’t understand the nuances of the game. It seems like nothing happens for inning after inning. And then, there’s a quick flurry of activity, and then back to nothing. A single ticket to a baseball game falls into the same range as an opera or rock concert ticket. To see the Giants (for a premium game), your ticket will cost you between $25 and $135.

Baseball, rock music and opera all depend on their stars to draw and audience. For the San Francisco Giants, I might prefer going to a game where I know that Tim Lincecum is pitching and that Pablo Sandoval will be in the line up.

If I get to see these players, I know that my chances of seeing something spectacular are much higher. It’s that possibility of excitement combined with the scarcity of the performance and the limited number of seats that defines the value/price of the event.

Opera also depends on its stars to draw an audience, in particular, its divas. On Wednesday night, I attended a performance of Verdi’s Il Trovatore (The Troubador) at San Francisco Opera. Looking at the line up card, I could see that there was the possibility of seeing something spectacular. Nicola Luisotti at Conductor, Burak Bilgili as Ferrando, Sondra Radvanosvsky as Leonora, Dmitri Hvorostovsky as the Count di Luna and the great Stephanie Blythe as Azucena. The team delivered, as the last note faded the crowd leapt to its feet shouting bravo and brava.

The grand opera is often thought of as a refined entertainment, an art form that considers the higher values of our culture. But Verdi’s Il Trovatore is nothing more than animal passion unleashed. A Count orders an old Gypsy woman to be burned at the stake for practicing witchcraft. The gypsy’s daughter steals the infant son of the Count and throws it into a fire. A revolutionary war revolves around the passion two men feel about the beautiful Leonora. The Count di Luna obsessed with Leonora will commit any war crime to possess her. The gypsy Azucena will do anything to exact revenge for the death of her mother. These forces are unleashed without limit within the narrative of the opera. It’s the women that drive the story forward: Leonora and the men who lust after her; and the gypsy Azucena and her single-minded obsession with revenge.

Performances not to missed: Sondra Radvanosksy as Leonora. Here she is singing an aria from Il Trovatore:

Mezzo-soprano Stephanie Blythe also delivers as Azucena. Here she is in concert, singing an aria from Bizet’s Carmen:

This evening baseball and opera will intersect at AT&T park. In cooperation with the San Francisco Giants, San Francisco Opera will present a free HD simulcast of Il Trovatore at the ballpark. High culture and low culture mix and intermingle. Arias and hot dogs with plenty of mustard. Families spreading out a blanket on the infield and enjoying the high passion of Verdi’s opera. The gigantic emotions and passions of Il Trovatore will expand to fill the ballpark.

Here’s a preview of San Francisco Opera’s Il Trovatore:

Earlier this year, the Giants and SF Opera presented Puccini’s Tosca at the Ballpark. About 30,000 people showed up to enjoy the show. I expect to see a similar turn out for Il Trovatore. After Tosca was over, and the crowd began to leave, I noticed a young girl turn to her mother and say, “that was a great opera Mom.”

See you at the show.

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The Line: Boundary, Connection, Outline, Inquiry

border_crossing

The boundary line separates this from that. National boundaries are called borders, they indicate the line of demarcation between this country and that. By crossing such a line, the set of laws, the cultural practices and often the spoken language will change. Of course, one imagines a flock of migrating birds crossing a border completely unaware of any significant change in the environment. We think of the line between countries as being stable, the power of a sovereign nation is used to defend its borders. But if we zoom out and select a larger increment of time, we would see that even national borders are fluid—they move with a specific viscosity, velocity and trajectory.

sixdegrees

The line also connects this and that. Wittgenstein discussed thinking as a process of seeing connections, discovering connections and making connections. Lines can converge, cross or run in parallel. (and if we admit the visions of the string, super-string and M (membrane) theorists – each line may exist in parallel universes where all their permutations are expressed.)

