At year's end I did three reports, two for Intellectual Capital (see www.intellectualcapital.com
) and one for Teledotcom (see www.teledotcom.com
(my report is here)).
Due to space limits and other stuff, not everything I wrote was used.
That's all right: I recycled some of it.
Anyway, I am putting all three of them up here. For the moment the only
people likely to find this page are subscribers (who have been told in
email) and those diligent souls who really search out things here...) My
purpose is two fold: to preserve what was left on the cutting room floor,
and to show something of the editorial process. Understand: I am NOT
complaining. In both cases the editors did an excellent job of fitting the
tone and style to their publication, and in trimming what would probably
not be of interest to their readers. Believe me, I am not shy of
complaining when I think it is deserved; I did not complain about either
of these editing jobs.
Let me URGE you: if you read these here, please go see the originals.
I am skating at the edge of my contracts here, but if you read them at the
original site no harm is done, and if this gets a few of you to go there
when you wouldn't otherwise, it even does some good for my publishers.
The Communications Revolution.
Published by Teledotcom as Future
Calling.
Jerry E. Pournelle, Ph.D. Jerry Pournelle Chaos Manor Senior
Contributing Editor, BYTE.com Senior Columnist, Nikkei BYTE (Tokyo)
Author, O'Reilly Books (Chaos Manor Guide to Hardware)
When the telephone first came out, a British official said it wouldn't
have much impact on English business, because London had plenty of
delivery boys on bicycles. The new communications revolution will have
more impact than the telephone ever did, and it will happen faster.
Sometime in the future: you're in the supermarket checkout line, and
decide to splurge on a bottle of Dom Perignon for a celebration. Just
after the checker passes the bottle through the bar code reader, your
pocket telephone rings.
It's your car. It has been talking to your house about your bank
balance, and wants to warn you that this far exceeds your budget.
"We're worried. You might not be able to make the mortgage payment.
Or my payment. I'd hate that…"
That may be fanciful, but then again it may not be. Clearly one aspect
of the future is that all our devices will be smart, and they will all
talk to each other. Your car will natter with your toaster about your bank
account, and possibly conspire with your kids about your Christmas present
("There's this nifty new GPS tracker with an inertial platform, just
what I, oops, your mother, needs"). Your cell phone will know where
you are, and your car will know where it is, and if you have forgotten
where in this parking lot you have left the car, you can call it and it
will tell you. "You are one hundred meters south south west of me…"
If you have left the car inside a parking structure it won't be able to
see the GPS satellites, but that's where the inertial platform comes in.
The car will still know where it is, and your telephone will know where
you are. If all else fails you can call your car and tell it to honk
twice.
If you forget where you are too often, your car and your telephone will
discuss with your house whether you are developing Alzheimer's or this is
just usual memory wear. They'll keep trying to help you out by reminding
you of things you forgot to do, but they may also alert your family.
Most of that could be done today, except we can't afford it. However, a
GPS receiver is already down below a hundred dollars, and that price is
falling fast. All the hardware needed is subject to Moore's Law -
everything gets twice as fast, for half the cost, every eighteen months.
That "law" is a purely empirical observation, but it has
described the microcomputer world for the past twenty years, and seems
likely to go on doing so.
Moore's Law used to apply chiefly to computer chips, but the effect has
spread to all electronics, and now precision machining is cheap and
getting cheaper: enormous capacity disk drives cost very little now. The
same technology will be used to make the inertial devices. All the
hardware for communications is getting smaller, more powerful, and cheaper
at exponential rates.
The software is a bit tougher. True artificial intelligence is a highly
debatable matter, but the kind of smarts described above is merely a
complex rules-based expert system. Plain language communication to and
from computers requires many rules, but Peter Warren of Nice has reduced
what's needed to a much smaller set of classes and objects plus a
dictionary. A dozen companies are engaged in a mad race to find ways to
make computers easier to use for the rest of us. They'll all succeed.
We can already talk to our computers. Computer language recognition is
a bit crude, but at COMDEX this year both Dragon Systems and Lernout and
Hauspie demonstrated speech recognition software far in advance of
anything remotely available a couple of years ago. L&;H speech
synthesis sounds pretty good, but not as good as Apple. Speech is the
natural human interface tool, and we can expect to see our computers use
it a lot more. Our machines will both talk and listen to us.
