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Good Friday afternoon everyone welcome here to gadgets and games -- 2 PM eastern standard time hope you are streaming this live right now you're missing us you miss any of the show you can always get us.
-- iTunes is a video podcast download welcome to the big shall we got a lot to get to today a lot of big news that unfold this week.
But a lot of great video for your show you some of the different hands on stuff that I got a chance to do -- very excited about it.
For someone introduce our panel over my left shoulder.
From the city of Washington DC our nation's capital is Stephen Baker he is joining us via Skype this afternoon from NPD group.
Hey Steve engineering I -- you just fine play are -- today I'm doing well Stephen thanks for joining us today.
To my left to his left virtually.
It -- himself.
Is Eric -- -- Dolly of course he has -- technology -- for business week magazine and he is in love with iridium this week.
We're going to be talking about Darwin wrote the -- the we certainly is but we're going to be talking when you -- business week this week about that would dive into that thanks for joining us here -- -- -- Borges is -- technology editor at popular taxing on you love them.
And he's joining us today.
From popular mechanics -- hitting it a little feedback from Stephen.
To have a headset.
At the right at yankees stadium.
-- the beautiful speaker phone with a wonderful land line okay.
All right so just get a little volume feedback there anyway seven -- a great night last night of course a breakthrough award for popular mechanics 2009 a lot of stuff.
Actually it's their breakthrough awards -- annual gathering releases get the coolest biggest most -- geniuses in the world began in the one room.
And we applaud all the cool things they've done over the -- -- and pensions all the great innovators.
And we kind of just recognize -- our goal really is to say you know the world we we love you know musicians who have sports stars of the movie stars.
Which also love our scientists engineers and teachers and have a plane and getting kids look up to the idea that they can get superstar if they Freddie -- an engineer.
Great great great -- last that would get into some of what we have had last -- was this video as well.
A -- -- joining us he's associate editor PC -- dot -- fighting a cold fighting off but he's here yeah super -- actually this is good place and they might have been -- senior editor institute's senior editor lets you know let me know that they'll let you guys editor of the qualities that changed a couple of let's take -- shot but today it was a -- associate editor you know out and we have to change it -- -- a little bit later congratulations on the right there.
Great to see guys all right let's dive in a big announcement this week Windows Mobile six point five Microsoft making the announcement.
Boy when I -- I was just rolling with excitement this week meant.
Yeah I think we're really.
He uses it -- really wanted to see what Microsoft was gonna do with six point five and of course Robbie -- -- up there on stage and was talking about the personal station obviously made it more finger friendly for Windows Mobile looking towards a more of a -- in -- you know touch interface.
And the HTC pure is really one of our hallmark devices that they're sending out to a lot of the press.
To really showcase of what Windows Mobile six point five can do so I'm gonna fire -- so this is the -- -- One of the things I noticed.
You've got the new.
And NASA needs some shots here of the strength issue and seen him yet.
This is the like honeycomb display in the front serious hitting a lot more applications on the front some people criticized saying it's too busy readers think.
A lot of them.
You know attacks -- administrative.
Again thank you I think it's have a letdown for -- him because he's seen with the -- seat and Microsoft can create a really compelling mobile interface.
But it's -- on this phone that the Zune HD interface is what they should have -- everybody loves it it's so easy to navigate through things that's compelling smooth.
And this is just not that I think from that perspective to the doubling down yet and it totally fills that place holder sort of hey we're still around everybody else -- kind of -- everything you know every -- -- a mobile us right now.
Android things like that so this is sort of hey look we're -- but it.
Seven point -- is going to be also.
-- what -- meanwhile you know I've seen the call be renewed once again.
Microsoft consider -- Research in Motion particularly on the by backers of the pullback stock.
We'll that would be interesting -- I'm not that I would necessarily -- such a thing but then that the thought is out there yeah the thought is out there and I have to say when -- -- it is a funny moment for me -- because as I.
Jumped into an application.
On Windows Mobile six point five what did it do it did a very windows thing for me which is.
I wanted to launch the photos application.
And it asks me are you sure you want to launch the photos application could -- pop up quickly here -- I was yes I didn't wanna launch a woman's applications that's why I clicked on it.
Stephen what's your impression of us.
Well I don't know I think they they got some work to do well.
You know like everything at Microsoft.
Tends to take a long time but once they get to the right spot it usually is pretty good I think the big fear is.
By the time they get.
Windows Mobile seven and everybody will be yet.
The equivalent of Windows Mobile later Windows Mobile nine.
And it's pretty hard to make that kind of -- week.
You know -- -- they've probably got it would zoom but you know how many times can you really do that.
I think the biggest disappointment from molecules perspectives that some of the hardware their buildings into this really great hardware race incredible hardware that board to help cool -- -- these -- for the telephone that you're talking about.
For instance the HTC HD yeah.
Yeah do exactly for the the Samsung Omnia two -- all these really incredible phones that incredible amounts of power technology.
But there's -- -- reusable -- the OS is solely.
What I wanna get the feeling that they are in fact working on a convergence device in there somewhere that that -- that they are pushing their team together.
This did in the mobile but they've still got to put a bit this public face of -- -- mobile.
Who won -- BI if I remarks -- right now I mean I would do this on the PC two bit.
Basically throw everything out and start over again.
And -- -- the legacy forget supporting everything that's come before because you don't need to.
You can start completely fresh yeah it didn't zero point bringing up this idea this convergence device we -- -- box that in a roundtable of course and Robbie -- One -- -- head on shoes for Microsoft he's in charge of their entertainment devices division and he said.
He left the door open -- the possibility of Zune device which is a question why are we still.
Why is Windows Mobile still hanging on when you've got a great piece of hardware.
That all the bells and whistles this holiday season in the Zune device why not -- Zune phone -- -- left the door open to that device right I mean that's.
