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Australian Media Fails on Innovation – Again

Sunday, January 31st, 2010

It’s not a new story, but the Herald’s latest installment of the Firepower saga highlighted again how incredibly lacking in innovation insight the Australian media has been.

In his own testimony, Firepower founder Tim Johnston admitted that the entire saga was predicated around a product idea that not only would never reach fruition, but that he was able to convince investors that there was no need for there ever to be a product, just that the hype of an “impending” product with a massive possible market was more than enough to ensure riches.

Besides Johnston, there are many, many other guilty parties in this saga.

For starters, the investors. There should be a corporate law stating that any company that sponsors a national sporting team before they generate revenues should have their CEO immediately jailed. Any investors that willingly allow this to happen should join them. Firepower’s sponsorship of (Australian) NBL teams, the Western Force Rugby franchise (and for his implication, a massive shame on Matt Giteau and his management) and other endorsements is an indictment of all involved.

And again, the media. One could argue that the high-profile sponsorships were a brilliant tactic to divert journalistic inquiry away from when or if ever Firepower would actually ship a product. Why, oh why, did nobody in the business media ever ask? Firepower generated so much business press – mostly through star-struck musings about it’s high-profile investors – surely, surely some editorial resource could have asked “Umm, Mr Johnston, could you tell us when you’ll actually ship a product?”.

I’ve written before in disdainful terms of how the business media ignores innovation, Firepower is an example of how little interest there is until there is some sort of showbiz angle about a company – and in this case, all the media interest came at the cost of any form of rational review of Firepower as a business. There are so many good, innovative companies – even in the “green energy” space that Firepower fraudulently occupied – that are absolutely starved of media awareness in Australia.

Maybe too many journalists got good seats at the Basketball so they wouldn’t ask the obvious questions?

I’m also less than impressed with Austrade’s role in promoting Firepower as a successful export company. C’mon guys, you’ve got to be kidding. Even piddling little EMDG application forms require the submission of company accounts – why is nobody in Austrade being fired over their promotion of Firepower? Didn’t anyone ask if there was a product coming along anytime?

Again, maybe the senior bureaucrats were too busy being feted at the football to notice they were promoting a fraud. Pity, as the federal government’s agency charged with promoting Australian innovation overseas they have a pretty strategic mandate to not get conned.

In this case, we award a “fail” mark to all of them.

Business Magazine Shortfalls

Sunday, November 15th, 2009

Anthill Magazine, an Australian-based publication, has been in steady production since September 2006 and, as an entrepreneur my hat’s off to Anthill’s founder and publisher James Tuckermann, who earlier this year transitioned to a mostly-online commercial model, while the magazine itself still physically appears a few times each year.

Anthill now publishes a series of themed daily e-mails and acts as a sort of aggregation blogging site for a number of contributors. It also has a number of annual awards: Cool Company, 30 Under 30 – and an Innovation Index.

And I really respect what James has done and is doing, so it was with a split conscience that I clicked on the recent survey link and added my two cents worth. And – on one level because there’s a case of Shiraz in the offing – decided to be clear and concise in my feedback, AND willingly assign my name to it.

Which was, simply, that if James’ intention on founding Anthill was to counter a perceived “dryness” in Australian business media, amassing a collection of blogs on “contemporary” business topics (SEO, SEO, SEO + social networking) doesn’t automatically make a good business publication.

In fact, it seems kind of like a lazy way out – and hence my summation that Anthill fails to live up to its potential.

I’m not for a minute suggesting that I’ll be awarded the prize case of Shiraz (although I’d gladly give it a good home), and I know that in a resource-starved business environment accepting the multitude of  blogged contributions from SEO swaggerers and business coaches might be of some use to the broader SME market. but to me that isn’t business, it’s just providing online advice outlets to self-promoters. Who might as well (and usually do) have their own blogs anyway.

