IanSchafer.com

The OpenSocial Foundation.

According to Download Squad, today, Yahoo!, Microsoft, and Google announced the formation of the OpenSocial Foundation.

The Foundation is a 'non-profit' entity aimed at ensuring '...open and transparent governance of the OpenSocial specifications and intellectual property.'

Is it me, or does it seem weird that you can set up a non-profit entity that is designed to support the initiatives of a very 'for profit' company like Google? It seems that the efforts are noble enough, but still, these are Google standards, no matter how many third-parties are involved.

Do we have a choice but to choose between Google's and Facebook's standards? Time will tell.

Visit Download Squad for the nice little recap.

Free Ad Serving? Bring It On.

With Google's acquisition of DoubleClick now official, Saul Hansell discusses the potential for DoubleClick's Dart for Advertisers (DFA) product to move to a free model, due to it's acquisition by Google.

I say, bring it on.

This would be a shrewd move by Google towards getting the world migrated over to its ad serving platform.

While I'm not holding my breath for my ad serving bills to stop rolling in any time soon, my hope is that at the very least, the industry will be able to get a free, basic DFA, then maybe add-ons for additional services. That will force moves by companies like Atlas and 24/7 to reassess their models, and hopefully bring down costs across the industry.

The major ad serving companies are now all owned by major corporations (DoubleClick:Google; Atlas:Microsoft, 24/7:WPP). Ad serving is starting to appear more and more like it's a value-add every day. Lets just hope the technology doesn't stop improving for the sake of making it free, or even just less expensive. Without improved ad serving, we don't get improved metrics.

Bring on the free. But don't stop improvin'.

Reminder: See me at Media Summit NY on Wednesday, March 12th.

Remember, I'll be attending the Media Summit NY on March 12th, presented by Digital Hollywood where I'll be speaking on the following panel:

2:15 PM - 3:30 PM
Session C:
Advertising NEXT: Social Networks, User Generated Video, Blogs, IMs, Podcasts, Broadband and Mobile

In this session, we will look for a comprehensive understanding of what advertising in the next generation will look like. The world of advertising has been completely dislocated by the acceptance and integration of the new technologies, from PVR and Broadband to Social Networks, VOD, Mobile, Blogs and ITV, the consumer is being both barraged by content and choice, he/she is being overwhelmed by the technology itself. While the decisions being made by the advertising community are always measured and incremental, the technologies at hand are profound and will only move forward. How fast and at what rate of impact is still to be understood, but the question is no longer about consumer acceptance and proof of distribution, it is about when the roof is going to cave in. The new technologies are successfully invading traditional media and the good news is rather than leaving the advertiser without a way of reaching the audience, the new technologies may ultimately prove to be better and more comprehensive vehicle for reaching and developing relationships with an even larger customer base.

Bant Breen, president, Interpublic’s Futures Marketing Group

Kevin P. Ryan, Co-Chairman, Alley Corp., former CEO and co-founder, DoubleClick

Anne Hunter, Vice President, Platform-A Strategic Advertising Solutions, AOL

Scott Kessler, Senior Director, Information Technology, Internet Software & Services and Internet Retail, Standard & Poor's Equity Research

Marc Ruxin, SVP, Director, Digital Strategy and Innovation, MCCANN WorldGroup

Ian Schafer, President and Founder, Deep Focus

Dean Carignan, Director, Ad Business Strategy, E&D Division, Microsoft Corporation

Tim Chang, Principal, Norwest Venture Partners, Moderator

Registration is here. See you then!

The Great Vista F-Up.

The NY Times has a great piece today about how some of Microsoft's most senior executives experienced the same problems as millions of other XP to Vista upgraders. Slow speeds, non-existent drivers, incapable machines.

Now there are class-action lawsuits.

The NY Times journalist responsible for this piece, Randall Stross asks the following question:

Now that Microsoft faces a certified class action, a judge may be the one who oversees the fix. In the meantime, where does Microsoft go to buy back its lost credibility?

