Supplier Report: 1/7/2017

Japan’s love of technology might be backfiring for their salarymen as 36 white collar workers have been replaced by IBM’s Watson technology (long term they will need it due to declining a declining population). Foxconn workers in China are also being phased out in favor of automation and robotics (because young Chinese workers don’t want to be treated like robots).

The US Healthcare industry is expected to grow their use of cognitive computing by 42% (compound annual growth rate) over the next 4 years. During those 4 years your car is also expected to get much smarter as Amazon and Microsoft are putting their AI technologies in your dashboard.

Acquisitions

  • Google buys Sweden’s Limes Audio to boost Hangouts voice quality

    “As more and more businesses adopt our video conferencing solutions, powered by Chromebox for Meetings and Google Hangouts, it’s critical that we provide a great audio experience. With G Suite customers now relying on video communications for their day-to-day meetings, it’s more important than ever to ensure low-cost, high-quality audio.”

    https://techcrunch.com/2017/01/05/google-acquires-limes-audio/?ncid=rss

  • Why LinkedIn Under Microsoft Is Doomed (this article is a little misguided, but a fun read)

    There are two things Microsoft will most likely do to LinkedIn. The first would be to leave it alone, which—from what I can tell—will worsen the product. But Redmond could also come in and ruin the product with a few years of meddling, just as it did with everything from Nokia to WebTV.

    So the likelihood of anything good coming from the LinkedIn buyout is improbable, at best. This, despite the fact that Satya Nadella is at the helm. The problem is the corporate culture, not the bosses.

    http://www.pcmag.com/commentary/350754/why-linkedin-under-microsoft-is-doomed

Artificial Intelligence

Cloud

  • AT&T Goes All In on IoT at CES

    In a series of announcement at the show, AT&T revealed a new partnership with Emerson for methane emissions monitoring, announced the addition of Portland, Ore., as a new spotlight city in its Smart Cities program, and launched a new IoT Professional Services offering that will lend the carrier’s expertise to help businesses design, test, deploy, and manage IoT solutions. Alongside the latter, AT&T also introduced a new light version of its IoT Starter Kit, a dedicated starter kit for the Amazon Web Services (AWS) IoT service, and a more streamlined IoT device certification process.

    https://www.wirelessweek.com/news/2017/01/t-goes-all-iot-ces

  • Microsoft unveils connected car strategy at CES 2017: ‘Cloud will do the heavy lifting’

    The platform allows automakers to leverage Microsoft’s virtual assistants, business applications, and office services, the post said. It will also help integrate productivity tools such as Cortana, Office 365, and Skype for Business into vehicles.

    http://www.techrepublic.com/article/microsoft-unveils-connected-car-strategy-at-ces-2017-cloud-will-do-the-heavy-lifting/

Datacenter

  • Dell EMC serves up ‘white glove’ treatment to exclusive top-tier partner level

    “Partners with Titanium Black status have placed a big bet on Dell EMC,” Byrne said. “They’re going above and beyond. They’re investing heavily in us and we are returning the investment in them so they can continue to achieve the extraordinary.

    “Titanium Black provides a rare and distinctive opportunity far and above what partners have experienced anywhere in the industry. Through the Dell EMC Partner Program, Dell EMC and our partners will attack the market, with our Titanium Black partners leading the way. We will deliver incredible transformation for our customers. We’ll be the channel to watch.”

    http://www.channelnomics.com/channelnomics-us/news/3001801/dell-emc-serves-up-white-glove-treatment-to-exclusive-top-tier-partner-level

  • Better Buy: Hewlett-Packard Enterprise Co vs. Cisco Systems, Inc

    Even after its banner 2016, HP Enterprise stock is trading at a mere 11 times future earnings, making it one of the best values in its sector. Cisco is tradingat just 12 times forward earnings, and with its nearly 3.5% dividend yield and future prospects, it’s the better buy for growth and income investors.

    That said, when the smoke clears, HP Enterprise will be ideally positioned to grow by leaps and bounds as 2017 progresses — and beyond. For investors in search of pure growth potential, HP Enterprise gets the nod.

    http://www.foxbusiness.com/markets/2017/01/04/better-buy-hewlett-packard-enterprise-co-vs-cisco-systems-inc.html
    But where is HPE’s growth coming from? Storage? That can’t last.

Software/SaaS

  • Oracle is starting to fine customers who thought they were using free Java software

    At issue, reports Clarke, is a hugely popular version of Java called Java Standard Edition (or Java SE), that anyone can download from the Oracle website.

