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Daily Digest

eMusic: UK P2P warning letter pact digital music business.”


”smells very funny to us” Pakman’s concern isn’t so much about crude prac-
tices like throttling traffic to eMuisc or cutting off ac-
The UK detente between ISPs and the music indus- cess to the site. That’s not going to happen. But what
try hasn’t attracted the same vociferous criticism that worries him is the possibility for other arrangements-an
has followed other recent music industry actions; who ISP’s own music offering being exempt from bandwidth
could be opposed to ISPs merely sending out friendly caps, for instance.
letters to alleged file-swappers? But indie music store While Pakman’s not a fan of bandwidth caps in gen-
eMusic has some olfactory concerns about the deal. It eral, it’s the link between caps and music licenses that
”smells very funny to us,” CEO David Pakman tells makes him uneasy. ISPs suddenly have an ”economic
Ars. interest to favor their own services,” a fear that ISPs
eMusic has made a name for itself in the US as one will have to address in ever case in which they attempt
of the largest music download stores, a hub for inexpen- to enter a content-delivery market.
sive indie music. The company expanded into Europe Instead of sending letter to file-swappers, which Pak-
in 2006, and European sales now count for 15 percent man doesn’t think ”is going to do anything,” he wants
of its total revenues. Pakman sees the UK, in partic- to see ”hundreds of legitimate, well-priced alternatives.
ular, as one of the largest underserved music markets Instead, he says, there are two or three, in part be-
outside the US; that’s why he’s concerned about the cause music labels are stingy in handing out licenses to
new arrangement between ISPs and the British music startups.
business. He admits that the concerns about UK ISPs are hy-
The fear is that Britain’s BPI, which represents ma- pothetical at the moment and that he’s thinking ”three
jor labels, may have offered a ”quid pro quo” to en- steps ahead of where we are today.” Still, he’s adamant
courage ISP cooperation in its scheme. US ISPs have that the scenarios he sketches aren’t ”some fairy-tale
been exceptionally reluctant to get involved in fingering situation that could never happen.”
subscribers for the content industries without a court Pakman’s worries, floated in media interviews over
order, but several major British ISPs have agreed to do the last few days (see his similar comments to the Fi-
so, and two (Sky and BT) have gone on to announce nancial Times), are themselves a form of action, even
licensing agreements with the music business. Those though Pakman says that the company has nothing to
agreements could give ISPs the right to launch their announce in the way of legal complaints at the moment.
own music stores. But even as he rightfully looks ahead to competitive
And that’s the issue. Should ISPs choose to launch threats to his business, there’s also the possibility that
their own music services, would independent companies this will all work out well for music download services.
like eMusic still receive a fair shake? It’s not a new Previous UK surveys have shown that sending out sim-
worry, and we’ve seen it in Canada when Bell Canada ple ”I see you’ve been file-sharing” notices strip away
started throttling P2P traffic (too much bandwidth!) the feeling of anonymity that pervades such activity,
and then opened a bandwidth-intensive movie down- and has the potential to lead to significant reductions
load store of its own. Similar concerns were voiced in in illicit P2P downloading. As that happens, music-
the US when Comcast began interrupting some P2P loving consumers may turn increasingly to legitimate
uploads even as it had a huge financial interest in hav- sources, and that’s an opportunity that eMusic and the
ing people watch video through its cable system, not six people working out of its London UK headquarters
an Internet connection. would do well to capitalize on.
BPI boss Geoff Taylor made the ISP music strat-
egy explicit in a column for the BBC this summer.
”We believe that ISPs, far from being a simple pipe,
can become significant distributors of digital media,” he Selfish driving causes everyone to pay
wrote, ”and share in the tremendous value that would the Price of Anarchy
be unleashed if more music were accessed legally on-
line.” He then made a brief reference to ”ISP partner- Traffic jams are something nearly everyone can re-
ships,” which are the ”next logical step in our maturing late to. While driving is ideally a communal activity,

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where people pay attention to each other and follow driven in Boston). New York and London had similar
the rules of the road, most people seem to follow their peak POA values of about 1.27 and 1.22, respectively.
whims, only occasionally within the confines of common To gain a better theoretical understanding of the
sense. This urge to do what is best for the individual nature of POA in networks, the team applied their
leads to headaches for the group, increasing the total methodology to various types of idealized networks.
