Archive for May, 2014

Weekly News Roundup (25 May 2014)

Sunday, May 25th, 2014

Sorry for the relatively tardy nature of this week’s WNR – it’s been a weird weekend, after a long and boring week. The boringness doesn’t just extend to my personal life, but also to the professional – mainly the lack of really engaging news stories. I judge the worthiness of news stories by whether it’s something I think it’s worthy of bringing to your, my dear reader’s, attentions. And unfortunately, most of the stories this week just didn’t cut the grade, including the ones that I will discuss in this issue.

I mean, just judge for yourselves. Take this story of Netflix dominating UK traffic (story digest: Netflix is popular in the UK. Whatsapp is popular in Africa). Here’s a story that I tossed and turned about, nearly wrote it up as I was desperate, but in the end, common sense prevailed. How much of a Netflix fanatic must you be to be interested in a non-story like that? I don’t think such a person actually exists.

Or this story (story digest: uTorrent bug might be causing errant traffic stats), which caught my attention, but at the end of the day doesn’t really make much of a difference. While I’m sure some will be interested in this story, I for one just couldn’t bring myself to write a story about a software bug that will probably be fixed by the time I wrap it up on here (story digest update: uTorrent bug identified and now fixed).

And there were many many other such examples for the week, including re-hashes of the major stories from the last few weeks (Xbox One Kinect blah blah blah, Netflix price rise and what it means for you blah, and so on). Even an expected update to the “Wii U is doomed” story line failed to materialise due to the lack of further April NPD updates.

So in other words, a slow news week. Apologies in advanced for the rest of the WNR, which covers two almost pointless stories, but were considered to be the best of the what’s available. Again, deeply sorry.

Copyright

The Pirate Bay Cloud Hosting

The Pirate Bay website may exists in the cloud only, and distributed on millions of people’s computers, if their P2P web browsing vision becomes a reality

The Pirate Bay’s official web browser, the PirateBrowser, has been downloaded more than 5 million times since its release last August. For those that don’t know, the PirateBrowser combines a version of Firefox with a Tor based tool and custom configurations to make sure censored sites, like The Pirate Bay, can still be browsed.

While the PirateBrowser definitely allows users to bypass copyright censorship regimes in countries like the UK and Denmark, it also works in countries like Iran and North Korea (assuming users there have the Internet. And a computer. And electricity), helping people there bypass their country’s freedom-curbing censorship regimes.

What is more interesting may be The Pirate Bay’s next software project, which will produce a P2P based web browser that allows websites, not just music, movies and games, to be distributed and stored in a peer-to-peer fashion. Imagine if instead of having a central server where The Pirate Bay content and data are stored, a server that can be shut down, that the website stuff is actually being seeded and shared by everyone who is browsing the website at the time. This effectively means that the website cannot be taken down, as long as at least one users is still seeding it, and it would also greatly reduce the resources needed to maintain such a site by the site’s owners.

Now combine the PirateBrowser and this new P2P way of web hosting, and you’ll have a side that cannot be blocked, or shut down. I hope those that supports copyright filtering and censorship will soon realise how much trouble they’re in for when this happens.

Gaming

Good news for Sony and the PS4 – the $399 console, released only six months ago, is already profitable. This compares much favorably to the PS3, which took 4 years and several re-designs to be finally not a financial burden for Sony.

PS4 with controller and PS Eye

The PS4 got the balance between performance and pricing just right, and gambled and won on a couple of smart design decision

What this also means, for us consumers, is that Sony can and probably will give us a price cut for the wildly popular PS4 if the competition between it and the Xbox One heats up as expected (following the Xbox One’s “price cut”). I don’t think it will happen in the short term though, as Sony is still not quite there yet in terms of being a profitable company (and it’s not really needed yet, given the popularity of the PS4).

Now some cynics might say this proves the PS4 was nothing more than an evolutionary upgrade, not the revolutionary stuff that we should have had. Others will say that Sony lucked out with the PS4 thanks to a gamble on the choice of memory, with improved availability and price very late on in the PS4’s design process allowing Sony to make a superior performing machine without an uninspiring price point. The fact that Microsoft decided to shoot themselves in both feet, first with the DRM (decision reversed) and the higher pricing due to mandatory Kinect bundling (decision now also reversed). also helped.

For me, the PS4 is what the PS3 should have been. The PS4 is a great combination of performance and pricing, and corrects most of the mistakes Sony made with the PS3, from design to promotion.

——

Okay, that wasn’t as bad as I thought it would be. Not entirely boring or pointless, but not the most riveting stuff either. The next week is already looking better with a couple of late breaking stories, so fingers crossed. See you in a week!