The line of inquiry, tends, in its character, to gravitate toward the one or the many. We can think of these methods as the “either/or” and the “both/and.” The line of inquiry that models the one seeks to purify and clarify itself, it cuts off connections to things that it sees as outside of its concept. A boundary line is enforced, an outline of a shape is drawn, an ideal template is generated through which the world can be sorted and filtered in a binary action (fits, doesn’t fit). The ideas of internal coherence, self-consistency, and conceptual integrity emerge from this approach to thinking as the elimination and reduction of the multiplicity of meaning. This is the process of clarification and the removal of the non-germane. The power of this kind of inquiry is measured by its ability to defend its borders. Its sovereignty and its identity depend of the continued existence of a bright line of demarcation.

SedimRocks

When this mode of the line of inquiry begins to unwind, its identity, the central image/concept begins to blur. The borders are breached, foreign connections are established and begin to gain purchase. The viscosity, trajectory and velocity of the line are now in play, the inquisitor has lost exclusivity of editorial control. Here we connect to another kind of line. As lines of inquiry unravel and are overcome, they disperse into a sedimentary layer making up part of the next line of inquiry.

If we take a step back, we can see that every line of inquiry is composed of layers of sediment. At the height of its power, it’s able to cover over these historical sources and present itself as a simple, coherent, consistent identity. Its origin is either proclaimed to be ex-nihilo or a new history of its birth is created.

In the opening section of Deleuze and Guattari’s essay “Rhizome,” it says:

We wrote ‘Anti-Oedipus’ together. As each of us was several, that already made quite a few people. Here we have used all that drew near to hand, both the closest and the furthest away.

Deleuze sees the starting point, not as identity, but as a set of lines. Although it should be noted that the boundaries of this set are fluid. A person, or a line of inquiry, is always already composed of many threads, at whatever moment we choose to call ‘the start.’ These threads are spun into a yarn, braided into rope, disassembled and remade over and over again. They are spread out like a spider’s web, or wound into a ball.

As individuals and groups we are made of lines, lines that are very diverse in nature. The first type of line (there are many of this type) that forms us is segmentary, or rigidly segmented: family/profession; work/vacation; family/then school/then army/then factory/then retirement.

What of the line of inquiry that begins as many and seeks to connect to many? Is there a thinking that asks after multiplicity from the first moment? This mode, from the perspective of its polar opposite, can only be described as disruptive, anarchic, incoherent, gibberish, illogical, unrealistic, unfocused. What can one say about a line of inquiry that doesn’t defend its borders? A line that exposes its mixed origin of birth— from sources both ‘closest and furthest away.’ What kind of line doesn’t drive toward clarity and sharp, bright lines; but rather makes connections as they emerge. How are we to find meaning in such a swirl of chaotic crossed lines. Can meaning emerge from such a maelstrom?

whirlpool

The task seems impossible if we remain ensnared in the logic of identity. If we believe that each intersection of lines must establish identity and dominance or be defeated and ground into a sedimentary layer of its betters. (The logic of identity is also tightly tied to the economics of value through scarcity.)

It’s inevitable that the whirl-pool of electronic information movement will toss us all about like corks on a stormy sea, but if we keep our cool during the descent into the maelstrom, studying the process as it happens… we can get through . (McLuhan 1995)

For a line of inquiry that consists of seeing, discovering and making connections, meaning and value emerge from the swarming and clustering of connections in the unfolding of real-time. Meaning and value have the potential to be very fluid. The sorts and filters aren’t permanent exclusions, they’re qualities of a view. What is important to us one day may seem unimportant the next. This is not to say that meaning a value must always move at a high velocity. These lines have different qualities of viscosity, some move very slowly, some quite quickly. Meaning emerges at the point at which we engage the interface.

The electronically induced technological extensions of our central nervous systems… are immersing us in a whirlpool of information… the aloof and dislocated role of the literate man of the Western world is succumbing to the new intense depth participation… decentralising – rather than enlarging – the family of man into a new state of multitudinous tribal existences. (McLuhan 1995)

These lines, these borders, are surfacing with more visibility in our everyday lives. The borderline between work, family and friends used to be a physical line defined by the boundaries of a workplace. The telephone began the disruption of that space, and thus, the personal phone call was prohibited or limited. This same policy has transferred to a personal connection to the Network. Control of a corporate image means that employees must be silent. The brand must speak with a clear and pure voice— all signal, noise absent.

