voice rss project paper v 3

8/14/2019 voice rss project paper v 3

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Voice on the Internet:

A Business Case for the Voice RSS Project

Tom Hickerson

October 17, 2004September 7, 2004Professor Carolyn Gideon

Extension to COMP150MMC, Multimedia Communications


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Introduction

The Voice RSS project is an audio RSS aggregator that is available though the telephone,

and able to parse information from different websites using the RSS standard, which has

become widely popular even among large media organizations.

RSS has been a standard in change, standing first for Really Simple Syndication, and

later standing for RDF (Resource Description Framework) Site Summary, having been

adopted and modified to support standards proposed by the Semantic Web working group

within the World Wide Web Consortium. What RSS does, essentially, is syndicate

content in one format using extended markup language (XML) to allow the format to be

sent and parsed by a number of different services. Content generated on one site can be

displayed on a page (usually called a feed) using RSS-compliant XML, and can then be

easily parsed and displayed by an outside application. RSS has not only been used for

content syndication; programmers sometime use RSS to publish logs of changes made to

their code, or bugs that need to be fixed.

As an example, the Voice RSS project has selected four different feeds, each one a

different version of RSS, and used them in the online demo: Slashdot

(http://slashdot.org/index.rss ), Tinctoris ( http://www.tinctoris.com/news.rss ), Yahoo

Technology News ( http://rss.news.yahoo.com/rss/tech ), and the BBC News World

Edition ( http://news.bbc.co.uk/rss/newsonline_world_edition/front_page/rss091.xml ).

The main page for the demo is located at http://www.aduni.org/~tomh/mmc , and can be

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http://slashdot.org/index.rsshttp://www.tinctoris.com/news.rsshttp://rss.news.yahoo.com/rss/techhttp://news.bbc.co.uk/rss/newsonline_world_edition/front_page/rss091.xmlhttp://www.aduni.org/~tomh/mmchttp://slashdot.org/index.rsshttp://www.tinctoris.com/news.rsshttp://rss.news.yahoo.com/rss/techhttp://news.bbc.co.uk/rss/newsonline_world_edition/front_page/rss091.xmlhttp://www.aduni.org/~tomh/mmc


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market realities of each possible business area will also be discussed, together with

several policy issues.

Business Models

The Voice RSS Project takes advantage of several open-source packages and the open

medium of RDF Site Syndication, developed by the World Wide Web Consortium (W3C)

to support the idea of the Semantic Web. When we are considering users who would

adopt a new technology right away, we tend to think of ways we can attract the early

adopters for a system, so that others will eventually follow. One of the ways a newtechnology often attracts users is through its ingenuity; a project that takes materials

commonly available and combines them in a new way can attract just by way of its being

unique, new and exciting. A compelling project such as this one, to provide content

being read through the telephone using open standards that were already in place , there is

gives us an initial impression that there is a viable business scenario here .; However, the

only way to attract early adopters on the strength of providing something new and

innovative means that the project should be the first of its kind, and not be perceived as

what marketers call an imitator or me, too type of service. combining existing

technology in a new and innovative way should yield benefits, even if it is only because

the project is the first of its kind.

When we consider the realm of possibilities for content providers through a medium as

large as the Internet, however, we begin to get a sense that the project will have to rely on

strategy and strong partnerships in order to exist, or even be viable. Why would users

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pick Voice RSS over accessing a web page? Why would users pick Voice RSS over

buying a newspaper? What would be incentives for usage? On the other end of the

spectrum, what would be incentives for content providers to allow Voice RSS use of its

content?

Identifying the Customer Base

The Voice RSS Project can be sold on several points:

o

Convenience. In the wake of the Internet and other telephony technologies,

consumers have become attached to the desire to keep connected to information,

and receive updates as news develops. Consumers could pay for quick and ready

access to news where sitting down to a computer terminal may not be practical.

The down side is that other technologies are responding to the need for

connectivity, as wireless access points are growing across the nation, and web-

enabled cell phones are able to pick up content from providers just as easy as the

Voice RSS Project.

o Access. For consumers with disabilities, access to the Internet can sometimes be

an ordeal. Partnering with health and access services within hospitals could

provide patients with content that they could listen to on the telephone, without

the use of vision. Access to the Internet could also be sold to developingcountries, where the citizens are not as wired as the citizens of the United States

and Europe. Work within developing countries will be covered in a later section

of this paper, under Markets.

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o Growing Content Base. For content providers, the service could be sold as a

means to reach a wider audience. Sponsorship of content services is a way to

bring the company name to the users of that service, and provide favorable PR.

Revenue for the customer base in the above three fields would be based on a partnership

or sponsorship approach, i.e. working with a mobile phone company to provide an added

convenience to its users, working with a hospital to provide access for its blind and sight-

disabled patients, or working with content providers to place their content on the system.