    One unnamed retailer that underwent an audit on Java was issued a $100,000 bill, negotiated down to $30,000, The Register reports. And this could be only the beginning. Sources told Clarke that Oracle has hired 20 Java specialists for its License Management Services (LMS) department, the ones who do the audits.

    http://www.businessinsider.com/oracle-starts-to-audit-java-customers-2016-12
    But Oracle is publicly stating that they ARE NOT increasing audits…
    Oracle denies it’s ramping up a program that fines customers for using software they thought was free

    Oracle’s commitment to Java and its community remains stronger than ever, as shared recently at JavaOne. Oracle is not ramping Java SE compliance activity or hiring of compliance staff. The licensing model and policies for Java SE have remained unchanged since before the acquisition of Sun Microsystems. It is incorrect to imply that it’s easy for users to accidentally use Java SE Advanced features.

    http://www.businessinsider.com/oracle-says-it-is-not-ramping-up-a-audits-of-java-2016-12

  • It’s Official: Microsoft Eliminates Yammer Enterprise Plan

    Orton described that decision as a natural product evolution. Earlier this year, Microsoft turned on Yammer by default for all eligible Office 365 customers. Since then, the vast majority of Yammer customers use it as part of an Office 365 subscription. The stand-alone version was retired Jan. 1, although those who are already using it can continue to do so at least through the end of this year (and, in exceptional cases, as long as 2019).

    http://www.cmswire.com/digital-workplace/its-official-microsoft-eliminates-yammer-enterprise-plan/

Other

  • 11 things we think will happen in business technology in 2017

    In 2016, Microsoft and Google — widely seen as the second- and third-place contenders in the cloud wars with Amazon, respectively — made big hires and masterminded partnerships and acquisitions to bolster out their sales pitch to enterprises.

    Amazon may be the undisputed leader in the space, but Microsoft and Google aren’t taking it lying down. Watch this space: The cloud computing market is still growing, and so vicious competition will be the order of the day.

    http://www.sfgate.com/technology/businessinsider/article/11-things-we-think-will-happen-in-business-10830675.php

  • Department of Labor sues Google over wage data

    The agency is seeking what it calls “routine” information about wages and the company’s equal opportunity program. The agency filed a lawsuit with its Office of Administrative Law Judges to gain access to the information, it announced Wednesday.

    Google, as a federal contractor, is required to provide the data as part of a compliance check by the agency’s Office of Federal Contract Compliance Programs (OFCCP), according to the Department of Labor. The inquiry is focused on Google’s compliance with equal employment laws, the agency said.

    http://www.cio.com/article/3154772/government/department-of-labor-sues-google-over-wage-data.html

Photo: Megapixelstock

Supplier Report: 12/31/2016

Alas… the last supplier report of the year.

We had an insane year of M&A and corporate entity disintegration (I am looking at you HP).  AI is getting popular not only in enterprise but also in your home thanks to Amazon and Google. Cloud continues to expand in function and use and AWS is the uncontested champ in 2016.

Year-end news cycles dictate a deluge of retrospective and predictive slop. Who am I to reject this time-honored tradition? Prepare yourself for a summary of summaries!

Acquisitions

Artificial Intelligence

  • 2016: The Year That Deep Learning Took Over the Internet

    As they push this technology into their own products as services, the giants of the internet are also pushing it into the hands of others. At the end of 2015, Google open sourced TensorFlow, and over the past year, this once-proprietary software spread well beyond the company’s walls, all the way to people like Amanda Hodgson. At the same time, Google, Microsoft, and Amazon began offering their deep learning tech via cloud computing services that any coder or company can use to build their own apps. Artificial intelligence-as-a-service may wind up as the biggest business for all three of these online giants.

    https://www.wired.com/2016/12/2016-year-deep-learning-took-internet/

  • AI was everywhere in 2016

    The technology that has long been aimed at replicating human intelligence now seems to be paying attention to human patterns and behaviors. Recent advances in deep learning have enabled that kind of insight, but it’s not limited to beating humans at games. In 2016, AI broke out of the confines of research labs to transform the way we live, communicate and even conserve the planet. Chatbots popped up in group texts. Personal assistants invaded our homes. Cognitive systems are detecting cancer. Bots are writing movie scripts. And car makers are gearing up to unleash a bevy of autonomous vehicles onto public roads.

    https://www.engadget.com/2016/12/25/ai-was-everywhere-in-2016/

  • Apple Publishes Its First Artificial Intelligence Paper (thanks JD!)