As the hardware gets better, complex programs become easier to write.
Neural net systems, which learn much the way we do, were all the rage in
the early days of small computers, but the excitement died out when we hit
hardware limits. Now the hardware has leapt far ahead of software's
ability to use it. Each iteration of the hardware-software cycle seems to
take about five years, roughly two cycles of Moore's Law; so look for
really dramatic improvements in computer communications and learning
systems in about 2005, when neural net systems which learn from
observation will come into their own.
What is it?
Today's high tech road warrior is loaded with equipment: a cell phone,
a pager, a hand-held Personal Data Assistant (PDA) with wireless
connectivity, a laptop computer, and a digital speech-recording device.
The speech recorder can connect to the laptop to do automatic
transcription of dictation. Many journalists also carry a good electronic
camera that takes web-ready pictures. With the camera and the digital
speech recorder you have an instant photo-journalism kit, and the computer
can put the story with pictures on the wire from anywhere in the world.
Well, nearly anywhere in the world. There are a few places like Death
Valley that don't have telephone cell relays, so unless you have a good
satellite telephone, being wrecked in the desert leaves you on your own.
With a good GPS system you can know to the nearest foot where you've been
wrecked, but that doesn't help without communications. Maybe they'll be
able to put telephone relays on the circling vultures.
Consolidation of road warrior devices has already begun. The laptop is
becoming a handheld that contains a video camera and digital
speech-recorder with transcription capability. The cell phone and pager
have long been combined. Finding a form factor for combining handheld and
telephone has been tricky. Some like a tiny device that looks like a
hearing aid, contains a microphone, and connects wirelessly to the
combination computer-phone-video camera-sound recorder. Add the GPS and
inertial systems, and a 200 gigabyte storage device, and you've got a
picture of the future. Everyone will have one or something like it.
A few weeks ago at a Reason Foundation formal dinner, whenever anyone
took out a Palm Pilot to make a note, Pilots all over the room lit up as
they detected each other and began automatically exchanging electronic
business card. Some took home more than a dozen electronic greeting
exchanges with speakers and other guests including talk show host Larry
Elder. It was all automatic, and many of the people who exchanged
electronic information including email address never actually spoke to
each other. That trend will continue.
Everyone Is Connected
In 1978 I said "By the year 2000, everyone in Western Civilization
will be able to get the answer to any question that actually has an
answer." That seems to have happened, and there's been a vast
expansion of what we can include in Western Civilization. This has some
pretty hefty implications.
For one thing, it means all competition is global. All of it. Sure, if
you just need a light bulb and some toothpaste you'll just run down to the
corner store and get it, but if you need a dozen of them and you're not in
a hurry, you can get them off the web. Soon you can subscribe to a light
bulb and toothpaste delivery service: it keeps track of how often you need
household items and delivers them automatically before you run out. Your
local supermarket can set that service with data you already make
available with your "Club" discount card.
There are already intelligent agents that will go out and look for
bargains on the web, and they are improving fast. You give the agent rules
- "buy me one at the best price under $xx, and only deal with people
I've bought from before. If there's a really great bargain from a
stranger, tell me before you order." Once again, that's not rocket
science. We're doing that now on a limited basis. Now project that
capability out a few years, and that's your competition, no matter what
business you are in. All competition is global.
But if all competition is global, all successful enterprises must be
world class. This is good news for consumers, but it can be disaster for
sellers. Markups and margins are forced to the minimum, and there will be
a great deal of competition for your attention. Employers are competing
for the best workers against enterprises all over the world, just as every
enterprise competes for customer attention. Over half the automobile sales
in the US are made with some kind of web involvement, and that can only
increase. As people get more in the habit of using the web we can expect
even more sales that way. Whatever business you are in, you'd better be
world class at it; your competition is the world.
IT'S WIRELESS
The magazine calls itself Wired, but the future is wireless. We have
the technology. At your local end there's Bluetooth, a wireless technology
that allows your computer to talk to your car keys and toaster. How it
works isn't as important as that it or something like it is inevitable.
Just as King Eric Bluetooth united the Scandinavian countries, Bluetooth
technology will unite all our devices, making it possible for your car to
discuss your bank balance with the house.
