Of the $4.3 Billion in quarterly profit that Apple reported for 2010′s Q4, over $1 Billion came from iTunes sales.*

Seth Godin’s latest book Poke the Box (Read a Summary) encourages provocation – challenging long held beliefs or accepted practices.  Seth (and others) suggest we need to re-examine our “boxes” and relish the opportunity to reinvent them.  I’m looking forward to reading it because, personally,  I think the box is dead.  And at the same time, more important than ever before.  Let me explain…

It dawned on me the other day when I did a quick inventory of the juggernaut business success stories of the 21st century – Apple.  Amazon.  Ebay.  Facebook.  Google.  Zappos.  From A-Z (literally), these businesses have one thing in common – they’ve made their billions not by selling better boxes or “thinking outside the box”, but by escaping the box mentality completely.  These companies (and others) create platforms.

Simply defined, if a box is a clearly defined product or service, a platform is a basic set of parameters that allow others to create their own boxes.

Whether it’s internally or externally facing, a platform consist of four core components:

A base:             The internet works well for this.  So does any existing physical entity.

Tools:               A platform is a place for others to build.  Give them the tools to do so.

Simplicity:   Complexity creates walls; a lid.  Too many rules and your platform will start to look eerily like a box.

Purpose:        Facebook gives people a chance to connect with their friends.  eBay’s a place to make some money.  Tell people why they should build on your platform.

The challenge with traditional boxes is that even the most successful have a limited shelf life and a growing number of competitors.  Let’s revisit Apple’s revenue report – the other $3.3 Billion in profits from 2010′s Q4 came from iPhones, Macs and iPads.  How many of the current versions of those products will be selling the same volumes six months from now?  Two years?  To be in the box business, you need to be constantly creating new boxes (iPad 2 due out early this year).  Not so with platforms.  Apple needs to make virtually no changes to the iTunes store to maintain (and likely grow) the current level of activity.

Unlike Boxes, Platforms have exponential growth potential.  They are inherently designed to benefit from socialnomics.  As more consumers adopt, more contributors are drawn in who, in turn, create more for consumers to adopt.  And the faster the platform grows, the harder it becomes for a new competitor to stand a chance.  First Mover’s Advantage takes on whole new implications in the Platform world.

So are boxes dead?  Traditional boxes, yes.  We need to think about them in new ways.  As mentioned, the iPad is a box.  But it’s also a portal to the Apple platform.  And that’s the important part.  Understanding that Apple typically keeps 30% of every App sale, how many Apps do you think a consumer has to buy before Apple made more off those than they did off the device itself?  There’s a reason why Apple TV was re-launched at $99 last year – Every person that buys one is also committing to a significant number of App Store purchases and, by lowering the price point from the original $229, Apple encourages new user to adopt their platform as well.

The main message is to not limit yourself to box thinking (regardless of whether your “outside the box” or in it).  Boxes are best when they act as a base for a well thought out platform.

One final thought on platforms:  They work as well internally as they do externally.  In my list of platform companies above, I mentioned Zappos; an online shoe retailer that sold in 2009 to Amazon for $1.2 Billion.  They sell shoes.  Zappos is, however, noteworthy for another reason:  Zappos didn’t turn their offering into a platform.  Instead, they used the power of the platform internally – turning their call center job description into a platform.  From their Las Vegas head office, Zappos call center representatives are given the training, tools and freedom to dazzle and impress their customers on their own terms.  No script, just a genuine desire to help.  And permission to do so.  Does it work?  Zappos CEO, Tony Hsieh has 1.2 billion reasons to think so.

*http://www.macrumors.com/2010/10/18/apple-reports-q4-2010-profit-of-4-31-billion-on-20-34-billion-revenue-best-quarter-ever/

Chris Taylor is President of Actionable Books; a resource center for busy managers who give a damn about their team.  He helps them build platforms for change.  Learn more about their tools at actionablebooks.com/workshops.

I was recently in a bookstore and came across a couple books I was excited to check out right away. However, I didn’t grab them and run to the register as I would have a couple years ago…instead I pulled out my evernote app on my iPhone jotted down the title and author. Then as I walked out, I pulled up Amazon and purchased them with 1-click for my Kindle app. Within approximately 90 seconds I had the books in my hand, and for cheaper than the bookstore price. Mobile apps…are my best friend for a person who’s on the go constantly and wants everything easily accessible from a simple and easy to use device.

