Monday, March 26, 2012

Winners Announced: 66 Abstract Backgrounds from Vectorpack.net

Friends, we recently hosted a giveaway contest of 66 Abstract Backgrounds bundle from Vectorpack.net on GraphicsFuel. Here you’ll find the 5 winners of this excellent giveaway!

As stated, we have used random.org to pickup the 5 winners from the list of the comments submitted. The winners of the abstract backgrounds pack are:

David J
GranddadGrga
Livia
Krishan Chawla
Mark

Congratulations to the winners! The winners should have already received an email from us regarding their prize. Thank you all for participating. More giveaways contest are upcoming, so keep checking.


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20 pixel-perfect glyph icons (vector PSD)

Friends, today’s PSD download is an awesome freebie of 20 pixel-perfect glyph icons. These icons are primarily hand-crafted for use in your web and desktop apps. Very handy!

As always, the icons are designed in full vector shape layers, so you can easily resize them to fit your desired size. The download includes 3 PSD files with the icon set in 3 different variations of black, grey emboss and gradient in 32×32 pixels size. You can customize the icons to fit your design needs.

The download file also contains icons isolated on transparent PNG background, so there are 60 icons in total. You can use them in your personal and commercial works. Comments are appreciated. You may also like to download these free mono icons.

Author: Rafi
File Resolution: 600px (32 pixels)
Format: Photoshop, PNG
Keywords: glyph icons, Icons, PSD files
Size: 0.33 MB  (zip)
License: Free for personal and commercial use


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Sunday, March 25, 2012

Wooden black chalkboard icon (PSD)

Friends, today’s design resource is a wooden black chalkboard icon in Photoshop format. The wooden blackboard is a highly detailed illustration that can be used as an education or noticeboard icon.

The icon comes as a full vector shape layerd PSD file. The download file also includes 3 icons on a transparent PNG background in popular sizes of 512×512, 256×256 and 128×128. Download the icon and let me know your thoughts.

You may also like to download these free PSD icons:

Author: Rafi
File Resolution: 800px
Format: Photoshop, PNG
Keywords: Black chalkboard icon, Icons, PSD files
Size: 18.2 MB  (zip)
License: Free for personal and commercial use


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Saturday, March 24, 2012

Folder icon (PSD)

Friends, today’s design resource is a folder icon in Photoshop PSD format. This soft looking yellow illustration can be used as a web icon for your folder or web page, or print needs.

The free PSD file download includes the folder icon in full shape layers for easy customization as needed.  The zip file also contains PNG icons in popular sizes of 512×512, 256×256, 128×128 and 64×64 on transparent background.

You may also like to download these free icons:

Author: Rafi
File Resolution: 800px
Format: Photoshop, PNG
Keywords: Folder Icon, Icons, PSD files
Size: 130 KB  (zip)
License: Royalty-Free, Free for personal and commercial use


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Calendar icon (PSD)

Friend’s today’s design resource is a calendar icon in Photoshop format. Designed with detail, the calendar PSD template can be used for your web and mobile phone related projects.

The icon comes as a full vector shape layerd PSD file. The download file also includes 4 icons on a transparent PNG background in popular sizes of 512×512, 256×256, 128×128 and 64×64 pixels. Download the icon and let me know your thoughts.  You may also like to download similar resource: pop-up date picker (calendar picker) PSD.

Author: Rafi
File Resolution: 800px
Format: Photoshop, PNG
Keywords: Calendar icon, Icons, PSD files
Size: 0.87 MB  (zip)
License: Free for personal and commercial use


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Win 66 Abstract Backgrounds from Vectorpack.net

Friends, today I bring you a wonderful vector bundle giveaway contest. Five of our readers will be chosen as winners randomly and each will be given the bundle pack containing 66 abstract backgrounds. Awesome, right!?!

Vectorpack.net has launched a new Mega Design Bundle which contains over 900 design elements, which, for the following 15 days, are to be available for only $37 instead of $550, they have also decided to host this incredible contest which will give you the opportunity to win the Abstract Backgrounds Bundle!

The Abstract Backgrounds Bundle from Vectorpack.net is a collection of 6 abstract backgrounds vector packs, reuniting thus 66 abstract backgrounds vectors. Moreover, as all these elements are offered by Vectorpack.net, you can make sure to get top quality!