amount of time everyone has to spend on the road. They came to the conclusion that, to improve the Price
In a paper set to be published in an upcoming issue of Anarchy, you must close off various roads-something
of Physical Review Letters, physicists Hyejin Youn and known as Braess’s paradox. In the network representing
Hawoong Jeong, along with computer scientist Micheal Boston, the researchers find six possible road closures
Gastner, look at the result of self-interested drivers that would reduce the delay in the suboptimal Nash
traveling on both hypothetical and real-world networks. (selfish) equilibrium. A similar analysis of the London
The abstract describes what happens very clearly: and New York networks found that there were seven
Uncoordinated individuals in human society pursu- and twelve roads, respectively, that could be closed to
ing their personally optimal strategies do not always improve the overall travel time.
achieve the social optimum, the most beneficial state While still theoretical, the work has the potential to
to the society as a whole. Instead, strategies form Nash aid future urban planning. Since the obvious solution
equilibria which are often socially suboptimal. Society, of adding more roads may actually make the problem
therefore, has to pay a price of anarchy for the lack of worse, an analysis of this sort could prove invaluable in
coordination among its members. determining real-world driving conditions.
To illustrate this principle, the authors discuss a
trivial example: two points A and B are connected by
both a short bridge and a long freeway. Here, the total
number of travelers going from A to B is constant, but PAX Technica: Ars goes inside the
the bridge is narrow and prone to congestion, while the gamer’s ”Burning Man”
freeway is wide and is less susceptible to traffic jams.
In this setup, the ideal situation for everyone is for half Penny Arcade Expo (PAX) is one of the biggest
the traffic to take each path. Even in this trivial ex- yearly events in gaming, and the draw is easy to explain.
ample, however, what is best for everyone is not best The lineup of developers and publishers who hawk their
to each person. Using their example numbers, a driver games at the show is much larger than even E3’s list this
taking the freeway under ideal conditions would reduce year, and the games to be seen and played comprise a
his or her individual delay by 40 percent over taking list of the biggest-name titles coming out this year and
the bridge. next. The best in geeky music, including video game
But as more and more people move away from the cover-bands like the OneUps, nerdcore rappers like MC
global optimum and take the bridge, the total time in- Frontalot, and troubadours like Jonathan Coulton, are
volved in traveling from A to B increases and a Nash performed during the two nights of concerts. In short,
equilibrium is reached. This is the point where ”no sin- PAX has become the destination for gamers all around
gle user can make any individual gain by changing his the world who wish to connect with the community of
own strategy unilaterally.” In other words, no matter games, music, and all other kinds of Internet culture,
what route you take, you’re going to be stuck in traffic. and this year was no different. Well, except for one
By looking at the ratio of the cost at Nash equilibrium thing: it was much bigger.
to the equilibrium representing the global optimum, one The problem for how people perceive PAX is that
can calculate the price of anarchy (POA)-a measure of there is no precedent for this sort of thing. While things
inefficiency caused by the lack of coordination. like ComicCon may come close, even that wide-open,
Imaginary bridges and freeways can only take us so varied show doesn’t have the type of intense focus and
far, so the authors decided to apply the analysis to the community that PAX enjoys. Others argue that PAX
real world. They calculated the Price of Anarchy for is the new E3, which any game writer will tell you is ab-
three real-world commutes: from Harvard Square to surd. While it’s wonderful that the public gets to play
Boston Common in Boston, from Washington Market all those great games at the very public PAX, there is
Park to the Queens Midtown Tunnel in New York, and precious little news that comes out of the event. In-
the trip from Borough underground station to Farring- terviews and hands-on posts are great, but many of
don station in London. Using a well-established func- the booths are stocked with PR people, not develop-
tion to model traffic delays, they find that at an average ers. More than one prominent writer in the press room
traffic flow of 10,000 vehicles per hour in Boston-a typ- complained about not knowing exactly how to cover the
ical number-the POA peaks at 1.3. This means that show. Other writers complained that doing any kind of
drivers waste 30 percent more time because they are job at PAX is nearly impossible; the show makes you
driving with their own interests in mind rather than want to quit your job and join the mob of gamers as
a group concern (not a news flash for anyone who has everyone chases their own idea of what PAX should be.