Everything else will be wireless, too. At the moment there's a shortage
of global bandwidth, but that is largely because NASA has been something
less than competent. We know how to build the satellites. Ten years ago
Dr. Charles Gould of North American Rockwell spoke of the complexity
inversion: as satellites become more complex, the equipment needed by the
customer on the ground can be simpler.
We have for years known how to build those complex satellites.
Satellite communications companies are going broke because of the cost of
getting their hardware into orbit. Make orbital launch costs reasonable
and we will develop the capability to do on-orbit assembly. Bandwidth
requires power; power requires large satellites and big solar arrays. Big
solar arrays need to be assembled in orbit. All of that depends on lower
launch costs. This has all taken far longer than we would like, but
breakthroughs in orbital costs are on the horizon. The communications
revolution will create such an enormous market that if the United States
can't do cheap launches, someone else will.
The future is wireless, not wired.
It's Digital
The future is digital, not analog. Wireless demands digital, even more
so than wired access.
We will also need new protocols. At the moment the Internet works
through a set of communications protocols called TCP/IP. This was adequate
at first, but it has the fatal effect that it can't determine the quality
of service provided, so you can't be billed by service quality. The result
is that you can't prioritize transmissions, paying more to get critical
messages sent quickly, while the newest baby photograph gets overnight
service to Aunt Minnie. While we will always use more bandwidth than we
have - demand rises to exceed supply - we are not efficiently using what
we already have.
The ATM networks have already figured that out, and don't use TCP/IP.
The changeover will be awkward, and relatively expensive. After all, the
Internet actually consists of hundreds of basements full of routers
sending TCP/IP packets to each other and from basement to basement. Those
routers will have to be replaced with new ones that understand ATM or some
other protocol set, and still make room for the older TCP/IP. At the
moment the ATM chip sets are relatively expensive, but Moore's Law will
take care of that. Actually much of that has already been done: the Sprint
Ion Net does ATM now. It's those devices in the supermarkets, and your
office, and your telephone, that don't understand it yet, and won't until
the new ATM chips are cheaper. It's inevitable that they will be replaced.
The only question is when.
The bottom line is that for once "good enough" (TCP/IP) was
the enemy of "much better" (ATM) and a lot of Internet devices
will have to be done over again. The good news is that companies like
Cisco understand that very well. The technology is developing. The result
will be much better Internet access for everyone, and you'll only have to
pay for the quality of service that you need.
Bill Gates in "The Road Ahead" spoke of the "last
mile" problem: there's high speed communications going on all over
the country, but that last couple of hundred feet is very slow. He
predicted that the solution would be gradual replacement of copper phone
wires with fiber optics. It's now pretty clear we don't have to do that.
First came ISDN, which is now being replaced with DSL, all running over
the existing copper lines, all made possible by going digital rather than
analog. That trend will continue. We'll never have all the bandwidth we
want, but with existing copper we can have more than anyone dreamed of ten
years ago.
The future is digital.
HEALTH MANAGEMENT
This morning's paper has a story about nursing homes, those terrifying
warehouses where we store our aging relatives while hoping we'll never
have the same fate. The communications revolution affects those, too.
Cheap wireless communications will let Aunt Minnie send email without
going through the home's switchboard. You may not much care for that now,
but when you're in Aunt Minnie's place you'll be glad enough.
Communications plus computing power may help keep you out of there, for
that matter.
Not only can your car and your house chat with your relatives about
whether you're getting Alzheimer's, but they can monitor your medications,
keep you on a decent diet, notify emergency services if you're in trouble,
and help overcome the normal memory attrition of aging. With the aid of
good computers able to call for help without waiting to be asked, elderly
people can remain independent years longer than they do now without the
expense of 24 hour companion/assistants. Often such independence also
means extended productivity. Elder writers can still write even if they
can't always do the housekeeping.
Meanwhile, that little video camera on your handheld can recognize any
face it has studied in a couple of seconds. Your pocket computer will know
who you're talking to, even if this is a face in crowd. It will know when
you last spoke with that person; and almost anything else you care to
know. Big Jim Farley was a New York Tammany Hall politician whose success
was partly due to the "Farleyfile": a collection of facts about
everyone he ever met. If you went to see Big Jim, by the time you got into
his office he knew your name, your birthday, the names of your spouse and
children, and what you liked for lunch. It was all on file. Today's small
computers can do that, plus recognizing the person so you don't need a
secretary to do it for you.