You can also find this Abstract Backgrounds in the Mega Design Bundle, along with 396 vector elements, 210 PS brushes, 162 web elements, 70 seamless patterns, 30 textures and 1 wordpress theme.

There will be 5 lucky winners who are to get their hands on this great Abstract Backgrounds Bundle from Vectorpack.net. In order to enter the contest, you have to leave a comment, tweet or post this contest on Facebook. Please make sure to leave a valid e-mail address when commenting in order for us to be able to contact you for your prize.

The contest ends on March 13th, 2012 Tuesday. All comments submitted after that date are not accepted.Please make sure to submit your correct email address.Winners are determined randomly using random.orgComment once. Multiple comments with the same email address are rejected.

Good Luck!


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Friday, March 23, 2012

Cloudera CEO: Come to me with apps, I’ll get you money

Hadoop is a great platform for storing and processing data, but it needs applications to make it truly valuable. Wednesdayy at Structure:Data, Cloudera CEO Mike Olson discussed the dearth of professional analytics applications that leverage Hadoop, and invited the startups building them to come to him if they want money.

Michael Olson of Cloudera at Structure:Data 2012 (c) 2012 Pinar Ozger. pinar@pinarozger.com

The major obstacle to mass adoption of Hadoop among mainstream companies, Olson said, is that there aren’t enough applications out there that make it easy to do analytics atop Hadoop. We’re starting to see them pop up now, but it’s still early days and, presumably, the killer application is still to come.

Right now, those adopting Hadoop are enterprises which have resources and engineers to throw at the problem, but there are plenty of businesses that want to adopt Hadoop if it were easier. In addition large companies aren’t going to get rid of their existing infrastructure, such as Oracle, Informatica and SAP databases, so Olsen said that another avenue startups should pursue is letting companies move data stored on other platforms over to Hadoop. Figuring out the “middleware” products that will do this are also an opportunity.

“Call me, I’ll connect you with funding,” Olson said. “The money is out there.”

Watch the livestream of Structure:Data here.

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Machine data is for people too

Machine-generated data, the non-intelligible zeros and ones that are generated by sensors and other devices, is no longer just for geeks.

Erik Swan of Splunk at Structure:Data 2012 (c) 2012 Pinar Ozger. pinar@pinarozger.com

The data itself, which can be log files from servers, or from sensors attached to appliances or air pollution monitors,  is usually “gibberish,” said Erik Swan, CTO and co-founder of Splunk, a pioneer in aggregating and processing machine data, at the Structure: Data 2012 event in New York on Wednesday.  ”It’s not designed for end users.”

But that doesn’t mean end users aren’t using it.

During last year’s Fukushima radiation crisis when people felt the Japanese government was not providing enough information about radiation levels, an ad hoc network of citizens worked together to string together Geiger counters and link them up to Pachube.com.

“Within 10 days, there were more than 1,000 feeds updating several times per minute,” said Usman Haque, founder and CEO of Pachube.com, the British startup that aims to make this sort of  machine data more available and understandable to mere human beings.

But the data aggregation was just the start. People wrote apps — like the Android-based Winds of Fukushima that melded geo location and wind data to predict where the radiation would spike next, Haque said.

“Some were domain experts and some were just people who were willing and worried,” he said, but the upshot was that consumers were able to use this data for a very important purpose.

Swan agreed that the world is at the beginning of that growth curve.

“This is like the paradigm shift around e-commerce years ago when users didn’t buy much at first but then Amazon came along and showed [e-commerce's] power, then all companies became commerce companies and consumers expected everything to be available that way,” Swan said.

In the future, consumers will expect to have a “data relationship” with every company they do business with and to have a dashboard based on their prior transactions and other pertinent interactions to help them make decisions.

Some non-technology issues — like the ownership of all that data — still need to be resolved, however. ”Consumers are shocked to find they don’t own their data. In some cases someone else might own it and in some countries, no one can own it,” Haque said.

There is also a dearth of applications — the Fukushima app notwithstanding — that tap into that data.

