Billy Bragg and MySpace

Interesting piece in today’s NYT…

When he is not writing or performing protest songs, the British folk-rocker Billy Bragg is apparently reading the fine print.

In May, Mr. Bragg removed his songs from the MySpace.com Web site, complaining that the terms and conditions that MySpace set forth gave the social networking site far too much control over music that people uploaded to it. In media interviews and on his MySpace blog, he said that the MySpace terms of service made it seem as though any content posted on the site, including music, automatically became the site’s property.

Although MySpace had not claimed ownership of his music or any other content, Mr. Bragg said the site’s legal agreement — which included the phrase “a nonexclusive, fully paid and royalty-free worldwide license” — gave him cause for concern, as did the fact that the formerly independent site was now owned by a big company (the News Corporation, which is controlled by Rupert Murdoch).

Mr. Bragg said that he himself had kept most of the copyrights to his recordings, licensing them out to the various record companies that have released his albums over the years. “My concern,” he said in a telephone interview, “is the generation of people who are coming to the industry, literally, from their bedrooms.”

About a month later, without referencing Mr. Bragg’s concerns, MySpace.com clarified its terms of service, which now explain who retains what rights. A sample line: “The license you grant to MySpace.com is nonexclusive (meaning you are free to license your content to anyone else in addition to MySpace.com).”

Jenny Toomey, executive director of the Future of Music Coalition, an advocacy group for musicians that focuses on intellectual property rights, said the Internet could help musicians warn one another about potential contractual problems. “Information is now shared in a different way,” she said, “and artists who are getting a bad deal can connect with each other.”

Mr. Bragg, who said he never had any direct communication with executives from MySpace, has put some of his music back on the site. And he offered some praise for the site’s effectiveness in spreading his message. “That’s the amazing thing about MySpace,” he said. “If you say something, word gets out.”

The Baghdad shell game

Well, well. According to the New York Times,

BAGHDAD, Iraq, July 29 — The State Department agency in charge of $1.4 billion in reconstruction money in Iraq used an accounting shell game to hide ballooning cost overruns on its projects there and knowingly withheld information on schedule delays from Congress, a federal audit released late Friday has found…

Now, why are we not surprised by this?

The book of Jobs

Nick Mathiason and I collaborated on a piece about a corporate corporate succession problem even more intriguing than that currently obsessing the board of BP — namely what happens when Steve Jobs finally decides to spend more time with his money. Sample:

Microsoft without Bill Gates seemed unthinkable until last month when he announced he was stepping down. In retrospect, we can see that a good deal of planning went into it. First he split his role into two and made Steve Ballmer chief executive, taking the software overlordship for himself. Then he brought in Ray Ozzie to be groomed for the software role over two years. And finally, he has choreographed his exit so that it takes place over a two-year period. The result: a decision that would once have sent the share price through the floor has been received with little disruption.

There’s no equivalent to Ballmer or Ozzie at Apple. Or, if there is, the public has never seen them. Whenever there is a spotlight on Apple, Jobs is in the centre of the beam. His regular keynote speeches at Mac Expos are more like rock concerts than corporate events. If there are cool new products to be unveiled, the chairman is the one who does the demos. ‘He’s absolutely integral to the success of company,’ said Conrad Roeber, partner at media consultancy Mediatique.

Jobs’s identification with Apple is, if anything, more fascinating than Gates’s with Microsoft, because Jobs was expelled by a 1980s boardroom coup from the company he co-founded in 1976. In those early days, Apple was a fantastically innovative, off-beat company with a counter-cultural corporate ethic. A celebrated Silicon Valley joke asked: ‘What’s the difference between Apple and the Boy Scouts?’ Answer: ‘The Boy Scouts have adult supervision.’..

Microsoft to unveil $100 laptop killer?

Hot on the heels of the news that the Indian government has rejected the ‘One Laptop per Child’ idea comes an Engadget story that Microsoft, stung by the OLPC team’s decision to adopt Linux rather than Windows CE, is going to release a ‘foneplus’ — i.e. a mobile phone with port for connecting a TV screen and a keyboard. No pics, and maybe it’s just a rumour, but…

Amazon blues

From Good Morning Silicon Valley

In Amazon territory, the natives are getting restless. Investors who had stuck it out through quarter after quarter despite were already worried about margins and spending. When CEO Jeff Bezos reported Wednesday second-quarter earnings were down nearly 58 percent and lowered the 2006 outlook, then announced more spending and deeper price cuts, shareholders did a double-take and said, “Not with our money, you don’t.” The stock price plummeted more than 20 percent and is now bouncing around its three-year low. The backlash chopped more than $3 billion off Amazon’s market capitalization. “I think a lot of the frustration today is because this company perpetually seems to be in a heavy investment mode,” said Philip Remek, an analyst with Guzman & Co. Analyst Dan Geiman with McAdams Wright Ragen added, “It’s gotten to the point where you just don’t know what those returns are going to be. It’s just hard to measure.” Analysts also worried that the company was spreading itself too thin and adding low-margin businesses like groceries. “What’s the competitive advantage that Amazon brings to delivering all the types of Jell-O that you could possibly want?” asked David Garrity, an analyst with Dinosaur Research.

Bezos and team defended the spending, especially on services that encourage customer loyalty like the annual flat-rate deal offered on two-day shipping, as necessary to Amazon’s longterm health. With instant price comparisons available, loyalty to an online retailer is tenuous, he said, unless the company can use service and technology to build a compelling relationship with the customer. And some analysts are still willing to give him the benefit of the doubt. Bob Toomey with E.K. Riley Advisors said, “People who follow the stock closely know or should know that Amazon’s strategy is and has been to be investing in the business for the long term.” The question is how many shareholders it will lose along the way.

Remember what Keynes said? “In the long run we are all dead”.

Holiday reading

Hmmm… I hate taking heavy books on holiday, but might have to make an exception for Fiasco!, Thomas Ricks’s detailed analysis of the quagmire in Iraq. Here’s an excerpt from the New York Times review…

The title of this devastating new book about the American war in Iraq says it all: “Fiasco.” That is the judgment that Thomas E. Ricks, senior Pentagon correspondent for The Washington Post, passes on the Bush administration’s decision to invade Iraq and its management of the war and the occupation. And he serves up his portrait of that war as a misguided exercise in hubris, incompetence and folly with a wealth of detail and evidence that is both staggeringly vivid and persuasive.

By virtue of the author’s wealth of sources within the American military and the book’s comprehensive timeline (beginning with the administration’s inflammatory statements about Saddam Hussein in the wake of 9/11, through the invasion and occupation, to the escalating religious and ethnic strife that afflicts the country today), “Fiasco” is absolutely essential reading for anyone interested in understanding how the United States came to go to war in Iraq, how a bungled occupation fed a ballooning insurgency and how these events will affect the future of the American military. Though other books have depicted aspects of the Iraq war in more intimate and harrowing detail, though other books have broken more news about aspects of the war, this volume gives the reader a lucid, tough-minded overview of this tragic enterprise that stands apart from earlier assessments in terms of simple coherence and scope…