Clearly that's cited things isn't quite ready for primetime at this point yeah clearly it will be soon and I mean it's the ratings on -- and habitable -- seen the response is an HD which everybody loves her face is what they should have been.
And if I were Microsoft and it's going to be really really hard to do because so many different business deals involved -- this.
I would just cut off making.
Oh operates -- other people's -- is focusing your own phone basically is an HD with the receiver and it took.
In addition in resisting they brought on Todd Peterson -- you can speak to this a little bit tired they brought on Todd Peters of course to do you know on our show here -- we use the easy button because we try to get -- techie.
What he was the creator of the easy button from Steve yeah.
And so Microsoft hires Todd Peters brings him over from staples to -- Windows Mobile -- mobile platform.
And the idea behind it is they're not he found out he is stunned me and a New York Times these heat and he found that people had no idea windows had a mobile operating system.
When he was interviewed and they ran polls and all sorts of focus groups they found that most people didn't even know windows had.
A mobile operating system therefore he decided to scrap the name altogether and instead we're only going to see the Microsoft logo the flag logo.
All the easy button.
On mobile phones from now on is that right CNN.
Yeah I've heard that -- -- you know I used to work for staples many years it got up.
So why I love the easy button.
It was a great place to work.
The other piece of what's really going on there yes I would disagree about Microsoft -- when you're hardware actually think.
What they really need to do with -- and trade aren't really building that partnership model what Microsoft's been great and what's made zero operating system so successful.
Is the fact that they can work with everybody they can be agnostic and I think enough.
I -- Phone space now what you have -- a whole bunch of very proprietary products.
That in Kanye west side generally you know very specific.
One -- two -- small family of products in the big opportunity for Microsoft.
Is partnering across all the guys -- -- great hardware.
In delivering -- and OS that's worthy of all that great hardware -- and that's how they can differentiate themselves that's how they've done -- in the PC world.
And if you're going to kidnapped.
Windows Phone in Windows Mobile to.
Windows operating system and all the other kinds of things that Microsoft does.
I don't think you can be a Microsoft only product that really has to be focused on that partnering.
Well it here's your here's your easy but just to celebrate -- -- -- big fan of it here is easy button.
And you know I heard Peter Rojas described it this way he said you know he thought it was that basically treading water.
The my -- Windows Mobile she's treading water and that just when you think it's like the godfather just what do you think it's dead.
They pull you back -- in the give you a little hint of a little hint of hope and one of the only few areas of sunshine that I saw.
At this event was the -- my phone -- find my phone feature which is something that probably going to be involved in every mobile operating system over the next year.
We sought in mobile me obviously with the iPhone the find my phone feature allows you even if the phone is on silent.
You lost the phone -- -- -- couch or something be able to send a signal to it it will ring the phone at a really high level even if it's set to silent.
That's exciting that's nice in one of the other things he talked about was personalization.
Making these devices personal they have different back place different displays.
-- one designed by a particular architect one designed by.
Fashion designer or something.
But those things aren't enough for me to get excited about it and operating systems there's just not a lot of excitement around around and I mean.
Look at where the timing is it feminism is really on to platforms -- well three -- its apple -- Research in Motion and it's and it's Google and I think.
The battle is really between right now for -- share for number two Google and and -- Has a lot have really the second tier in terms of hype.
And and why is apple -- some holes cut all the applications -- software developers really -- about.
We'll -- -- -- it makes -- even being -- beat out by Paul if there is yes it particularly at that right now.
Yeah absolutely and even Andrew a number of android devices we saw how strong android now is in the marketplace that we see in -- who we don't have time to go and all the android phones released this week -- -- -- -- -- -- there's going to be a big had to get a lot of.
I think Microsoft the biggest thing to have to worry about is answered because the reason Windows Mobile still exists despite all the problems of the years.
Is the fact that it's kind of -- default operating system for phone manufacturers they can't make their own software -- company like very few phone companies have the expertise of the hardware.
It software -- -- -- use things that Windows Mobile and android is just more compelling and easier it's easy for developers it easier for consumers.
And so that's the biggest of the Windows Mobile a serve that deep -- -- west for Samsung inspiration -- and promote liberal look you know these guys that don't make their own self.
-- yeah but we had a roundtable discussion with Robbie Bach.
Again who was also responsible for holding the the address there on Windows Mobile six point five for Microsoft.
And it was started as an Xbox event an Xbox discussion which was which is one of the things that you Microsoft should be very very proud of obviously Xbox Live -- huge success for for Microsoft.
And really -- a leader in that category but it.
This discussion devolved into other areas of Windows Mobile and and devolved into other areas of the the future of convergence devices and so forth.
Michael Garten -- asked.
-- I -- -- about the future of pen computing does does Microsoft still believe the pen computing.
And looking across all these devices -- easy answer was look we want thirty.
We want -- Windows Mobile six point five we want Windows Mobile to be on all of these different phones thirty different phones of course when -- -- it up on the screen there's thirty different phones on the screen.
One has a stylus one -- and will there be a tablet PC will the courier.
You know be part of that whole ecosystem eventually.
And Robby went on to say that look there's still something that they're working on closely.
And they don't want to abandon its still the technology hasn't over the years has been kind of crappy and it's Microsoft has -- -- research and development looking towards that.
When asked about the tablet some of the other things he came out of that was again.
I asked -- on whether or not we'd see a portable Xbox.
You know to take on Nintendo in the DS from the tea take on PlayStation and then that PSP go and again.
Not on their eighteen month road -- or at least not willing to talk about that Stephen what were your impressions of what Robby had to say the other day.
-- degree review I think you know there's an awful lot of opportunities for what I mean you've done pretty good job of articulating almost.
But it's pretty tough for for somebody like that to grab all those things all it wants.
-- that that that's an awful lot of people you for Microsoft to compete with.
In developing against then I think they're better off personally focusing.
