This household is not exactly gripped by election fever. That's despite the fact that a General Election is only 10 days away.
I think part of the problem is MMP. That's New Zealand's Mixed Member Proportional electoral system. I can barely say it, let alone understand it. It's probably best described as a No 8 wire solution to fixing election results. 80%+ of the electorate vote for the two main parties and then the smaller parties decide who will govern.
Today, the polls suggest that National will win the election. Many commentators however think that Labour will form the next Government. Work that one out if you can.
For business, life will go on whatever the outcome of the post election lolly scramble. That is always the way.
Wednesday, 29 October 2008
Tuesday, 28 October 2008
Microsoft's 'Head' is in the Cloud
According to the BBC, Microsoft has unveiled a cloud computing service, in which data and applications will not be stored on individuals' computers.
The new platform, dubbed Windows Azure, was announced at Microsoft's Professional Developers Conference in Los Angeles. The platform was described by Microsoft's chief software architect Ray Ozzie as "Windows for the Cloud". The framework will be offered alongside the next Windows release, Windows 7.
The aim is to allow developers to build new applications which will live on the internet, rather than on their own computers.
Now this really is quite big news. It moves Microsoft more firmly into the 'Cloud' and brings them nicely into a more direct toe-2-toe square-off with Google and their growing online 'apps' business. I confirmed that the news was big by checking out Steve Clayton's blog. He was so up for it you would have thought that Liverpool had knocked in four goals against Chelsea, not just one.
Steve also added an extra dimension to the announcement. Namely some more background and credibility to Microsoft's direct investment into datacenters of an 'unbelievable scale'. He has posted many times about this investment before. I just hope they leave some room for Pingar's servers.
As part of our own ongoing Microsoft talks, we hope and expect to sit on some of the NTT global backbone which I think is shared in part, by Microsoft. Having looked at Pingar's own anticipated server requirements as traffic builds up, that adds up to more than a few racks.
Azure has another meaning; it's 'Sky Blue'. Not much room for clouds there, but I do think this announcement might just have some take on Microsoft's longer term development strategy. As ever though, only time will tell.
The new platform, dubbed Windows Azure, was announced at Microsoft's Professional Developers Conference in Los Angeles. The platform was described by Microsoft's chief software architect Ray Ozzie as "Windows for the Cloud". The framework will be offered alongside the next Windows release, Windows 7.
The aim is to allow developers to build new applications which will live on the internet, rather than on their own computers.
Now this really is quite big news. It moves Microsoft more firmly into the 'Cloud' and brings them nicely into a more direct toe-2-toe square-off with Google and their growing online 'apps' business. I confirmed that the news was big by checking out Steve Clayton's blog. He was so up for it you would have thought that Liverpool had knocked in four goals against Chelsea, not just one.
Steve also added an extra dimension to the announcement. Namely some more background and credibility to Microsoft's direct investment into datacenters of an 'unbelievable scale'. He has posted many times about this investment before. I just hope they leave some room for Pingar's servers.
As part of our own ongoing Microsoft talks, we hope and expect to sit on some of the NTT global backbone which I think is shared in part, by Microsoft. Having looked at Pingar's own anticipated server requirements as traffic builds up, that adds up to more than a few racks.
Azure has another meaning; it's 'Sky Blue'. Not much room for clouds there, but I do think this announcement might just have some take on Microsoft's longer term development strategy. As ever though, only time will tell.
The Welsh Connection
Identifying target markets is one thing. Identifying locations to base yourself within those target markets, is another.
Pingar currently has an office in SOHO in London's West End. Looking longer term, we have had good discussions with both the East of England EDA and more recently, the Welsh Development Agency. Central London is not perhaps the best location for all our back office and UK-based market development resource.
The Welsh connection has been aided by having Gareth Davies as Australasian Head of International Business Wales. Although Gareth is based in Sydney, he travels frequently to New Zealand so dialog has been straightforward. Additional support from UK Trade & Invest in Auckland has further reduced the miles between Auckland and Cardiff.