Be Afraid
The technology for recognizing faces in a crowd from real-time video is
already here: it won't be long before police have cameras scanning
airports and bus stations; add the communications revolution and when you
walk into the bank the camera can alert guards that you're a well known
bank robber or confidence man. Since the system uses Bertillion
measurements, growing a beard won't fool it, either.
The telephone companies already have the technology to intercept any
telephone call anywhere in the United States without any additional
hardware installation. There was a time that wiretaps required physical
access to telephone lines either at the phone or in the exchange building.
No longer. Now it's possible to access any telephone in the country from a
computer on any desk in the country, and the Administration has repeatedly
asked Congress for the authority to use that capability. They claim it
will never be used without a court order, and you can believe as much of
that as you want to.
The future is digital. Communications are already increasingly digital.
Digital speech can be monitored by computers looking for key words; the
CIA and FBI have long been rumored to be electronically eavesdropping on
tens of thousands of telephone calls each week, with computers scanning
for key words like "Hillary", "Explosives,"
"Clinton," "shoot the president," "bin
Laden," "Bombs," and other such used close together.
Whether they are doing that now or not, the capability to do it for a
small number of conversations certainly exists - you probably have enough
computing power in your home to monitor all the calls going into and out
of your house for a hundred keywords - and machines can only get more
powerful in future.
It is still possible to spoof these systems. Bin Laden's people
deliberately used their cell phones, knowing the CIA/NRO satellites can
hear cell phone conversations, and fooled the intelligence people and the
President into believing a Sudanese pharmaceutical plant was owned by bin
Laden and making nerve gas; after we destroyed it with cruise missile
attacks it turns out neither of those facts is true. Some Libertarians in
the US deliberately use all the provocative keywords they can think of in
every phone call they make. Spoofing aside, electronic surveillance of
communications systems gets better every month.
We each of us leave an enormous trail of machine readable information:
credit card purchases, those supermarket "club" cards, access to
bank systems: everywhere you go you leave an information trail behind.
One answer to the commercial information trail is through anonymized
browsing through proxies, which you can get from outfits like
Anonymizer.com, but that doesn't solve the real problem. Another is
encryption, not the baby variety that web companies use to take your
credit card information, but real encryption at the source, using hardware
designed to make it routine and invisible. This is already possible: and
in Britain the government is already seriously considering legislation
making it a felony offence to send encrypted messages unless you deposit
your encryption key with the government. The US Administration has already
asked the Congress for much the same thing.
Be afraid. Be very afraid.
Summing Up
It is now 2000, and anyone in Western Civilization can get the answer
to any question that has an answer. This is the information revolution.
The effects are usually beneficial, but it's not entirely benign: one of
the questions you can get the answer to in about ten minutes is how to
make nitro-glycerin out of easily obtained materials and do it without
blowing yourself up - and if you really want to scare yourself silly, do
ten minutes research on nerve gasses.
The communications revolution will have equally profound effects on our
lives, mostly beneficial, but there will be real problems too. Lack of
space keeps me from going into detail: I could write for an hour on
privacy issues alone.
The important points to remember are:
- Everyone will be connected.
- The future is wireless.
- The future is digital.
- All our devices will be connected and they will all be smart.
- All competition will potentially be global.
- The communications revolution will be as profound as the computer
revolution, with both dangers and opportunities.
And that's only the beginning.
-30-
NOTE: The published version has material that is not in this: it was
inserted (by me) in last minute editing, including another fanciful story
of communications changing the life of a tribal herder outside Umtata. DO
SEE THE
PUBLISHED VERSION.
FROM INTELLECTUAL CAPITAL
The Treasons of the Clerks
by Jerry Pournelle
Asked to name the most important event of the century, my first
temptation was to look to technology. The first Industrial Revolution was
based on big centralized power sources. This century saw a second
Industrial Revolution built around devices like the quarter-inch drill:
small, portable, high-energy devices that allowed the decentralization of
production. No sooner was that underway before we had another Industrial
Revolution built around robotics. Then came the computer and the
Information Revolution that has only just begun. All four have had
profound effects on everything we do.
Then there is medicine: This century saw sulfa drugs and penicillin,
the most radical expansion in medical capability since the discovery of
the germ theory of disease, and in a sense the first real cures doctors
ever had. (Prior to this century's antibiotics the most physicians could
do was facilitate healing rather than eradicate disease.)