Haque likened the current state of affairs to the 1995 “green-screen” era of computing . “We have no idea of what’s coming in 5 years… but we see people out there using these systems now, building services, even individuals automating their homes using the Nest thermostat. It’s just a question of providing discoverability into this world [of machine data] that’s already being built.

Watch the livestream of Structure:Data here.

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How to make data digestable for non-techies

Arnab Gupta of Opera Solutions at Structure:Data 2012 (c) 2012 Pinar Ozger. pinar@pinarozger.com

We generally associate analytics with machines — as in machine learning, or artificial intelligence. But humans have to be part of the equation when it comes to interpreting and processing data if we want to get the most value we can out of it, argued Arnab Gupta, CEO and founder of Opera Solutions.

At Structure:Data 2012 Wednesday, Gupta said in an onstage interview that machines are “ultimately limited.” That’s why at Opera Solutions they’re working to take big data and make it small data so that humans can process information that’s accessible and easy to understand and ultimately make a final decision on how to use a piece of data. A “man and machine” hybrid process, he describes it.

The way analytics companies are now, said Gupta, they push out a ton of data, “but given the enormous amount of information, most corporations are massively constrained” in their ability to adequately process it all, he said.

The best hope, he said, is not necessarily getting more technical, data-smart people who can interpret it. It’s making data easier to interpret by regular folks.

“The real battlefield is ultimately, are you making data usable to people on the front line, to a person who is not technical … but it helps them do their job a lot better?”

The ability to do that, he acknowledged, is still a couple years away.

Watch the livestream of Structure:Data here.

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Zynga goes buy over build with OMGPOP acquisition

Zynga has acquired OMGPOP, adding Draw Something to its list of popular social and mobile gaming titles. Zynga reportedly paid OMGPOP for some $180 million, plus another $30 million in employee retention, right in line with what Om Malik reported last week. That might seem like a lot, but Draw Something is a huge success: The app has more than 35 million downloads and a totally engaged audience of 15 million daily users.

This isn’t the first Zynga acquisition, of course, or even the first major franchise acquisition. It bought the ‘With Friends’ games from Newtoy for about $53 million a few years ago — a price that looks like an absolute steal today. But this is the first purchase of its size for Zynga.

For OMGPOP the deal is a culmination of six years of blood, sweat and tears, as it started primarily as a maker of Flash-based games for the desktop. But mobile and social changes everything: Putting Draw Something on a mobile device, making it accessible wherever and whenever and harnessing the power of Facebook to connect players and their friends has made OMGPOP an overnight powerhouse. And it’s not just Draw Something that Zynga is acquiring — it’s also getting another 35 titles from OMGPOP.

Here are a few key stats and figures from the OMGPOP’s Draw Something success:

In the last week, more than 1 billion drawings have been created.Draw Something had three drawings per second the day the game launched.Yesterday, Draw Something has over 3,000 drawings per second at its peak.Draw Something is the #1 word game in 84 countries according to the Apple App Store – shout out to Sweden and Norway for being the first two countries to recognize Draw Something’s greatness. Nordic Love!The most popular words in Draw Something are: Starfish, pregnant, hangman, six pack, boom boxThe least popular word in Draw Something is latrineThe best guessed words in Draw Something are: Rainbow, catfish, sun, fish, house, god tornadoThe least guessed words in Draw Something are: Oar, Metroid, Warhol, pounce, polaroid, meathead, Autobots

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Another task done: Wunderlist for Windows Phone

Windows Phone owners have good reason to hit their app store today: Wunderlist, a free task management app, has landed on the platform. The software, found in the Windows Marketplace, offers cloud-based task synching and the ability to email tasks directly to the app.

The Unwired web site correctly notes that the Windows Phone version of Wunderlist will surely look different that it does on other platforms. That’s mainly due to Microsoft’s Metro UI; a landscape and tile based interface. But that shouldn’t diminish the value brought by the software, which I find very effective.

I last looked at Wunderlist in September of 2011, recommending it for a number of reasons, even though I realize we all work differently. There’s no “one size fits all solution” for task management, of course:

“Wunderlist has many desirable features that fit my approach and at no cost, is worth the look if you’re on the hunt for a mobile task management solution. Thanks to an effective interface with solid features, cross-platform support and cloud synchronization, Wunderlist is mobile task management done right.”