Nowadays the saying “there’s an app for that” goes without saying. However, is the app really that great? Is it inexpensive? Quick to download? Easy to use? Have an intuitive interface? All these characteristics are essential to apps being successful in the mobile space. According to a few different lists (such as Time, PCMag and others) the following are known to be the top five iPhone and Android apps (respectively)…notice the difference…

iPhone Apps Kicking Butt and Taking Names

1. Games: Angry Birds

2. On-the-go: Kayak

3. Lifestyle: Amazon

4. Social: Facebook

5. Utility: Google

Android Apps Showing Them Who’s Boss

1. Games: Angry Birds

2. On-the-go: Yelp

3. Lifestyle: ESPN Score Center

4. Social: Facebook

5. Utility: Beautiful Widgets

What do these apps have in common, despite some of their different categorical types, features, and uses? How and why are they in top lists by many magazines and experts? Easy…

A. User Interface: Keep it simple, easy to use, and most of all easy on the eyes…we can’t all afford laser surgery just yet.

B.  Adapt to User’s Needs and Wants: If you are focusing on a productivity app, make sure it’s actually making the user’s time more efficient. Make it easy to learn to use, intuitive in all senses, and something they’ll use on a regular basis. If not, it’s just as easy to hit delete and try another one that works better.

C. Understand the Market: It’s key to understand if the market is ready for such an app. Does it exist? Does the market want something like this? Example – Spotify is a great example of an app that filled people wants/needs. People loved music but were tired of being interrupted by ads. This app allows music fansto stream music of their choice (a whole album if they want) without having incessant ads. Yes, they may have to pay more, but true music lovers will pay the price if the app is worth the money.

In the end there is no real magic potion to have a successful iPhone app…but there are qualities that go into it which people appreciate and notice. Maybe the next app will tell you if your app is awesome or if it sucks…?

Image credit: Techcrates, faceblogger

Domino’s is taking us one step closer to a world defined by customer customization. Domino’s Pizza Hero App for iPad let’s your make your own pizza and then have it delivered. The other item the App allows for is for you to compete against others on who can make pizza the fastest.

A rep for the ad agency behind the app, Crispin Porter + Bogusky, says that there are parameters regarding the type of pizza you can make. You can’t, for instance, knead the dough into the shape of Florida or have a pizza that’s got sauce only on one half.The below video showcases Domino’s Pizza Hero App.

Pipa Middleton

Digital Leadership

It is a sad day for the world when a visionary like Steve Jobs is no longer walking among us. It truly reminds all of us how

short and precious life is. Just like there will never be another Socrates, Wayne Gretzky, Winston Churchill, or Gandhi, there will never be another Steve Jobs. While we can never become Steve Jobs, nor should we strive to be (follow your heart). What we can do is understand what is the greatness of Steve Jobs and, where applicable, apply these principals to help us develop as leaders.

Simplify

Steve Jobs demanded that the iPod not have any buttons on it; including an on/off switch. This seemed implausible for the engineers working on the project, but Jobs wouldn’t bend. The engineers were pushed to their limits and as a result the scroll wheel was inspired. Jobs indicates “that’s been one of my mantras — focus and simplicity. Simple can be harder than complex: You have to work hard to get your thinking clean to make it simple. But it’s worth it in the end because once you get there, you can move mountains.”

The power of “NO”

Jobs is just as proud of the many products he killed over the years as the ones that were monumental successes. At one point he worked hard on a device similar to the Palm Pilot, but appropriately killed it to focus on the cell phone market. What resulted was the iPod and iPhone.

Money is overvalued

“Being the richest man in the cemetery doesn’t’ matter to me…Going to bed at night saying we’ve done something wonderful..that’s what matters to me.”

Innovation has nothing to do with how many R&D dollars you have. When Apple came up with the Mac, IBM was spending at least 100 times more on R&D. It’s not about money. It’s about the people you have, how you’re led, and how much you get it. [Fortune, November 9, 1998]

It’s not what you say; it’s how you say it

Jobs keynotes and product launches spellbound audiences. The missing “it” factor is palpable when he’s not on stage.

Not all products under Jobs were the most cutting edge on the market, however consumers perceived them to be. Part of this was Jobs overzealous demand of secrecy around products. This secrecy helped feed consumers desires for the product once they were revealed.

That is the critical point – perception becomes reality. Part of Jobs’ success was based on the notion that “Your customers dream of a happier and better life. Don’t move products. Instead, enrich lives.”

Recognize Good Ideas

Jobs and Apple did not create the computer mouse, podcasting or the touch screen, but they recognized their value and integrated these innovations into their products.

Shun the Majority

Jobs actions epitomized the mantra of if the majority was always right than we’d all be rich. Like Henry Ford before him who indicated “If I asked the public what they wanted they would say a faster horse,” Jobs typically eschewed focus groups and gave the public what he thought they needed. This worked the majority of the time, when it didn’t it was a chance for him to fail forward into the next project taking the lessons with him.

“Here’s to the crazy one, the misfits, the rebels, the troublemakers, the round pegs in the square holes… because the ones who are crazy enough to think that they can change the world, are the ones who do.”

