Must-Read: Ben Thompson: TensorFlow and Monetizing Intellectual Property

Must-Read: Ben Thompson: TensorFlow and Monetizing Intellectual Property: “Ten years ago Bill Gates suggested that open source software…

…was the province of “modern-day sort of communists” whose views on intellectual property were hopelessly outdated…. “We’ve had the best intellectual property system…. Intellectual property is the incentive system for the products of the future.” Gates’ perspective was understandable…. Microsoft is still a big company… but an even bigger company today is Alphabet…. Its Google subsidiary announced it was open-sourcing TensorFlow, its formerly proprietary machine learning system…. Machine learning is super important to Google…. At a superficial level, this doesn’t make sense: if machine learning is core to Google’s future, then what is the point of giving it away?…

There’s a parallel to be drawn to my piece last week about Grantland and the (Surprising) Future of Publishing. The fundamental nature of the Internet makes monetizing infinitely reproducible intellectual property akin to selling ice to an Eskimo: it can be done, but it better be some really darn incredible ice, and even then the market is limited. A far more attainable and sustainable strategy is to instead focus on monetizing complements to said intellectual property, resulting in an outcome where everyone wins: intellectual property consumers, intellectual property copiers, and above all intellectual property creators.”

Must-Read: Ben Thompson: Grantland and the (Surprising) Future of Publishing

Must-Read:Ben Thompson: Grantland and the (Surprising) Future of Publishing: “As a reader this is frustrating…

…Vox stripped down to the political and policy coverage that is its raison d’être would almost certainly rate as a destination site for me; instead, faced with a deluge of rewrites and summarized videos, I miss most of the good stuff save for what I stumble across on social media. I’m certainly not going to waste my time wading through the filler on the homepage…. Still… Vox is… thriving while Grantland… is dead…. The only destination sites that really seem to be working either have massive brand equity that is being leveraged into subscriptions… or are tiny one-person operations that leverage the Internet to keep costs sustainably low while monetizing through small-scale native advertising (e.g. Daring Fireball and the now-retired Dooce.com, for example) or subscriptions (e.g. The Timmerman Report and the site you’re reading)…. The lesson of Grantland is that there is no room in the middle: not enough scale for advertising, and costs that are far too high for a viable subscription business…

Must-Read: Ben Thompson: Venture Capital and the Internet’s Impact

Ben Thompson: Venture Capital and the Internet’s Impact: “Because a company pays for AWS resources as they use them…

…it is possible to create an entirely new app for basically $0 in your spare time. Or, alternately, if you want to make a real go of it, a founder’s only costs are his or her forgone salary and the cost of hiring whomever he or she deems necessary to get a minimum viable product out the door. In dollar terms that means the cost of building a new idea has plummeted from the millions to the (low) hundreds of thousands…