Bart Jellema











Since yesterday I’ve read Conroy’s speech, many articles and blog posts on the Governments announcement to go ahead with the “cleanfeed” and the release of the Enex Testlab report. I found that not only is the information provided by Conroy and the report vague and lacking supporting facts, so are the sensational articles and “cleanfeed” bashing blog posts. I thought it was time to do some research and find out what all this really means. My findings follow…

What was actually announced?
Senator Stephen Conroy has announced “new measures to help Australian families stay safer when they are online”.

These measures include:
* The introduction of mandatory ISP-level filtering of Refused Classification (RC)–rated content.
* A grants program to encourage ISPs to offer, on a commercial basis, additional optional ISP-level filtering services for wider categories of content identified by households.
* Increased funding for a range of education, awareness and counseling services.

Clearly the first point here is what all the commotion is about. Conroy gave more detailed information on this:

The Government will introduce legislative amendments to the Broadcasting Services Act to require all ISPs to block RC-rated material hosted on overseas servers.

RC-rated material includes child sex abuse content, bestiality, sexual violence including rape, and the detailed instruction of crime or drug use. Under the National Classification Scheme and related enforcement legislation it is already illegal to distribute, sell or make available for hire RC-rated films, computer games and publications.

This material is currently subject to take-down notices by the Australian Communications and Media Authority (ACMA) if it is hosted online in Australia. However, ACMA is unable to directly regulate content hosted overseas. This action is an additional measure to the existing take-down regime for Australia-hosted content.

What is RC-rated material?
In the announcement Conroy says RC-rated content includes child sex abuse content, bestiality, sexual violence including rape, and the detailed instruction of crime or drug use. Conroy clearly states that “the criteria for Refused Classification is determined by the National Classification Board and is underpinned by legislation”. There seem to be two distinct RC classifications, one for publications and one for movies and video games. Instead of trying to understand what an RC rating is, I found it easier to find out what isn’t an X18+ rating: “…This classification is a special and legally restricted category which contains only sexually explicit material… …It does not allow sexually assaultive language. Nor does it allow consensual depictions which purposefully demean anyone involved in that activity for the enjoyment of viewers. Fetishes such as body piercing, application of substances such as candle wax, “golden showers”, bondage, spanking or fisting are not permitted….” This X18+ rating however only applies to the ACT and Northern Territory. The states in Australia only have an R18+ rating which excludes any depiction of sexually explicit material. Does that mean that sexually explicit material will be rated RC? Considering the statement referring to child sex abuse content, etc it seems like X18+ content will not be filtered, however, it is currently prohibited to host X18+ content in Australia making it likely that amendments to the Broadcasting Services Act will actually include X18+ rated content in the filter.

What will be filtered?
It’s unclear how the filter will be implemented, but considering the blacklist will be a list of web addresses it seems it will only block web browsing to those addresses. Clearly not filtered are: Email, Newsgroups, Peer2Peer Traffic, FTP, Proxied web traffic, Instant Messaging. Judging from the leaked ACMA blacklist posted on wikileaks (to which I won’t link, as that might get my blog put on the ACMA blacklist) some sites get blocked completely, yet others such as wikipedia only have a few pages blocked. What happens to User Generated Content sites such as facebook.com, flickr.com, twitpic.com, etc, etc. These are all heavily used sites and anyone can upload RC rated material to these. Will only some pages be blocked, or the entire domain? Does this mean that if you’re site is big you won’t be completely blocked but if you’re a small site you’re more likely to blocked completely? Facebook is an interesting case, because it’s not possible to block content based on the url in many cases because facebook is a full AJAX driven site now.