The key to me is two-fold: Wunderlist’s simplicity and its cross-platform support. With clients for the web, Mac, Windows, iOS, Android, BlackBerry, and now Windows Phone, the service can be effectively used with nearly any mobile device or computer.

Clearly, users agree that the software works well. Just last month Wunderlist announced it had topped 2 million users just 15 months after launching. Given that relatively few are buying Windows Phone devices yet, the company may not gain much here. However, even if sales of Microsoft-powered phones grows slowly, the company is well poised to take advantage of the platform.

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Mo’ data mo’ problems: The future of the data center

For all the upsides that using vasts amounts of data has, there’s also a cost – and often, it can be measured in cold hard dollars. That was one of the takeaways from a panel of data center experts at GigaOM’s Structure:Data conference Wednesday. Processing power and storage have scaled up exponentially, IO CEO George Slessman explained, but the cost of building, deploying and maintaining data centers isn’t that elastic: “The bottleneck is money.”

Lane Patterson of Equinix, Edward Newmann of EMC, Jim Smith of Digital Realty, Andreas Zoll of IO, and Stacey Higginbotham of GigaOM at Structure:Data 2012 (c) 2012 Pinar Ozger. pinar@pinarozger.com

His co-panelists agreed, and Digital Realty CTO Jim Smith said that the growing costs of data centers can lead to companies taking short cuts. Smith told the audience an anecdote to underscore this point: A client had asked his company to strip out some components to make a data center on the cheap. It’s possible, Smith explained, but the downside is that you have to turn off the whole thing every few years to service the hardware. The client agreed, only to explain a few years later that it would be impossible to go off the grid. “Now it’s gonna catch on fire and explode if we don’t fix it,” quipped Smith.

The other big cost factor is energy, and energy consumption is growing rapidly as the amount of data being processed is increasing. “You gotta find ways to economize your work per watt,” said Equinix CTO Lane Patterson. Part of this is making smarter equipment that doesn’t burn through your budget when it’s idle, and improve on technologies used to cool servers – technology that hasn’t seen much change in 50 years.

But data itself also has to be prioritized, argued Slessman. Different problems have different infrastructure requirements, and it doesn’t make sense to use your most expensive infrastructure to deal with all your data. How do we get to a point where data centers are more flexible, and potentially less energy-hungry? One approach is to make the data center itself more aware of the data and have the infrastructure become part of the IT stack. “You can’t separate the two,” argued Slessman.

Watch the livestream of Structure:Data here.

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Thursday, March 22, 2012

Cloud services and the new platform wars

“Many years ago it became abundantly clear that some way had to be found to shield programmers from the complexity of the hardware… [T]his layer is the operating system.” —Andrew Tanenbaum, Operating Systems

The cloud is the new operating system for enterprises, and services are the new applications. The cloud provides the computing fabric upon which the next generation of services, from Pinterest to Instagram, foursquare to AirBnB, are being built. Just as Microsoft Windows and MacOS X have provided interfaces for the previous generation of desktop applications now on the decline, cloud providers like Amazon offer interfaces for the compute, storage, and networking these services require.

The cloud is a more fault-tolerant and flexible operating system than its predecessors. These two advantages derive from the cloud’s two hallmark features: it is both virtualized and distributed. Because it’s virtualized, failing hardware can be upgraded or swapped out, and virtual processes can be migrated to new machines with little end-user impact. Because it’s distributed across thousands of commodity boxes, services’ compute and bandwidth needs can be scaled up or down, and disk storage limitations are almost an anachronism.

In other ways the cloud raises new challenges, or rather returns us to the pre-PC era of client-server relations. If the cloud is a more powerful mainframe, then today’s clients are more intelligent than the dumb terminals of the past. The new clients are smart phones, tablets, and modern web browsers, whose local caching and compute capabilities are the essence of rich, responsive applications. But managing state between client and server, and across different classes of clients, introduces complexity for developers.

This new age of computing opens up new markets and opportunities. The defining battle is: who will become the standard platform for cloud computing power?

The stakes are massive, and not simply because of the burgeoning spending on compute as a utility. Also at stake is control, as with past operating system battles, over the applications that run on cloud platforms.