The answer? Have a conversation with the people that use your products. Don't just listen, act. People are beginning to feel force-fed. You've turned us into a bunch of picky eaters. And this blogging, picky eater switched to a Mac because of it. A positive relationship with your customers begins with a good product. It grows with positive experiences. And dies with enough negative ones.

So where does Microsoft go? Back to the drawing board on the product is a start. But then they need to go back to being active listeners.

Google Putting the “ Heal ” Back in Healthcare?

Google's announcement last Thursday about their venture into online personal health records is a mixed blessing, but one that has been much needed for the healthcare industry. It's been a hot topic since the original announcement by Google in October. The biggest concern is that of privacy issues and, more so, data security. Microsoft and Google make assurances that data will be secure and privately controlled by individuals.


On the pro front, this announcement will open up the healthcare industry similar to how the iPhone has made carriers rethink their strategy of having strict control of what devices user get. Now patients should control where they take their ailments, rather than big healthcare saying what referrals you need and how to get care. Granted, this will take a while to see the full wave of this effect, but it's finally happened where there is the challenge to bringing control to the masses. A big idea of web 3.0.


The cons? Well, for one, people will have to be the keepers of their medical history. A lot of people will, a lot of people won't. Judging the way people can be cyberchondriacs with the likes of WebMD around, a social network space to post every symptom they may think they have would definitely need filtering and a professional opinion. But we've all been curious about what the doctor scribbles (yeah, they scribble) on that file. Just ask Elaine on a classic Seinfeld episode trying to see what's in that file.


But imagine if that information does become publicly searchable ("OMG! She had WHAT when we were dating?") or the movement into a medical social network (GooTube? Yuck.) It might lead to a new perspective on selective reproduction and a change in human evolution. Scientists are already theorizing on it. 


If the trial with the Cleveland Clinic is a success, we can see a big change in the way medicine and society interacts on that online space. I see it as a portal of innovation and communication – cancer survivors speaking about their therapies, treatments analyzed and discussed, ease of research and innovation – beyond their niche spaces on the web. The power of technology, the power of social media and the human element are enticing for this to work.

Microhoo?!?!?

So it seems that Microsoft made a $44.6 billion dollar bid for Yahoo.

What implications does this have?

If this deal goes through, this certainly becomes the single largest display advertising reach play on the web, and will further cement Yahoo/MSN on brand media planners everywhere. I’d assume the Yahoo brand would lead, because here in the US, the average person probably doesn’t ‘choose’ MSN — they default to it. Search share will, of course, rival Google, making it an even more important part of every search strategy. Their combined video inventory will be the greatest pre-roll pool on the web.

The biggest impact would potentially be the combined behavioral and demographic targeting across both properties (even if they weren’t combined).

I would certainly hope that if they did combine the properties, they’d lose the MSN brand and keep Yahoo’s.

My $0.02. Which added to $44.6 billion doesn't really add much.

Best Of the Internal Deep Focus Blog: Poor Microsoft!

Check out this post on Deep Focus' internal blog by Associate Creative Director Nick Braccia:

So you've probably all seen this student-made spot from the UK for iPod Touch, featuring Cansei de ser Sexy's "Music is my Hot, Hot Sex.

It's a fine piece of editing, but when I saw it, I thought, heck, all he REALLY did was pick an awesome song and time some animations. Big deal, right?

Here's the irony: a year ago, Microsoft had a ZUNE spot running with the SAME SONG.

What's the moral of this story? Well, the amateur kid kept it simple: Music = HERO. Interface = Easiest way ever to hang with HERO. In the Zune spot, the song is part of a schizophrenic execution that's trying to: a) be irreverent with stylized, anthropomorphized illustrated animals b) cycle through a list features (music, wireless, tuner, community) c) bring it all back to music and "social" by building a narrative.

Wow, that's a lot. Just listening to a Brazilian girl sing "Music is my Boyfriend, Music is my Girlfriend" seems to sum all that up, with like, 1/1000th of the work. It's just an ironic slap in the face that they had the perfect weapon (the song) and didn't know how to use it properly.

Just found more assessments of the two spots.

