Mobile Start-Up Scanbuy at Digitivity

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Scanbuy New York-based Scanbuy makes software that enables cellphone cameras to read bar-codes, which permits dozens of real-world / internet / geospatial applications (in countries whose cell-infrastructure and wireless culture is more advanced than here). CEO Jonathan Bulkeley spoke at Digitivity yesterday.  Rachel Clarke from Behind the Buzz reports on his comments (Excerpts below: For Rachel's complete write-up, please visit Behind the Buzz):

  • Mobile is the web access device of future. In most of developed world, it already is. In Japan, 90% access web on mobile. Phillippines, no computers, all phones. India is the same.
  • In Japan and other places, use the camera on phone as a navigation device.  See something, point phone at it and get the web.
  • Bar codes can be anywhere - posters, packages, information, products marketing.
  • In Japan, 65% of phones have the software.  In US 70% have cameras (but no software)...
  • In France, one article with bar code sent 30% of traffic to a wap site via the code.  This is moving globally.  Every handset will have the software.
  • In japan, 84% of usage was in magazines.  Read an ad…want to know where the product is selling..scan code, combine with GPS, can send you to places.
  • 47 different functions that the software can perform on the phone. Enter contact details, go to site, send an SMS, launch menus..can do about anything the phone can do.
  • Advertisers can get detailed info: who is scanning (gender, age, income, zipcode), where, what they scanned, when they scanned
  • In US, we are launching pilot in Jan 1 2008, with 5 biggest carriers.

Q: In more advanced countries, are you using ecommerce?  Can you purchase? 

A: Not yet.  but retailers are excited.  they can put barcodes on the product..get product reviews in store.  scan and pay and get it sent.  The store can act as ecommerce.  It will happen in next 3-5 years.

Q: can the tech be tuned to recognise logos and other images? 

A: the cameras are not great and won’t be for a while.  Image recognition is there, but not yet with camera.  We are doing client side decoding, you can do image recognition server side - but complex.  Who decides what an image links to?   

Q: who is the competition and how to you differentiate?

A: there are a bunch of small tech companies worldwide.  We have handset and servers and the background in media..we focus on that.



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Posted first at;
http://deancollinsblog.blogspot.com/2008/07/us-patent-office-rejects-all-ninety.html

Oh Wow breaking news - It's a great freaking day for the EFF :)

U.S. Patent Office Rejects All Ninety Five NeoMedia Patent Claims
http://theponderingprimate.blogspot.com/2008/07/us-patent-office-rejects-all-ninety.html

Hey Streetstylz and all you other Neomedia flunkies - when you read this post think of me :)

This is a really big deal - 95 out of 95 patent claims all rejected, wow this is too cool and has put a smile on my face for the whole weekend.

Wonder what Ogilvy (and others) are thinking backing the wrong 'indirect' technology now. When Neomedia go bankrupt or are countersued out of existence all those marketing campaigns will cease to work and all the time and effort invested will be wasted.

Direct connect 'license free' QR codes are the way to go - paying license fees for a technology that Denso open sourced and made free in the 1990's is just dumb.

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As a licensee of 2 mobile coupon distribution systems we have worked with Gavitec senior management & technical people as our scanner suppliers & I must say that I have found them unfailingly professional in helping us develop mobile couponing campaigns.
We have run 2 national retail mobile coupon campaigns in the past 6 months & the Exio scanners that we imported have worked well.
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What is constraining the mobile marketing industry world wide is the ability to present real tangible results so that commercial decisons on Cost Saving & greater ROI on marketing funds can be used in creating a business case.
Any takesr on an information sharing relationship?
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Talk about schoolboy tactics, I think my remarks here focused on NEOM other then pointing out that the two posters were shareholders of NEOM, who have lied repeatedly and spammed blog after blog. No libel in the truth is there? Funny how your remarks only focused on the individual you have a problem with. You want to tell us what parts of my remarks are inaccurate? Bet the answer is none, and thats why you chose to launch yet another personal attack.

And yup, you and your group been sending these attacks to authorities since late 2005, and I am still here arent I.

Brewskih said:
Hey JP, or is it Houdini today. talk about schoolboy tactics and authorities, have I ever divulged any personal information to you or any one of your cronnies. I mean the kind of illegal information you posted above that is both innacurate and libelous?