Amazon’s Web Services (AWS) has taken an early lead. AWS provides a growing set of peripherals beyond its core Elastic Compute Cloud offering, such as block storage, load balancing and content delivery networks. With almost 80 percent growth and estimated revenues of nearly $1 billion in 2011, AWS gives a glimpse of the market opportunity ahead. At a recent meeting of 22 startup chief technical officers, I asked how many were using AWS: every single hand went up.

The great desktop disruption is underway. One-by-one, desktop applications are being displaced by cloud as-a-service equivalents in office productivity, financial accounting, and even photo editing. These services incorporate such features as seamless syncing across devices (Evernote) and social, real-time collaboration (Zendesk, Google Apps) that are naturally enabled by the cloud’s server-centric architecture.

Few firms understand the threat and opportunity posed by this shift as well as Microsoft. So its late but commanding entrance into the cloud platform space, with Azure, should come as no surprise. Microsoft also has strategic leverage in offering a natural bridge from the desktop, where they currently dominate, to the new frontier of the cloud. Microsoft can help desktop developers, already comfortable with their programming APIs and runtime environment, extend their applications. Likewise the company’s current customer base can be conveyed smoothly into an embrace of cloud services.

Google has been the most visible and early leader in developing applications-as-services for consumers, through Gmail and the Google Apps suite. Yet Google has been less successful in developing its cloud platform, App Engine, for developers. Cloud platforms, like operating systems, succeed when they provide the right tools to application developers.

Compared with those of Microsoft Azure and Amazon Web Services, App Engine’s developer tools are higher-level, more Google-specific, and more tightly constrained.  Only select programming languages are supported and storage backends are limited. The result is that App Engine has seen relatively little adoption from serious developers.

Despite Google’s strength in creating its own cloud services, and its growing presence — via Android — in the client-side ecosystem, it must shift gears if it hopes to compete with a cloud platform offering.

EMC is our final big contender for cloud dominance. Unlike Amazon, Microsoft, and Google, EMC sits far away from the consumer-side of IT and squarely faces the enterprise. EMC’s principle strength is in data. Its servers already play host to precious data for the world’s biggest enterprises. This is a powerful strategic advantage, because data is both at the core of the cloud’s value and the source of its vulnerability.

The cloud is fundamentally a data operating system (as Tim O’Reilly called the Internet).  The value of cloud services lies in being connected — via email, social media, business dashboards — to the pulsating digital streams of the planet.

But data’s increased connectivity also creates vulnerability; witness the spate of stories documenting consumer privacy breaches, more of which are sure to come. For enterprises, it is difficult to underestimate the sensitivity around data security. Data is a uniquely valuable and non-fungible corporate asset, more sensitive to theft and loss than even money.

EMC has already won the hard-earned trust of enterprises in handling their precious data. EMC cloud offerings play on this trust. In contrast to Amazon’s public cloud, EMC offers Virtual Private Cloud (VPC), smartly recognizing that the term “public cloud” has about as much appeal to corporate executives as “public toilet” and “public pool.”

The VPC offering highlights another one of EMC’s strengths: its depth in virtualization, the defining technology of the cloud. EMC was early to recognize the revolutionary impact of virtualizing data centers, acquiring VMWare in 2004, long before its value was widely understood.

The race to become the pre-eminent cloud platform is pivotal because, like other platform races, this one has winner-take-all market dynamics. Once a startup has its data on Amazon’s S3 storage service, spinning up its Hadoop clusters within Amazon is a cost-efficient choice (lower bandwidth costs), as is working with other service providers already on Amazon.

The perils of platform lock-in has spurred the growth of some open-source standards for cloud computing, most notably OpenStack, which has garnered the support of IBM, Rackspace, and as of last week’s announcement, HP.

Which cloud platform gains dominance and market share will be determined by a mixture of perceived momentum, migration costs, security, and developer friendliness (API design, standards, documentation). The winner stands to reap the massive financial rewards of being a foundational operating system for the next generation of native cloud applications and services.

Regardless of which platform ultimately prevails, forward-thinking firms will continue to enjoy the benefits of the storage, compute, and networking abstractions that a cloud operating system provides, while focusing their creative energies higher up on the stack. The result will be a blossoming of application as-a-service startups whose disruptive impact, on existing technology firms and on the economy as a whole, we are only just beginning to appreciate.