Discussions on the ground are of course being managed by John and Tim. They are in the best position to identify exactly what resources Pingar require, where and when. That process of investigation though is symptomatic of the way that Pingar will be approaching other global target markets. It's not just the generic market location. It is identifying the specific location that will best aid and assist Pingar's market entry and growth strategy. That process requires research, research and research. And not a little patience.
Pingar currently has an office in SOHO in London's West End. Looking longer term, we have had good discussions with both the East of England EDA and more recently, the Welsh Development Agency. Central London is not perhaps the best location for all our back office and UK-based market development resource.
The Welsh connection has been aided by having Gareth Davies as Australasian Head of International Business Wales. Although Gareth is based in Sydney, he travels frequently to New Zealand so dialog has been straightforward. Additional support from UK Trade & Invest in Auckland has further reduced the miles between Auckland and Cardiff.
Discussions on the ground are of course being managed by John and Tim. They are in the best position to identify exactly what resources Pingar require, where and when. That process of investigation though is symptomatic of the way that Pingar will be approaching other global target markets. It's not just the generic market location. It is identifying the specific location that will best aid and assist Pingar's market entry and growth strategy. That process requires research, research and research. And not a little patience.
Sunday, 26 October 2008
Introducing Earl of Erroll
It's great to be able to formally announce that the Earl of Erroll has agreed to become Chairman of Pingar's UK Advisory Board.
Lord Erroll (Merlin) has worked in IT most of his life. He is also one of the Hereditary Peers who was elected to stay in the House of Lords, where he takes a particular interest in ICT, Countryside & the Environment, the Constitution and Scottish matters.
Working on software development in the accounts and agricultural field, he subsequently freelanced, developing portfolio management, communications and general bespoke databases, ending up as Director of Development at GiroVend, working with electronic purses and smartcards. He then moved into marketing and business training and went on to become chairman of an e-procurement consultancy.
Within Parliament, he plays an active role in several ICT groups, especially those looking at regulatory issues involving Communications, the Internet, Personal Identity and Government Data Sharing, linking this with a Local Authority perspective through his work on the board of LASSeO (The Local Authority Smartcard Standards e-Organisation). He sits on the council of PITCOM (Parliamentary Information Technology Committee), is on the board of EURIM (European Information Group), is Secretary of apComms (All-Party Communications Group), Vice-Chairman of the All-Party Group on Entrepreneurship, and Treasurer of the All-Party Group on Risk and Adventure in Society. In 2007 he sat on the Science & Technology Select Committee’s sub-committee on Personal Internet Safety.
He is President of E-RA (the E-business Regulatory Alliance) and also sits on other bodies such as the Information Systems Security Association (ISSA) and the Nominet (UK) Ltd.
He has an extensive network of contacts across government, industry and the city, and is a professional public speaker, especially on ICT, security, legislation, the citizen and the state, and the internet, as well as traditional themes.
Lord Erroll (Merlin) has worked in IT most of his life. He is also one of the Hereditary Peers who was elected to stay in the House of Lords, where he takes a particular interest in ICT, Countryside & the Environment, the Constitution and Scottish matters.
Working on software development in the accounts and agricultural field, he subsequently freelanced, developing portfolio management, communications and general bespoke databases, ending up as Director of Development at GiroVend, working with electronic purses and smartcards. He then moved into marketing and business training and went on to become chairman of an e-procurement consultancy.
Within Parliament, he plays an active role in several ICT groups, especially those looking at regulatory issues involving Communications, the Internet, Personal Identity and Government Data Sharing, linking this with a Local Authority perspective through his work on the board of LASSeO (The Local Authority Smartcard Standards e-Organisation). He sits on the council of PITCOM (Parliamentary Information Technology Committee), is on the board of EURIM (European Information Group), is Secretary of apComms (All-Party Communications Group), Vice-Chairman of the All-Party Group on Entrepreneurship, and Treasurer of the All-Party Group on Risk and Adventure in Society. In 2007 he sat on the Science & Technology Select Committee’s sub-committee on Personal Internet Safety.