Talk about schoolboy tactics, I think my remarks here focused on NEOM other then pointing out that the two posters were shareholders of NEOM, who have lied repeatedly and spammed blog after blog. No libel in the truth is there? Funny how your remarks only focused on the individual you have a problem with. You want to tell us what parts of my remarks are inaccurate? Bet the answer is none, and thats why you chose to launch yet another personal attack.

And yup, you and your group been sending these attacks to authorities since late 2005, and I am still here arent I.

Houdini said:
Interesting that Brewski would be hear smearing the name of NeoMedia and good folks like SwampThing and Streetstylz. The real agenda of Bruce H. is to continue his smear campaign against anyone or anything remotely affiliated with NeoMedia. The reason why is because he unfortunately lost his residence in the Ft. Myers area due to foreclosure and was forced to relocate to Texas. He now blames NeoMedia and its shareholders for his own personal shortcomings. These sort of diminutive, unprovoked and school boyish antics ‘will’ actually backfire on him, as his statements of slander are nothing more than libel defamation. A collection of these and other personal attacks by him have been collected and forwarded to the appropriate authorities, including personal attacks he has made against the owners of NeoMedia.

dlethe01 said:
Roger Fischer (CEO of Kaywa), Antony McGregor Dey (CEO of QMCODES), Jim Levinger (CEO of Nextcode), Mark Hendriksen (MD,Global Sales at UPCODE)...have also promoted their own company on different blogs.

Outside of Asia, there are many Physical World Connection companies (Beetag, Shotcode, Nextcode, Scanbuy,...) which are using proprietary barcode . RAPT and Movistar (Telefónica Móviles)...are using Scanbuy's Ezcode (proprietary code). Shotcode is not using open standard barcode but the downloads of Shotcode reader have exceeded the 400,000.
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http://www.adambird.com/2007/06/limitless-applications-of-non-p2p.html
http://dlethe01.quebecblogue.com/2007/02/05/code-aztec-mobile-ticketing/

Outside of Japan and Korea, there are not many successfull Mobile Barcode Scanning campaigns.
Nextcode is having "some success" in the Philippines because Nextcode has partnered with Smart, a Philippines operator.
http://www.clickz.com/showPage.html?page=3625619
I have done my reasearch on Google but I still can't find the revenue on that campaign. Please show us a successful Mobile Barcode Scanning campaign and tell us how much revenue do they get from that campaign? Scanbuy, UPCODE, Beetag, Nextcode, Kaywa, Semacode...are private companies. Where and how can you find their financial results?

Gavitec has partnered with many major companies (HP, Unisys SITA, IATA, Vodafone, Siemens Business Services,...). Gavitec's Lavasphere is the key component of HP's Glass reader (Activeprint project). Gavitec has a strong partnership with HP. That's probably the reason why HP and Gavitec decided to create the MC2 in January 2007.

In 2003, Gavitec won the Ericsson Mobile Application Award, the so-called "Oscar" of the mobile industry, in the category "Best Enterprise Application". In 2005, the Royal Television Society (RTS) awarded Gavitec’s Lavasphere technology in various categories.
http://www.mobiledigit.com/86.html?&tx_ttnews[tt_news]=223&tx_ttnews[backPid]=17&cHash=7441eacb33

McDonald's Portugal is using Mobile Couponing from TopSolutions and Gavitec. McDonald's Germany is testing Mobile Couponing from Xsmart and Gavitec.

Gavitec's Mobile Ticketing is being using by many companies around the world. Gavitec and Mobiqa are probably the world leaders in Mobile Ticketing (2d barcode technology)...

The Mobile Ticketing industry is still young:
"Only four fans used the service over the weekend at Space Coast Stadium in Viera, Fla., where the Nationals are in spring training."
http://www.mobiqa.com/images//washington%20times.pdf

brewskih said:
Henry
I don't think anyone can state they are an expert, especially when it comes to NEOM. Your two responses are from NEOM shareholders, who continuously travel to all the blogs mentioning bar coding, and spam them with misinformation regarding NEOM.

Neom patented a proprietory process using bar codes, which requires that a cell phone user first be directed to their data bases, where the unique identifier embedded into a bar code, is then matched to a URL and then sent to the users cell phone. Unlike the open source Data Matrix and QR codes, which contain the URL directly embedded into the bar code, thus not utilizing NEOM's patented IP process.