On the pieces that -- strong within -- that things are really.
Nash the best with what they do -- to -- yes there will be a much better OS for the phone in really -- -- -- Xbox Live.
Opportunity and really using -- integrate the phone in the Zune.
And even getting into the OS and -- -- -- age -- things like media center to Windows 7 and really creating compelling.
Experience to explore slide that what you're going to all sorts of different devices.
-- little -- devices it all sounds great.
Overall hardware guys but -- Microsoft.
At its core really isn't a device companies -- really do.
Prefer to -- other companies build the devices.
And let themselves build the software and the Afghan.
Well -- did you make -- -- almighty don't software than you do hardware and so little bit of an easier.
Our margin business via -- I mean that's just what they used to when I think.
-- that's what this during this idea would be great -- portable Xbox and while those other things but it I think at the end -- -- -- much better off.
Focusing on what they do well and what they do well is.
It's what -- This past year has been a pretty much to win I'd say for Microsoft they've certainly impressed a lot of us and I think with Project -- which we first saw of course.
-- is Stephanie great people over a month mechanic for making this happen and Microsoft for doing this.
They won an award for and we have some video like to show you I actually finally got to have hands on -- will not know hands at all.
With project at all take a look at this this is me playing I guess this is their game ricochet.
Great stuff yeah.
It's sort of like a break -- late game it's for Iraq and those old games for your body would -- around me that he's all.
They try to smashes bricks and -- -- of how accurate was -- can see that's so politically and kind of mimicking the movements.
At this point in the game predicted to start having fun watching mountaineers are dancing and moon walking and it's going around.
Electric sliding and it wasn't in the game like the coolest kind of experiment was seeing how well -- with -- -- when you turn around.
Yeah even when you publicly told -- was really cool it's been put your hand behind your back.
And the camera still can't see it but it still is able to -- -- but we'll hear other choice we'll get to a losing your shoulder seeking an -- collate what you hear distinctly where it is incredible to me.
Yeah it was pretty incredible experience and really got to play this got to play driving game there -- that EA has worked on.
You know it's all again it's all the tech demos it was really rough and and this is not there's not even a time there's not even -- release date yet for project at all but this is an exciting thing.
And a potential for the social the social networking aspect for Xbox Live the interaction and in fact.
I think one of your editors -- was talking about the potential for Microsoft in the future.
You imagine me.
He had an architect to literally walking through.
A 3-D environment of a building that he or she has designed -- not even bill yet but just to feel what I would like to -- -- -- to walk through that environment.
Actually at our school terrorist -- with virtual clay and watching their creations come up on screen yeah this whole new kind of been dreaming of this -- ever ever since computers first came around.
In the for the most compelling application I've seen Manchester based computing ever and it's surprisingly simple it's just a couple little cameras.
And the guy who it is the thirty year old guy in hopes Kidman and he told me that that you know I asked them are you surprised at how positive responses -- -- -- But he should see their faces -- this -- first war when he first set it up and the first time it actually worked it was like this eureka moment for them like imported and expecting all the pieces to come together like this -- -- actually work.
Too gonna have some sound I interviewed Alex -- and he is he's one of the creators of process hall isn't it isn't it -- does it matter if we can find that video -- -- had a chance to ask him the development process and what that was like.
Thinking about getting rid of the comptroller.
It's Alex Pittman.
From Microsoft he was the developer of yet no no worries.
It was his idea that the -- project.
-- coming through some of the development.
Yeah -- and so to remove the controller from the whole experience to speak your body part of that.
-- -- a big big win for Microsoft we'll see how they integrated into the Xbox experience.
On -- Xbox Live stuff and it had to say some the Xbox Live features they're rolling out FaceBook and Twitter you know initially were like.
Last year we heard and and you actually see on the screen and looking Xbox Live experience did you get a chance to play with some of -- new features that we -- With Xbox Live.
I didn't I am I to had a chance I was I was study Korean and a chance to Lawson and I feel like in the same argument can connect -- -- if they felt like they sort of rusted out in time to come out free period.
And that came out around the same time at Sony introduced their motion controller and it felt like everybody was sort of rushing out to come out with something that was sort of like -- Right now the right to see it come out it's it's a lot more interest -- that I don't think the timing was quite right on it.
Yeah and I -- to -- -- misses seem like Netflix integration and now being able to pick from your Netflix queue.
Right there not having to go on your computer and add movies do you know streaming -- Netflix movies there.
And -- and the high definition streaming through the Zune marketplace with in within.
Is exciting and gather around -- so congratulations to Microsoft which isn't something we've been able to say over the past few years -- with Vista and everything so.
You know as we gear up for its announcements in Microsoft.
You know pushing them.
We're trying to get movement that was how you see even back here we lost to sky connection here so we're trying to hopefully -- -- back -- and and running a second.
Sometimes this happens not sure where it is on -- and places -- -- -- he's fine with Xbox Live right now -- -- -- the Sony event this week -- Sony announcing some big.
New bios yes a little bit -- -- little revive those -- and Brian you're referring to the X series -- the Sony Vaio X which is now they can lay claim to having the world's lightest.
Laptop the growing people would.
We get on the show on for next week at least yeah for next week or next week yeah they'll be a month before somebody else is even smaller -- smaller and lighter that.
And I believe we have some video this and we're -- trying to get Stephen back up here that.
Does Sony Vaio X.
And at at the announcement you can see how thin it is and of course they would claim the idea that there's it's as -- as a pencil.
So we just talked to witnesses as were rolling it too because one of the things I had -- -- when I was holding when I was actually holding the then there's when the things that when I was actually holding the the computer side.
So it's -- it's very.
-- flimsy to me on the screen in an effort to get -- small the title as you flip open screwing it felt.
It felt really flimsy to me -- cheap form factor to it what were your impressions of it.
Pro for what like a 14100 dollar notebook and the other -- -- -- 800 dollars.