He is President of E-RA (the E-business Regulatory Alliance) and also sits on other bodies such as the Information Systems Security Association (ISSA) and the Nominet (UK) Ltd.
He has an extensive network of contacts across government, industry and the city, and is a professional public speaker, especially on ICT, security, legislation, the citizen and the state, and the internet, as well as traditional themes.
Exchange Rate Alert
It's hard to ignore the global financial meltdown at the moment. Every positive milestone Pingar achieves has to be set against events not in our control. The past week is evidence of that.
On the positive side, Pingar LP was finally incorporated in New Zealand, the company was selected as one of Europe's 100 'hottest' mediatech companies in 2008 by an advisory board of leading European venture capital companies and Earl of Erroll was recruited as Chairman of Pingar's UK Advisory Board. In normal times, not a bad five days. These are not however normal times.
Over the same week, global equity markets tanked, the NZD went south and the 'R' word was back with a 'V' (I think that's 'Vengeance'). Today, it is the projected direction of the NZD which is of most interest to me.
Traditionally, economists say that a lower NZD benefits NZ exporters. And in one respect, they are absolutely correct. However such benefits are not available for NZ companies in the process of establishing offshore beachheads. Those NZD costs have just gone up.
Fortunately for Pingar, GBP is currently our target market currency. It has also headed south over the past few weeks so the exchange rate difference between NZD & GBP is not as pronounced as say NZD v USD. That's a whole different ball game.
Normally, New Zealand starts the world's financial day. Not tomorrow. It's Labour Day here so the banks are closed and we will all go out fishing. At least that's my plan. By the time the NZ markets re-open on Tuesday, a whole day will have passed. No doubt new equity and currency levels will have been breached and re-set.
So I hope the fishing tomorrow is good. It might be the last for some time.
On the positive side, Pingar LP was finally incorporated in New Zealand, the company was selected as one of Europe's 100 'hottest' mediatech companies in 2008 by an advisory board of leading European venture capital companies and Earl of Erroll was recruited as Chairman of Pingar's UK Advisory Board. In normal times, not a bad five days. These are not however normal times.
Over the same week, global equity markets tanked, the NZD went south and the 'R' word was back with a 'V' (I think that's 'Vengeance'). Today, it is the projected direction of the NZD which is of most interest to me.
Traditionally, economists say that a lower NZD benefits NZ exporters. And in one respect, they are absolutely correct. However such benefits are not available for NZ companies in the process of establishing offshore beachheads. Those NZD costs have just gone up.
Fortunately for Pingar, GBP is currently our target market currency. It has also headed south over the past few weeks so the exchange rate difference between NZD & GBP is not as pronounced as say NZD v USD. That's a whole different ball game.
Normally, New Zealand starts the world's financial day. Not tomorrow. It's Labour Day here so the banks are closed and we will all go out fishing. At least that's my plan. By the time the NZ markets re-open on Tuesday, a whole day will have passed. No doubt new equity and currency levels will have been breached and re-set.
So I hope the fishing tomorrow is good. It might be the last for some time.
Friday, 24 October 2008
Banking on Support
(10.55 Update: Process took just 20 minutes. Time to hang your head in shame UK)
This morning, I have a meeting with ASB Bank in Tauranga. Pingar LP (that sounds good) needs a new bank account.
The process will take about 30 minutes. And when I leave the branch, I will not only have an open account, I expect to have a new EFPOS card in the wallet.
Now let's switch the same scenario to the UK. Tim, John and Jim will have to follow a similar process. The term 'chalk and cheese' comes to mind. For any New Zealand company setting up a new operation in the UK, banking is one of the greatest differences between our two countries.