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Anyone who goes has an easy word for what PAX refers to as his ”tribe,” and how girls somewhat broke
is: magic. The best things, the things that people re- that group up. He then goes on to speak about his
member after they go home, are rarely planned events. failed script for a vampire movie, as well as a rejected
Rather, the impromptu and collaborative nature of the script for a romantic comedy. Years of nothing followed,
events, mixed with a community that has a strong sense until he found himself working at Looking Glass, a
of giving and friendliness that extends to every line, place where employees watched Blade Runner on VHS,
game, and happening, means that the best way to ex- played games in between making games, and generally
perience PAX is to fall into it, and to let the event were at peace with being geeky.
create itself minute by minute around you. ”After many years running from things I love, it’s
Not everything is wine and roses, however, as a few amazing to come here and see what Gabe and Tycho
cracks have begun to show at PAX08. Let’s take a look and so many others have built together,” he said. ”We
at the highs, and lows, of the show this year. are united by a common element, but it’s not the color
As we arrive at the gates in Seattle’s airport, every- of our skin or our ideology or politics,” he went on, his
one at SEA-TAC knows something is up, but no one voice rising. ”What brings us together at PAX is that
can quite put their finger on what. The airport is fill- we are a giant bunch of fucking nerds.” The kids sitting
ing up with a very specific crowd: almost completely to the right of me, wearing Magic: The Gathering shirts
male, almost exclusively white, and mostly unshaven and suffering through what looked like hard bouts of
and looking either malnourished or over-fed. The pre- acne, almost bowl me over as they rush to stand up,
ferred uniform for the crowd milling about the termi- applaud, and cheer. I believe one of them is crying.
nals is beat up jeans and T-shirts bearing arcane look- The part of PAX that most resembles a classical
ing symbols and images. For anyone with eyes to see, gaming show, the part that makes people claim PAX is
the geeks have arrived. the new E3, is the show floor itself. Filled with themed
As the hordes of bodies make their way from the air- booths, flashing screens, things to buy, and, of course,
port to the convention center, the line begins to form at long lines, this is the section of the floor where the
the center’s entrance, and no one is surprised or rest- hardcore go to find out what they’ll be playing in the
less. Tens of thousands of Nintendo DS systems, the future.
preferred way of passing time at the show, come out, The problem is that the number of people this year
and groups form up around specific games. Those at- has skyrocketed; it has now been confirmed that over
tending dressed up as game or anime characters, espe- 58,000 people showed up for PAX this year, and while
cially the attractive women, are asked for pictures and the Convention Center can easily handle that amount
are very nearly mobbed. of people, the individual things people have come to see
A few hours later Ken Levine delivers the keynote can’t. For the entirety of the show, it took most of the
for the show, and, remarkably, he doesn’t mention his afternoon spent waiting in line to play Fallout 3, and
signature achievement, Bioshock, once. In fact, Levine’s StarCraft 2 also required dedication if you wanted to
story ends with his first job at Looking Glass. Instead put your hands on a mouse and keyboard. This is a
of talking about his latest game, he talks about growing big show for Bethesda, as the company promised some
up young and nerdy, of being ashamed of his enthu- new, never-before-seen content for Fallout 3 in the main
siasm for comic books and games like Dungeons and theater. Unfortunately, the theater could only handle
Dragons. He talks about how the issues dealt with in around 5,000 people, and masses of gamers were turned
favorite comics like Spiderman may have made him feel away without being able to see anything. After the
more grown-up than his peers, while noting that he was interminable wait for the game, this is more than many
mocked for his choice of reading material. can bear, and it was there that we saw the first signs
He describes his first Dungeons and Dragons source of bitterness at the vastness of the show.
book, read under the sheets in the dead of night, as ”I got in line for the Fallout 3 preview in the main
if it was pornography that he was afraid to be caught theater, as it was supposed to start. The main theater
with. He describes how the gift of an Atari system filled up after 20 minutes and the preview began while
one Hanukkah changed his life. ”This was my Nerd there were still hundreds of people waiting in line. Ev-
Siberia,” he tells the packed auditorium, as they nod ery panel seemed to be packed; if you didn’t line up a
in understanding. No friends. Picked on at school. half-hour or an hour early, you weren’t getting in,” one
Ashamed of a growing comic book collection. reader angrily commented.
He shows a picture of Farrah Fawcett. ”Believe The best lines were the ones that turned into a
me, this was the shit back in the ’70s,” he says, be- party, and of course those lines belonged to Guitar
fore changing the slide to a scantily clad illustration. Hero: World Tour and Rock Band 2. ”It’s pretty mind-
”Me? I wanted to fuck the Scarlet Witch.” The room blowing. I was at PAX last year when we were debuting
erupts. Rock Band and it was... amazing to see everyone who
He describes meeting his first friends and joining couldn’t play drums and no one could sing and they
an ongoing Dungeons and Dragons campaign, who he were performing on stage. This year it’s so surreal to

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see players come up, play on expert, and nail everything off the end of Portal. The crowd here, filled with fans
on expert,” Dan Teasdale, the Lead Designer on Rock of The Guild, which Felicia Day writes and stars in,
Band 2, told us. ”It’s very rewarding.” It seems like it. and of Dr. Horrible’s Sing-Along blog, Joss Whedon’s
The Rock Band 2 booth was hopping throughout the web-series, absolutely adores Day, and the duet brings
entire show, and the line was even treated to an early cheers.