And, of course, many science-fiction writers believe the discovery of
nuclear energy so important that they dated their future stories in the
Atomic, rather than the Christian, Era.
The birth of the anti-religious order
These all are important events. I think, however, that the most
important event of the century is only marginally connected with
technology. I refer to it as the treason of the clerks -- the abandonment
of Western civilization by the intellectual class and intellectual
institutions. For good or ill, the West must face a future in which every
individual has enormously increased power for good or ill without any
coherent support from the intellectuals: from those supposed to be our
intellectual betters, the best and the brightest among us.
Not only have the intellectuals completed Nietzche's murder of God, but
they exchanged the God of Jacob and Jesus for a false god that failed.
Even after the agnostic God of Marx proved false, the intellectuals
remained more sympathetic to Marx, Lenin, even Stalin, than to Jehovah.
They remain so still. It is far less embarrassing on the modern university
campus to confess residual sympathy for communism than for Christianity.
It is indeed the end of the Christian Era, not because the discovery of
atomic energy is so important, but because Christianity has become
intellectually so unimportant. It has all but vanished from our public
affairs; indeed, our public institutions actively conduct war on any
public signs of religion.
Today when we face profound questions of morality, our television
announcers turn to "ethicists," intellectuals of no discernable
qualification beyond being presented on the evening news as moral and
ethical authorities. More often than not, it seems that they draw their
pronouncements from thin air rather than from any religious source. What
else would you expect in today's anti-religious order?
No higher power
When I was a young man, it would have been inconceivable that a major
civic event -- an inauguration, a ground-breaking for a new civic
building, a parade, launching a warship, graduation from public
institutions -- could take place without the participation of clergy.
Smaller events might make do with a single protestant minister, but larger
ones required both a minister and a Roman priest, and really important
events brought in a rabbi as well. The event would open with an invocation
and close with a blessing. The effect was to show that the civic elders
believed in a Power higher than themselves.
Today the very suggestion that we as a nation owe any kind of thanks to
Divine Providence provokes lawsuits. While the majority of the populace
still wishes for the old rituals, intellectual leaders have persuaded the
people that this is improper, and what was common for the first two
centuries of the republic was, in fact, forbidden by its Founders.
Whitaker Chambers went to Columbia University a "Coolidge
Republican." It did not take long for his intellectual leaders there
to laugh at him, to scorn, to convince him that his theistic beliefs were
contemptible. Like many of his generation, Chambers did not merely abandon
religion. He persuaded himself that Western civilization pointed
unerringly to Stalin. Much the same thing happened to me as an
undergraduate. If you were to be in tune with history, you moved to the
left, at least as far as anti-anti-communism. One might not be a
communist, but surely it was contemptible to oppose those who were.
That attitude prevails today. Anyone applying for an academic position
would do better to admit having held fast to Stalinism right up to the
collapse of the USSR than to have been a Cold Warrior.
The disappearance of the Western Canon
Religion has not been the only casualty. Everyone knows that the entire
canon of what we once thought were the essential works is gone. When I was
in eighth grade everyone in Tennessee read (or had already read in a
previous grade) Hiawatha, Paul Revere's Ride, The Skeleton in Armor, The
Lady of the Lake, Treasure Island, The King of the Golden River,
Evangeline A Story of Acadia, and a dozen other such works. By the time
high school was finished we had encountered a large sample of the
treasures of Western civilization -- and in doing that we had come to at
least a partial understanding of what was, and was not considered proper
behavior. We had a common language with which to discuss vice and virtue.
No more. There is no canon of respected works. The idea has fallen into
contempt. Real intellectuals, we now understand, are above all that, above
and beyond mere "texts."
For better or worse, Western civilization was religiously based,
specifically Christian or, if you like, Judeo-Christian, because the
ethical considerations are reasonably equal and somewhat different from
the Graeco-Roman traditions.
No self-styled intellectual now defends Judeo-Christian society and, in
fact, the intellectual leadership of Europe and America is the declared
and steadfast enemy of what used to be the basis of Western civilization.
