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Wednesday, May 03, 2006

The title above is the gist of the report from Intralink but, what interested me were the queries used for evaluation (discussed in this “editorial” titled “Which Search Engine is Best?”: they are spatial!

If we’re doing a search engine optimization project for a car dealer in Chicago we need to know how many car dealers are on the first page. The short answer for most search engines is, not many. The directories of car dealers push the actual dealers to the bottom. The same is true of an insurance company in Cincinnati or a real estate agency in San Jose. So we further our research and find other terms that will add up to results and find the holes we can exploit.

Virtually every example cited was a “local” type search. (Google did get high priase there (see last paragraph.)

Why the firm used that sort of query is unclear. Maybe its because of the proliferation of local search services? Maybe its because that’s how many people are using the Web? No matter, hopefully it rekindles efforts to make the Web more spatially savvy!

by Adena Schutzberg on 05/03 at 06:52 AM | Comments | Bookmark and Share

Tuesday, May 02, 2006

It’s important to understand why MapInfo’s performance is crtical to understanding the growth in the location intelligence IT sector because, as a public company whose sole focus is on mapping and location technology, it acts as a bellwether stock for the rest of the industry. And since no other public company’s stock performance is tied directly to location technology, it is hard to compare it to, say, Autodesk or Intergraph.

So, in a conversation with Mark Cattini and Mike Hickey, CEO and COO of MapInfo respectively, I got a clearer picture of why the company’s stock price is somewhat stagnant. Cattini explained that two elements are at play: quarterly per share revenue, adjusted for Generally Accepted Accounting Principles (GAAP) and market capitalization. While non-GAAP revenues show strong growth ($.14 per share), GAAP-adjusted performance ($.11) looks somewhat weaker. The difference in GAAP vs. non-GAAP is in stock compensation, which is a non-cash charge, essentially costs the company nearly $1 Million per quarter in adjusted revenues. The other main factor is in overall market capitalization. As a $200 million company with guidance of roughly 20% growth for the year, the stock doesn’t get much attention from investors. As Cattini explained, MapInfo is not a small company that is catching a wave or a large cap company that has steady growth. Perhaps stuck in the middle, investors may shun the stock looking for other IT sector players and as such may be missing an inflection point perhaps started by Google.

This fact should be noted by anyone connected with the industry looking for this huge uptick in industry growth. It won’t be by enterprise solution providers, like MapInfo, just yet. Investments MapInfo is making in market awareness might be slow to be recognized, notes Hickey. But the company is looking at a long term investment in marketing and sales to drive business. What is noteworthy is that they had 10% organic growth in the quarter; i.e. new business. While that may not seem like a significant number, it is to MapInfo and the three analysts who follow the stock, all of which have issued a BUY rating.

Again, regardless of what you think if its technology or solutions, it is a bellwether for the location technology business. Are other companies experiencing similar growth? Intergraph’s ISD group is laying off people; Autodesk is also experiencing organic growth to license revenue and is speaking with Autodesk a lot of that is due to mapping licenses. But for a "pure play" watch MapInfo and you’ll have a pretty good idea of the growth trends for location technology.

by Joe Francica on 05/02 at 07:07 PM | Comments | Bookmark and Share

Searce Engine Watch blog lets us know that Ask.com now hosts elevation shading maps.  Are they the first free commercial portal site to do so? The elevation data is from GLCF, USDOC, NOAA, NGDC per the citation. The tab is called “physical” and data is only available at small scale (large area) resolution.

by Adena Schutzberg on 05/02 at 04:40 PM | Comments | Bookmark and Share

A great session here at the ESRI Business GeoInfo Summit tackled the use of spatial data to mitigate liability. The first paper by Michael Sullivan of the Liability Management Systems addressed using neural networks to predict how much the manufacturer of a building product (he could not say what) would be likely to pay per census track based on product failures. While in the end he could not tell why the products failed, he could model very well which census tracks were likely to cost money.

Graham Duthie from Anderson (Windows) Corporation followed up with not a story of warranties of windows, but warranties of beach balls. He can’t really talk about windows… The problem was that return rates of beach balls seemed to up in certain areas. Were they really or was it an anomaly? He used some basic state (chi squared, which I’d not seen since college) to tease out the pattern and determine UV activity as the principle issue for failures around the equator.

These seem like straightforward ways to help companies make money/save money – ideally before too many failures. Unfortunately, these ideas, so the experts tell, are not taught in business school and are not widely used in commercial companies.

by Adena Schutzberg on 05/02 at 04:22 PM | Comments | Bookmark and Share

I’m sure this has happened to many of you: someone well meaning hooks up with you and talks careers. You say: “You should talk to x.” Well, a few years ago I hooked up one such person with another acquaintance (it turns out we are all Penn Staters, but from different years) and I learned at the ESRI Business GeoInfo Summit that connection yielded a job with the City of Boston.

On a similar note, I met a very energetic senior from McGill. She’d paid her own way to the event and is still teasing out how she’d like to apply GIS and geography in her career. She’s waiting on hearing from ESRI-DC about a summer internship (note to ESRI-DC: hire her!) but I have no doubt she’ll be presenting at a conference about her work in no time. (Other folks looking for GIS internships might try the non-profit www.eco.org, The Environmental Careers Organization. I got my first job through ECO and can’t say enough about the group.)

by Adena Schutzberg on 05/02 at 04:21 PM | Comments | Bookmark and Share
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