Monday, September 27, 2010

Tracking the changes to IE 8.0

As someone who spends far more time browsing the internet than he probably should, I've noticed over the past few years other people's taste in food, entertainment, and shopping are becoming eerily closer to my own. Or at least it would appear that way, as the adds that pop up on the web pages I frequent have gotten A LOT better at knowing the things I want to buy, and I've become a lot better (or would it be a lot worse?) at falling for them. Its not that other people are becoming more like me, but rather the companies that are advertising those products and services have gotten much better at figuring out what it is that I want and showing it to me in ways that make me want to buy it. 

This software that tracks people's movement around the internet has become a cause of concern to many people, and Microsoft was well aware of this when they began to design the latest version of their internet browser, Internet Explorer 8. Like any multi-billion dollar tech company should, Microsoft spent a great deal of time trying to balance what they felt their end-users wanted (more internet privacy) with what their shareholders wanted (more revenue from internet advertising click-throughs). These two diametrically opposed views created quite the conundrum for the makers of the world's most popular browser software as it continues to lose market share to Google's Chrome and Mozilla's Firefox browsers. 

In order to chart the best course between the scylla of privacy and charybdis of advertising dollars, Microsoft used a devil's advocate approach to facilitate it's executive's group decision making strategy. To oppose the IE 8 teams' insistence on tighter default privacy controls, they brought in outside presenter's from various internet advertising agencies to voice their concern that not only would it decrease ad revenue in favor of arch rival Google, but would ultimately lead to poorer internet experience for IE 8.0 users. In the end Microsoft decided to allow the tracking blocking software to ship with IE 8.0, but only in a way that users would have to manually turn on at the start of each browser session.

In the end, I think Microsoft made the right decision, not only for its shareholders, but for its IE users as well. Everyone loves free content, but that free content has to be paid for somehow. As internet ads are becoming more and more common place, I would much rather sit through an ad for something I was actually interested in buying, than one my grandmother or the cat lady down the street would.         

Saturday, September 4, 2010

3Par Bidding Battle

Any one who is an avid follower of Computer and Gadget Blogs has (for the past several years) known that cloud computing is the "next big thing" in the tech world. Recently however, news of this trend is being covered more and more in the main stream media outlets. One such example is the recent bidding war between Dell and HP for 3Par -- software and data storage information management company.  Started by Dell's $1.6 Billion offer, the bids quickly rose to a $2 billion offer from HP.  These amounts approach 7 times the company's revenue and almost 100 times next year's projected earnings. That's a pretty hefty premium and a business minded observer may ask himself not only is it worth that price, but what reasoning is behind this acquisition?

From a management perspective, there are several challenges both Dell's and HP's executives are facing in the current corporate climate which I believe they feel an acquisition of 3Par with help them gain ground against the competition. One such challenge is managing change, specifically the move toward cloud computing. 3Par's expertise in this area would add value to either companies offerings, initially in business solutions but eventually to household consumers as well. The promise of increased versatility and convenience and decreased cost would add value to either companies offerings.

Another challenge 3Par would assist in dealing with would be in managing resources. Since its founding in 1999, 3Par has amassed a substantial human capital, physical resources and technology. Resources which have allowed 3Par to become a competitive force in the data storage and information management fields. Both Dell or HP would reap huge benefits from integrating this already established brand into its respective infrastructure.

Corporate strategy is also an aspect of management that 3Par would address. 3Par's knowledge base, intellectual capital,  and reputation  would allow either company to better leverage its already existing portfolio to better serve its customers and give it an advantage over its competitors.

Finally, the entrepreneurial aspect of management plays a roll is this bidding war as well. 3Par's acquisition would allow either company to branch out into a new business area they currently do not exist in. This would position them to be in an advantageous position as the cloud computer model takes off while remaining relevant in the information and technology sector.

Only one company, either Dell or HP, will ultimately win this battle. However, the potential added value of buying an established cloud computing firm to an already established computing giant will likely spur the loser to look for other opportunities of expertise in this field. And once that target is identified, it will likely come at a much better price.
  

Thursday, September 2, 2010

First Post on my First Blog

Welcome to my MGT-504 Blog! Although I do consider myself a gadget geek and spend much of my free time on the internet, I've never put much time into generating my own social media content. I knew traditional business school was heavy on the group work, and wondered how that would translate into an online class... now I know! I've always told my friends I was "way too cool" to be on facebook or have a blog, but a very small part of me always wanted to take the plunge. It looks like I can now use this class (and Dr Featherstone) as my excuse.