 

Weekly News Roundup (18 May 2014)

Sunday, May 18th, 2014

A rather shortened WNR since I was up pretty late last night/pretty early today watching, cringing, suffering and celebrating Arsenal winning the FA Cup for the 11th time in the club’s glorious history. Bloody Arsenal, they never do things the easy way!

Let’s get started before I fall asleep.

Copyright

New Netflix UI

All this original programming does not come cheap – Netflix raises prices by $1 for new subscribers

Having just binged watched through all six seasons of Lost, currently in the middle of an epic It’s Always Sunny in Philadelphia marathon, while also re-watching the first season of Orange is the New Black in preparation for season 2, I can totally see how it is possible to use 212 GB of data every month for Netflix. That’s how much is being used, on average, by the top 15% of streamers according to a new report which also says Netflix usage during peak times now accounts for 34% of all Internet traffic.

The same report also found the file sharing traffic during the same peak hours has dropped to 8.3%, down from the high of 31% in 2008. Looks like Netflix is single-handedly winning the war against piracy, by giving people what they want.

Let’s just hope people will still want it after the price rise. Netflix has decided to raise prices from the ubiquitous and industry defining $7.99 per month, to $8.99. But only for new subscribers – existing subscribers will be able to keep their current rates for another 2 years. Netflix says the higher price is to account for new content, but their recent peering agreements with top ISPs must have also played a role in determine the new price.

So is Netflix worth $8.99? I think so, and Netflix will hope others do too.

Gaming

It looks like Microsoft has heeded the same advice I handed out right here a couple of weeks ago – Kinect has been separated from the Xbox One, which means the price of Microsoft’s beleaguered (not really, but I just wanted to use the word ‘beleaguered’) console has now achieved parity with the PS4 thanks to a a new $399 package that will not come with Kinect.

Xbox One Forza 5

Kinect (the boxy thing below the TV on the photo above) is no longer an “essential” part of the Xbox One

This is the second major u-turn by the Redmond based firm for the Xbox One – the first, if you can remember (of course you can!) related to the removal of ‘always-on’ DRM. This latest reversal removes the one last bit of strategic difference between the two major consoles.

It’s a shame really, because I can see what Microsoft were trying to achieve. Being different in a crowded and competitive marketplace is always risky, and you have to commend Microsoft for trying to do things differently, even if what they were trying to do was not what gamers wanted. The whole DRM things came from overestimating the tolerance of gamers to this kind of stuff, and while I still maintain that being able to play games without using discs is a great idea, Microsoft’s implementation left a lot to be desires.

The same with Kinect. It’s an innovative solution, that was kind of staggering around looking for a problem. You didn’t really need it, and to force gamers to buy it at a $100 premium was a bad idea. If the Xbox One launch titles had at least one great title that made the Kinect an essential accessory, things might have been different, but the reality is that it falls into the “nice to have, but not essential” category at the moment.

So what will Microsoft’s price drop do for the console? Even at the same price as the PS4, the Xbox One will still be playing catch up. This is due to the general perception is that the PS4 is a more powerful and future-proof console. It doesn’t even matter if this perception is true or not, but it will play on the minds of potential buyers. So for me, the Xbox One has to be cheaper than the PS4 in order to compete, and without Kinect being bundled with every console, Microsoft may have room to do exactly this. There are still a lot of people playing Xbox 360s that have yet to decide which next-gen console they want, and so it’s still not too late for Microsoft to regain dominance in the key U.S. market.

And this brings us nicely to the April NPD results, in which the PS4 was again the top selling console in the U.S. The Xbox One managed to ship 115,000 units in second place, which would make it the a slower April than any April for the Xbox 360, except for the current one (the Xbox 360 only managed to sell 71,000 units).

No word on Wii U numbers yet at the time of going to press (by press, I don’t mean the printing press, but just the press of the big “Publish” button in WordPress), so I will post an update if/when more numbers come in.

This is all I can muster for now, as I have to go and rest my eyes, before very likely re-watch parts of the FA Cup final relive (this time without nearly having a heart attack). See you next week!

Weekly News Roundup (11 May 2014)

Sunday, May 11th, 2014

It’s my fault. I totally forgot to mention the International Day against DRM, which took place last Tuesday, in last week’s WNR. I don’t know about these types of protests though. Most people are aware of DRM, most people are against it, so it’s not really an issue that’s crying out for more public attention. It’s like having a protest day against murder – ultimately it doesn’t really change anything. What will change things is if we modify our buying habits to reflect our disdain of DRM, but that can only be possible if there are legitimate choices. And with the film and gaming industries having a firm control on every step of the distribution process, it’s hard to see it happen unless a company like Apple or Amazon takes the brave step to go DRM free, like what Apple did in respect to iTunes music.

