One way (maybe the only way) Yahoo can succeed

marissamayerAlibaba’s IPO has come and gone and with it Yahoo has lost the role of Alibaba proxy and its shares have begun to slide. Yahoo’s Wall Street honeymoon, if there ever was one, is over, leaving the company trying almost anything it can to avoid sliding into oblivion. Having covered Yahoo continuously since its founding 20 years ago it is clear Y! has little chance of managing its way out of this latest of many crises despite all the associated cash. But — if it will — Yahoo could invest its way to even greater success.

Yahoo CEO Marissa Mayer, thinking like Type A CEOs nearly always seem to think, wants to take some of the […]

The Fed suckered IBM into a failing cloud strategy?

Ginni_RomettyEconomist David Stockman, who is probably best known for being President Reagan’s budget director back in the era of voodoo economics, has been particularly outspoken about IBM as a poster child for bad policy on the part of the U.S. Federal Reserve. How this would be isn’t immediately obvious but I think is worth exploring because IBM is far from the only company so afflicted. There’s an important effect here to be understood about corporate motivations and their consequences.

So I’ll begin with a story. Almost 40 years ago there was a study I worked on at Stanford’s Institute for Communication Research having to do with helping farmers in Kentucky be […]

Bitcoin quietly goes legit

bitcoin-logo-3dThe U.S. Marshals Service doesn’t normally make economic policy but this week they apparently did so by auctioning 30,000 Bitcoins, a crypto currency I have written about before. This auction effectively legitimizes Bitcoins as part of the world economy. Am I the only one to notice this?

My first column on this subject was a cautionary tale pointing out the two great areas of vulnerability for Bitcoin: 1) the US Government might declare Bitcoins illegal, and; 2) someone might gain control of a majority of Bitcoins in which case their value could be manipulated. While number two is still theoretically possible it becomes less likely every day. And number […]

The Decline and Fall of IBM

Cringely_eBook-cover_1563x2500Well my IBM eBook is finally available. Right now that’s just on Amazon.com for the Kindle (just click the link to the right) but by next week it will be on every eBook platform (iPad Nook, etc.) and there will be a trade paperback as well as an audio edition. I’ll announce all of those here as they appear. 

I feel I owe an explanation for the long delay in publishing this book. I finished it in early January, about a week after my mother died, only to learn that my old-school book publisher didn’t want to touch it. Or more properly they wanted […]

Bitcoin is down but not out

bitcoin-logo-3dRegular readers will know that I’ve had my doubts about Bitcoin. Recent events in the Bitcoin world, especially the failure of Mt. Gox, the biggest Bitcoin exchange, have caused further problems for the crypto currency. But I’m oddly cheered by these events and am beginning to think Bitcoin may actually have a chance of surviving as a currency.

Willy Sutton, who made his career robbing banks, once explained that he robbed them “because that’s where the money is.” Well recent bad news in the world of Bitcoin follows a similar theme: yes there have been thefts, corruption, and a suicide, but all this is based not on Bitcoin’s failure but […]