Yeah and I -- you know the top part of the screens and flipping it open -- You want there to -- you you feel like you wanna have this device for a long time I think thirteen hundred dollars on its carbon fiber -- -- but -- -- no -- he says yeah pretty I mean that is pretty strong and it it feels like -- that is it is a pretty strong material feel like when you're you know when you're when you're twisting the screen -- it will not that I'm gonna be twisting its -- You feel like it is if you're gonna break it when you're twisting it.
The price point on the -- thirteen hundred -- The competing against ordered all of netbooks is the problem and prints it went fifteen underdog MacBook -- yes they do exactly it's it's really it's a really tough marketplace -- right now in these things have such a short shelf life.
Before next generations come out.
That -- its interest its technology is pretty much probably the smallest and get -- still have things like you must begin -- attacks in it like India that's kind of the constraint really as physically putting all that stuff in there.
But the competing against things are much smaller in them and are being topple and those are two really tough thing -- -- -- -- a good job it sort of being the the apple of the of the windows -- I feel like -- feeling you know if if you're somebody doesn't want it spent quite that much money to buy that book that -- -- by it was probably good Alter.
Yeah we saw some of the UK specs of the -- Yeah you know it's it's it's -- seesawing back and me and him pushing the thin ness of a computer and I remember ten years ago they had some of the small notebooks around via.
And and and but they've really been -- last few years but that this is a full fledged.
No -- I mean is competing against a note in the netbook space.
I mean it seems like teasing us via.
Especially at the press delighted that we glory between notebooks and -- right now so that it's hard to -- that consumers I was impressed with the speed with which it was running it was one running Windows 7.
And it the keyboard felt really nice typing on the keyboard felt really nice and I wanted to test the speed of windows media center as well because this was.
You know that's when you got a device like that -- you wanna test its girth you wanna test its its strength.
One of the things you want to do is run windows media center on and I launched it -- very you know very nicely was able to interact with windows media center pretty quickly on Windows 7.
But I think that's one of the benefits of Windows 7 maybe not necessarily the idea of the atom processor that's in in this thing one point six pounds.
Only nearly half an inch an optical.
It does not have an optical.
And of course is the MacBook Air in hasn't LE -- leading display.
Two gigahertz Intel chip suits that it's the -- -- it's an atom processor -- an atom processor.
So it interesting and we'll see also the L series which was also rolled out and we've now we have that video I know he's.
Messaging is back there right when he's running like eighty things from Stephen back up and running and running video at the same time.
The Sony L series this is the touch screen.
Here on stage.
And looks allowing the HP touch Smart.
I think it is exactly the -- -- got -- -- -- I don't really think there's anything differentiates us but it's not a credit marketplace is going to be HB kind of has -- themselves at all -- one.
Touch screen PC thing to make others out there I can't think of any.
And Sony's probably thinks that there's a big market for this people are gonna want these things in their living room to sort of hybrid media centers what do you think there there is more to this touch a story and now one.
And basically the consumers.
As a big opportunity.
Okay now let me ask you this I don't know hotel and I was in a hotel in Maryland not too long ago and I walking into the lobby.
And I seen HP touch Smart.
And one directions to restaurants print out menus restaurant and directions.
You know it's better than a surface a Microsoft surface device it's much cheaper too much cheaper cheaper.
Is that where we're seeing this -- they're going to be used her a restaurant reservations hotel check in advertisements.
Com -- kiosks they're basically get cheap kiosk.
He can buy at that spot.
Ever business perspective this is very very compelling.
And and Sony system brown what are your impressions of actual touch the touch technology what when -- wouldn't playing with HP touch Smart front of me to sit out about this divisive about the L but.
Your experience with that type of interaction is -- something you see in your life -- could really general consumer or is it more what they're talking about in a more in a broader business sense.
Yeah I mean I think consumers want it right now consumers haven't on the phone right now they're sort of waiting for it to.
Really come out on the PC Windows 7 is a good opportunity for that -- obviously though this multi touch integration built and that.
Oh in terms of the consumer and I think we're really sort of waiting for a killer app I don't think -- not yet you know in order -- people that they need touch screen on on their laptops.
I've I've -- I've contemplated -- quite a bit -- much is as much fun as it seems to be.
I'm when you start actually thinking about the use case in the ergonomics I mean imagine.
And making this motion and doing this a lot right in front of the computer.
You're gotten your arms are gonna get tired there's that there's a certain use case -- -- certain ergonomic position that we're used.
With our hands down -- in a more relaxed position I think that's going to be one of the fundamental challenges with this technology going forward.
Information kiosks and digital signage.
Where do I get to this -- that room.
You're gonna see a lot of that in the coming -- have we seen sales numbers for these we have not and I think that's talent yet is telling because I'm curious -- I've played with the HP touch Smart and I'm standing there and get a little frustrated after a little while mean.
If I wanna flip through photos it's great but I'm not going to -- do any real work to your point.
And although we have Microsoft courier like device that's -- -- that -- you know an e-book reader might be the killer app for.
Like -- are usually let my guests try to show some because you brought up even better let's jump into -- let's talk Kindle you know here's here's the Kindle two and this of course.
This is one of my favorite devices that are used in a regular basis but the Kindle 2.
Was to 99 -- was 350 we should be clear that drop down to 299.
Few months ago.
Now it's down to two.
Fifty dollars off that.
Try to get Stephen Baker appear unknowable -- the background is beyond.
The Kindle 2 is now 24999.
This is just the domestic version of the Kindle 2.
There's also now interestingly -- 279.
Version of the Kindle 2.
Which is an international plan available over a hundred countries which will that was a big holding back -- -- he was and I could -- the Amazon Kindle.
Being in Europe -- and I it was worthless to me because I wouldn't be able to download books.
Not so much that problem at engadget just breaking the story just a short while ago.