look at Jonathan Coulton’s ”Skullcrusher Mountain,” Felicia Day with The Guild co-star Sandeep Parikh
which will have been released as downloadable content at PAX08.
by the time you read this. The idea of the ”stars” of PAX is an odd one, and we
Teasdale told us he thinks there is room for a wide adored an odd mixture of people at the show. Jonathan
variety of music games when I grill him on Guitar Hero: Coulton is something of a rock star here after his show
World Tour, and claims he hasn’t had a chance to play last year, and of course the success of ”Still Alive.”
the new guitar yet. I did brave the line for the new Later in the show I saw him being whisked to some se-
guitar and drums, and the new features on the World cret location, flanked by a PAX enforcer, batting away
Tour guitar-including the button for star power located adoring geeks.
near the heel of your hand and the touch panel on the Felicia Day also had to contend with the same level
neck-seem to work well, and the drums are solid and of hyper-fame at PAX. ”You know, I don’t really get
attractive. My main complaints would be how floppy creepy fans,” she tells me. ”What I see more often is
the cymbals felt; they bend down when you slam them, people who start to sweat and shake when they meet
in a way that feels less satisfying than either a harder me.” She pantomimes a nervous person, her arms out.
surface or an actual cymbal. It’s also hard to get over ”Only people who come back like eight or nine times
being used to Rock Band’s four-pad layout. a day to take my picture, from like, afar, that gets a
The people having the most fun on the show floor little creepy.”
seemed to be those happy to just walk around and take I interviewed Felicia with Sandeep Parikh, who plays
the scene in, playing games as they became available. Zaboo in The Guild and has his own web show in ”The
It’s an odd mixture of old-school E3 and fan events, Legend of Neil.” It’s a surreal experience, even though
while being somehow better than both. There was even the pair are incredibly nice and outgoing. They smiled
the odd surprise to be had, such as finding The Conduit and greeted fans warmly during the signings, and a
somewhat hidden at Nintendo’s booth, or finding that screening of The Guild and Legend of Neil at PAX
many gamers just wanted to sit down and play Castle proved to be draws. At other times you could catch
Crashers, a game that had been available for a few days a glimpse of Felicia being whisked somewhere, looking
at that point. For many, the lines and the crush of slightly hunted.
greasy gamers was more than worth it; I witnessed one I was also able to greet Wil Wheaton at the start of
teenager who finally got a chance to play StarCraft 2, the show before the general public is let in, and he re-
his face breaking into a wide grin, his arms shaking mained one of the friendliest folks at the show. At PAX
with anticipation. his book signings draw large lines and his panels draw
”Back then, a year ago, before ’Still Alive’ had come standing room-only crowds. People absolutely adore
out, it was a huge bump up in that feeling of being fa- the once-Star-Trek-actor-now-writer at PAX, and it’s
mous,” Jonathan Coulton told me. We were sitting no wonder: he drops inside jokes, playfully bats at his
in an interview room, and he seemed happy to have own image as a professional geek, and is an honestly
a chance to sit down and relax a few hours before his talented public speaker.
show. He contentedly ate candy and answered my ques- These are the people who become pop stars at PAX,
tions. although the ability to create your own fame certainly
We discussed his now-legendary show at PAX last exists. Cosplayers were numerous, dressing like as many
year. ”Everyone was singing along, and cheering, and characters as you can imagine. Get a good idea, create
the zombie thing... I had done it before, but never a good costume, and you can pose for pictures all week-
with such a huge crowd... It’s the greatest feeling in end. There was also a group of gentlemen who decided
the world.” to try to create a real-life ”rickroll” by dressing as the
”I’ve always felt like I don’t want to be a super- bad horse singers, handing people a letter, and then
famous person who gets recognized all the time. That performing the song when it was opened, an homage to
doesn’t sound so nice to me,” he explained. ”I’m sort Dr. Horrible. Felicia Day herself fell into this trap.
of glad it’s a niche thing. I get to come to a place like PAX can feel almost like its own world, with its own
this and be a rock star, and then I go home and the rules and tropes. Wheaton’s law, which consists solely
rest of my life is still normal.” of ”Don’t be a dick,” was vigorously enforced. The
That night he played to a packed house, and ev- great thing about creating a world from scratch is that
eryone greets every song like it’s the biggest hit in the you get to choose who to make famous, and luckily, the
world. As a surprise he brings Felicia Day onstage to crowds got the celebrities they deserved.