In clarifying the three fields above, we need to develop selling points for distributing and

accessing content using the Voice RSS Project.

o Convenience: Arguments for distribution. The service charges for content to be

delivered by sponsors, allowing them time to advertise between content items.

Content providers would then be buying advertising, in a sense, in a market where

it might not otherwise appear, i.e. a newspaper advertising its paper copies with a

sample set of stories available through the telephone.

o Convenience: Arguments for use. The service charges a cell phone partner (or

the users themselves) to come bundled together with a premium package for cell

phone subscription, i.e. cell phone users could each pay a dollar or more a month

to have this service together with their other services. In this fashion, the service

would then have a chance to catch on not only with cell phone users, but also be

sold to subscribers of land-line service for an extra dollar.

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o Access: Arguments for distribution. The service charges for content providers to

advertise, attracting a new group of clientele who may not be able to see

advertising or read it in print.

o Access: Arguments for use. The service charges users, through hospitals or other

health care providers, to access the voice-only interface before, during and after

medical procedures where the users are visually or physically disabled. Hospitals

have developed online diversions for patients already, such as using virtual-reality

headsets for chemotherapy patients and burn victims, which carried an estimated

cost of only $5 per person, per session1

. The Project, arguably, may not be able to

offer such a low price per person at first to cover its costs; as the service becomes

more and more popular, charges to advertisers will rise and the charge to the

consumer will lower somewhat.

o Content Base: Arguments for distribution. The service charges for content

providers to reach a larger audience, through the telephone instead of the web.

Note that this will be more successful in countries that have more cell phone

usage than computer usage.

o Content Base: Arguments for use. Again partnering with a cell phone service, the

service charges users a small fee, which would be smaller than a subscription to

the daily newspaper or smaller than an hour of time at a web-caf.

Note that all these arguments circle around the following factors:

1 Mundell, Virtual Reality Fights the Reality of Pain, located athttp://www.healthcentral.com/news/NewsFullText.cfm?id=519789 .

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1. Price: the ability to compete on price and charge a small amount per user in a

medium to large user base;

2. Partnership: the ability to connect with a larger entity whether it be a hospital, cell

phone provider, etc. and agree on a system-usage or content-distribution plan;

3. Philosophy: the open willingness to tailor the Voice RSS Project to assist in

providing access for users who otherwise cannot access the public Internet. Note

that this philosophy is more applicable to the strategies for Access and Growing

Content Base, and we will discuss how philosophy can attract or repel users

below.All three points are necessary, since we are working with the assumption that we are

deploying the service as the first mover in this field. We require a small price, so that we

can introduce ourselves to a large user base for low cost. We require a stable partnership

so that we can use existing networks or infrastructure to push the service out to as many

users as possible. We also require the philosophy, since we want to distinguish this

service in the minds of the consumers who will subscribe to the product.

With these questions about revenue and strategy answered, we can take a quick look at

several existing providers of content online, and how their business models have

developed as the Internet has grown. Each content provider listed below already

syndicates their content in RSS format, and therefore has content ready-made for the

Voice RSS system.

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Case #1: Craigs List

The site Craigs List ( http://www.craigslist.com ) started with humble beginnings, as an

email list in 1994, sent out to several hundred friends about events and happenings in San

Francisco area. Starting as a real company in 1999, the Craigs List has branched out to a

number of cities in the United States, Canada, and the United Kingdom, providing an

outlet for each community for rental listings, jobs, events, and personals, among other

things.

The company itself only charges for posting jobsabout $75 in San Francisco, $25 in New York, free everywhere elseand has 15 employees in California. In recent news,

the auction giant eBay has bought 25 percent of the company, but the founder of the

company, Craig Newmark, has insisted that this will not change the structure of the

business, stating Like craigslist, eBay is about helping folks get everyday stuff done, on

a level playing field - they emphasize trustworthiness and reputation, and try really hard

to listen to people. Basically, we're both about building community, and humanizing and

democratizing the 'net. 2

While other sources exist for providing ads, personals, and other commentary, Craigs list

has grabbed a share of the content space for several reasons:

1. Pricemostly free (with little or no advertising on the site);

2. Partnershipworking with eBay to share knowledge and resources, but not to

replace the companys current culture and strategy with another;

2 Quoted directly from Craig Newmarks weblog, http://www.cnewmark.com/archives/000265.html , accessed on August 28, 2004.

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3. Philosophyallow the site to be democratic in nature, and provide for an online

community of users based on locations.

While the points align themselves with the points outlined above and the potential to

grow is now in place, the company still only maintains a small office in California, and

has no plans for going public with an offering. Newmark maintains that, in the wake of

the dot-com bubble, its smart growth that will keep them in business.