Exactly right, Nick. Consumers realize that a better product is a better product -- and if you believe in your product, simply showing its points of differentiation can help someone (consciously or subconsciously) make their purchasing decision. And including your biggest fans in the creation of your advertising -- NOT through solicitation, but discovery -- is priceless.

BREAKING: Microsoft Acquires 2 Percent Stake in Facebook for $240 Million

Lots of stuff to analyze here, but in a rush...heading out to ClickZ's 10-Year Anniversary Dinner and Awards Ceremony.

Here are the details, from Facebook's release (interesting...no Zuckerberg quote):

Facebook and Microsoft Expand Strategic Alliance
Two companies expand advertising deal to cover international markets, Microsoft to take equity stake in Facebook

PALO ALTO, Calif., and REDMOND, Wash. — Oct. 24, 2007 — Facebook and Microsoft Corp. today announced that the two companies would expand their advertising partnership and that Microsoft will take a $240 million equity stake in Facebook’s next round of financing at a $15 billion valuation. Under the expanded strategic alliance, Microsoft will be the exclusive third-party advertising platform partner for Facebook, and will begin to sell advertising for Facebook internationally in addition to the United States.

“We are pleased to take our Microsoft partnership to the next level,” said Owen Van Natta, Chief Revenue Officer, Facebook. “We think this expanded relationship will allow Facebook to continue to innovate and grow as a technology leader and major player in social computing, as well as bring relevant advertising to nearly 50 million active users of Facebook.”

“Making this investment and expanding this partnership will position Microsoft and Facebook to better take advantage of advertising opportunities around the world, and is a great win for not only for our two companies, but also our collective users and advertisers,” said Kevin Johnson, president of the Platforms & Services Division at Microsoft. “We have partnered well over the past year and look forward to doing some exciting things together in the future. The opportunity to further collaborate as advertising partners is a big reason we have decided to take an equity stake, and is a strong statement of our confidence in the long-term economics of this partnership.”

Facebook continues to experience strong growth both in the U.S. and international markets; almost 60 percent of Facebook’s users are outside the U.S. With an average of 200,000 new users registering each day, Facebook continues to be one of the most-trafficked sites on the Internet.

On Aug. 22, 2006, the companies announced a U.S.-only strategic alliance that named Microsoft the exclusive provider of standard banner advertising on Facebook using Microsoft’s digital advertising solutions and the Microsoft® adCenter platform. In early 2007, the terms were extended to 2011.

About Facebook

Founded in February 2004, Facebook is a social utility that helps people communicate more efficiently with their friends, family and coworkers. The company develops technologies that facilitate the sharing of information through the social graph, the digital mapping of people’s real-world social connections. Anyone can sign up for Facebook and interact with the people they know in a trusted environment. Facebook is a part of millions of people’s lives and half of the users return daily. Facebook is a privately-held company and is headquartered in Palo Alto, Calif.

Return of the Xbox 360, Part Deux.

I happen to think the Xbox 360 is the best video game console of our lifetime, for myriad reasons. But apparently, nothing's perfect.

Lets have a contest.

Have any of you readers had to return an Xbox 360 for repair?

Have any of you had to do it more than once?

I've now sent out my second Xbox 360 for repair, which means I'll soon be on my third console. Apparently, the problem that keeps happening has to do with overheating. Microsoft customer service has (surprisingly) been great, but the point is, this will be my second month-long stint without my console since I've purchased it.

It's incredibly frustrating. What if I unlearn Guitar Hero II? What happens then?

Microsoft buys aQuantive for $6 Billion

This should make things interesting.

From PaidContent's coverage:

Microsoft is acquiring interactive ad shop aQuantive for $6 billion in cash. The company said it will pay $66.50 a share. The move comes a day after digital ad agency 24/7 Real Media was bought by WPP Group for $649 million. Microsoft had reportedly been angling to buy the agency as a way to counter Google’s pending purchase of online ad company DoubleClick for $3.1 billion.

Is this for the Atlas ad serving product? Is it for the marketing services prowess of AvenueA/Razorfish (Microsoft is one of their clients, BTW)?

Time will tell, but the landscape is changing -- and quickly. Fascinating.