handle vocals on ”Still Alive,” the song that capped Jerry ”Tycho” Holkins often held court at differ-

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ent places around the show, swarmed by Penny Arcade hyperventilating.
fans. One of them approached Holkins hesitantly. ”Can The final event of the Omegathon closes down the
I shake your hand?” he asked. show, and it occurs in the main theater. This, of course,
”Sure,” Tycho told him. ”This hand belongs to you means another long line, which is something PAX08
guys this weekend. Do whatever you want with it.” gamers are getting used to. Luckily, in true geek style,
Luckily for him, the gentleman gave it two brisk pumps, everyone finds something to do. Someone passes around
and simply walked away smiling. huge handfuls of pipe cleaners, and the geeks get to
We pass the Serpent Theater, which houses the table- work. One woman creates a large weighted companion
top role-playing crew. We walk in and take a deep cube. Another creates a hand-held bat-signal. We see
breath, check out the giant Beholder... this is the very logos for PAX, spiderwebs with real spiders; it’s amaz-
essence of geek. The tables are filled with games, cards, ing. And it’s happening up and down the line. We’re
and all manners of dice. There is much concentration, finally let in, and then we begin to wait, thousands of
a lot of frowns, and some slammed hands on tables as gamers strong, and then Gabe and Tycho get the bright
games of Magic don’t go as planned. They may look idea to pipe in easy listening.
miserable, but don’t believe the faces. These guys don’t Suddenly, a few rows up, a large group of promo-
want to be doing anything else in the world. Here, the tional Pip-Boy puppets from Fallout 3 begin to dance
only stops are for water out of the fountain and bath- over the heads of the crowd. They move in unison,
room breaks. and switch their moves every few minutes, but almost
Few sights are as sobering as a room full of passion- always perfectly instep. ”That’s a lot of puppets!” Ty-
ate CCG players. cho exclaims when he takes the stage. ”Look some-
We pause for a while to watch a Jenga tournament where else!” he tells them, sounding slightly creeped
on the third floor of the Serpent Theater, and it is one of out. Dutifully, they turn the other way.
the most nerve-wracking things we have ever witnessed. The final game is played, Excitebike VS., a Famicom
The Omegathon is the on-going tournament of games, disc game that never made it to the US. One Omega-
both real and virtual, that runs throughout PAX. The naut beats the other handily, and then Gabe and Tycho
first prize is a trip to the Tokyo Game Show, 5,000, and take their expected turn. Gabe wins in the end, and
a set of Penny Arcade-themed consoles. Second prize the expected thanks are given out to the crowd. It’s
gets the consoles, and a ”lifetime supply of shame.” all slightly anticlimactic, and no one seems to have a
One of the contestants prowls along the table, studying graceful way to leave. The cosplayers, the gamers, the
each piece, looking for his way in. Each successful grab table-top kids, the weekend Rock Band rock stars-no
results in polite applause, as if we’re watching golf. For one wants to go. The city is being broken down, and
a little under an hour, no one breathes. Flash photog- the world we have created here is almost over. The Pip-
raphy is forbidden. When the tower of blocks finally Boys begin their walk towards the exit, bobbing up and
goes down, I imagine the gamers beneath us frowning down in unison, and soon they are lost in the crowd of
at the distraction. people heading into the night.
Jenga felt more like a tight-rope walk than a party
game
This mirrors the first round, which was Peggle. ”Peg-
gle is a weird crossover game, it’s from PopCap, but it Samsung agrees to sell Symbian stake to
has this odd crossover with hardcore gamers. [For the Nokia
Omegathon] we want it to be a fun game, but also...
Peggle is great contextualized, if you’re not just play- Samsung Electronics has agreed to sell its invest-
ing it by yourself at home in the dark,” Jerry ”Tycho” ment stake in Symbian to mobile phone maker Nokia,
Holkins tells me while we watch the game together. ”If according to a Reuters report.
it really matters where that ball goes, and you’re try- In June, Nokia announced plans to acquire the re-
ing to think about and really break down Peggle, my maining stake in smartphone software developer Sym-
guess is that it’s completely harrowing.” I agree. If bian that it didn’t already own. Nokia, by having full
you’re lining up a shot in Peggle with that trip and ownership of Symbian, wants to beat back the compe-
those thousands of dollars at stake, it must turn your tition from Apple’s iPhone and other competitors by
bowels to liquid. The Omegathon is brilliant in that accelerating its product development and serve as an
it adds insane stakes to common games, and reduces open-source operating system platform for other hand-
gamers to piles of jelly. set makers, wireless carriers, and software developers.