Case #2: The New York Times

While Craigs List can be placed in a category of recently created companies that are

maximizing the Internets potential because no part of their business is located outside the

Internet, there are many traditional content providers that are using RSS and an online

content distribution format that are successful as well. The New York Times

(http://www.nytimes.com/ ) has been online for at least five years, and is committed to

providing much of its printed content on the public Internet for subscribers.

In the traditional vein, the New York Times asks users who access its content to subscribe

and log in to the site in order to see anything linked from its home page. With a nod to

the freeness of the Internet, subscription is free, but it does require that users submit

personal information and then check whether or not they would like to receive messages

from sponsors, such as MGM Studios, eFax or Waterford.com. Some things carry a fee,

such as access to some dated articles (most are located in a Premium Archive for free),

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access to the crossword puzzle, or posting classified ads (which are mostly still done over

the telephone).

While most users do not mind submitting personal information over the Web, there is a

small group of users that balks at the idea of giving out personal information for free, and

they view the opportunity cost of their privacy as more valuable than access to the Times.

To this end, there has been some backlash against this type of subscription service, with

the creation of the site BugMeNot ( http://www.bugmenot.com/ ), a site specifically

created to bypass free registration at not only the New York Times, but also anynewspaper site that requires free registration. Imagine if every news site required free

registration, the site states in its frequently asked questions section. Its a breach of

privacy, [and] sites dont have a great track record with the whole spam thing, the site

also states, implying that content providers give out their clients email addresses to

advertisers 3. The Times privacy policy does state that it will only share aggregate

information with sponsors, but does not release private information to third parties,

except in compliance with the law 4.

Again, we can take a look at the above three points and see where the New York Times

fits in as a content provider:

1. Priceessentially, content is free, with some charges for services;

3 Quoted from BugMeNots Frequently Asked Questions (FAQ) page, http://www.bugmenot.com/faq.php ,accessed online September 6, 2004.4 As stated in the New York Times Privacy Policy,http://www.nytimes.com/ref/membercenter/help/privacy.html , accessed online September 6, 2004.

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2. Partnershippartners with advertisers online and sponsors, or traditional partners

that it has worked with in the past (with Lexis-Nexus, for example, for

researching articles);

3. Philosophywhile access is open, the Times requires registration, which has

irked some users to create fake accounts or use BugMeNot.

In taking a thousand-foot-high look at two providers of content, we see that the broad

definition of incentives for using the service can be boiled down to the above three

points. Price initially attracts users; the capabilities of the site, together with its Partners,can keep users coming back. But Philosophy, or the strategy of the site and how it relates

to its users online, also plays a role in attracting users and clients. Does it protect the

users privacy? Is it in a format that users understand? Does it try to advertise sponsors

to the user too many times? Do users view the provider as too corporate or too

independent? In crafting a strategy that will attract users, providers of content in any

mediumprint, web, or even voicewill have to consider these questions carefully

before providing their content. Changes in company strategy will change users

perceptions of the company, and may cause many users to switch to another alternative

rather than stay with the current provider.

Other Competitors, Other Attitudes

Up until now, we have looked at two competitors broadly with the idea that they are two

ends to the content provider spectrum; one a dot-com startup that only exists online, the

other a department of a traditional media player, with outside sources of revenue,

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subscription and content. There are many more competitors in between the two in

content delivery systems, but there are also other competitors outside content delivery,

that are more technical in nature. These companies are more about providing some type

of technology to address issues such as the ones we outlined above, but without the use of

content at all.

For example, Washington, DC-based Voxiva uses voice applications to chart the

outbreaks of disease in developing countries like Peru and Iraq. While it does not

provide content, it does provide access to systems using the telephone, and collectsvaluable data that can be used as an accessible resource in a developing country. More

aggressive programs focusing entirely on access to the Internet for developing countries

are moving forward now as well; Advanced Micro Devices has launched a program

entitled, 50x15, which has the goal of connecting 50% of the worlds population by

2015. Part of this program involves the creation and distribution of much cheaper

devices to connect to the Internet than the traditional computers and handheld computers

that are in use today.

Covering such a diverse group of competitors is a daunting task, but these competitors

may be in a better position strategically to compete and enter the content provider market.

Since they are more focused on using technology to address one of our three business

models above, namely providing Access, they have clearer goals and can decide to enter

quickly, since it is already part of their core mission.

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What distinguishes the Voice RSS project from its competitors is its dedication to a single

service that is unique and appeals to the consumer. Projects that Voxiva or AMD begin to

implement will be dedicated to creating a broader service, like Internet access, or

multiple services, like entering data on several different diseases. If Voice RSS can

establish itself first, companies may not want to create a similar service, since the

markets needs for that service will already be met and other untapped and more

appealing markets will exist in a given country.

Barriers to Entry

Nonetheless, fF uture competition is sure to follow a successful idea. If the Voice RSS

Project were to capitalize on one or more of the business avenues above, what are the

costs to other firms anxious to compete against the Project?