Currently the ACMA blacklist contains only about 2000 to 3000 URLs and unless you are seeking out RC rated content I think it’s highly unlikely you’ll ever end up on any of these sites. Most of these have already been removed from Google, so you won’t find them while searching Google. Funnily enough it seems that the ACMA blacklist is the definitive source on where to find RC rated content on the web. Most RC rated content however is spread through other media such as email, e-groups, newsgroups, Bulletin Board Systems, Chat rooms and P2P networks. If the web is used the sites generally only stay up for a very limited time because they get shut down by ISPs or they are run from hacked computers. The proposed process of a complaint driven list won’t have any effect on these sites as it’s likely to be too slow. So it seems to be that the main outcome of this filter will be that families get protected against content they will never go to, while not being protected against this content in places where they are more likely to accidentally run into it. That is if the only thing blocked is indeed RC rated content and not X18+ rated content. While the system has very little use to block child pornography, it could be used to some effect to block gambling sites, forums where users discuss topics such as euthanasia, gay/lesbian or whatever at the time is considered “revolting or abhorrent phenomena in such a way that they offend against the standards of morality, decency and propriety generally accepted by reasonable adults”.

Is there a demand for this filter?
From an SMH article: “a national telephone poll of 1100 people, conducted by Galaxy and commissioned by online activist group GetUp, found that only 5 per cent of Australians want ISPs to be responsible for protecting children online and only 4 per cent want Government to have this responsibility.”
Net Alert, which was a government program to provide free filtering software was canceled at the end of last year because it was only installed on 26,000 computers.
So even though not many Australians actually want this filter, it seems it is still being pursued because it was an election promise.

What is the goal of the filter?
Some excerpts from Conroy’s announcement:

…Most Australians acknowledge that there is some internet content which is not acceptable in any civilised society. It is important that all Australians, particularly young children, are protected from this material. … The Government should do all that it can to protect Australians from exposure to RC-rated content. … Reduce Exposure—through mandatory filtering of RC material, expansion of the RC content list to incorporate more child sexual abuse material hosted overseas, and optional filtering for additional material as determined by families….

From the statement it seems the goal is to protect Australian children (there are a lot of references to family/parents/children) from inadvertently stumbling upon RC rated content (child pornography in particular). The goal and the means seem to not fit very well. Many of the other proposed measures however make a lot of sense, such as improving awareness and educate children and parents.

Who is going to pay for this?
At least one is clear. Tax payers will pay for any money that the government spends on trials, maintaining the blacklist, etc. Internet users will pay for the extra cost for the ISPs to implement the filters. I haven’t been able to find any information on how much this would cost for ISPs to implement and therefore how much it will increase our internet bills.

Will it slow down the internet?
According to Telstra the filtering will slow down the connection by one seventieth of the blink of an eye. The average time of the blink of an eye is 300 to 400 milliseconds, so it will slow our connections down by about 5 milliseconds. Considering that my connection time to bigpond.com is currently about 25 milliseconds, this filter adds 20% to my latency. This sounds like a lot, but you won’t notice this while browsing the web. You might however notice this significantly in latency sensitive applications. Australia has already fairly high latency compared to other parts of the world and adding to this certainly doesn’t help.

Can the list be used to harm your competitors?
With “User Generated Content” sites it is possible for anyone to post RC rated content on their site. So if your competitor allows user generated content, all you have to do is post some instructions on how to build a bomb and get your competitor blacklisted. The leaked ACMA list had dates in it indicating those were the dates the list was updated. There were weeks between updates so if you get accidentally listed it will be interesting to see how long it would actually take to get unlisted. Long enough to make your competitor go bankrupt.

More good stuff on wikipedia.

Ok, I only got through about half of what I planned, but it’s time to get some sleep.



{October 1, 2009}   Diving with whale sharks

Just installed wordpress for my iPhone. Testing. Here’s a photo from a whale shark in the Atlanta aquirium. Kim and I went diving there recently. Amazing!



On Tjoos we have a merchant portal where our merchants can update their details, today this came through for http://www.china-jewelry-supplier.com/:

Most plebeians love a deliberate scale of habit when arrangement adornment. There are so many spaces out there largesse bracelets and at epoch can be esoteric to horde which companies are all-purpose and which ones are off-target. When looking at jewelry rings, clients lack to care for appropriate equipment in persuasion. Toll is, of agent, boss. If the freedom is too expanded, trade should eye someday supplementary. There are a member of various merchants out there that suit an inexpensive outlay, so customers should never get lured up with a burden that overcharges. When arrangement jewelry rings , customers should be sophic that they should treasure rare that is affordable. That stanchion that scrutiny prices can be very treasured. That allows for customers to get the unique scenario on the bazaar.