Most of them went over to the communists, and when some abandoned the left
to become neo-conservatives they did not bring with them any real basis
for a social order. Indeed, many of them, and all the rest of the
intellectuals, purport to have great respect for the intellectual class
that went over to the communists, made anti-anti-communism a sine qua non
for being an intellectual, and pathetically clung to Gorbachev long after
even Russia had given up.
A Godless world?
We now have greed and money and power on the one hand, hatred of the
bourgeois and the power of money on the other, and damned little in
between; we no longer have a moral basis for a society in so far as you
could find that among the intellectual class. When we have moral questions
we go to "ethicists" as if they had any basis for their
pronouncements.
There remain some Christian intellectuals, but they are not admitted to
the ranks of the anointed on campuses. The universities are, except in the
sciences, dominated by the left who have an aimless hatred of wealth (or
an excessive envy and greed for it), continue to believe you cannot be an
intellectual unless you are an anti-anti-communist, and have no well
spring for their "ethics" or justice. They have turned the
"best Shakespearian theatre in the world" into a place where
Cordelia is mute and speaks in sign language; in which the intentions of
the authors mean nothing; in which not even deconstruction is taken
seriously because nothing is taken seriously. To get tenure in
"liberal arts" or "social sciences" you must profess
to believe nonsense such as the "fact" that Dow-Corning was
guilty in the silicone-implant business, the Earth is in the balance and
global warming cannot even be questioned, and a myriad of other junk
science.
Thus, we face a world where unprecedented economic and technical power
is devolved to lower and lower levels of the social order with no
intellectual leadership class, no consensus on what society or even
humanity is for, and no one to set examples for us.
We may find our way out of all this. Technology gives us the means to
communicate with each other directly, without mediation from the clerks.
It may even be that we do not need the intellectual class.
Let us hope so, because the intellectuals climbed aboard the flywheel
of history and marched into the machine; now that the Marxist dream has
betrayed them, they have no God to replace the God that failed. And that
is the most significant event of the century.
- 30 -
INTELLECTUAL
CAPITAL
PREDICTING THE YEAR 2000
Jerry Pournelle
Intellectual Capital January 4, 2000
More years ago than I care to remember I assisted Rod Whitaker in
putting on his Masters Thesis production of a play he had written about
the end of the world. It was called "Eve of the Bursting" and it
took place the night of December 31, 999 AD when everyone expected things
to come apart. In the play, shortly after midnight a squad of soldiers
returns and their sergeant announces "Attention! Attention! I have
come to tell you the world did not end after all. Long live the
Army!"
In charity I have erased the flood of hate mail accusing me of
irresponsibility and worse for saying here months ago that the world
wasn't going to end December 31, 1999. Unfortunately, since it didn't come
to an end, I'm still here to do the traditional column predicting what's
going to happen next year.
The problem with divining the future is that while trends aren't hard
to see, their strengths are. Probably the most important question everyone
has is, will the long boom continue? Forget the short term downswings,
what's the real trend? Will the Dow be at 20,000 in a year? And what in
the world does a sometime Cold Warrior and writer know about it anyway? On
that latter score, I recall saying after the last crash that the market
would be back up, and pretty soon. My colleagues said, "Well maybe it
will stabilize at 2,000, but it will never get a lot higher." And
laughed like hell when I said there was no reason for it to stop at 5,000.
I have to add that I never suspected that it would get to 10,000, or that
a dozen mutual funds would manage 100% growth in a year.
Still, the trend is up, due to increased productivity; and there's the
first countertrend. Our schools remain wretched, so that training new
workers is up to their employers; no one expects students to graduate from
public high school able to do anything useful. There's a sense in which
that's all to the good: it's hard to imagine the schools will get worse,
and here and there you see indications that some places have had enough,
and are insisting on getting something for the enormous sums poured into
the public school system. Even if the Teachers Unions defeat those trends,
home schooling and private schools are taking up some of the slack.
That's important, because the Communications Revolution is going to be
with us from now on. Increasingly everyone can communicate with everyone
else: which means that everyone competes with everyone else. From now on,
with few exceptions, all competition is global: you will literally have to
be world class to be competitive as Internet commerce continues its
inevitable march. Expect to see more of that, starting this year and
continuing forever, or at least until the end of civilization as we know
it.
There are many countertrends which might squash the long boom like a
bug. The first is the serious state of public education: there's nothing
inevitable about the few flickering signs that things are getting better.