From Amazon that there will be in -- -- DX.
International version launched early next year as well.
When -- make this good good move for the holidays.
I'm a -- found -- I've used it enough times that I actually I think it really has it's got a lot of good name recognition.
Pete -- it's in the same way that people think of an MP3 players I.
IPod they're kind of synonymous the people think he -- and -- more than anything right now in the last year and I think Amazon.
Really really does has shown the way -- that the question is.
What are the publishers doing.
And what is apple going.
Mean those are the two big questions and apple cup is supposed -- tablet coming in -- supposedly it's going to be part.
You know super iPhone you know maybe without the phone card reader.
You know travel gets into the business of selling print pattern books and magazines and that sort of thing -- video for this thing I mean who knows what -- Applications can be for that.
Well we've got Stephen Baker back after they -- -- man.
Ignore what you wanted to -- did -- fantastic hello I'm loving.
-- -- Global we -- we're talking over some other stuff here few minutes ago when we're talking -- -- -- but I wanna get your perspective now we're talking.
And Eric bring -- a great point that it depends on what the publishers are gonna do we were hearing the word of course from Barnes & Noble.
And it looks like some rumors last night that it may running android also possibilities -- yeah -- yesterday yeah I assume was -- what's your impression the price drop from Kindle.
Well you know 250 nine's kind of regroup and -- -- To be honest with you this just isn't right it's not just point out onto yet when he 92 to nineteen I think.
249 to 59 in my book left that it 299.
I think that I don't really isn't a big deal in terms of a price price point at least.
From the way consumers look at that they're gonna think that -- is the same price -- -- was -- war.
-- -- You know it's obviously done darn well and it's started to really create this category and be very interesting to see what happens.
This holiday why haven't been.
Particularly excited about you readers for this holiday could clear.
Aren't very many excuse and it's kinda hard for consumers the -- what they are and where they're gonna be all.
Best buy just said the other day that they're gonna create kind of a gadget.
Section in the us the -- that is a place for them to put all the easy reader products.
And you know maybe you did or start to see some critical mass in terms of the category but even here I'd be surprised -- it was.
Huge category this holiday but certainly as we didn't through 2010.
This is one of the few products segments that when you look out you can see some real opportunity for growth the.
From my perspective the most interesting thing is that international mission because as until now there was no way using the Kindle another country to download books you're traveling -- -- -- -- before -- -- And this is really aimed -- a very very specific customer and that's the business traveler or that constant world traveler.
-- behind so often that they can't get the books in their home they need to buy things are always on the road.
When they're there and what this really opens the door for a I don't think dispersants being sold in other countries that could be wrong to think it's only being sold in the US.
But this opens door for Amazon to sell the Kindle 2 an international audience was right now does not -- because of the sprint with Burnett.
It's kind of just an American device -- start moving on this but this opens the door for that.
It also shows that are not kind of narrative and the sprint race because the -- that runs on sprints but the international stuff -- AT&T.
It's gonna cost you a bit -- -- done these folks in overseas but if you're the kind of guys I was over there at its -- worth it.
I was his -- Brian you mentioned we're Tommy android yeah wanted to yeah I'm really that that's that's what I -- for a feel like that.
That could be the major next step in terms of these integrators you know Amazon's -- three different versions of the Kendall.
But they'll sort of feel like first iteration devices yeah I can't really -- unless they're very basic but if you really opened up to what is essentially.
But open source unless you any company can take this and adopted today -- device.
You can really transform this into some sort of converged device which you don't have right now with a candle.
Yeah -- I I think good when I saw that I thought wow that's an interesting idea actually putting android.
On a device like this because well I think we'll all admit -- as much as we love -- Kindle and if we infuse it obviously you love it but the software is -- at best.
It would be nice to have some third party applications on there would be nice to have that opened up.
And who knows what we'll see from this Barnes noble.
You know if it's got the app -- sorry if it has the this the store experience at Amazon is able to provide.
Be able to have -- integration which Barnes and -- moving towards be able to download books wirelessly.
Be able to have a -- nice display.
I don't know -- see color until early next year.
From then what is one of the many things I think we know right now that that -- gonna have that the Kindle doesn't is the ability to.
Download books from.
Download all these sort of beat these these.
Open source all all of the other different put -- a critical of everything was like that because they don't make money yeah it has Korea items on store element in the UST.
I'm going to let me just point out something I guess.
You know would be cool thing to do all those things but what you would get it to just be great book reader first half but before we start guarding all this other crap on it.
Com you know I think if you want to get the mass marketed auction.
Or something like this it really have to be focused on doing at least the main gas that it's supposed to do.
Pretty well in pretty seamless for most consumers people -- -- walk in the Barnes & Noble that basic consumer.
In want to -- Webb -- this -- play games and do all sorts of other kinds of things read -- let's just make your book reader and stop trying to turn it into something -- So you bring up a great point about walking into Barnes & Noble that's another issue that Amazon doesn't have a lot of people I see -- I have a Kindle 2.
That I am now reading he would always that -- that that Kindle device and they want to touch it do you experiences that people wanna touch your Kindle title.
Well I don't -- touch my Kindle but does just that but that -- expresses interest to put it that way.
And you know they they ask them and in and what it's like but but you know but then when they -- it's color screen they they.
It'll be losing a little bit of their interest yeah NB boomed but -- to the point be able walk into Barnes -- -- actually see a display case heard a display with Barnes and Noble's own.
We were out walking -- borders and see the Sony Reader there and be able to play -- -- you know it was interesting to me I would spend some time then thought about it as long as I can buy the same barks.
With the same experience.
If I want to leave through the physical book.
And then decide -- -- I've got my Kindle or my.
That experience I can in the -- you -- have in store purchasing but you both but I have unity the other person.