I know this blog is read by 'my man' at NatWest in the UK, so I am going to be careful how I say this. UK banks are remote, distant and expensive. Their recent bailout (and part nationalisation) has not to-date had much, if any, impact on their behaviour. Concern for their own balance sheet outweighs concern for the customer.
There. I've said it.
It does however raise a number of important questions. Just which bank should you use in the UK? That is a question that will no doubt dominate conference calls to the UK over the next few days. And it is a critical question for NZ businesses entering the UK market. In a country obsessed by anti terrorist and related anti-money laundering legislation, setting up a bank account in the UK is not a straightforward process.
This is one subject I guess I will be posting about again in the not too distant future.
This morning, I have a meeting with ASB Bank in Tauranga. Pingar LP (that sounds good) needs a new bank account.
The process will take about 30 minutes. And when I leave the branch, I will not only have an open account, I expect to have a new EFPOS card in the wallet.
Now let's switch the same scenario to the UK. Tim, John and Jim will have to follow a similar process. The term 'chalk and cheese' comes to mind. For any New Zealand company setting up a new operation in the UK, banking is one of the greatest differences between our two countries.
I know this blog is read by 'my man' at NatWest in the UK, so I am going to be careful how I say this. UK banks are remote, distant and expensive. Their recent bailout (and part nationalisation) has not to-date had much, if any, impact on their behaviour. Concern for their own balance sheet outweighs concern for the customer.
There. I've said it.
It does however raise a number of important questions. Just which bank should you use in the UK? That is a question that will no doubt dominate conference calls to the UK over the next few days. And it is a critical question for NZ businesses entering the UK market. In a country obsessed by anti terrorist and related anti-money laundering legislation, setting up a bank account in the UK is not a straightforward process.
This is one subject I guess I will be posting about again in the not too distant future.
Thursday, 23 October 2008
Introducing Mediatech 100
Library House has announced the launch of the Kemp Little Library House Mediatech 100.
The Kemp Little Library House 2008 Mediatech 100 represent the hottest 100 private mediatech companies operating in Europe. They were selected by rigorously assessing companies using Library House proprietary data filters, and an expert advisory panel. By considering growth potential and market impact potential, the Kemp Little Library House 2008 Mediatech 100 forms a collection of 100 companies most likely to change the mediatech world.
The advisory panel members included some of the most prominent mediatech investors and experts in Europe, with senior mediatech representatives from Amadeus Capital, Kodak External Alliances, Qualcomm Ventures Europe, Cobalt Corporate Finance, SPARK Ventures and Advent Venture Partners to name but a few.
So why is this announcement significant?
Modesty aside, Pingar was identified as one of the 100 hottest mediatech companies operating in Europe and it is therefore great to have been listed in the Kemp Little Library House Mediatech 100.
So what does it mean?
On November 11th, Essential Mediatech 2008 is being held in London. Essential Mediatech 2008 is the authoritative voice on the state of play in the mediatech sector, bringing together some of the most influential movers in the industry and assembling the most exciting companies, with the aim of answering the most pertinent questions facing the sector. (That’s their words, not mine)
Speakers will come together and share insights in a series of keynote speeches, chaired panel sessions, and stimulating company showcases, selected from the Library House exclusive “Mediatech 100”, with opportunities for high level face-to-face networking, and interactive Q&A, at what will be Europe’s must-attend mediatech event. (Once again, their words, not mine)
And so to the point. Pingar is one of the chosen few from the recently announced Mediatech 100 to be invited to present and showcase at this major event. (My words, not there’s!)
Tim and John will present. I will report back. I might have been silent for the past few weeks. Pingar has not.
The Kemp Little Library House 2008 Mediatech 100 represent the hottest 100 private mediatech companies operating in Europe. They were selected by rigorously assessing companies using Library House proprietary data filters, and an expert advisory panel. By considering growth potential and market impact potential, the Kemp Little Library House 2008 Mediatech 100 forms a collection of 100 companies most likely to change the mediatech world.