The iPhone expanded the disruption by overlaying a powerful personal Network connection over the limited connection of the workplace. An inversion of the relative power of technologies has amplified the rupture. If the Network is the computer, the personal connection has access to the computer; while the corporate connection wears blinders. Access to multiplicity provides more access to power, value and meaning, than the narrow scope of the corporate machine.

Women were the first to have to deal with the reality of multiple (social) networks overlaying the workplace. They have the potential to be simultaneously workers, mothers, daughters, wives and more. Men were only too happy to leave their role as ‘father’ at home— and exist solely as a worker in the workplace. The ability of a worker to be all the people she can be may ultimately surface as a civil rights issue.

The boundaries of the Network and the Nation State begin to cross and struggle for power when the US State department asks Twitter to delay scheduled maintenance because of real-time events in the Middle East. This is the beginning of a moment where the Nation state will inscribe its sovereignty within the outlines of the Network. The borders of a territory are surfacing as both physical and virtual.

Borders will continue to try to control lines of connection; the question that emerges is whether the locus of power, meaning and value is moving toward the line of connection, and away from the boundary line that excludes.

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Algorithmic Trading and the Streaming Data Complex: A Little Bird Told Me

A_Little_Bird_Told_Me

While the shouting over whether Twitter has any value is largely over— there’s still some question as to what that value is. The search for a single qualitative value to which Twitter can be reduced is, of course, futile. It would be like trying to identify the single value of ink/paper, email, telephones or http.

When looking for meaning and value, there are a number of routes we might take. The denizens of Forrester, Gartner and Red Monk might take one direction; the host of burlesque performers and vaudevillians hanging out shingles as ‘social media’ experts may take another. Generally the process involves modeling what a business might do with ‘social meda’ (Twitter). The Profit/Loss in these models generally operates in the realm of public relations, marketing, good will and social capital. There is some argument for Twitter as a customer service channel, but while it’s optimal as a hailing frequency, it’s inadequate as a customer solution medium. This soft approach has some chance of success during a bull market, and a better than even chance during a financial bubble. While some, like Umair Haque, argue that these soft social revenue streams ultimately must provide a context for hard revenue streams, at the moment the stock market doesn’t agree. Positive sentiment on Twitter doesn’t translate into more demand for an equity. Adoption is currently limited to businesses that either can afford the luxury, or have replaced existing marketing and public relations modes with the Twitter channel.

On the hard revenue stream side of the ledger, we might look at how algorithmic stock traders are beginning to use Twitter. In trading, the asymmetry of the dispersion of news is a trading opportunity. We’ve seen how flash traders can create algorithms that determine the market’s direction from real-time data before the rest of the trading fraternity can even open their eyes.

Wall Street & Technology Magazine’s Melanie Rodier is reporting that algos at hedge funds are starting to consume data flow from Twitter to gauge the direction of sentiment toward an event or stock. The compact size and real-time nature of the tweet makes its ingestion and analysis particularly attractive. StreamBase Systems, a vendor of a complex event processing (CEP) platform, has announced a Twitter adapter that allows its applications to both consume and publish tweets. The designated (tracked) twitter streams are spliced with market data, financial ratios, newswire information and other data streams to build a more fully dimensional picture of a particular stock (company). Waiting for news to be collected, digested and emitted by Reuters can add too much latency to the news/information release pattern.

Just as reading the early reports from a newswire requires an understanding of context, history and the politics of news construction and distribution; reading a tracked Twitter stream as a part of a data complex requires a particular interpretive skill set. If the old adage ‘buy on the rumor, sell on the news’ has some truth to it, Twitter has just added a deep data layer to the ‘buy’ side of that equation.

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