I grab one of the Omeganauts, and ask him how Nokia, according to the Reuters report on Tuesday,
Peggle was. ”It was fine,” he tells me. Then he breathes will pay 410 million for its Symbian stake.
out. ”That’s just about the most scared I’ve ever been.”
After Jenga I try to grab one of the Omeganauts for
an interview, but he’s pacing the floor, wide-eyed, and

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Nvidia, AMD gaming graphics buck that (power)–you start tripping the client’s household
green-PC trend circuit breaker.”
Neither Nvidia nor ATI show any signs of slowing
There is an ungreen revolution taking place in en- down, according to Reeves. ”Eventually these chips
thusiast game PC circles. get so hot that their own heat becomes a barrier to
The eye-opening graphics possible on today’s game performance,” he said.
PCs come at a cost: light-dimming power consumption. Nvidia admits that its chips are drawing more power
The trend, rooted in the perennial quest for more speed, than before. ”If we go back about three years, our
bucks the overall greening of the PC industry. graphics card power was in the 120- to 130-watt range,”
Green PC designs have become more than just prac- said Jason Paul, product manager in charge of enthusi-
tical; they’re cool. Power-sipping Netbooks are in, as ast GPUs (graphics processing units) at Nvidia. ”The
are small desktops like the Dell Studio Hybrid and GTX 280 which we launched a couple of months back,
Hewlett-Packard Pavilion Slimline. it’s around 230 watts (of) graphics card power,” he said.
This is not the case for high-end gaming PCs, where But Paul claims the performance per watt is the key
bigger is better. How far this trend can go isn’t clear, yardstick, not raw power. ”Where you see a little under
but a seminal event in Apple’s history may offer a les- 2X increase in maximum power, you’ve seen probably
son. In 2001, Apple unveiled one of the first dual- 3-times or 4-times (the) increase in the level of perfor-
processor consumer systems, based on the overheating- mance. So, overall we see a substantial improvement in
prone IBM PowerPC G4 processor. The original Apple performance per watt. This is the big metric we track
tower design had a Rube Goldberg feel to it, with a host to ensure we’re delivering efficient architectures. ”
of fans straining to rid the system of heat. A noise like Paul says Nvidia has implemented power savings
that emitted by a wind tunnel, generated by the power techniques on its GTX 280 that keep the power down
supply and fans, forced Apple to redesign the system. when it’s not running at top performance loads. ”With
This symbolized why Apple eventually abandoned the GTX 280 at idle, that card runs at about 25 watts,
PowerPC: The platform wasn’t efficient with power. which is one-tenth of its absolute worst-case power,” he
Fast-forward to 2008. Game rig makers are cram- said. Nvidia also offers hybrid graphics technology that
ming as many as four graphics chips into high-end boxes turns off all the power-sucking boards when they’re not
that are notable not only for performance but also for in use.
the power they consume. As a consequence, big power Moreover, Paul says that the multiboard systems
supply units are in vogue. Today, bragging rights ex- are limited to a small niche at the very top of the mar-
tend to the units themselves: some systems boasting ket. ”There’s definitely a segment of the market that
boutique brand names such as Cooler Master and Sil- wants more and more performance. Remember, how-
verStone draw 1,200 watts–roughly three times the power ever, that this is the ultimate performance (segment).”
requirements of game systems a few years ago. But game box makers ship many–if not most–of
It’s an ominous trend, according to box makers. ”If their systems to the very niche that Paul is describ-
this trend does continue, then, yes, it will give us prob- ing. ”We’re all about the high end. The higher-end the
lems,” said George Yang, an engineer at Los Angeles- graphics card is, and the more expensive, the more we
based game rig maker IBuyPower. ”A regular home sell,” said Reeves.
user would have to have an electrician come in, get the And the trend in power supplies exemplifies how
outlet out, and plug in a higher breaker,” Yang said. this market has changed. ”The power supply used to be
Today, some of the higher-end systems with big power just silver box, and nobody gave it a second thought,”
supplies require a special wall power socket, according he said. ”(But) as graphics cards have evolved, they
to Yang. have forced the power supply makers to keep providing
Other game rig makers are equally concerned. ”I more and more power pipes–or cabling–to the graphics
swore that I’d never break 1,000 (watts),” said Kelt cards”–increasing the unit’s complexity, he said.