Eat Your Own Lunch

There is a saying in Silicon Valley that you need to eat your own lunch before someone else does.  Jobs had the conviction to do this with the introduction of the iPhone, knowing full well it would and did cannibalize the sales of the flagship iPod. Letting go of the familiar and embracing the unknown is a real test of leadership.

Strive for perfection

The night before the opening of the first Apple store, jobs didn’t like the look of the tiles so he had them all ripped up and replaced. Right before the iPod launch Jobs also had all the headphone jacks replaced so that they were more “clicky.”

Small Teams

Jobs didn’t want his iPhone team to be muddle with pre-conceived notions around the cell phone market and had the team placed in a separate building. While this rubbed some employees the wrong way for not being selected, the results are irrefutable.

The original Macintosh team had 100 members. Whenever it reached 101 members they would have to reshuffle and remove someone from the team. Jobs’ belief was that he could only remember 100 names. [Source: Leaner Kahney, The 10 Commandments of Steve,” Newsweek, page 35, September, 2011]

Follow Your Heart

“If today were the last day of my life, would I want to do what I am about to do today?” And whenever the answer has been “No” for too many days in a arrow, I know I need to change something.” It’s sad to think that today was Jobs’ last day, at the young age of 56. But he truly led a life of following his heart.

God Bless.

Funny 30 sec video on Steve Jobs becoming President. Click to play and enjoy! – Erik Qualman

(Video: Watch this video on the post page)

Steve Jobs resigns as Apple CEO. He will remain as Chairman of the Board. Tim Cook is Apple’s new CEO. Jobs, 56, submitted his resignation to the Apple board of directors on Wednesday. Tim Cook is tabbed as his replacement.  In a letter announcing his resignation, Jobs asked to remain chairman of the board and an Apple employee.

“I have always said if there ever came a day when I could no longer meet my duties and expectations as Apple’s C.E.O., I

Steve Jobs Resigns as CEO of Apple on August 24, 2011

would be the first to let you know,” Jobs wrote. “Unfortunately, that day has come.”

While analysts indicate this shouldn’t affect Apple in the short term, let me stress short term. It’s my belief that someone like Steve Jobs isn’t someone you can replace. Visionaries like Jobs only come along so often. Expect the long term to be a much more difficult road for Apple. We knew the day was coming soon when Jobs would step down, yet it is something maybe you can never prepare for. The silver lining is that he will remain on as Chairman so at least his vision will be there for a little more time.

I pull from Steve Jobs keynote to Stanford seniors in 2005, because I feel it catches the moment and epitomizes the icon that is Jobs. Jobs career and contribution to society will be talked about just like we talk about Rockefeller & Walt Disney.

Steve Jobs gave similar advice to graduating Stanford students:

I had no idea what I wanted to do with my life and no idea how college was going to help me figure it out. And here I was spending all of the money my parents had saved their entire life. So I decided to drop out and trust that it would all work out OK. It was pretty scary at the time, but looking back it was one of the best decisions I ever made.

The minute I dropped out, I could stop taking the required classes that didn’t interest me, and begin dropping in on the ones that looked interesting. It wasn’t all romantic: I didn’t have a dorm room, so I slept on the floor in friends’ rooms, I returned coke bottles for the 5 cent deposits to buy food with, and I would walk the seven miles across town every Sunday night to get one good meal a week at the Hare Krishna temple. I loved it.

And much of what I stumbled into by following my curiosity and intuition turned out to be priceless later on. Let me give you one example: Reed College at that time offered perhaps the best calligraphy instruction in the country. Throughout the campus every poster, every label on every drawer, was beautifully hand calligraphed.

Because I had dropped out and didn’t have to take the normal classes, I decided to take a calligraphy class to learn how to do this. I learned about serif and san serif typefaces, about varying the amount of space between different letter combinations, about what makes great typography great. It was beautiful, historical, artistically subtle in a way that science can’t capture, and I found it fascinating.

Steve Jobs Resigns on his own terms: At the age of 30 Steve Jobs was asked to leave Apple. This time at 56 Jobs resigns on his own terms.

None of this had even a hope of any practical application in my life. But ten years later, when we were designing the first Macintosh computer, it all came back to me. And we designed it all into the Mac.

It was the first computer with beautiful typography. If I had never dropped in on that single course in college, the Mac would have never had multiple typefaces or proportionally spaced fonts. And since Windows just copied the Mac, it’s likely that no personal computer would have them. If I had never dropped out, I would have never dropped in on this calligraphy class, and personal computers might not have the wonderful typography that they do.

Of course, it was impossible to connect the dots looking forward when I was in college. But it was very, very clear looking back ten years later. Again, you can’t connect the dots looking forward; you can only connect them looking back. So you have to trust that the dots will somehow connect in your future. You have to trust in something – your gut, destiny, life, karma, whatever. This approach has never let me down, and it has made all the difference in my life.