The advisory panel members included some of the most prominent mediatech investors and experts in Europe, with senior mediatech representatives from Amadeus Capital, Kodak External Alliances, Qualcomm Ventures Europe, Cobalt Corporate Finance, SPARK Ventures and Advent Venture Partners to name but a few.
So why is this announcement significant?
Modesty aside, Pingar was identified as one of the 100 hottest mediatech companies operating in Europe and it is therefore great to have been listed in the Kemp Little Library House Mediatech 100.
So what does it mean?
On November 11th, Essential Mediatech 2008 is being held in London. Essential Mediatech 2008 is the authoritative voice on the state of play in the mediatech sector, bringing together some of the most influential movers in the industry and assembling the most exciting companies, with the aim of answering the most pertinent questions facing the sector. (That’s their words, not mine)
Speakers will come together and share insights in a series of keynote speeches, chaired panel sessions, and stimulating company showcases, selected from the Library House exclusive “Mediatech 100”, with opportunities for high level face-to-face networking, and interactive Q&A, at what will be Europe’s must-attend mediatech event. (Once again, their words, not mine)
And so to the point. Pingar is one of the chosen few from the recently announced Mediatech 100 to be invited to present and showcase at this major event. (My words, not there’s!)
Tim and John will present. I will report back. I might have been silent for the past few weeks. Pingar has not.
Pingar LP Incorporated
One of the major issues affecting NZ companies has been their ability to attract offshore investment.
It’s not a quality of earnings thing. It’s not even the fact that NZ is two bits of rock stuck somewhere in the Southern Ocean. I think the driving force behind NZ’s lack of global appeal has been the complete lack of half decent legal and investment structures that appeal to global VC and private equity investors.
On 2nd May this year, all that changed. The Limited Partnerships Act 2008 came into force enabling registration of Limited Partnerships and Overseas Limited Partnerships. According to the NZ Companies Office website, ‘the introduction of an internationally recognised Limited Partnerships regime will remove barriers to foreign capital investment which provides a valuable source of funding for new companies and early stage expansion capital. The Act will enable New Zealand businesses to compete internationally on a level playing field for venture capital funds’.
Hats doffed and glasses raised to its authors..
I think the expression is ‘first cab off the rank’. I have always recognised the long-term importance of ensuring Pingar was attractive to offshore investors. I am sure there have been times when I have stood on the Mount Main beach and heard the sound of laughter drifting in from the East; the sound of potential competitors in Silicon Valley laughing as they have looked at New Zealand investment structures and NZ ICT businesses historic failure to attract offshore investment – save by moving IP, senior management and value offshore.
So today, it is good to say that after no short space of time and anticipation, Pingar LP is now a fully incorporated NZ entity. We have a registered number. It is 2184257. We can now compete on that level playing field. And we are ready. Our time has come.
It’s not a quality of earnings thing. It’s not even the fact that NZ is two bits of rock stuck somewhere in the Southern Ocean. I think the driving force behind NZ’s lack of global appeal has been the complete lack of half decent legal and investment structures that appeal to global VC and private equity investors.
On 2nd May this year, all that changed. The Limited Partnerships Act 2008 came into force enabling registration of Limited Partnerships and Overseas Limited Partnerships. According to the NZ Companies Office website, ‘the introduction of an internationally recognised Limited Partnerships regime will remove barriers to foreign capital investment which provides a valuable source of funding for new companies and early stage expansion capital. The Act will enable New Zealand businesses to compete internationally on a level playing field for venture capital funds’.
Hats doffed and glasses raised to its authors..