Oh, and Happy Mother’s Day to my mum and all other mothers out there!

Let’s get started on the news roundup.

Copyright

Those naughty Finns. You don’t really hear a lot about Finland in the news (well, not until Putin launches his Finland invasion anyway … I kid, I kid), but it is clear now they’ve all been busy, staying under the radar, and downloading tons of music (and some movies). $67 million worth on average for each person that lives there, apparently.

Spotify Logo

Finns need to download less pirated music, and use more Spotify, perhaps

A study of 6,000 random Finns, aged from seven to 84, found that on average, each of the 6,000 downloaded more than 2,900 pirated songs, and 90 movies. The $67M figure comes from multiplying the 2,990 “works” with the $22,500 per work fine that infamous perennial college student Joel Tenenbaum was slapped with. And yes, I know that’s not how it works, that lawsuits tend to take only a small sample of all possible acts of infringement and slap huge damages on these as a way of avoiding having to prove each of the 2,990 or whatever acts of infringement (which is what exactly statutory damages are used for). But you do have to argue that if Tenenbaum was guilty of $675,000 worth of piracy, then that’s at least what each Finn (on average) owes, based on the result of this study.

The study also found that heavy (as in the number of movies they download, not as in weight) movie pirates were more likely to pay for stuff than the more committed music pirates. Could be a statistical anomaly though, as they found movie pirates were also more likely to be wealthy. I would conclude that wealthier people are always more likely to pay for stuff, any stuff, than people who have no money to spend at all. But I’m not an economist or statistician.

The study also found that “monetary savings and quality perceptions” played a bit part in influencing piracy habits, but you have to pay to read the full study, and I’m definitely one of those that have no money to spend at all (but I’m not a big music pirate, I swear). It would be ironic is someone pirated the full text of the study though!

Three Strikes

Three strikes comes to the UK (becomes four strikes, and the strikes don’t really do anything)

So with so many pirates not just in Finland, but all the other ‘lands’ as well, such as England, Scotland and Walesland, something effective must be done about these dirty miscreants! Or we could just send them letters.

The UK’s version of three-strikes (well, four-strikes technically) does not have much bite compared to other similar regimes around the world. It doesn’t have the French’s Internet bannings, nor the varied punitive options under the U.S. system (which precludes bannings). It only has letters, four of them, after which no more letters will be sent, which I guess means the piracy problem is solved at that point.

The letter’s tone will increase in harshness apparently. Not sure what this means from a British perspective, but I hope at least one of the letters will feature the phrases “careful now” and “down with this sort of thing”.

The total waste of time will at the very least require financial input by the rights holders themselves, up to 75% of the set up costs, and tens of thousands of pounds per year to ISPs. As part of the agreement, the rights holders have the right to kick up a fuss and ask for harsher penalties (a fifth letter?) if this thing doesn’t bring down the piracy rate. Which it won’t.

Gaming

I really hate to bang on about the Wii U, but I had to cover the news that Nintendo has just posted a $457 million loss on the back of poor Wii U sales, the third year in a row that the company has failed to delivery a profit. The company had already revised down its Wii U sales forecasts for the Japanese fiscal year that ended on March 31, from the originally very optimistic 9 million to only 2.8 million – an estimate that still ended up being higher than the actual sales figures of 2.72 million.

Wii U

Wii U sales for the last Japanese fiscal year are only a quarter of what Nintendo had hoped it would be

For those keeping count, and I suspect you’ll have to be firmly in the Sony or Microsoft camp to actually want to keep count, this brings the Wii U’s lifetime numbers to 6.17 million. In comparison, the PS4 has already sold 7 million units after the first 6 months, and the Xbox One will eventually get there by the end of the year at the latest. More disappointing for Nintendo was that game sales, which has “high profit margins”, failed to materialise.

If it wasn’t for the 3DS, Nintendo’s fortunes would have been even worse. Nintendo forecasts 3DS sales to slow this year, with the Wii U selling a bit better at 3.6 million units. Somehow this will bring in an operating profit of $394 million for this current fiscal year. I think perhaps Nintendo is being a bit too optimistic again!

——

That’s all folks. Just let me check if there are any other days of protest going on next week that I should inform you of. Hmm … nothing comes to mind. See you next week!

