Thursday, September 27, 2007

Is Physical World Connection Starting To Happen?

Are we starting to see the tipping point for Physical World Connection PWC?
mobile barcode
I am seeing more consumer good products with 2d barcodes placed next to the old 1d barcode.

DuPont is starting to place the21st Century Barcode on consumer good packaging. The next step is for mobile marketing companies to build campaigns around these. Using a camera phone and a barcode scanning application, a consumer can scan this 2d code and be directed to any website.

Colgate-Palmolive appears to be the company in front offering the most physical world hyperlinks on their products.

In Jan 2008, physical world connection player Scanbuy , will be launching a pilot in the US, with the 5 biggest carriers.

Next time you're in the supermarket, take a look at what companies are starting to place 2d codes next to 1d codes. These companies should be the ones introducing PWC in their advertising campaigns.

There will two main forms of Physical World Connection.

First, 2d barcodes will already be placed on consumer goods and will act as a physical world hyperlink that the brand can use for various advertising. In addition to a cashier scanning a 1d code at register, a consumer could scan a 2d code and be directed to a website.

Second, individuals will be able to create and place their own 2d barcode allowing a direct connection when scanned with a camera phone to the Internet (FaceBook, MySpace, ecommerce site, etc).

It would make sense for GoDaddy or Verisign to start offering this application when domains are purchased don't you think?


stan wiechers said...

Do you happen to know which barcode standard they are using? It would be a shame if they use not QR code or Datamatrix. Do you have any contacts at dupont?

Anonymous said...

They are using Datamatrix 2D codes.

Anonymous said...

hi Scott,

Scanbuy can't start Pilot trials in US as it will be against a court know they are in litigation with neomedia..
If they start the trials that means they have settled with neomedia..what do you think..

Scott Shaffer said...

I'm not a lawyer and won't pretend to know what the lawsuit states.

Scanbuy announced they would start trials in 2008, not me.

Maybe Scanbuy doesn't think Neomedia will still be in business by then.

If the picture is so rosy, and so close to adoption why would Neomedia's CEO, CFO, COB and several Board members resign?

What the market appears to be saying is that regardless of the outcome with Scanbuy, the hole Neomedia have dug themselves into is greater than the market for this application anytime soon.

Have you looked at the revenues generated from text messaging? And every phone is/can do that.

The funny thing about this IP controversy and the lawsuit is their IP is pledged to a financing agreement with Cornell Capital and they are in default on that.

They have a working capital of $67m , of which $24m relates to the fair value of derivative financial instruments.

Here are the facts , I will let you decide.

Anonymous said...

Hi Scott,

i think all the OLD management of neomedia is gone since they wanted to be a patent troll company...but CHIP Hoffmann, the new CEOm is in charge now and has a complete opposite thinking..he will listen and work together with anyone and everyone..he knows that for this PWC space to take off neomedia needs partners and friends and not enemies..i know neomedia dug themselves into a deep hole but in my opinion CHIP and Dr. Steinborn will help climb NEOM out of it..


Scott Shaffer said...

Just because old mgmt left, that doesn't change this company's dire financial status.

I might suggest that instead of "connecting the dots" to validate an investment in that company, try "counting the commas"...the ones that continue to increase in their shares outstanding and working capital deficit.

From a very wise investor..."find the cherries, don't polish this pits".