Metcalfe’s Law Rules OK

This morning’s Observer column:

There are two paradoxical things about Twitter. The first is how so many people apparently can’t get their heads around what seems like a blindingly simple idea – free expression, 140 characters at a time. I long ago lost count of the number of people who would come up to me on social occasions saying that they just couldn’t see the point of Twitter. Why would anyone be interested in knowing what they had for breakfast? I would patiently explain that while some twitterers might indeed be broadcasting details of their eating habits, the significance of the medium was that it enabled one to tap into the “thought-stream” of interesting individuals. The key to it, in other words, lay in choosing whom to “follow”. In that way, Twitter functions as a human-mediated RSS feed which is why, IMHO, it continues to be one of the most useful services available on the internet.

The second paradox about Twitter is how a service that has become ubiquitous – and enjoys nearly 100% name recognition, at least in industrialised countries – could become the stuff of analysts’ nightmares because they fear it lacks a business model that will one day produce the revenues to justify investors’ hopes for it.

They may be right about the business model – in which case Twitter becomes a perfect case study in the economics of information goods. The key to success in cyberspace is to harness the power of Metcalfe’s Law, which says that the value of a network is proportional to the square of the number of its users…

Read on

Inflection points and advanced robotics

This morning’s Observer column.

Not often do you hear a Newsnight presenter using an arcane mathematical term, but last week was an exception. The culprit was David Grossman, who made an excellent film for Newsnight about the threat to employment from advanced robotics. In the course of this, he made the standard pilgrimage to MIT to interview Erik Brynjolfsson and Andrew McAfee, who have made much of the running in this area with a number of books, of which the most recent is The Second Machine Age. Their argument, said Grossman, was that our society has reached an “inflection point”, a concept beloved of those who studied differential calculus in their youth, but probably unfamiliar to the average viewer.

Still, that’s what Wikipedia is for. A point of inflection, it explains, is a point on a curve at which the curvature or concavity changes sign from plus to minus (or vice versa). Since this sounds like a smaller deal than the wholesale upheaval prophesied by Brynjolfsson and McAfee, Grossman might have got more mileage out of “tipping point”, which, though different to inflection, seems to me to get closer to the nub of the question.

Read on

Book Review: ‘The People’s Platform’

My Observer review of Astra Taylor’s The People’s Platform: And Other Digital Delusions.

The launch of the Mosaic browser in 1993 transformed the internet into a mainstream medium and brought the corporate world online, so from then on the die was cast. What happened is that the two universes effectively merged, so we now live in a strange amalgam of meat- and cyberspace in which the elements of each run riot. A virtual space that once had no crime and no surveillance has become one with an abundance of each; and the “real” world has been destabilised by the astonishing power and properties of networks.

Yet public understanding of the implications of this convergence lags some way behind the emerging reality, which is why we need books like this. Astra Taylor is a talented documentary-maker who was dismayed by the way her work was appropriated and pirated online. But instead of fuming silently in her studio, she set out to seek an understanding of the paradoxical world that the merging of cyberspace and meatspace has produced. What she finds is a world which is, on the one hand, hooked on an evangelical narrative about the liberating, empowering, enlightening, democratising power of information technology while, on the other, being increasingly dominated and controlled by the corporations that have effectively captured the technology.

The big question about the net was always whether it would be as revolutionary as its early evangelists believed. Would it really lead to the overthrow of the old, established order? We are now beginning to see that the answer is: no. We were intoxicated by the exuberance of our own evangelism. “From a certain angle,” writes Taylor, “the emerging order looks suspiciously like the old one.” In fact, she concludes, “Wealth and power are shifting to those who control the platforms on which all of us create, consume and connect. The companies that provide these and related services are quickly becoming the Disneys of the digital world – monoliths hungry for quarterly profits, answerable to their shareholders not us, their users, and more influential, more ubiquitous, and more insinuated into the fabric of our everyday lives than Mickey Mouse ever was. As such they pose a whole new set of challenges to the health of our culture.”

Why Facebook and Google are buying into drones

This morning’s Observer column.