And -- -- -- and some news the numbers and and PD had crunch this week and before we have another scary issue and I think this bodes well back to school study you guys did is we're talking about the Kindle perhaps Kindle DX.
You guys found that your back to school sales go back to school sales were down but not out dive into the numbers for Stephen.
You know it was an okay back to school are being you know we've seen the whole year this year so far we've -- Sales results being pretty mediocre at best it retail for consumer -- -- in.
You know as we go forward we're we're hoping people get better but.
You know the core category for back to school was notebooks.
And -- loses big fallacy out in the world that nobody's buying anything anymore.
And yeah this is you know computer notebook sales are up in units in double digits.
Almost every single month mean all the different ways you can slice and dice those numbers.
People -- computers they need them they use them.
This is not -- luxury product it's a necessity.
In the numbers kind of -- that out as we look through back to school season that's not the kind of thing that people are gonna -- one.
The problem is is that -- the manufacturers all the retailers are having trouble more on advertising basically anything that they sell right now.
Diving down towards the low and looking for cheaper products that manufacturers and retailers are more cutting prices -- and offering.
Lower and lower priced goods -- Kinda get in front of these these consumers.
So it's a bit of a race to the bottom so.
You know it's great to sell a lot of units but we're having a lot of trouble generating revenue we expect that that's going to continued throughout the rest of the year.
But let's get around the fallacy -- nobody wants to buy anything yes people love electronics.
And -- aren't luxury items these -- necessities for most people.
-- -- you don't hear from thousands of viewers -- basis who email me want holiday EU related.
Advice for -- one of my computer for their son or daughter or whatever or they won't want and I have to say overwhelmingly what I'm hearing wanna get your perspective is netbooks.
Interested in netbooks this year and Kindle.
Hearing that as well cherry pick -- a PSP go but overwhelmingly netbooks this is going to be the big story of -- holiday seasons I think I continues after over the entire netbook concept and in what my computer -- that somehow -- -- wanna do more -- -- you wanna do.
You know everything with a -- why buy something that's you know essentially topple quite.
You want to buy more but our guys hungry network for that with -- like there.
The cigarettes and I agree a 100% -- that.
There isn't any question.
That that's -- happening in fact if you want to go back to school numbers.
With the choice of buying up.
-- you the last full featured -- with this -- -- a bigger hard drive and a big screen vs a netbook.
Consumers were buying.
Those regular notebooks in much bigger numbers.
Then they were buying netbooks netbook sound great until you get in the store and you would get out of it.
As you pointed out you know you feel it and touch it yet in and they say here that screens kind of small and could keep programs and hall on that I'd much rather.
For the same amount of money you're just a small amount war let me get a full featured notebook a bigger screen -- can do more things with it.
It's a great concept but I think you know -- -- netbooks are just a segment focus -- some very specific customers and that's the end of -- great for up selling off.
Ultimately I -- -- -- they were doing that but you know you know one of the problems too is that the merchandising.
But netbooks tends to focus or netbooks and doesn't really give people not all good -- A CNN the room and -- -- It will actually disagree I think and but whatsoever netbooks what happened lot -- -- -- before people that -- up in the locked up with their satellite system for carrying around.
Now people's primary system mr.
notebook and netbook is -- satellite system I think people are not buying a netbook instead of a full fledged computer buying it in addition to well.
I think some people -- -- I think it it's definitely mistake it's it's up to the manufacturers to really let people know the difference between these two devices they're great they are great as secretary notebook if your student degraded can take them to class and take notes on them rather than taking.
You're -- 500 on notebook.
But it's really up to that hadn't been manufactured and to distinguish between the Q and to let people know that when they buy these things on line the third that they should be binding as the primary system.
What -- the other -- I -- to distinguish between two countries to study here from MTV and Stephen if we had your audio back here wanna make sure -- comments on this study which was getting a lot of play in the tech world this week of course apple and windows computers living together under one roof.
Dogs and cats living together its mass hysteria but what did you find -- I didn't.
You know that that the old idea that that apple people -- -- people are totally different groups is really not sure.
You know we we -- a house full penetration study what we found is that really only about 2% of households just -- maximum.
Then there's another 10% of households and out.
-- -- -- windows PCs in their homes in the act of -- growing number.
And you know I think it really goes to show that the old ideas about what apple really was -- very different today you know those of us who've been around awhile.
We remember when.
Yeah you don't lose the apple desktop bus and you needed separate.
Floppies for apple and it didn't have USB war decision.
Now if you look at -- Apple Computer outside the OS it has the exact same components up and down.
As every single.
It because of that because I can network them I can connect them all all my other computers what we continue to see uses -- Mixed households where.
People recognize that apple develops and delivers products that are great.
To do very specific -- the great -- graphics may be I wanna connect rank ought to that kind of product.
But I also want a windows computer because maybe that interface is better with all the people that are talking with media like.
The young browser better.
Whatever by Steve certainly what we see is the real opportunity.
For apple is to continue -- I could think about.
You don't turning everybody into apple fan boys by.
You know getting -- one Apple Computer in to all those households Steve did -- research take into account.
VMware and parallels and boot camp and things like that right on the Mac yet no we didn't look at you know whether they were using other kinds Bob.
OS is on the we -- basically ask if you had an apple hardware.
Or windows hardware removed -- a little bit -- -- this style vs XP.
I'm you know again people here are using things like narrow aisles and -- kind of stop and think you know mass marketed auction on those.
Kinda -- is pretty small I think you guys missed one important and that's an all these people like if you had a PC and then you buy a Mac or PC to your house that you -- never use it.
But I would look did you I think a look at it for the tool households -- the -- households.
How much time as being stuck with -- -- -- -- -- it's about ninety time with people sending more time with their Mac for their -- Now we didn't look at that we're we we've we will I think the next are a lot of people doubt -- that.
But I will tell you that we didn't ask people what they owned one -- they have to be.
In the home in in use.