I was lucky I found what I loved to do early in life…

… This (cancer diagnosis) was the closest I’ve been to facing death, and I hope it’s the closest I get for a few more decades. Having lived through it, I can now say this to you with a bit more certainty than when death was a useful, but purely intellectual concept: No one wants to die. Even people who want to go to heaven don’t want to die to get there.

And yet death is the destination we all share. No one has ever escaped it. And that is as it should be, because death is very likely the single best invention of life. It is life’s change agent. It clears out the old to make way for the new. Right now, the new is you, but someday not too long from now, you will gradually become the old and be cleared away.

Sorry to be so dramatic, but it is quite true. Your time is limited; so don’t waste it living someone else’s life. Don’t be trapped by dogma – which is living with the results of other people’s thinking. Don’t let the noise of other’s opinions drown out your own inner voice. And, most importantly, have the courage to follow your heart and intuition. Then somehow know what you truly want to become. Everything else is secondary.”

Related Articles: Steve Jobs Infographic, 15 Things You Didn’t Know About Steve Jobs

Steve Jobs resigns!

It was tough to see Steve Jobs resign as CEO from Apple. The below is a quick infographic from onlineschools.org on 15 things you may not have known about Steve Jobs.

Via: Online Schools

Hats off to Ellie Koning for a great infographic design.

HBO has officially launched its mobile MAX GO app for Apple and Android.  Additionally, the mobile app is available on numerous smartphones using Google’s Android™ operating system.  The app is free of charge to Cinemax subscribers and offers unlimited access to over 700 hours of programming.

“Consumers will be able to watch the full suite of Cinemax’s offerings and catch every action-packed moment of their favorite Cinemax movies and series anywhere they go.” said Eric Kessler, co-president, HBO.

Consumers will have instant access to hundreds of Hollywood hit movies, indies, cult favorites, the MAX After Dark series as well as new and exclusive, primetime high-impact drama series like STRIKE BACK.

MAX GO is currently available to Charter, Cox Advanced TV, Verizon FiOS, AT&T U-Verse, Suddenlink, DIRECTV and DISH Network customers who subscribe to the service.

Most of us smartphone users have our devices practically attached to our hands at all times. Whether we’re posting to Facebook or Twitter, checking and responding to e-mails, or getting our work done on-the-go, being on our smartphones has become a way of life.  The problem is that we’re often so consumed with our own little digital world that we often miss things going on in the world around us.  I love my new iPhone 4, but I would never sacrifice my summer for it! The good news is that we don’t have to. Here are 5 summer smartphone apps that can help you make the most of your summer:

TripAdvisor:  After working long hours all year long, you deserve a vacation!  Whether you plan your vacations in advance or are a strong proponent of “winging it,” TripAdvisor can help you find restaurants, hotels, and attractions at any location. TripAdvisor also features reviews and advice on hotels, resorts, vacation packages, airlines and much more.

Songkick: Thanks to its gorgeous weather, summer is the perfect season to finally see your favorite band in concert. Songkick allows you to track your favorite bands and see when they will be performing in your area. This app scans your music library and creates a personalized calendar based your music preferences and location. Songkick not only tells you where your favorite bands are playing, but it also aggregates tickets prices from across the web.

Drinkspiration:  What is the perfect summer cocktail? Well, it depends on a number of factors. Drinkspiration by Absolut helps you determine the perfect beverages based on the weather, time of day, location, atmosphere, personal preferences, and more. This app has a database of 400 drink recipes to help you find your perfect summer cocktail for any occasion.

 Tan Pro: This app can help you achieve your ideal summer glow! Tan Pro lets you easily track your tanning progress and time your tanning sessions.  This app allows you to set periods of time for tanning, turning over, and applying sunscreen. You are also able to take photos to measure the progress of your tan.

Steak Time:  Summer is the perfect time for a barbecue. This app by Omaha Steaks features hundreds of grilling recipes, how-to videos, and grilling guides. Steak Time also features games, contests, a grilling timer, and various ways to connect with Omaha Steaks as well as other steak lovers across the web.

What are some of your favorite summertime apps?

Apple dethroned Google as the world’s most valuable brand.  Google was the top brand for the past four years.  The brand study released by global brands agency Millward Brown listed the six technology firms in the top ten:

1. Apple
2. Google
3. IBM
4. McDonald’s
5. Microsoft
6. Coca-Cola
7. AT&T
8. Marlboro
9. China Mobile
10. General Electric

The Facebook brand appeared for the first time at the 35 slot; don’t be surprised if they crack the top ten next year.  Chinese search engine Baidu rose to number 29 from 46 Nineteen of the top 100 brands came from emerging markets; there were only13 in last year’s report.

Suggested book: iCon Steve Jobs: The Greatest Second Act in the History of Business

2011: Apple is World's Top Brand