Back in the bad old days of the cold war, one of the most revered branches of the inexact sciences was Kremlinology. In the west, newspapers, thinktanks and governments retained specialists whose job was to scrutinise every scrap of evidence, gossip and rumour emanating from Moscow in the hope that it would provide some inkling of what the Soviet leadership was up to. Until recently, this particular specialism had apparently gone into terminal decline, but events in Ukraine have led to its urgent reinstatement.

The commercial equivalent of Kremlinology is Google- and Facebook-watching. Although superficially more open than the Putin regime, both organisations are pathologically secretive about their long-term aspirations and strategies. So those of us engaged in this strange spectator-sport are driven to reading stock-market analysts’ reports and other ephemera, which is the technological equivalent of consulting the entrails of recently beheaded chickens.

It’s grisly work but someone has to do it, so let us examine what little we know and see if we can make any sense of it…

LATER: Seb Schmoller, struck by my puzzlement about why Facebook had bought Oculus Rift, sent me a link to an interesting blog post by Donald Clark, who has experience of using Oculus kit.

I’ve played around with the Oculus for some time now – played games, roared around several roller-coasters, had my head chopped off by a guillotine, walked around on the floor of the ocean looking up at a whale and shark, floated around the International Space Station using my rocket pack.
Why do I think it matters? It’s possible, just possible, that this device, or one like it, will change the world we know forever. It will certainly revolutionise the world of entertainment. Flat screen TVs have got as big and sharp as they can get. It is clear that most people do want that big, panoramic experience but there’s a limit with 2D. Climb into that screen, which is what the Oculus allows you to do and you can look around, upwards, over your shoulder. You can them move around, do things and things can be done to you. It’s mind blowing.

The problem that Oculus has is getting to market quickly. Kickstarter was fine, for starting. Sony is right on their shoulder with project Morpheus. With this money they can accelerate R&D, have a massive marketing push and keep the price right…

His conclusion:

This is not only a ‘game’ changer, it’s an experience changer. It will change the way we spend our time, expand our experience and acquire skills. I’ve seen the effect it has with children, teenagers, adults and pensioners. It’s an experience, even at low resolution that can change your life, as you know, when you’ve tried it that it’s coming and when it comes it will be all-embracing. Facebook already has the world at its feet with 1.5 billion users, it now has the world on its head.

Translation: maybe the acquisition make more sense than I though.

Bleeding hearts

This morning’s Observer column:

Were you a thriller writer seeking a name for an apocalyptic software security flaw that threatened the future of civilisation as we know it, then “Heartbleed” would be hard to beat. Last week saw the discovery of such a flaw, and Heartbleed was the name assigned to it.

Most security flaws are of interest only to specialists, but this one was different. Why? Because it’s been around for something like three years, during which time it could have exposed the passwords and credit card numbers that countless millions of people had provided to online stores and other services. Heartbleed would enable attackers to eavesdrop on online communications, steal data directly from services and users, and impersonate both services and users. It could have affected up to two-thirds of the world’s internet servers. And unlike some earlier such problems, the solution isn’t as simple as immediately changing one’s password. It was, said Bruce Schneier, a security expert not much given to hyperbole, a “catastrophic” flaw. “On the scale of one to 10,” he wrote, “this is an 11.”

Triumph of the Nerds

My Observer piece on Michael Lewis’s new book.

Light travels at 186,000 miles a second in a vacuum, which is another way of saying that it covers 186 miles in a milli-second – a thousandth of a second. Given that much of our contemporary electronic communications are conveyed by pulses of light travelling along fibreoptic cables, we are given to extravagant hyperbole about the “death of distance”. After all, if a message – or a file – can traverse the globe in the blink of an eye, it doesn’t matter whether your hard drive is on your desktop or in a server farm in Nebraska or Sweden.

But it turns out that the speed of light is of great practical interest to some people. One group of them have shelled out $300m to lay a fibreoptic cable in a straight line from Chicago to New York. This involves, among other things, drilling through mountains and under urban areas. And for what? So that the time taken to send a signal between New York and Chicago could be reduced from 17 milliseconds to 13. For that apparently infinitesimal improvement, stock market traders were willing to pay $14m a year, plus a substantial upfront payment, to use the cable.