What’s lacking in the Australian business media is any sense of business journalism aimed at the innovation sector. Seeking out good stories, not just publishing yet-another “cool” list or ghost-writing OpEd pieces. I’ve run my own businesses, generating software IP and real revenues, for more than 7 years now – and I can say without any sense of self-deprecation I have learnt literally everything I know from listening to the war stories of fellow entrepreneurs. Not their product pitches, not their VC-endearing confidence-speak, just the stories about how and why they took or were forced to take the directions they did.

In this country it seems that you have to massively fail in a ball of flames, be a property developer, or have a mining lease somewhere to get anything written about you in the business press. Or be able to brag about your SEO prowess.

Look at Andrew Denton’s ability to get stories out of ordinary people with extraordinary experiences, and compare that to what you see on current affairs programs, and you’ll appreciate the contrast I’m talking about.

I really wish Anthill or someone else would pick up this opportunity to provide business journalism; James clearly has so much potential – I just wish he would follow his own mantra.

And James, if you’re reading this, I really meant what I said – I’d willingly give that Shiraz a good home!

A blog post is…..

Sunday, October 4th, 2009

Forthcoming, I promise.

I’ve been somewhat distracted in the past few weeks; there’s no one specific area that’s had me swamped, just the general pressure of the business – it’s a tough commercial environment, in case you haven’t noticed – and optimistically planning for a new phase of growth in 2010.

There have been however a number of topics I’m keen to write up: one is my recent endeavors with SIP, VoIP, and Asterisk in particular (I’ve become a big fan). I also want to put up a post about some of the “initiatives” I’ve seen from so-called “leading” VCs in Australia lately.

On a serious note, Mother Nature has given the South Pacific, India and Indonesia an absolute battering in these past few weeks, and my thoughts are with those who have friends and family in peril, pain, or uniquely challenging situations as a result.

And finally, I want to start bragging about a number of initiatives we’ve been cooking up in the labs of late, which is one of the things fueling my optimism for the next calendar year.

So its Sunday night, October 4th, and I’m going to plan a blog entry each day this week.  Stay tuned.

Where is Australian Business Media on Innovation?

Thursday, June 4th, 2009

A few weeks back I blogged about the perceived implementation delays surrounding Minister Kim Carr’s 18th March 2009 announcement of up to $83 million to early stage companies who have been “starved of funds due to the global financial crisis”.

Its coming up to three months since the announcement date, and it appears that neither the Minister nor the licensed venture capital fund managers have any specific knowledge on when and how the program will be initiated, much less on when the funding will actually flow to qualifying companies.

The Minister’s own press release said this funding was critical: “If we lose these innovative companies we will never get them back”.

A stated benefit of the fund was that “making money available will boost confidence and help shake loose additional private sector capital”. It stands to reason therefore that by not implementing the so-called Innovation Investment Follow-on Fund (IIFF) we will lose companies, we will lose those (apparently valued by the Minister) “high-skill, high-wage” jobs.

So where is the Australian media on this? If Apple, or another US multinational so much as hinted of a new product, and then delayed the launch, Australian business and technology journalists would be wailing about the wait each day.

C’mon folks – you know who you are. How about asking a few questions for the sake of Australian Innovation?

Location Logic finds a new home

Thursday, May 21st, 2009

This posting probably would be more appropriate on the Locatrix blog, but Wireless Developer Network has reported that TCS have acquired the assets of Autodesk’s former Location Services division, which had a brief life as privately-owned Location Logic.

The transaction is of interest in several ways. Firstly, I wondered if the private equity firms that acquired the assets from Autodesk earlier this year did well in their 4 months of ownership. Secondly, the revenues stated for Location Logic of US$18M ($5M EBIT), primarily from Sprint and Verizon, suggest that there’s still room for expansion in the sector.

And thirdly, it’s led me to wonder about the employees – I had quite a few friends at ADSK, and in 2006 was invited to sit on their developer advisory council. They were good folks – I hope they have found the new owners welcoming (but I’m noting that the release explicitly specified the acquisition of the assets of Location Logic, not the business itself).

I think I’ll go send a few e-mails.

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