Reeves, president of game PC maker Falcon Northwest. Reeves cites GPUs, not CPUs from Intel, as the
”Unfortunately, that’s been the solution for the past culprit. ”The latest CPUs use very little wattage. If
several years. Bigger, bigger, bigger power supplies.” you overclock a 3GHz Intel CPU to 4GHz, you might
Reeves says that 1,200 watts is now essential for pull 40 more watts. Whereas a graphics card, you put
gaming systems based on multiple boards from Nvidia three of them in a system, they’ll pull 800 watts running
or AMD’s ATI graphics unit. ”With three GTX 280s some of the higher-end games,” he said.
or two of the R700 cards, we’re recommending they go
with a 1,200-watt power supply,” Reeves said, referring
to the newest graphics chips from Nvidia and ATI re-
spectively. LinkedIn and CNBC team up
This is just about the limit, he said. ”We can’t go
too much more over that before–if you actually pull CNBC and social networking site LinkedIn announced

6
Thursday a strategic alliance. tracking about 1 billion worth of assets. But the Cakedex
Under the deal, CNBC will provide articles, blogs, is based only on the holdings of the top 10 percent of
financial data and video across the LinkedIn network, members. So good is that top 10 percent? The aver-
while CNBC will integrate the social networking site’s age Cake member’s portfolio is down 9.84 percent over
functionality into its CNBC.com site to allow LinkedIn’s the past 12 months, while that of the average top-ten-
user base to share comments about the news within percenter is up 7.41 percent. (YTD it is -12.39 percent
their network of friends and business contacts. versus -5.59 percent, respectively).
Users of both sites are expected to notice these changes
in the fourth quarter. And, as part of the deal, portions
of CNBC’s content will provide a revenue sharing ar-
rangement with LinkedIn. DreamIt Incubator Holds Funding Day
To Commemorate First Graduating
Class
Cake Financial Turns One And Pushes Today marks DreamIt Ventures’ first Funding Day,
A New Social Stock Index: The during which the new startup incubator will introduce
Cakedex a dozen new companies to a collection of founders and
venture capitalists. DreamIt is a program in the same
One year after it launched at TechCrunch40, Cake vein as Y Combinator and TechStars, offering startups
Financial is rolling out a new design today with a load seed funding, guidance, and connections in exchange
of new features. One of the most interesting is a new for equity. We’ve written brief introductions to each of
stock index called the Cakedex that is based on the the startups, which you can view below:
top 100 holdings of the top performing investors on the SCVNGR: SCVNGR is a promising startup that al-
social investing site. Over the past five and half years, lows users to create mobile games without any techni-
the Cakedex would have outperformed the SP 500, the cal knowhow. The games are free to play from any cell
Dow Jones, and the Nasdaq. Although, over the past phone, and don’t require a download. SCVNGR games
90 days, it has been underperforming the major stock are ideal for group activities, like school orientations,
indexes. Next year, the company plans to launch an corporate team building, and promotions.
exchange-traded fund based on the Cakedex so that Vuzit: Vuzit offers an embeddable document viewer,
people can actually invest in it. Can the top investors allowing users to include documents in their web pages
on Cake do better than the market? and blogposts. Very similar functionality by Scribd and
The Cakedex was actually introduced in May, but Docstoc, but Vuzit is aiming to become a tool for indi-
is now integrated into Cake’s new design timed with its viduals and companies who are interested in managing
first birthday. Cake members track the performance access to their content instead of a destination portal.
of their actual brokerage accounts and share that data Phrazit: Phrazit condenses reviews down to 30 char-
with each other. Cake can now tap into 60 different acters or less by allowing users to create tag clouds for
brokerage services, up from a dozen or so. And has just about anything. Users submit words or phrases
now tracked over one million transactions. associated with each word, with the most popular re-
In addition to Cakedex, other new features include: sults displayed in a large font. For example, the Phrazit
Cake Take: A stock rating system updated several for Harry Potter describes the series as ”Bloody Awe-
times a day, based on the real-time buying and selling some”. You can see our full review of Phrazit from last
of stocks by Cake’s members. month here.