It isn't like you know I have a -- -- enough.
Closet or Oregon what PC's that don't work via piled in the -- -- It they all had to be in use -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- And streaming content to an apple TV or using my roku player I can't figure out how to use it brought -- -- I was.
Some say the odds are if you work -- accompany it.
You're using -- this machine and there are still certain things.
But most people the vast majority yes you don't know if you.
You're lucky -- but there there there are there're still things that you can't deal on your.
For both parties you can do pretty well.
There there are a lot of things he can do.
But you know in terms of unless you're running the VPN in terms of you know using outlook exchange that's not quite up to par.
There -- certain things that you really aren't that easy to convert over to Mac so a lot of people probably have these systems in place at home in order to do you.
-- the best windows experience I ever had was on a Mac.
Running on boot camp.
The best windows computer I've ever had that's currently running windows XP on boot camp and it was probably the whole hype and I can't stand -- -- as you can tell the probably windows only saving grace is that it now runs on Mac no reason.
So yeah only my stimulus that's how slow it do great studies there I -- jump into an article that that Eric wrote.
For business week magazine all about.
Iridium -- be flying again what political.
What an old name and his that is.
So here's the story and the satellite phone company which as you point out flopped back in 1999.
Years of his numbers -- the story a story from a business week picking up on the shelves now on you can jump on line.
I'm check it out as well as -- dot com yeah.
This is -- this is a terrific story that the reason I love it is because everybody associates -- with one of the great colossal failures of the mid ninety's loses it.
Five million dollars satellite phone system that was envisioned in the 1980s launched in the 1990s.
Operated on nine months before it -- in the bankruptcy.
And nobody want that they needed a million customers and -- got 101000.
And the last minute about -- investors bought up for.
Clearly fractions of a penny on the dollar.
Changed its operating structure and got it unprofitable.
And turns -- the Department of Defense loves iridium and anecdote that was meant to confirm but I heard that it maybe -- Defense Secretary William Cohen time.
Picked up the phone screamed at summons that you will not be -- with the satellites.
Because they were going to let the satellites.
Burn up in the in the atmosphere all 66 of them.
And unbelievable BI abuse its inception colossal failure couldn't believe that you put on the article that they are planning to raise millions and millions of additional funding -- -- -- to do that when they went -- they went public through kind of -- a weird.
Thing called us back which don't get into what is basically an investment company acquired iridium.
In order to take it public and there -- 200 million dollars that way.
They'll raise the profitable now they'll raise money from their operations say they think we're pretty good cast -- -- -- -- -- -- And then also.
They're going this lease space on the satellites and they have actually saving space.
And this is the only satellite company in the world that includes and so only -- operator any time including the government.
That covers the entire.
Earth every inch of it -- With all those were both satellites and so if you want some space.
-- you know to put if you can't afford to appear on somebody gets -- -- on these birds.
That's -- and the fact that they were gonna let them crash down into the Earth's atmosphere after that I love this I just love stories back from the -- story.
Well -- -- out on business week dot com great article from -- there it was certainly an education for me I did not know much the company calls check -- out good -- story.
Let's also talk about I had chance hands on Super Mario Brothers other new Super Mario Brothers we get to see of course city's three now it's almost completed they're still trying to work out the -- from the tennis on this -- trying to work -- a few bugs basically the game is done.
Let's roll some of this video here we'll talk over -- I had -- I just had to say what an enjoyable experience this was.
You know going back of course the old days of playing the original Super Mario Brothers certainly a treat.
And certainly true to that form factor we know from should -- -- -- so hoarse from.
And that would you mind -- and we are -- got that off in their mind this is that pulled up but you can actually there's a snow level there's an ice level.
There's all kinds of features that allow you to play with your friends and you can compete in cooling mode.
You can compete for just a total number of coins or you can you you can decide to team up and try to get through levels together or you can fight against each other.
Pick like pick him up throw -- if you want.
And meanwhile of course talks about this game really pushes the week to -- -- but -- if we -- all -- -- video impressions of that he gets his chance to play this yet.
I did it was awesome it was a lot of fun but I think it's really if it's only fun if you got a lot of friends.
That big the multiplayer -- looks fun but there's -- online multiplayer mode yet that I -- over they've announced.
-- you really have a bunch like your house this means you have to reference sort of really popular tolerance could be trouble for -- going to be trouble -- -- -- -- -- -- -- become -- -- -- -- but on its political fault it's really hilarious that this supposedly pushes the -- with absolute limits -- looks like something and superintendent.
It it does -- that I mean.
There's a lot going on in the background unless the physics are really complicated is it -- it -- -- -- -- eight I have to say the attention to detail on in this game is just is just mind blowing so I'm really excited about it and I have to say which -- so addictive I I tweeted that after they're done playing my thumbs hurt and remind -- of playing -- Super Mario Brothers you know.
The original Super Mario Brothers so it'll be interesting to see it out November 15.
I I city it is highly addictive.
And once they tweeted I got tons responses from people signal someone's up and -- after Christmas for my kids.
They've hit another home run here in this.
Hold -- gazillion copies of their -- Super Mario Brothers two -- controller as well consuming though it's kind of you know sort of fire balls you can fire ice balls here and some and you can actually get in a penguin outfit you can get a propeller hats and swim around.
Newton antennas that are really good job and stay -- -- a lot of -- -- throwers but they mostly it's sort of revisiting these old games it was just basically supporting.
Old super Nintendo Nintendo games to the way it's nice to see something actually sort takes advantage of all the technologies.
-- -- about that because you don't -- my all time favorite games well one of them was metro but my that was kicker it's -- from the original super from the original NES system and the only -- -- -- follow the game for that for the for gambling.
But they never made a follow up on any of the other bigger than Nintendo platforms and I had heard and I get it's all rumor to me at this point but I had heard that this was something that they were working on.
And we're planning on finally.