And what these posters didn't mention is that the USPTO is as we speak, going through the re-exam process of NEOMs patents, at the request of the EFF who filed an application for reexam, which was accepted in late July.

They also dont tell you that NEOREADER is still not available for consumer use or download. The only reader available for download from NEOM at this time is their QODE reader which only reads one 2D barcode, the AZTEC code, which is not widely used like the Data matrix or QR codes are.

The PR that Streetstylz is quoting the release from, was an announcement for an in house reader developed for a specific marketer, to aid them in controlling where they place billboards etc.

And if you do some research on bar code reader companies, you will also find that Gavitecs solution, is not one of the major solutions in use today in the world wide markets, and their revenue of under 1/2 million a quarter is further proof that they are not a dominant player in the bar code reader markets world wide. A simple search of bar code readers on google, will show you many companies that sell bar code reading hardware, whose revenue dwarfs Gavitecs.

streetstylz said:
Thank you for your coverage of the mobile code reading space.

We are NeoMedia Technologies and we are the global leader in camera-initiated transactions for mobile devices. From RFID and optically initiated wireless transactions to the digital processing of mobile financial transactions, NeoMedia provides reliable high-volume solutions for the processing of universal optical codes and related content for mobile devices. NeoMedia's international office is located in Aachen, Germany. This office, Gavitec AG - mobile digit, is the leading provider of mobile technologies and marketing solutions offering mobile enterprise applications and hardware devices for mobile ticketing and coupon transactions.

NeoMedia and Gavitec are active members of the Mobile Codes Consortium with technology leader HP, marketing powerhouse and advertising agency Publicis Groupe, cell phone manufacturer Nokia, along with wireless carriers O2, Deutsche Telekom (T-Mobile), and KPN.

http://www.mobilecodes.org/

We are also activity involved with Sprint who is using our mobile code-reading technology here in the US.

Gavitec AG - mobile digit, the leading provider of mobile technologies and marketing solutions and a NeoMedia wholly owned subsidiary has made tremendous strides in Europe with mobile ticketing and mobile coupons. Gavitec is a strategic partner of the International Air Transport Association (IATA) and they have partnered with equipment provider TopSolutions to equip Lusomundo, Portugal's leading cinema chain, with admission terminals for mobile tickets that allow movie-goers to obtain tickets through a cash-free Web-based transaction, and receive an electronic ticket as an SMS on their mobile phones. Gavitec also secured a field trial with McDonalds's of Germany for use of its EXIO platform for monetization of mobile coupons at 22 stores across the country. This trial, if successful, will lead to the installation of EXIO's at over 2,000 stores.

We are also proud to announce the NeoReader as a universal code reader based off the award winning Lavasphere technology developed in Germany by Gavitec. The NeoReader reads all common non-proprietary 2D codes (Data Matrix, QR, and Aztec) as well as URL embedded 2D codes and all 1D UPC open source codes. This allows the NeoReader user to click on a variety of codes with a single application installed.

All back by our suite of twelve issued patents covering the core concepts behind our techniques for linking the physical world to the electronic world via 1D & 2D Barcodes, RF/ID, Mag Stripe, Voice, and other machine readable and keyed entry identifiers.

http://www.qode.com/en/patents.jsp

Thank you again for supporting the mobile code reading space. We look forward to a great end to 2007 and can't wait for 2008 and beyond.


Best regards,
Sean

Henry Blodget said:
Thanks. Had not heard of NeoMedia (and am not an expert on this business). Feel free to send court docs, background, etc. We'll follow up with Scanbuy at some point.

Swampthing said:
Hey Henry,

I was wondering if there was any research done on Scanbuy prior to your article that was posted?

If there was you would know that there is a compnay called Neomedia Technologies. You would also know that they are currently in litigation with Scanbuy.

Rightfully so, it should be noted that Neomedia holds the key to 'one click' mobile device interactions from 1D, 2D, QR, data matirix, LOGOS, keywords (like the PR'd agreement between Sprint and Microsoft the other day), slogans, billboards, RFID, etc.

So, where does this leave Scanbuy? IMO, hopefully licensing with the rest.

The consumer will have everything in the NeoReader.

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