Cake Scout: A stock recommendation system that DropCard: DropCard hopes to be a solution to the
uses collaborative filtering to show you what other Cake problems that plague business cards (namely, you don’t
members with similar holdings and risk profiles are buy- always have them with you, and they’re practically use-
ing and selling. Each recommendation includes the less if you have too many of them). DropCard reme-
Cake Take stock rating. dies this issue by asking users to text their new ac-
By adding these social recommendation features, quantince’s email address to a 41411, which will send
Cake is becoming more like the Last.fm of investing. their contact information and ask them to repicrocate
But it adds a ranking element so you know which mem- by signing up and sending theirs. For a similar service,
bers are worth following. Other social investing star- see Rmbrme.
tups creating similar ranking systems include Covestor BeanStockd: BeanStockd is a news site and media
and Vestopia, and the race is on to create real financial company hoping to further bring the green and env-
products based on the social investing data that these iornmental movements to the public’s attention. The
startups are collecting. site currently features a blog, and also plans to release
Cake now has ”tens of thousands of members,” ac- a web-based game, which users can advance on by par-
cording to CEO Steve Carpenter and is collectively ticipating in real-world green activities.

7
InterviewBest: InterviewBest helps users prepare their tweets that are actually newsworthy to be col-
for their job interviews by generating printed presen- lected by socialmedian, they can first input their Twit-
tations that can be used during their interviews. The ter feed and next to that, place certain keywords into
site also helps users write their post-interview follow-up the field to help the service filter out the tweets that the
letters. InterviewBest will offer a trial version, and will user doesn’t want posted. In other words, if you want
generate revenue with a paid subscription plan. to only post your political tweets to socialmedian, add
Anthillz: Anthillz asks professionals to review their your Twitter feed to the service and select keywords
colleagues, which can be used as a ”social pitch” for that may have some relevance to politics. From there,
future job applications. In order to request a review socialmedian will grab all tweets containing those key-
from one of your colleagues, you have to write a review words and post it to the site. The same goes for Google
about them first - a design that may help the site in- Reader feeds, Digg submissions, and Delicious book-
crease its content, but may also lead to inaccurate or marks, to name a few.
careless reviews. To make sure all that information isn’t annoying
Sleep.fm: A self-described ”social alarm clock”, Sleep.FM other users, socialmedian is adding a filter feature that
allows users to set their alarm and have their friends will let other users ”turn the volume up or down” on the
leave messages which will wake them up in lieu of a amount of tweets and stories making their way across
standard buzzer. The site also promises to allow users the pages. Those users can choose to see all updates or
to set up ”smart” alarms, such as a weather report or only those ”relevant updates” that they preset.
a notification if a flight has been delayed. Part two of socialmedian’s new initiative will make
SnackFeed: SnackFeed indexes premium video con- it easier for bloggers to promote their material. In or-
tent on the web and tries to ascertain which shows will der to do that, socialmedian will launch a ”reverse-blog
interest you the most. The site also intends to offer an widget,” which after users place their blog feed into
activity feed for video, allowing you to see what videos their updates, will be featured in the clips section to
your friends have uploaded or watched. the right of the socialmedian page and display the lat-
TapInko: TapInko looks to simply the often time est stories from the blog.
consuming process of purchasing ad space in the real Taking a page out of the Digg handbook, socialme-
world. The site plans to offer users a variety of ad place- dian is also offering a page displaying the most popular
ment options, including newspapers, restaurant walls, stories of the day, week, and month. Instead of calling
vehicles, or even as a tattoo on someone else’s body newer stories ”Upcoming,” like Digg, socialmedian has
part (who had previously put a portion of their skin up two new entries called ”Rising Fast” and ”Hot Discus-
for sale). sions.” Genius.
Trendient: Trendient is positioning itself as a pro- Finally, socialmedian opened up its site to make al-
motions and sales intelligence solution for the long tail most every page available to search engines and users
of e-tailers, who may not have the time or resources to won’t need to register any longer to view different pages
track such data themselves. Details at this point are on the site.
slim, as the site is currently in alpha testing. All in all, socialmedian’s updates seem rather logical
and don’t really break the mold in any way. The site
was in desperate need of improvement and it looks like
it has finally happened. Now we’ll need to wait and see
socialmedian Launches First Major if its users embrace it.
Upgrade

socialmedian, which has come under fire as of late


for trying to use Twitter as means of raising 500,000
in venture funding, announced Thursday that it has
launched its first major upgrade since the company
started and its improvements will finally address some
of the concerns its users have had since its inception.
First off, the new socialmedian will make it easier
for users to get content onto the site and enable blog-
gers to better promote their content. Dubbed ”News-
Streaming,” socialmedian’s latest foray into bringing
only certain content to its users is quite complex.
News-Streaming lets users filter out all the junk
from the social media that they broadcast through the
site. According to the company, if users want to share
their Twitter feed with the community, but only want

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