    To improve training with synthetic image data, the paper suggests what the Apple researchers call Simulated+Unsupervised learning, where the realism of a simulated image is boosted. The Apple researchers use a modified version of a new machine learning technique called Generative Adversarial Networks, which pits two neural networks against each other and has been used to generate photorealistic images.

    http://www.forbes.com/sites/aarontilley/2016/12/26/apple-publishes-its-first-artificial-intelligence-paper/#2bfa800c4cfe

  • IBM Working On Robot To Help Elderly

    The MERA uses IBM’s Watson AI to provide assistance to the elderly and monitor vital signs and environmental changes in a non-invasive manner.

    IBM Research also plans to work with Sole Cooperativa, a healthcare provider in Italy, to install sensors in senior housing communities to monitor day-to-day activities of residents.

    http://www.nasdaq.com/article/ibm-working-on-robot-to-help-elderly-20161228-00307
    If only IBM can create a robot to help an elderly bank robber make one last score…

Cloud

  • Cleveland Clinic, IBM bolster technology partnership

    In addition, Smith points to IBM’s 2015 acquisition of Explorys, a population health analytics vendor, which was developed by Cleveland Clinic physicians and IT experts before becoming a spin-off company in 2009—as an example of the technological cross-pollination between the two organizations.

    “It’s been a mutually beneficial relationship. We’re creating value for each other,” concludes Smith. “That’s the kind of partnership it has been, and it will continue. The sky’s the limit.”

    http://www.healthdatamanagement.com/news/cleveland-clinic-ibm-bolster-technology-partnership

Datacenter

  • Pure Storage: The Best House In The Worst Street?

    The storage market is too competitive to support new entrants unless they can truly disrupt the competition and industry. For the reasons explained above, we believe PSTG is doing just this and is hurting NMBL, EMC and NTAP. NMBL is growing, but is facing intense competition as described earlier and we don’t believe it will become profitable and independent. NMBL will struggle.

    We believe PSTG is strengthening its competitive position and is consistently rolling out new products such as M10 and FlashBlade to provide a consistent increase in its TAM. This continuous strengthening of its competitive position and innovation gives PSTG a real chance to succeed. Success means independent and profitable.

    http://seekingalpha.com/article/4032940-pure-storage-best-house-worst-street

Software/SaaS

Other

  • Mass. lost public companies and saw few IPOs in 2016

    And this year’s IPO class raised just under $19 billion, the smallest amount since 2003, when 68 companies brought in a combined $15.2 billion, Renaissance reported.

    The effect was felt strongly in Massachusetts, where a dozen companies held IPOs, just two of them from the state’s important tech sector. It was the lowest tally for Massachusetts since 2012, when nine companies went public, Renaissance said.

    https://www.bostonglobe.com/business/2016/12/26/mass-lost-companies-saw-few-ipos/S1v4ii4lronznWHgWPZ4rO/story.html

  • The Highest Paid Tech CEOs Of 2016

    Larry Ellison often topped the charts of the highest paid tech CEOs. Now his successors – who made $53 million last year – share the distinction of the highest paid tech CEO. Hurd is the former Chairman, Chief Executive Officer, and President of Hewlett-Packard. As Oracle’s co-CEO, he received a 41% raise in 2015, driving the value of his pay package to $53.2 million. Nearly all of Hurd’s compensation came in the form of stock and option awards valued at $52.3 million.

    Catz is an Israeli-born American, who joined Oracle Corporation in 1999. She is credited for having driven Oracle’s efforts to acquire software rival PeopleSoft in a $10.3 billion takeover in 2005. Like her co-CEO, Catz received a $53.2 million pay package – up 41% from $37.7 million in the previous year – that consists nearly entirely of stock and option awards (with the exception of a $950,000 salary and miscellaneous perks.)

    http://www.cxotoday.com/story/the-highest-paid-tech-ceos-of-2016/

  • Will Amazon or Microsoft be the first trillion-dollar technology company?

    A writer for Equities.com – a financial website that accepts submitted articles from users – on Monday predicted Microsoft’s recent LinkedIn acquisition will propel the company to become the first to reach a $1 trillion market capitalization. Michael Markowski wrote in a widely reported post on the website that Microsoft will reach the milestone largely because of the applications for LinkedIn in the online equity crowdfunding space.

    http://www.bizjournals.com/seattle/news/2016/12/27/amazon-microsoft-first-trillion-dollar-tech.html

  • Why 2017 Might Be a Difficult Year for Microsoft

    First and foremost, Microsoft, under Satya Nadella—who stepped in as chief executive, replacing Ballmer about three years ago—must prove it can do big acquisitions well. Microsoft’s record there is checkered following misfires with Nokia and aQuantive—both purchases resulting in huge write-offs. That means all eyes will be on how the software giant does with its just completed $26 billion purchase of LinkedIn.

    http://fortune.com/2016/12/28/microsoft-2017/

Photo: Chris Lawton