The teachers are digging in like the French on the Marne. Vouchers,
charter schools, home schooling, private schools, anything that threatens
the Soviet style monopoly of graduates of Departments of Education, are
targets for action by the most powerful political lobbying organization in
the nation. NASA, the Soviet system of agriculture, and American public
education are all organized in much the same way, and all have much the
same result: a few examples of excellence, and a long record of absorbing
vast resources while producing mediocre results. In a world in which all
competition must be world-class, an inferior education system is a primary
hamper. The effect on the long boom should be obvious.
Another countertrend surfaced just after the first of the year: OSHA
now says it will hold employers accountable for working conditions in the
homes of workers who work at home. That will put a stop to one of the
trends toward increased productivity: workers in transit between home and
job produce nothing, and the trip itself is often exhausting enough to
lower work efficiency. Add in the resources wasted in transportation, and
note that much of our offshore competition has neither OSHA nor legal
feeding frenzies to contend with, and we see an example of another
competitive disadvantage. There will be more. The purpose of government is
to hire and pay government employees; fortunately no one including our
competitors is exempt from this iron rule, so every productive worker,
here and abroad, has to carry a share of bureaucrats. Alas, I am not at
all sure that ours aren't more creative in finding ways to hamper
productivity.
In other words, looking into the future of our economic health involves
studying conflicting trends and trying to make sense of them. Will Moore's
Law - computing power doubles while computing costs drop every eighteen
months - continue, and is that enough to outstrip the ingenuity of OSHA
and ADA and all the other bureaucratic primary hampers? I fear I can only
raise the question. Moore's law dictates that productivity will increase.
You'll have to decide for yourself whether we'll have enough parasite
control to get any benefit from that.
Details
General trends are hard to predict because they depend on the outcome
of political and social battles.
Specific technology trends are easier to see because most are
inevitable.
First, it's clear that this will be the year of the hand-held computer,
and it's fairly easy to say that the dominant player in that trend won't
be Microsoft. Years ago US Robotics, a major innovator in modem
communications, came out with the Palm devices: Personal Data Assistants
(PDA) employing the Palm Operating System. The Palm Pilot systems now
enjoy more than 70% market share in an industry growing faster than the
desktop computer business. When 3COM, which bought US Robotics a few years
ago, spins off the Palm Systems as a separate company next month, it will
be one of the hottest Initial Public Offerings (IPOs) since Microsoft. If
you can get in on that, do so.
The Palm Pilot people developed their own wireless communications
system and put it in the Palm VII, but they wisely continued to work with
others: one of the major competitors to the PALM VII is OmniSky's wireless
modem for the Palm V. Unlike the Palm VII which charges for communications
by use, the OmniSky model is flat rate like your Internet access. From the
earliest days of the Internet flat rate has always won out over pay for
use, and there is no reason to suppose that trend won't continue. Look to
see the PALM VII go over to flat rate before the end of the year.
Meanwhile, Microsoft is putting an enormous effort into Windows CE.
Gates cottoned onto the Internet quite late, really not until the Netscape
people began to tell the world they were going to use the Internet to
destroy Microsoft; but despite Netscape's enormous head start, Microsoft
caught up and raced so far ahead the company is charged with being a
monopoly in a field they weren't even in when the decade began.
In other words, never underestimate Microsoft. Going head to head with
Bill Gates is usually a losing proposition. Moreover, Windows CE has the
potential to bring in such things as tiny video cameras that double as
text scanners, and sound recorders that become speech to text generators,
all in hand held devices. Certainly someone will develop that market,
which has a huge potential.
As I've repeatedly said, the future is wireless and digital, and those
trends have implications for everything we do. Add Moore's law and you
see, if dimly, where we are going: huge storage capacity, huge computing
power, all at low cost in something you can put in your pocket. Cameras,
sound recorders, data bases, all portable, all cheap, all wireless, all
smart, and all talking to each other. Where will that take us?
HEALTH MANAGEMENT
This morning's paper has a story about nursing homes, those terrifying
warehouses where we store our aging relatives while hoping we'll never
have the same fate. The communications revolution affects those, too.
Cheap wireless communications will let Aunt Minnie send email without
going through the home's switchboard. You may not much care for that now,
but when you're in Aunt Minnie's place you'll be glad enough.
Communications plus computing power may help keep you out of there, for
that matter.
