Dana Blankenhorn

The Word for 2023 is Efficiency

If you can save costs, in business or consumer markets, you can make money.

This is technology’s big opportunity in 2023.

The cloud has already transformed how people interact. It’s now going to transform how machines interact.

Sensors and network software can be applied everywhere. Thanks to falling chip prices this can now be done cheaply. There is labor available to write the software, build the companies, and reap the rewards.

Consider the water system. Why aren’t sensors monitoring the condition of pipes, warning of potential failures, and identifying leaks the moment they occur? Why are water authorities still depending on people finding cracks in the street with water coming out of them on their own?

2023: Look on the Bright Side

If we’re to get through 2023 alive, we’re going to have to take joy where we find it.

We certainly didn’t find it in journalism this year. Editors on every beat have taken to writing aggressive, clickbait headlines, designed to provoke feelings of anger and depression. They do it because they’re rewarded by the algorithms of a failing Internet business model. They do it to boost traffic.

This is even true on my business beat, where every negative headline has a positive corollary. Rising prices create incentives and profits for producers. Rising interest rates mean savers can finally catch a break. Layoffs create opportunity for other employers while the job market remains tight.

The headlines are misleading because they take just one side. They make it appear the economy and markets are terrible even though the former is not.

2022: The Global Cold War

It was clear in 2020 that Americans were at war with ourselves.

In 2021 that became a Cold War, mostly played out in the media and state legislatures. There were some violent outbursts. There always are. But for the most part it was our war.

In 2022 that war became global. Russia invaded Ukraine. China ratcheted up its rhetoric about invading Taiwan. Afghanistan and Iran criminalized every woman in their countries. And the war became hotter here.

With the good people of this country activated, we won some notable victories. We held off the horde in our general election. Ukraine held off Russia. China’s economy rolled over, giving Xi Jinping something else to think about. Iran’s women revolted. Jair Bolsonaro lost his re-election.

The New Class Struggle

One of the biggest stories of 2022 is the discovery of a new class struggle, happening right under our noses.

It’s the product of our technology society. It’s between those who own this society and those who “merely” manage it.

When I was focusing my work on American political history, starting in 2006 with the launch of this blog, I assumed technology would lead us toward equity.

That’s because technology runs on human capital. Talent is the gating factor to growth. Not land, not people. Talent.

What does it take to nurture talent? You have to set a wide net, because it can come from anywhere. You have to educate everyone, because anyone could be great, and anyone who’s even good provides value. You can’t care where talent comes from, the color of its skin or the way its heart works or something called “disability.” Let talent find the ability it has, and exploit that.

Let people be free and make them comfortable. That’s the best way to raise children. It’s also the route to economic growth and saving the planet.

I Have a Dream for Netiquette

In the mid-1980s I joined a group called the Electronic Networking Association.

The ENA believed, naively, that if people could communicate across their differences, they might understand each other better.

Few people used the Internet then. We were all elites, intellectually at least. We were thoughtful and we shared a First World viewpoint, even if we lived in Japan, Europe or Africa. We shared values, sort of like the Quakers. 

What we believed in was Netiquette. These are simple rules for civilized behavior. Assume goodwill. Don’t yell. In short, be nice. When in doubt, apologize and resolve to do better.  

The punishment for a violation of Netiquette was a stern talking to, for both sides of the argument. The punishment for repeated outbursts was to be shunned by the group, dismissed, cast off.

The Trouble with E-Bikes

A month ago, I bought an e-Bike for the family. The Lectric 3 is a great value at $1,000. It folds to fit into a trunk, gets 20 miles of hills on a charge. It can do our shopping, my son’s commute, and even get me back to Stone Mountain next year.

Meanwhile, one of Atlanta’s city councilmembers has introduced an e-Bike rebate program. It’s an effort to accelerate uptake, which barely needs the stimulus.

But before the revolution, we need to talk. There’s trouble coming to River City.

You can already see it if you ride the Beltline, which Atlanta advertises as its ticket to the future. The Beltline is a long sidewalk that sits on old railroad right of way. By the end of the decade, it’s supposed to run all the way around intown Atlanta, 22 miles in all.

I love the Beltline. I love the idea that the city is building paths leading to the Beltline. I love the idea that e-Bikes could force planners to assume less inner-city car traffic.

But…

Andy Jassy Blues

Andy Jassy became CEO of Amazon almost 18 months ago.

I’m starting to believe he is not very good at his job.

Jassy spent his previous 15 years running Amazon Web Services. He built that cloud and managed its managers. He made it self-service and made Amazon THE Cloud Czar. That’s his genius. That’s what he’s good at. Let him do that.  

But running a store isn’t like running a Cloud. Stores need merchandising. Amazon’s store didn’t need merchandising while it was scaling, because demand took care of everything through the worst of COVID.

But now it needs merchandising. Walmart and Target all have good benches. Hire one of them and make them the face of the franchise. Their aim should be to use Amazon’s buying power to get the mass market goods Americans most want and leave niches to the giant third parties on the platform. (Those relations are vital, and need to be improved.) Coordinate with third party sellers instead of competing. Let them know your focus, have them tell Amazon theirs, and stay out of one another’s way.

Amazon also needs someone to operate the back end. That’s not easy, and it can kill good merchandising. Lowe’s found that out until they got Marvin Ellison out of JC Penney (he’d previously been with Home Depot). Jassy shouldn’t be involved.