1. Technology Cost: Voice RSS runs on a voice browser system run by BeVocal,

Inc., a firm which gives away developer accounts for free but then charges for

professional use. Any company wanting to enter the space would have to

negotiate a fixed cost with BeVocal or another company that provides this service.

Hosting the service independently would incur higher costs.

2. Finding Content Cost: Since the project already uses an open standard that is in

wide syndication, the Project has low costs to find content, unless the original

provider wants to license the content. More original contact can incur higher

costs, but again the idea of the Partnership can be used here; if Voice RSS were to

use its first mover advantage, it could make exclusive arrangements to host

custom content from major media organizations, locking other competitors out.

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3. Advertising/Marketing Cost: The provider would have to find some way to

market the service in a unique way, so as to attract new users and current users of

the Project alike.

In short, the fixed costs (hosting of such a service) are standard, but the variable costs

(such as costs for content, marketing, etc.) can fluctuate depending on the innovative

strategy of the firm. The Voice Project is assumed to have first-mover advantage, but we

can see from breaking down the above points that this advantage is not enough; the

Project will have to grab specialized content from major media outlets before other competitors. If the Project were to offer exclusive content that other competitors could

not offer, there would be a perceived switching cost for consumers that would prevent

market growth for competitors. In competing not on costs but on exclusive content, the

Project could create a significant barrier to entry for other firms. but based on the size of

the firm (and its capabilities), other competitors with secure partnerships (i.e. a

subdivision of a larger firm with more resources) could effectively compete against the

Project.

Markets and their Realities

Certainly all this talk about theoretically opening a company to compete in creating

access to the Internet for developing countries looks good in theory, but how competitive

is the Voice RSS Project in terms of the markets for the different services it could

provide?

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In the market for convenience and connectivity in developed countries, the demand for

new ways of access is certainly there. An example of a popular new service is the short

messaging service (SMS), which became wildly popular in Europe, as the Mobile Data

Association recently reported over 1.7 billion SMS messages being sent by GSM

subscribers every month in the UK alone 5. SMS was not planned to be so popular, but

because it was easy to use and there were a vast number of people that could be reached

by it, SMS exceeded expectations in a grand scaleafter the four GSM networks

combined in the UK, SMS usage grew to eight times its previous level in nine months. If

usability was refined and made easy to use, there is no reason why Voice RSS could not become as popular.

The demand to provide to disabled consumers is there as well; in Canada, for example,

one in seven Canadians over 14 has some sort of disability. This number of consumers

represents $25 billion in disposable income 6. Companies that do not sport an

accessibility policy on their website could also become liable for discrimination and sued

by consumer groups in multiple countries. The Disability Rights Commission of the UK,

for example, reported earlier this year that it had sampled 1000 websites and found that

81% were not accessible for blind, disabled or dyslexic users 7. Whether it is to provide

equal access under law or to access a previously untapped market, content providers

attitudes towards the blind and disabled are changing for the better, and require the use of

the Voice RSS Projects technology to make that change.

5 Hill, 2004.6 Eastwood, 2003.7 Sweney, 2004.

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Internet, others, such as 3, believe a controlled, walled-garden approach for their

devices is better, allowing users access to only specific sites and web pages.

The issue of whether or not to provide open access has become a trend recently;

businesses are starting to censor certain parts of the Internet, or censor certain access

services, for their own internal reasons. Also, certain governments have begun to censor

content viewed by its citizens, in public places. China and Cuba have created serious

impediments in how its citizens can view content online, and the United States has also

sought to restrict what can be accessed through public libraries.

In creating another way of accessing the Internet, the Voice RSS Project can circumvent

this censorship, for all individuals who can access a telephone. Note that this does not

address the issue of bringing existing infrastructure to nations that do not have enough

telephony services. One vehicle for addressing not only access but also infrastructure and

policy is the World Summit for the Information Society (WSIS), held in Geneva in

December 2003 and scheduled to be held again in 2005. "Telephones will not feed the

poor, and computers will not replace textbooks. But [Internet Connectivity] can be used

effectively as part of the toolbox for addressing global problems," said ITU Secretary-

General, Yoshio Utsumi, at the beginning of the conference 11. The WSIS Action Plan is

an aggressive beginning to promote connectivity in developing countries.

11 Parkes, 2004.

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create a barrier to entry for other firms. An attractive Philosophy to guide company

strategy in marketing its ingenuity, together with exclusive content, would encourage user

loyalty, helping them to identify with the company behind the Project.

Since costs would be similar for new entrants, further work on developing company

strategy to assist in entering the new markets would have to be initiated right away, to

keep the companys first-mover advantage. However, since we have identified policy

issues where the Project could play a role, we see that the Project is an important new

method to provide access to the Internet, and has an important role to play.

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