I think the expression is ‘first cab off the rank’. I have always recognised the long-term importance of ensuring Pingar was attractive to offshore investors. I am sure there have been times when I have stood on the Mount Main beach and heard the sound of laughter drifting in from the East; the sound of potential competitors in Silicon Valley laughing as they have looked at New Zealand investment structures and NZ ICT businesses historic failure to attract offshore investment – save by moving IP, senior management and value offshore.
So today, it is good to say that after no short space of time and anticipation, Pingar LP is now a fully incorporated NZ entity. We have a registered number. It is 2184257. We can now compete on that level playing field. And we are ready. Our time has come.
Post No 515.
I am back from my self-imposed blogging exile.
I suspended ‘normal service’ three weeks ago due to a number of imminent Pingar announcements. I guess the role was not unlike that of a publicly quoted company going into silent mode immediately prior to a reporting season. The reasons were not too dissimilar. It is difficult to blog transparently when all around you significant events are happening.
The key developments effecting Pingar have now either occurred or are in the process of rolling out. So it’s back to business and back to providing some insight into the issues I face, day to day, in managing an NZ-based business in a global world.
Of course, since my last blog just three weeks ago, that world has undergone something of a facelift – perhaps ‘facedrop’ is a better description. Allan Bollard has just announced a full 1% cut in the OCR and the NZD has bounced back against the USD. The British Pound has tanked and equity markets have headed south. That’s the type of world we now live in.
How will Pingar manage against this global backdrop? Well I guess some of the subsequent posts will demonstrate how we have been actively working on this scenario for some months now. I think you could say that we saw it coming. And I hope some of our actions might provide some thought for others.
So that’s the end of Post 515. It’s good to be back. Let normal service resume.
I suspended ‘normal service’ three weeks ago due to a number of imminent Pingar announcements. I guess the role was not unlike that of a publicly quoted company going into silent mode immediately prior to a reporting season. The reasons were not too dissimilar. It is difficult to blog transparently when all around you significant events are happening.
The key developments effecting Pingar have now either occurred or are in the process of rolling out. So it’s back to business and back to providing some insight into the issues I face, day to day, in managing an NZ-based business in a global world.
Of course, since my last blog just three weeks ago, that world has undergone something of a facelift – perhaps ‘facedrop’ is a better description. Allan Bollard has just announced a full 1% cut in the OCR and the NZD has bounced back against the USD. The British Pound has tanked and equity markets have headed south. That’s the type of world we now live in.
How will Pingar manage against this global backdrop? Well I guess some of the subsequent posts will demonstrate how we have been actively working on this scenario for some months now. I think you could say that we saw it coming. And I hope some of our actions might provide some thought for others.
So that’s the end of Post 515. It’s good to be back. Let normal service resume.
Wednesday, 1 October 2008
The Professionals
Pingar employs good professional advisers. It's a price well worth paying.
Trying to map and time appropriate advice against commercial time lines however is an art I have not yet fully mastered. Documentation I suspect might take 2 weeks to complete usually ends up taking 2 months. I am in one of those situations now.
Managing the knock on effect can be challenging. Having raised expectations, the task is then to moderate these where possible. And that applies across the board: From development to sales, from finance to distribution.
Getting the fundamental structures and documentation in place however are critical for our long-term growth. That's the view of the Professionals. And I have to agree.
Even if it does mean having to temper the enthusiasm of those around me at the present time. To them I say, "Next week is the week..." Only they will understand what this means!
Trying to map and time appropriate advice against commercial time lines however is an art I have not yet fully mastered. Documentation I suspect might take 2 weeks to complete usually ends up taking 2 months. I am in one of those situations now.
Managing the knock on effect can be challenging. Having raised expectations, the task is then to moderate these where possible. And that applies across the board: From development to sales, from finance to distribution.
Getting the fundamental structures and documentation in place however are critical for our long-term growth. That's the view of the Professionals. And I have to agree.
Even if it does mean having to temper the enthusiasm of those around me at the present time. To them I say, "Next week is the week..." Only they will understand what this means!
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