Sequel to -- -- that we would see perhaps on the we -- maybe down the line if there's a Wii HD.
I would be thrilled slowly to the great thing is that there's an entire generation of people who grew up with with this.
Generation games and they're beginning to just hitting that age where -- -- getting -- Celtic -- across the and they and they can't play a lot of their games.
Yes that's a built in audience yeah it does it's really Smart move for them so -- out November 15 and I actually have an interview with should your immune most of coming up here a few weeks it will be on FOX & Friends are excited about that.
Via a translator but of course you wanna -- this video games we've been pretty exciting.
Let's start off popular mechanics breakthrough awards let's talk a little bit about like project Mittal earlier I wanna finish here on a bang with some of the video here.
-- You were there I was there it is just an overview -- talk about what you can roll this -- just some video I shot of the show floor.
Here yet so basically this is our annual gathering of geniuses we celebrate the best inventions and the greatest innovators of the year and we celebrated mixture consumer products and there's a Palm -- we really love finally -- but the charging through cell -- -- And then just things that aren't really concerned about -- just great inventions period that are gonna change the world like new types of concrete.
New types of robotics and you just methods of doing things engineering feats and it's really wonderful for us because we -- -- before.
No this country's culture we celebrated musicians and -- sports stars -- movie stars.
But we don't celebrate and seniors don't file great scientists and we certainly feel like we should we're trying to do with you this -- accolades from the applause in the trophies that we guilty this there.
This wind turbine is amazing it uses magnetic it has magnets on the end of it so even in two mile per hour winds get actually get.
Wind power through it this is from Honeywell and ideas that wind turbines right now you need massive holes they're not really practical for home use.
It's really just perched on your roof and only the just the wind up our room right there yeah I think it I think Spain air conditioning.
Was not to get -- -- spinning it requires nothing.
And basically cut out all the -- the turbine itself is the generator basically Dean -- of course was your it was at the leader and innovator -- he won a big leadership award is where we kind of acknowledge somebody who is on the lot across multiple fields -- really push forward -- right now and as I've bought with us here.
But this -- amazing fun wheelchair that can go upstairs goes upstairs and he's done so much upon his biggest is great to mention people tell you when -- anybody last some.
Is the first robotics competition which is this incredible thing.
Where he gets hundreds of thousands of teenage students they compete against each other in this kind of sports like setting with cheerleaders and stadiums.
In the making robotics and -- kind of tricks to kids because they think they're getting involved with sports competition.
But the really learning about math and engineering and what he's training it is kind of -- that they.
This whole generation of kids what he's built in knowledge and talent to compete in the global marketplace where these skills are going to be really really hot commodities via.
-- and it was amazing of course he's also famous for inventing the same way up slowly to get a segue there as well it's -- his most famous for -- segue but he's and so much else he's he's.
Like I think he's won the most prolific medical device inventors of the world's ever.
Yeah I -- -- mechanical arm.
Value PS there's a prosthetic arms that they're working on for the military veterans who have lost their limbs but yeah I mean there was a sixty minutes piece on that it's blows your mind when you see -- And he you know from what I understand talking to dean -- mean this is one of the things he wanted he wanted not a device that you would.
Take hours to put on he wanted to sort of a strap -- go arms -- that I'm leaving the house alive and need to get my -- it's called -- -- -- -- empire strikes back at skywalker gets -- officer who has Jessica strap that wraps around and they were running the sixty minutes -- over there on the side there.
So Stephen I want you to hear your thoughts on any of the things you're talking about there with a breakthrough awards we have.
You know everything looks cool I'm I'm always Wear it and for those things fit that the stores open job so the rest of the people can start to -- them.
You know it's always great to look at the those kind of things in in the -- infancy.
But what really makes the industry go is engineers turning these things and products at affordable prices that.
-- though the mass market people can get out there and Biden enjoyed and that's what makes up packer great business.
Is there were always focused -- delivering you know better products to the consumer.
And you know -- -- -- of all the great count -- out there.
What we're almost out of time and Alice thank Stephen Baker from NPD ILE two always ask were you working on next and before I leave you.
-- you know we're just kind of get ready for the holiday now get ready we'll get Black Friday sales and I'm looking at some some sales numbers in terms of TDs in what kind of about things people -- would -- right now.
-- then getting ready like I said for Black Friday and -- the excitement data quality tends to generate.
Great we'll Stephen thanks so much for joining us today -- -- sky connection here at the top appreciate it we'll have you back Branson thanks so much -- -- way.
Eric has the golf course from my business week what are you working on their next bite of the apple column.
I don't know what it's about -- but -- Cynthia soon -- see some yeah.
Reminiscing some interesting stuff from apple soon as well as support -- from popular mechanics -- It's been busy week for you so yeah we're either ordered to come -- actually take a nap now I think we're still Terry got on this -- yeah.
Yeah the big operation so good stuff over there from -- out that this issue -- popular mechanics for all the breakthrough awards great stuff you can check it out on line.
What is the -- just for popular mechanics -- -- spark yeah very brilliant.
And Brian heater for PC Mac when you -- probably -- and try to get over this cold.
Yes he's -- lying down and hydrating -- to -- let's PC mag after hours is are relatively new podcast we're going to be.
Throwing a Windows 7 party this week on the show.
Local yeah we're gonna try to unite here with the big Windows 7 on boxing the party streamers.
Completes this in playing cards to small cars at Atlanta battled back absolutely.
-- -- Well thanks all of you for joining us on the show today thanks for everyone for weighing in on Twitter this afternoon and we have so much content here you can always download -- on iTunes and Zune marketplace that -- used to -- and anywhere you can find podcasts it's -- gadgets and games on those Claymores thanks to all of our great guests today we will see you back here next Friday at 2 PM.
I'll see tomorrow morning on FOX & Friends brighten early.
At seven and reasonable.
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