I found this amazing news on an RSS feed earlier today. This is from TechCrunch and the full details can be consulted here.
Last week I came across this and had a hard time to believe what I read:
Firm: Apple surpasses HP as largest buyer of chips
Associated Press, Also appeared in Forbes, CNBC, San Jose Mercury News, Austin-American Statesman, 06/8 , Peter Svensson
NEW YORK — Driven by the success of the iPhone and iPad, Apple has become the world’s largest buyer of chips for computers and phones.
A research firm IHS iSuppli said Wednesday that Apple bought $17.5 billion worth of chips last year, surpassing computer maker Hewlett-Packard Co. as the largest consumer. That was an increase of 80 percent from the year before, reflecting Apple’s continuing sales surge.
According to iSuppli, an iPhone contains about $80 worth of chips. The chips include the central processor that acts as the brains of the device, radio chips that let it talk to cell towers and the audio chip that converts the owner’s voice into a stream of data.
Looking at this from a distance, it is amazing to see that a company that almost went bankrupt a few years back was able to reinvent and turn itself upside down so successfully that they have become a trend setter and a Leader entering into the XXI century.
It would actually be interesting to understand from the inside how such a rebirth was made possible as large corporations usually struggle to reinvent themselves with only a very few exceptions…
In this 8min INSEAD knowledge video, Silicon Valley veteran, Adeo Ressi, argues that there are clear market indicators that Google is on the decline already and the trend is here to stay as companies like Facebook and Twitter continue to make their way in the new connected world…
IT growth and global change: Ray Kurzweil interview – McKinsey Quarterly – Strategy – Innovation.
Utopia or dystopia? Vision or tomorrow’s reality? Time will tell how much of a visionary Ray Kurzweil was but I did not hear in everything he said something that seemed science fiction or extra-terrestrial to me. One thing is sure, technology is indeed progressing at an exponential pace rather than a linear one. Some will perceive it clearly as a threat when others will see opportunities for a better tomorrow. Again all a matter of perspective and opinion. But in reality, we are in the driver seat (who else would be?), we can decide where and how to apply technological innovation in order to solve mankind problems.
That will most probably be my last post for the year 2010. Here is an interesting interview of Shelley Leibowitz, CIO of the World Bank, about her transition from the private to the public sector and her learnings as the CIO of major private Finance institutions. Continue reading
Here is another interesting RSS feed:
Google’s Rubin claims 300,000 daily Android activations. Google’s Andy Rubin claims the company’s Android OS is seeing 300,000 smartphone activations every day. Outlets have been comparing this to Apple’s recent claims of 270,000 daily iPhone activations; however, some note that neither company provides data on how it calculates these numbers. Gartner projects that Android sales will exceed those of RIM’s BlackBerry and the iPhone by the end of the year. Wall Street Journal (blog); Network World (also Computerworld); eWeek; VNunet
Not so much interested in the bargain on the numbers between Apple and Google, I leave it to them, but the underlying trend instead. As a matter of fact what we observe is that Microsoft is steadily losing ground on the consumer front. Their market share got eroded on the PC and laptop front by the Linux Operating System (OS) in many different flavours. As one generation of end-users replaces the preceding one, I would expect that Microsoft will almost disappear completely from the consumer landscape. Of course, this will be a different story in the enterprise where Microsoft will continue to enjoy a large user base for the foreseeable future. But consumers are not willing to pay for an OS, it is a perceived as a given with the HW purchase. The OS by itself does not add any value to them, they find value in the apps coming on top of the OS, hence Apple disruptive business model with the iPhone. Indeed we already see this happening in the smart phone market, which is currently trusted by Apple with the iPhone and Google’s Android, Microsoft is not a tier-1 player there despite several attempts with multiple generations of Windows Mobile, which never took them very far…
So the IT landscape as we know it today, which is very much an heritage of the XX century, may not be the IT landscape in which our children will evolve in the global and connected world of the XXI one. The top IT companies of yesterday will not be the ones of tomorrow unless they are ready to re-invent themselves and offer truly disruptive business models in line with the expectations of XXI century consumers in mature AND emerging markets… That is the size of the challenge in front of them !
I was reading this RSS feed this morning:
Hackett Group claims IT jobs unlikely to grow. CIO relays The Hackett Group’s claim that automation, increased offshoring and better global IT infrastructure has resulted in a net loss of 1.5 million corporate IT jobs over the last decade, and though the firm expects annual job losses to narrow somewhat over the next few years, it does not believe IT will create new jobs in the near future. CIO (also Network World)
On the one side, we see an explosion of consumer devices (smart phones, tablets, netbooks… etc), which should create IT job opportunities but mostly for SW developers. On the other side, in the enterprise, we see a lot of IT transformation, standardization, consolidation, rationalization, resulting in an expected net loss of IT jobs. At the same time, the explosion of consumer devices seems to come primarily from end-users, who were not connected to the web yet because the desktop PC or the laptop was not affordable. If that is the case, then western Europe and US IT professionals should worry about this global market trend because IT job opportunities won’t be in their country any longer, they will be where the consumers are.
That being a fact, what shall we do about it? Enjoy the job we have for how long it will last or anticipate what will come anyway and be ready to switch maybe even before the change has become mandatory.