this post was submitted on 21 Aug 2023
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Sooner or later, everything old is new again.

We may be at this point in tech, where supposedly revolutionary products are becoming eerily similar to the previous offerings they were supposed to beat.

Take video streaming. In search of better profitability, Netflix, Disney, and other providers have been raising prices. The various bundles are now as annoyingly confusing as cable, and cost basically the same. Somehow, we're also paying to watch ads. How did that happen?

Amazon Prime Video costs $9 a month and there are no ads. Oh, except when Thursday Night Football is on. Then there are loads of ads. And Amazon is discussing an ad-supported version of the Prime Video service, according to The Wall Street Journal. That won't be free, I can assure you.

Paramount+ with Showtime costs $12 a month and the live TV part has commercials and a few other shows include "brief promotional interruptions," according to the company. Translation: ads.

Streaming was supposed to be better and cheaper. I'm not sure that's the case anymore. This NFL season, like previous years, I will record games on OTA linear TV using a TiVo box from about 2014. I'll watch hours of action every weekend for free and I'll watch no ads. Streaming can't match that.

You can still stream without ads, but the cost of this is getting so high, and the bundling is so complex, that it's getting as bad as cable — the technology that streaming was supposed to radically improve upon.

The Financial Times recently reported that a basket of the top US streaming services will cost $87 this fall, compared with $73 a year ago. The average cable TV package costs $83 a month, it noted. A 3-mile Uber ride that cost $51.69

A similar shift is happening in ride-hailing. Uber has been on a quest to become profitable, and it achieved that, based on one measure, in the most-recent quarter. Lyft is desperately trying to keep up. How are they doing this? Raising prices is one way.

Wired's editor at large, Steven Levy, recently took a 2.95-mile Uber ride from downtown New York City to the West Side to meet Uber CEO Dara Khosrowshahi. When asked to estimate the cost of the ride, Khosrowshahi put it at $20. That turned out to be less than half the actual price of $51.69, including a tip for the driver.

"Oh my God. Wow," the CEO said upon learning the cost.

I recently took a Lyft from Seattle-Tacoma International airport to a home in the city. It cost $66.69 with driver tip. As a test, I ordered a taxi for the return journey. Exact same distance, and the cab was stuck in traffic longer. The cost was $70 with a tip. So basically the same.

And the cab can be ordered with an app now that shows its location, just like Uber and Lyft. So what's the revolutionary benefit here? The original vision was car sharing where anyone could pick anyone else up. Those disruptive benefits have steadily ebbed away through regulation, disputes with drivers over pay, and the recent push for profitability. Cloud promises are being broken

Finally, there's the cloud, which promised cheaper and more secure computing for companies. There are massive benefits from flexibility here: You can switch your rented computing power on and off quickly depending on your needs. That's a real advance.

The other main benefits — price and security — are looking shakier lately.

Salesforce, the leading provider of cloud marketing software, is increasing prices this month. The cost of the Microsoft 365 cloud productivity suite is rising, too, along with some Slack and Adobe cloud offerings, according to CIO magazine.

AWS is going to start charging customers for an IPv4 address, a crucial internet protocol. Even before this decision, AWS costs had become a major issue in corporate board rooms.

As a fast-growing startup, Snap bought into the cloud and decided not to build it's own infrastructure. In the roughly five years since going public, the company has spent about $3 billion on cloud services from Google and AWS. These costs have been the second-biggest expense at Snap, behind employees.

"While cloud clearly delivers on its promise early on in a company's journey, the pressure it puts on margins can start to outweigh the benefits, as a company scales and growth slows," VC firm Andreessen Horowitz wrote in a blog. "There is a growing awareness of the long-term cost implications of cloud."

Some companies, such as Dropbox, have even repatriated most of their IT workloads from the public cloud, saving millions of dollars, the VC firm noted.

What about security? Last month, Google, the third-largest cloud provider, started a pilot program where thousands of its employees are limited to using work computers that are not connected to the internet, according to CNBC.

The reason: Google is trying to reduce the risk of cyberattacks. If staff have computers disconnected from the internet, hackers can't compromise these devices and gain access to sensitive user data and software code, CNBC reported.

So, cloud services connected to the internet are great for everyone, except Google? Not a great cloud sales pitch.

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[–] [email protected] 9 points 1 year ago (1 children)

These are three topics that people love to focus on price against traditional services without looking any deeper.

Streaming is only just as expensive as cable if you subscribe to a bunch of them, but if you pick and choose, start and stop, it is cheaper. Further, it is a better experience. You can watch what you want, when you want. You don't need an annoying DVR setup, etc. The experience is better, even if you do choose to pay the same.

For Uber and Lyft, I don't use them because they are cheaper; I use them because they are better than traditional taxis. Seriously, how many people who say they aren't better than taxis have even used taxis heavily while traveling? Using taxis sucks, except possibly around airports or in the rare city you can walk outside and hail a cab. Outside of that you often have to call in, wait for an extended time with no ETA, etc. Lyft and Uber are a better experience, especially when you are outside major tourist or travel hubs.

Finally, cloud is more expensive, but gets you all sorts of benefits. Those benefits may or may not be worth the cost depending on you or your org, but it is not 1-1 to running on prem. On AWS you can trivially automate events across the entire ecosystem of services, run serverless infrastructure, etc. There are many great use cases for spending the money on the cloud, and most organizations should have a hybrid approach.

Sorry, end rant, but I always get tired of the false equivalence of these three things and the tunnel vision on price.

[–] [email protected] 1 points 1 year ago (1 children)

But what if I like servers? I mean, I don't today, because Dell not making legacy updates easy on me...but you know, in general!

[–] [email protected] 2 points 1 year ago

You do you, you beautiful server hugging butterfly!