No further comment… enjoy.



{April 18, 2009}   Even Google has bugs?

At Tjoos we have seen Google entries with a hostname that includes an open bracket for a while and I didn’t think too much of it. But in asking around I haven’t found anyone who has ever seen anything like it. Looks like even Google Search is not completely perfect, so I guess we startup guys shouldn’t worry too much about the bugs we create on a daily basis…

Check out http://www.google.com/search?hl=en&q=site%3A(www.tjoos.com&btnG=Search

Google Bug

Google Open Bracket Bug

As you can see, Google lists results for these URLs, but when clicked they don’t go anywhere.

I wasn’t too worried as I didn’t think it would have any real impact on our rankings, but then I noticed this: http://www.google.com/search?hl=en&q=Stouffers+Coupon+Codes&btnG=Search

Google Parenthesis Bug affecting ranking

Google Open Bracket Bug affecting ranking

This only affects a very small number of our pages, but as you can see, the phantom page starting with the open bracket ranks for this search. Our real page is not listed. Maybe our real page has been removed from the listings as a duplicate content.

I assumed this was a temporary glitch at first, but it has been around for a while now. Has anyone else seen this, or are we the lucky exception on an otherwise perfect Google?



{April 18, 2009}   Marketing on a Budget

Melbourne University is hosting the inaugral Student StartupCamp, a StartupCamp exclusively for university student. Six groups of 4 or 5 students are pulling an all-nighter and working Friday to Sunday to create a web business from scratch.

Obviously their marketing budget is non-existant, so guerrilla marketing is the way to go. Some interresting ideas are floating around and the first outcome is the following video for oneoffjobs.net…

Brilliant work. How can this video NOT go viral…



I’m going to continue my funding bashing. There is nothing wrong with funding, but don’t chase it until you actually need it. Let’s have a look at some commonly quoted success-stories.

Google

Surely you need some funding to start something as ambitious as a search engine, right? Wrong. Larry Page started working on Google in January 1996 and was soon joined by Sergey Brin. Crawling started in March 1996. Google ran off university servers first under the name BackRub. The domain google.com is registered in September 1997. Yet, Google doesn’t get their first funding ($100.000) until August 1998, two and a half years after starting on the project. And they didn’t incorporate until September 1998.

Facebook

In October 2003 Mark Zuckerberg launched facemesh, a hot or hot site for Harvard students. In February 2004 he launched thefacebook.com which grew like wildfire. First funding was received in June 2004 ($500.000), soon followed by a few larger rounds. Although the timeline here is shorter, it’s another example of a startup that build and launched first and didn’t receive funding until (at least some) success was “proven”.

Yahoo

Yahoo started out as a hobby project by Jerry Yang and David Filo in January 1994. By the end of 1994 Yahoo has recieved over 1 million hits. Yahoo was incorporated in March 1995. In April 1996 they IPO’d. I can’t find any reference to early funding (seed, angel) so I can only assume Yahoo was bootstrapped.

Apple

From wikipedia: “Steve Jobs and Steve Wozniak had been friends for some time, having met in 1971, when their mutual friend, Bill Fernandez, introduced 21-year-old Wozniak to 16-year-old Jobs. Jobs managed to interest Wozniak in assembling a machine and selling it.

Jobs approached a local computer store, The Byte Shop, who said they would be interested in the machine, but only if it came fully assembled. The owner, Paul Terrell, went further, saying he would order 50 of the machines and pay US$500 each on delivery. Jobs then took the purchase order that he had been given from the Byte Shop to Cramer Electronics, a national electronic parts distributor, and ordered the components he needed to assemble the Apple I Computer. The local credit manager asked Jobs how he was going to pay for the parts and he replied, “I have this purchase order from the Byte Shop chain of computer stores for 50 of my computers and the payment terms are COD. If you give me the parts on a net 30 day terms I can build and deliver the computers in that time frame, collect my money from Terrell at the Byte Shop and pay you.”