Michael Driscoll is the co-founder and CTO of Metamarkets. Metamarkets is backed by True Ventures, a venture capital firm that is an investor in the parent company of this blog, Giga Omni Media. Om Malik, founder of Giga Omni Media, is also a venture partner at True.

Michael Driscoll will be speaking at GigaOM’s Structure:Data Conference in New York City on March 22. Check out his session, Mining the Mobile Data Deluge, at 4:40 p.m.

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How humans & machines can team up to solve big problems

Sean Gourley of Quid at Structure:Data 2012 (c) 2012 Pinar Ozger. pinar@pinarozger.com

In the same way a microscope helps augment the innate ability of the human eye, Quid is trying to create tools to augment how we as humans process unstructured data and visualize it, said Sean Gourley, co-founder and CTO of Quid, on stage at Structure:Data 2012 Wednesday.

“We still don’t have a tool to see the very, very complex,” Gourley said. An example of this complex problem, he said, is understanding gigantic global conflicts like the situation in Afghanistan.” For that, he said, “we need a ‘macroscope’,” a term he defines as a combination of  big data and algorithms as well as the ability to create visualizations of that data.

The visualizations are key — they are the part necessary in order for humans to be able to process the information. “Ultimately, a human has to be in the loop for the most difficult problems” to be solved, he said.

Continuing his Afghanistan example, he demonstrated how Quid can help people process unstructured data from news sources through visualizations that show how the data is connected and who is talking about what.

It’s this combination of humans with machines that can actually make a difference in solving problems, Gourley argued.

Watch the livestream of Structure:Data here.

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What Zynga really wants from OMGPOP’s Draw Something

Draw Something sunshineZynga made a huge acquisition Wednesday, snapping up Draw Something producer OMGPOP for a reported $200 million-plus price tag. But let’s be clear: What Zynga is picking up isn’t just a hit game, the team that built it, or even the 35 other titles that OMGPOP has created over the last six years. And it’s not just buying potential ad or in-game sales revenue from Draw Something users. What Zynga’s really buying is a huge engaged audience that it can funnel into its other social gaming properties.

Social gaming is a hits-driven business, for sure: Nowhere is that more obvious than in a game like Draw Something or in the …With Friends franchise that Zynga acquired from Newtoy in 2010. But there’s a very powerful network effect that Zynga wants for itself with those purchases, hoping to funnel more users into its existing ecosystem.

Draw Something is a particularly special case. It’s not just the 35 million downloads and 15 million daily users that attracted Zynga, to be sure. Think about the first time you heard about Draw Something, or the people you know who are playing it. It’s a whole lot of users who, for lack of a better description, aren’t really gamers — or at least weren’t before the last six weeks.

There’s something about the simplicity of Draw Something that has struck a chord with the mainstream public in a way that few other games have to this point. Part of that is a low barrier to entry: Unlike some of the …With Friends games that are part of the Zynga stable, you don’t need a brain like a thesaurus to play. And contrary to some of the -Ville games that Zynga became famous for, there’s no castles or farms or animals to tend to in some tedious cyclical fashion.

Draw Something is simple, it’s visceral, and it’s something that anyone at any time can pick up and put down at his or her leisure. There are no special skills required. It is, quite frankly, maybe the most perfect social game made to date. And as a result, it’s become a hit with regular users like few other games we’ve seen.

It’s those so-called regular users that are the key to this deal, all those folks that have never played a Zynga game before, or any mobile game for that matter. To Zynga, Draw Something is like a gateway drug that it can use to introduce those users to other pieces of its gaming franchise.

Few gaming companies have been as successful as Zynga in converting users of one game into players on another. Think about the bar of other Zynga titles that runs under your list of current moves in Words or Scramble With Friends, and how Zynga uses that to introduce you to other properties you might be interested in, or at the very least to update you on open games in other titles. Now think about how that can be used to help funnel in players from a hugely engaged audience for Draw Something.

And that engagement translates into real money. Draw Something users are generating $250,000 a day in revenue for OMGPOP with in-app purchases to acquire different words or additional colors, sources told AllThingsD Wednesday.

