My Internet Notebook

The following two VCs had some interesting and relevant comments:

Roger McNamee Co-Founder of Elevation Partners

is focusing his investments on media, entertainment and consumer business, believes that role of traditional electronics (semiconductors, enterprise software) is changing from growth engine of the economy to a fuel (like the course steel or cement in the 1950’s). “It’s entirely dependent on other industrires to add value,” he said. The big opportunities is for those who deliver goods and services that are not overtly technical–like well packed consumer devices. But the industry will require a major reset to get away from burdening technology user with too much technology.

Joe Shoendorf of Accel Partners

is investing in Chinese companies, sees the innovation pendulum swinging toward China, and expressed concerns about U.S. competitiveness. Other panelists agreed that China is moving fast, and that the U.S. needs to address the challenge and leadership that focuses on innovation, especially in areas that are emerging, such as energy and genomics.

In the annual meeting of the U.S.-China Joint Commission on Commerce and Trade, the delegates from China promised a harsher crackdown on copyright / IP infringement. I think this is a great thing for China to do if the government is serious in developing a service and creativity based economy. One of the key reasons why the software industry in China has not developed to a stage where it should have been is exactly because of the lack of copyright protection. Piracy is a huge dis-incentive for software companies in China.

News link – http://www.mercurynews.com/mld/mercurynews/14318660.htm

A great quote from Stephen Roach, chief economist for the investment bank Morgan Stanley, on a proposed senate bill that will impose a 27.5 per cent tariff on all Chinese exports to America.

“At a time when the US is more dependent on foreign capital than ever before, to impose tariffs not just on a major provider of goods but a major lender of capital I think would be close to economic suicide.”

Company News | Reuters.com
Backed with $9 million in funding by Bain Capital and Ignition Partners, La La Media works like an online music co-op by enabling members to trade physical CDs they own for physical CDs they want.

La la founders argue that, unlike underground online file-sharing services, which have been sued for copyright infringement, La la is protected under an exception to the U.S. Copyright Act. They contend that the owner of a CD can transfer a legally acquired copy without permission or payment of additional royalties.

A member will pay $1 to La la for facilitating the trade on receipt of a disc from another member, plus a 49 cent shipping charge.

La la said it will set aside 20 percent of its trading revenue for recording artists.

Other Web sites, such as Peerflix and BarterBee, are also enabling consumers to swap used merchandise.

Peerflix allows members to legally trade DVDs, while BarterBee lets people swap between multiple media, such as DVDs, music and games.

Everyone is interested in China these days, and almost everyone is also interested in China’s real estate as well. Here are some macro economics data I gathered from Chinese news articles.

The one says that in 2005 GDP of the Yangtz Delta economical body surpassed Zhujian (Pearl River) delta and Beijing, Tianjing combined:

发改委8月30日发布的数据显示，今年(i.e. 2005)上半年，长江三角洲的经济总量30994.28亿元，已经超过珠江三角洲（7312.22亿元）和京津唐环渤海经济带（7559亿元）经济GDP总和。

This one says in 2005 disposable income per capita reached US$2,000 in Suzhou.

2005年底，我市(Suzhou)人均GDP按户籍人口计算达到66826元（按现行汇率折算超过8000美元），比省目标值高1.8倍，按常住人口计算达到54143元（按现行汇率折算超过6000美元），比省目标值高1.3倍。全市城镇居民人均可支配收入达到16276元，农民人均纯收入达到8393元，分别比省目标值高276元、393元。