With that, the credit manager called Paul Terrell who was attending an IEEE computer conference at Asilomar in Pacific Grove and verified the validity of the purchase order. Amazed at the tenacity of Jobs, Terrell assured the credit manager if the computers showed up in his stores Jobs would be paid and would have more than enough money to pay for the parts order. The two Steves and their small crew spent day and night building and testing the computers and delivered to Terrell on time to pay his suppliers and have a tidy profit left over for their celebration and next order. Steve Jobs had found a way to finance his soon-to-be multimillion-dollar company without giving away one share of stock or ownership.”

So tell me again. Why do YOU need funding?



{February 4, 2009}   Interesting Email Response

We send out a press release the other day and I got this auto-response:

Thank you for your interest in B&A Sports Medicine.  Currently, our budget will not allow for us to hire any e-mail answering robots utilizing state of the art artificial intelligence.  Instead, you will be receiving a human-written email employing college-level intelligence shortly.  If you have the same funny feeling inside after drinking a Big Gulp in the back seat of a long car ride, then don’t hesitate to give us a call (614-326-1490).  If you don’t like to pay long distance charges, then use a cell phone.  If you don’t have a cell phone, borrow a neighbors.  If your neighbors don’t like you, then just be patient and re-fresh your email browser.  If you’re at work and need to kill some time before quitting time, check out our blog:
http://www.basportsmedicine.com/blog/

Thanks again,

B&A Sports Medicine Team

Although this one was only mildly amusing, the informal tone is something I see more and more. I like it and the new homepage redesign of tjoos.com will have more of this. We’re even going to call people shopping ninjas.



Too Much Money
Often one of the first things that comes to mind when you’re thinking of doing a start-up is funding. How can we get some cash to burn. Pitches I see ask for millions of dollars and some people will tell you: “Get all the funding you can get, even if you don’t need it”. There are plenty of reasons why getting too much funding can be a bad thing however. Too much money can make you less “hungry”, less creative, less motivated.

There is another part to this that is often overlooked: Money raised is money that has to made again, and again, and again, and again, and again, and again, and again, and again, and again, and again. Investors expect a 10x return on their investments, so for your startup to be a success it needs to generate a multiple of the investment. In fact, if you take a $5 million investment and give up 40% equity, that gives your company a valuation of $12.5 million. So if 10x is success you need to exit for at least $125 million (25x the investment). Anything less is failure.

A bootstrapped company on the other hand is a success as soon as it turns over enough to pay the bills and a decent salary. If 2 founders sell their company after 3 years for a few million, you can hardly call it failure. It might not be the $22 billion they had in mind, but I’m sure they’ll enjoy driving their new Porsche up to the Hunter.

So while getting more funding might help you succeed, it also raises the bar of success and could kill your startup.



Having been around the entrepreneurial community for a while now I meet many people talking about the ideas they have and the startup they are planning. Some of them seem to talk about it more than work on it. After StartupCamp Sydney II this weekend it’s clearer than ever to me that action beats words. Teams created viable startups in about 24 hours. I’m sure some prospective entrepreneurs spent more time than that talking about how they are going to do a startup one day or writing business plans, etc.

StartupCamp itself started a bit like that. We talked about how cool it would be. We talked and talked. Until one Official Friday we just decided to do it, and 2 weeks and only a few hours of organizing later StartupCamp I was on.

So I think it goes for startups too:  “A little less conversation, a little more action please.”

What does you think?



{January 19, 2009}   I Has Blog

Ok, ok, I finally did it. I  feel like I’m the last person on the planet to start a blogg, but I guess you can’t always be an early adopter. I guess this is how your grandpa felt when he finally got an email address last year. Mine doesn’t. Good on him! But I’m not ready yet to admit that I’m getting old, so I pretend to use twitter and facebook and flickr and now I have a blog. Hello World!



et cetera