When you think about the black market, I’m sure the majority of you will think of prohibition days.  When alcohol was made illegal, it did two things: It made the bad guys more money, and it put the average joe in a dangerous position while trying to acquire it.  Bring in the 21^stcentury. Sure, there still is a black market… but come on, who is afraid of mobsters anymore? Today, we have a gaming black market. It has been around for years, but will it survive? With more and more games moving towards auction houses, could game companies “tame” the gaming black market?

In the old days of gaming on the internet, we spent most of our online time playing hearts, spades… whatever we could do while connected to the internet. As the years went by, better and better games came about. Then, suddenly, interactive multiplayer games came into the picture. These interactive games, mainly MMORPGS, allowed for characters to pick up and keep randomly generated objects known as “loot”. This evolution of gaming created the black market.

In the eyes of the software companies, the game is only being leased/rented by the end user. You don’t actually have any rights to the game. This is where the market becomes black.  The software companies don’t want you making money of “virtual” goods that are housed on the software or servers of the game you are playing on.  The software companies, at this point, started to get smarter.

Where there is a demand…

Although reports made in May 2010 indicate that Android had outsold Apple iPhones, more recent and current reports of the 2^nd quarter of 2011 made by National Purchase Diary (NPD) on Mobile Phone Track service, which listed the top five selling smartphones in the United States for the months of April-June of 2011, indicate that Apple's iPhone 4 and iPhone 3GS outsold other Android phones on the market in the U. S. for the third calendar quarter of 2011. This was true for the previous quarter of the same year; The iPhone 4 held the top spot.  The fact that the iPhone 4 claimed top spot does not come as a surprise to the analysts; rather, it is a testament to them of how well the iPhone is revered among consumers. The iPhone 3GS, which came out in 2009 outsold newer Android phones with higher screen resolutions and more processing power. The list of the five top selling smartphones is depicted below:

1. Apple iPhone 4
2. Apple iPhone 3GS
3. HTC EVO 4G
4. Motorola Droid 3
5. Samsung Intensity II[1]

Apple’s iPhone also outsold Android devices7.8:1 at AT&T’s corporate retail stores in December. A source inside the Apple company told The Mac Observer that those stores sold some 981,000 iPhones between December 1st and December 27^th 2011, and that the Apple device accounted for some 66% of all device sales during that period (see the pie figure below) . Android devices, on the other hand, accounted for just 8.5% of sales during the same period.

According to the report, AT&T sold approximately 981,000 iPhones through AT&T corporate stores in the first 27 days of December, 2011 while 126,000 Android devices were sold during the same period. Even the basic flip and slider phones did better than Android, with 128,000 units sold.[2] However, it is important to understand that this is a report for one particular environment at a particular period in time. As the first iPhone carrier in the world, AT&T has been the dominant iPhone carrier in the U.S. since day one, and AT&T has consistently claimed that the iPhone is its best selling device.

Chart courtesy of Mac Observer: http://www.macobserver.com/tmo/article/iphone_crushes_android_at_att_corporate_stores_in_december/

A more recent report posted in ismashphone.com, dated January 25 2012, indicated that Apple sold 37 million iPhones in Q4 2011.  It appears that the iPhone 4S really helped take Apple’s handset past competing Android phones. According to research firm Kantar Worldpanel ComTech, Apple’s U.S. smartphone marketshare has doubled to 44.9 percent.[3] Meanwhile, Android marketshare in the U.S. dropped slightly to 44.8 percent. This report means that the iPhone has edged just a little bit past Android in U.S. marketshare. This is occurred after Apple’s Q1 2012 conference call, which saw themselling 37 million handsets. Meanwhile, it’s reported that marketers of Android devices, such as Motorola Mobility, HTC and Sony Ericsson saw drops this quarter.

As someone who works in many facets of the music industry, I used to seethe with a mixture of anger and jealousy when I would hear people in more “traditional” goods-based industries argue in favor of music content-based piracy. They made all the classic talking points, like “I wouldn’t spend money on this artist normally, and maybe if I like it I’ll spend money on them when they come to town” (which never happened), or “artists are rich and I’m poor, they don’t need my money” (rarely the case), or the worst, “if it were fairly priced and worth paying for, I’d buy it” (not true).  I always wondered if they’d have the same attitude if 63% of the things acquired by customers in their industries weren’t actually paid for, as was conservatively estimated as the case for the music industry in 2009 (other estimations put the figure of pirated music at 95%). Well, we may soon see the answer to curiosities like that. Though one can say with tentative confidence that music piracy is on the decline thanks to services like Spotify and Rdio, it could be looming on the horizon for the entire global, physical supply chain. Yes, I’m talking about 3d printers.

Before I get into the heart of this article, let me take a moment to make one thing clear: I think these machines are incredible. It’s damn near inspiring to think of even a few of their potentially world-changing applications: affordable, perfectly fit prosthetic limbs for wounded servicemen and women; the ability to create a piece of machinery on the spot instead of having to wait for a spare to arrive in the mail, or en route if your car or ship breaks down in a far away place; a company based out of Austin, TX even made a fully functioning firearm from a 3d printer a few months ago.

If these machines become as consumer-friendly and idiot-proof as possible (like computers), it’s possible that in a matter of decades (maybe less), a majority of U.S. households will have their own 3d printer. There’s also the possibility they could take the tech-hobbyist path, one that is much less appealing to the masses. Dale Dougherty of Makezine.com estimates there are currently around 100,000 “personal” 3d printers, or those not owned for business or educational purposes. I don’t think they’ll ever be as ubiquitous as computers, but there are plenty of mechanically inclined, crafty hobbyists out there who would love to play around with a 3d printer if it was affordable enough.

That being said, is there reason to worry about the economic implications of consumers making what they want, essentially for free, instead of paying someone else to produce it? Or will the printers instead be used for unique items more so than replicating and ripping off other companies’ merchandise in mass amounts? The number of people working in industries that would be affected by a development like this is far greater than the number of people who work in content-based industries, so any downturn would probably have a much larger economic implications. Certainly, those times are a ways off, but a little foresightedness never hurt anyone!

Companies have been collecting and analyzing data forever, pretty much.” So what’s really new here? What’s driving the data-analytics revolution and what does it mean for those that choose to postpone or ignore the pivotal role big-data is currently having on productivity and competition globally?

General Electric chairman and CEO Jeff Immelt explains it best when stating that “industrial companies are now in the information business—whether they like it or not.”  Likewise, digital data is now everywhere, it’s in every industry, in every economy, in every organization and according to the McKinsey Global Institute (MGI), this topic might once have concerned only a few data geeks, but big data is now relevant for leaders across every sector as well as consumers of products and services.

In light of the new data-driven global landscape and rapid technological advances, the question for senior leaders in companies now is how to integrate new capabilities into their operations and strategies—and position themselves globally where analytics can influence entire industries. An interesting discussion with six of theses senior leaders is covered in MGI’s article, “How companies are using big data and analytics,” providing us with a glimpse into a real-time decision making processes.