Therein lies the tale of Michael Lewis’s enthralling new book, Flash Boys, which joins an elite but growing list of volumes that set out to explain how computing is reshaping our world…

Big Data and the Hype Cycle

This morning’s Observer column.

As the “big data” bandwagon gathers steam, it’s appropriate to ask where it currently sits on the hype cycle. The answer depends on which domain of application we’re talking about. If it’s the application of large-scale data analytics for commercial purposes, then many of the big corporations, especially the internet giants, are already into phase four. The same holds if the domain consists of the data-intensive sciences such as genomics, astrophysics and particle physics: the torrents of data being generated in these fields lie far beyond the processing capabilities of mere humans.

But the big data evangelists have wider horizons than science and business: they see the technology as a tool for increasing our understanding of society and human behaviour and for improving public policy-making. After all, if your shtick is “evidence-based policy-making”, then the more evidence you have, the better. And since big data can provide tons of evidence, what’s not to like?

So where on the hype cycle do societal applications of big data technology currently sit? The answer is phase one, the rapid ascent to the peak of inflated expectations, that period when people believe every positive rumour they hear and are deaf to sceptics and critics…

Read on

No more NSA spying? Dream on…

This morning’s Observer column.

Last week in the Hague, Barack Obama seemed to have suddenly remembered the oath he swore on his inauguration as president – that stuff about preserving, protecting and defending the constitution of the United States. At any rate, he announced that the NSA would end the “bulk collection” of telephone records and instead would be required to seek a new kind of court order to search data held by telecommunications companies.

This policy change is a tacit admission of what Edward Snowden (and 2001 whistleblower William Binney before him) had been claiming, namely that the warrantless surveillance of US citizens by the NSA and other government agencies does, in fact, violate the constitution of the United States. Obama’s announcement looked to some observers as the first crack to appear in the implacable facade of the national surveillance state. This looked promising because, as we know from second world war movies, the first crack is inevitably the harbinger of the eventual total collapse of the dam.

Dream on…

The Dictator’s Dilemma

My Observer Comment piece on the latest episode in the ongoing conflict between the state and the Internet.

Here we go again: authoritarian ruler finds that social media are making life uncomfortable for him in the run-up to elections; finds Twitter particularly annoying; instructs local authorities to shut off access for his citizens; announces that he is unbothered by international criticism of this act of censorship which, he says, will demonstrate the power of his republic.

Welcome to Turkey, our staunch ally in the fight against jihad and the Forces of Darkness. There is a certain grim familiarity in the story of Prime Minister Erdogan’s battle against social media…

Military-Industrial Complex 2.0

This morning’s Observer column.

As they burgeoned, the big internet companies looked with disdain on the leviathans of the military-industrial complex. Kinetic warfare seemed so yesterday to those whose corporate mantras were about “not being evil” and adhering to “the hacker’s way”. So when Snowden revealed NSA claims that the spooks had untrammelled access to their servers the companies reacted like nuns accused of running a webcam porn site. It wasn’t true, they protested, and even it if was they knew nothing about it. Of course they did comply with government requests approved by a secret court, but that was the extent of it. As the months rolled by, however, this reassuring narrative has unravelled. We discovered that the NSA and GCHQ had indeed covertly tapped the data-traffic that flows between the companies’ server farms. But since Google and co were – they claimed – unaware of this, perhaps their protestations of innocence seemed justified. More embarrassing were the revelations about the astonishing lengths to which one company (Microsoft) went to facilitate NSA access to its users’ private communications.

Last Wednesday, another piece of the jigsaw slotted into place. The NSA’s top lawyer stated unequivocally that the technology firms were fully aware of the agency’s widespread collection of data. Rajesh De, the NSA general counsel, said that all communications content and associated metadata harvested by the NSA occurred with the knowledge of the companies – both for the Prism system and the covert tapping of communications moving across the internet.