Weekly News Roundup (4 May 2014)

Sunday, May 4th, 2014

Welcome to another WNR. It’s getting colder here where I am, winter is certainly coming (in the southern hemisphere). Makes it just that much harder to get work started, especially on a Sunday.

Let’s get started anyway.

Copyright

Aereo Antenna Array

Aereo’s dime sized antennas – smart or too clever for their own good?

Trying to abide by copyright laws in the digital age can be tricky. Or rather, there are some tricky ways you can try to obey the letter of the law, if not exactly in spirit. Which is what Aereo’s business model seems like to me – completely legal (as tested in court, twice already), but does not quite pass the smell test.

For those that don’t know, Aereo allows subscribers to stream TV channels to their mobile devices, and even record programs to a cloud based DVR. Aereo gets around the “problem” of paying for a broadcast or re-transmission license by providing each subscriber with their own dime sized TV antennas, and each antenna is only used to provide content to one unique subscriber. So instead of broadcast or re-transmission, there’s a 1-to-1 relationship between each received signal and streamed or recorded content. It’s a technically sound and legal solution, but it’s seems to me like a ridiculous solution intended to be used as a loophole, and not a genuine piece of innovation.

Still, the only outcome I would want to see in the much publicized Aereo Supreme Court case is a victory for the start-up. With the lower courts and the appeals court already siding with Aereo, the Supreme Court would have to set new precedent, and do so in an incorrect way (not the first time with this court), to side with big business interests (again, not the first time with this court).

——

Going to the cinemas and not get accosted by law enforcement is getting harder and harder these days it appears. While wearing a pair of Google Glass to the cinema (even if it is turned off, and only using it as normal prescription glasses) might be the very definition of asking for trouble, having a brick slider phone in your pocket is surely not going to attract any trouble, right? Well, an elderly woman in Provo Utah was not so lucky, accused of trying to record a movie with her “classic” phone and thrown out into the street for her troubles.

LG KC780

Is a slider phone like this a dangerous movie piracy tool?

The woman says the phone was in her pocket after her husband left half way through the movie and handed it to her. She was also using a closed captioning device, which may have been mistaken for recording equipment by whoever dobbed her in.

For me, even if she had been recording the movie on her phone, as long as it’s not disturbing other cinema goers, is it really such a big deal. The quality of the recording on a handheld phone, especially a classic slider style brick (probably only has a recording resolution of 640×480), is no threat to studios worried their films will end up online. The fact that the police officers who arrived to throw her out apparently did not find anything incriminating on the phone suggests no recording took place anyway.

So it looks this is a case of more collateral damage in the paranoid driven War on Piracy. Going to the cinemas has never been so dangerous, and it almost makes you wanna, I don’t know, download the movie and watch it at home or something. I mean, that’s what the studios are trying to achieve right? To scare people from going to the cinemas and making piracy look like the more attractive choice? No?

High Definition

Sony has issued the strongest indication yet that physical media may be on the way out. The company wrote down nearly a quarter of a billion dollars worth of assets in its disc manufacturing business, including Blu-ray manufacturing, due to slowing demand. You can blame Netflix for that, I guess.

Blu-ray Player

Blu-ray is unlikely to reach the sales highs that DVDs once enjoyed, but it’s not going away any time soon

Those that follow our weekly Blu-ray sales analysis will be able to spot the trend of a rapidly slowing DVD business, and a slower than expected take up of Blu-ray (unable to make up for the losses in DVD revenue). While Blu-ray is still growing in the US, it’s doing so slowly. Much of the growth in the home entertainment industry is coming from purely digital services like Netflix. And while both the PS4 and Xbox One is using Blu-ray discs for distributing games, even the gaming business is moving towards digital streaming and downloads. Sony has invested heavily in its digital distribution networks in recent times for both its media and gaming businesses, a sign that the company is fairly certain its predictions are correct.

So after considerably effort to win the HD format wars, which looks to have at the very least severely damaged the PS3’s chance to win the last generation wars, has Sony’s support for Blu-ray been worth it? While Blu-ray demand will not grow as quickly as the company had wanted, there is no evidence that Blu-ray is dying (how can there be when its demand is still growing?). And with Microsoft now firmly in the Blu-ray camp with the Xbox One, it’s pretty clear that Blu-ray will take over from DVDs as the dominant disc format. That, however, may be a hollow victory as people move away from discs altogether.

So Blu-ray’s peak will be a smaller peak that that of DVD’s, but it will still be around.

Well, I’ve definitely passed my peak for the day, so it’s time to call it. See you next week!