Not only can your car and your house chat with your relatives about
whether you're getting Alzheimer's, but they can monitor your medications,
keep you on a decent diet, notify emergency services if you're in trouble,
and help overcome the normal memory attrition of aging. With the aid of
good computers able to call for help without waiting to be asked, elderly
people can remain independent years longer than they do now without the
expense of 24 hour companion/assistants. Often such independence also
means extended productivity. Elderly writers can still write even if they
can't always do the housekeeping. With a GPS built into my Palm Pilot I
can't even get lost.
Meanwhile, that little video camera on your handheld can recognize any
face it has studied in a couple of seconds. Your pocket computer will know
who you're talking to, even if this is a face in crowd. It will know when
you last spoke with that person; and almost anything else you care to
know. Big Jim Farley was a New York Tammany Hall politician whose success
was partly due to the "Farleyfile": a collection of facts about
everyone he ever met. If you went to see Big Jim, by the time you got into
his office he knew your name, your birthday, the names of your spouse and
children, and what you liked for lunch. It was all on file. Today's small
computers can do that, plus recognizing the person so you don't need a
secretary to do it for you. If you've forgotten who someone is, but your
PDA knows and will tell you, have you really forgotten?
Be Afraid
The technology for recognizing faces in a crowd from real-time video is
already here: it won't be long before police have cameras scanning
airports and bus stations;. Add the communications revolution and when you
walk into the bank the camera can alert guards that you're a well known
bank robber or confidence man. Since the system uses Bertillion
measurements, growing a beard won't fool it, either.
The telephone companies already have the technology to intercept any
telephone call anywhere in the United States without any additional
hardware installation. There was a time that wiretaps required physical
access to telephone lines either at the phone or in the exchange building.
No longer. Now it's possible to access any telephone in the country from a
computer on any desk in the country, and the current Administration has
repeatedly asked Congress for the authority to use that capability. They
claim it will never be used without a court order, and you can believe as
much of that as you want to.
The future is digital. Communications are already increasingly digital.
Digital speech can be monitored by computers looking for key words; the
CIA and FBI have long been rumored to be electronically eavesdropping on
tens of thousands of telephone calls each week, with computers scanning
for key words like "Hillary", "Explosives,"
"Clinton," "shoot the president," "bin
Laden," "Bombs," and other such used close together.
Whether they are doing that now or not, the capability to do it for a
small number of conversations certainly exists - you probably have enough
computing power in your home to monitor all the calls going into and out
of your house for a hundred keywords - and machines can only get more
powerful in future.
It is still possible to spoof these systems. Bin Laden's people
deliberately used their cell phones, knowing the CIA/NRO satellites can
hear cell phone conversations, and fooled the intelligence people and the
President into believing a Sudanese pharmaceutical plant was owned by bin
Laden and making nerve gas; after we destroyed it with cruise missile
attacks it turns out neither of those facts was true. Some Libertarians in
the US deliberately use all the provocative keywords they can think of in
every phone call they make. Spoofing aside, electronic surveillance of
communications systems gets better every month.
We each of us leave an enormous trail of machine readable information:
credit card purchases, those supermarket "club" cards, access to
bank systems: everywhere you go you leave an information trail behind.
One answer to the commercial information trail is through anonymized
browsing through proxies, which you can get from outfits like
Anonymizer.com, but that doesn't solve the real problem. Another is
encryption, not the baby variety that web companies use to take your
credit card information, but real encryption at the source, using hardware
designed to make it routine and invisible. This is already possible: and
in Britain the government is already seriously considering legislation
making it a felony offence to send encrypted messages unless you deposit
your encryption key with the government. The US Administration has already
asked the Congress for much the same power.
Be afraid. Be very afraid.
Putting it all Together
Not all this happens this year, but more will happen this year than
most of us think. Moore's Law is an exponential, and we are coming to the
steep part now. Technology races ahead, giving us vast potential for
increasing productivity. Government, meanwhile, tries to stuff the genie
back in the bottle, and works against most of the trends to freedom that
technology opens. As fast as we develop methods that let us work at home,
outfits like OSHA try to make them irrelevant.
This will continue: and on the outcome of that struggle will depend
whether the Dow stands at 20,000 next December, or hovers around 10. If I
had to bet, I'd go with technology.
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