That revenue is nice for now, but hits are fleeting — they come and they go. At some point, Draw Something usage will peak as users start to find more and newer games to entertain themselves with on their mobile devices. Zynga knows this. But what it hopes to do is capture that audience, get it hooked on other Zynga properties and keep it engaged as long as possible. After all, that’s where the real network effect and the power of its social platform comes into play.

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Spotify’s new apps could be a big boost for labels

Sub Pop, Ninja Tune, Matador: Record labels used to be known as curators of a certain sound, and collectors would sometimes buy every new release on their favorite labels. The weight of an iconic label has largely disappeared in the age of digital music, but Spotify is now offering record companies another chance to prove their chops as curators. The music subscription service is launching a second batch of apps for its desktop application this week, and some of the new partners include Def Jam, Domino, Pias, Warner Music and Matador Records.

Spotify is also launching a number of other apps that make it easier to discover entire bodies of music, including one that offers an easy way to explore curated playlists from artists like Miles Davis and Bob Dylan, and one that lets listeners explore classical music by composer, era or instrument. However, the launch of label apps could be the most significant development, in part because labels seem like a natural fit for these kinds of apps.

Apps on Spotify have proven to be pretty popular. Some of the launch partners of the service’s app platform shared some first numbers with us in January, pointing to impressive engagement levels. Spotify followed up with an official tally, which showed some 15 million song plays for app partner Soundrop in February alone, and also included encouraging data from other apps.

One question not answered by these numbers was: What are third-party developers getting out of building these kinds of apps for Spotify? “Right now, there is really no monetization within the Spotify platform,” explained the company’s CEO Daniel Ek when Spotify launched the apps in November. That hasn’t changed since, and it’s unclear why startups should develop their app within Spotify’s walls, as opposed to on the open web.

Labels on the other hand can only gain from increased visibility on Spotify. Not only can they direct listeners towards the music of their artists, they can also use these apps to promote and monetize other things their artists have to offer – including limited downloads, tours and merchandise. The biggest benefit may actually go to those smaller labels that have a relationship with their artists that goes beyond music sales – which are exactly the labels that used to be known as curators of a certain sound. You know, like Sub Pop, Ninja Tune or Matador.

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How data mining leads to loans for the underbanked

While Big Data is increasingly a passion of forward-thinking companies looking to extract value from a growing pile of information, it is also having an effect on some of the most vulnerable consumers, who are finding a way to secure loans thanks to data mining. That’s through the work of ZestCash, a next generation loan service, that has been applying data creatively to bring loans to consumers who have few choices beyond payday loans.
Douglas Merrill of ZestCast at Structure:Data 2012 (c) 2012 Pinar Ozger. pinar@pinarozger.com
ZestCash CEO and founder Douglas Merrill, who formerly served as CIO at Google appeared at GigaOM’s Structure:Data conference to talk about how ZestCash uses a wide array of data to help qualify people for short term loans. The company, which launched in 2010 and raised $19 million last year, has been giving $300 to $800 loans to users based on thousands of variables, which are boiled down to 10 models. Merrill is cagey about which data points are used but he said ZestCash does not factor in FICO, the credit score most often applied by lenders.
FICO uses 15 factors to determine who gets a loan, but that often leaves out at least 15 percent of consumers, who don’t qualify according to those standards. But by drawing in a lot of online data, ZestCash is better able to predict if a consumer will pay back their loan. The company now boasts a default rate well below half of the 40 percent rate in current loans.
For example, Merrill said by examining a user’s pre-paid phone account and checking for defaults, they can get a much better sense of whether they are likely to default on a loan. “If they lose (their phone), they lose their connection to the world. It’s a hugely important credit signal,” Merrill said.
By being smarter about which data it uses to rate consumers, ZestCash is able to charge half the fees of traditional payday loans. That can mean $600 more a month for a consumer, he said.
For now, Merrill thinks the ZestCash model will focus on underbanked users, who can’t get access to credit cards. Ultimately, he thinks ZestCash’s techniques — which he calls “big inference”, not big data — can be applied to all credit cards users.
“I think that approach will be so powerful over the next 5-10 years, you’ll see everyone migrating to this big inference approach,” Merrill said.
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