Author Archives: Mike Hofman

About Mike Hofman:

Mike Hofman is the editor of Inc.com and a deputy editor at Inc. magazine, which he joined in 1996. The site was nominated for a National Magazine Award for Digital Media in 2010, and was named the best business website by Folio Magazine. In 2006, Hofman was part of a team of writers nominated for a Webby Award for best business blog. He lives in New York City.

Creating Apps to Fuel Growth

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In 2009, Jason Toews and Dustin Coupal realized that their site’s limitations could be corrected with a series of mobile apps. So the company launched Android and iPhone apps later that year, and they were instantly popular. The price of gas has been gyrating a lot lately, to the consternation of consumers and corporate bean counters alike. One entrepreneurial company that doesn’t mind the volatility is GasBuddy.com. Through a suite of apps and a website, the business gathers and publishes user-generated information on gas prices on a block-by-block basis. READ MORE »

Report: Microsoft to Buy Skype

Update: Kara Swisher of AllThingsDigital reports that Microsoft has closed a deal to buy Skype, the voice over Internet protocol phone service.  Skype’s valuation is said to be as much as $8.5 billion, according to the Wall Street Journal. Officials from neither company would comment; Swisher reports a deal will be announced Tuesday morning. READ MORE »

Bin Laden News Galvanizes the Web

The death of terrorist Osama Bin Laden, announced by President Barack Obama from the White House at roughly 11 p.m. on Sunday evening, galvanized the Internet as few stories have. READ MORE »

Defending Amazon’s Downtime

Many critics are still castigating Amazon Web Services, after an outage last week hobbled sites ranging from Reddit to Hootsuite to Foursquare. A guest post on Brad Feld’s blog, Feld Thoughts, calls for cooler heads to prevail. (Of course, the writer has an agenda.) READ MORE »

Apple: The Worst Product Design Ever?

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There’s a fun conversation happening on Quora about the worst product design of all time. The nominees include such ubiquitous products as umbrellas, bras, cigarettes, PT Cruisers, sofa beds, and that infamous Florida butterfly ballot. And from the annals of tech, come several celebrated flops—including one from those design geniuses in Cupertino. READ MORE »

Facebook to Launch Deals in 5 Cities

In a move that brings the world’s dominant social network into direct competition with the daily-deal juggernaut Groupon, Facebook will launch a new “Deals” program in Atlanta, Austin, Dallas, San Diego, and San Francisco. READ MORE »

Joi Ito to Head MIT Media Lab

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The MIT Media Lab, arguably the nation’s most prestigious technology incubator, will be run by Joichi “Joi” Ito, the well-known Japanese-born entrepreneur and investor. Among other credentials, Ito in the 1990s founded Japan’s first Internet service provider as well as the country’s first search engine. He later co-founded Creative Commons, a group focused on the democratization of intellectual property around the world, and served on the board of Mozilla, the foundation that nurtured Firefox, the open-source web browser.A seasoned investor, Ito has helped to finance such élite tech companies as Twitter, Flickr, Kickstarter, Six Apart, and Last.fm. READ MORE »

Netflix Tops 23 Million Subscribers

Netflix, the video-streaming service, released its first quarter earnings on Monday. As TechCrunch notes in its write-up, “Depending on how many subscribers Comcast reports this quarter, Netflix might surpass it to become the largest entertainment subscription business in the U.S.” The company added 3.6 million total subscribers for the quarter, with 3.3 million of them coming from within the U.S. (That’s a bit more than the total population of Iowa.) In all, the company’s subscriber base has grown by almost 70 percent in the past year, CNNMoney reports. READ MORE »

Online Dry Cleaner Tries to Go National

Most of the buzz in dry cleaning today centers on big fish from other industries’ ponds. But dry cleaning veterans like Siamak Ghazvini also want to transform the business. Ghazvini, 42, has run a popular dry cleaner in the heart of Silicon Valley for seven years. “The #1 thing is that we’re not new to this industry,” he boasts. Three years ago Ghazvini was running a traditional seven-store dry cleaning chain based in Redwood City, Calif. He eventually added pickup and delivery services for his high-flying, high-maintenance clientele. In 1999, Ghazvini and his brother, Payman Rafii, started SiliconValleyCleaners.com to offer customers the ability to request dry cleaning services on the Web. “It’s a convenient way of keeping in touch with sophisticated customers,” he says. Now Ghazvini has completed a new business plan to take his Bay Area concept national. He calls the company AmeriCleaners.com and hopes to create a 1-800-Flowers-like network of independent dry cleaners by providing them a national brand and technology infrastructure. Ghazvini claims to have lined up 20 partner operations to form a network from Los Angeles to San Francisco and has even signed on a few partners in other cities, like Atlanta and New York. Customers will submit dry cleaning orders on the Web, and AmeriCleaners will forward the lead to the closest cleaner in its network. That shop will then pick up, launder, and return the garments within 36 hours. “We believe that dry cleaning is a very local business and should be operated locally,” Ghazvini explains. “All we’ll do is maintain the portal and provide expertise to dry cleaners on how their customers behave online.” Ghazvini says he’ll promote the AmeriCleaners brand name heavily, although at this point his funding includes no outside investors. But Ghazvini remains confident. A bunch of dilettantes invading his turf, he says, are no match for his years of toil in a brutal industry in one of the most demanding consumer markets in the country. “You know what happens to those big-hype companies,” he scoffs. “They deflate like a balloon.” Copyright © 2001 G+J USA Publishing

A Network EKG

Techniques: Microcases Infrastructure Problem: Stalled Web site, crashing E-mail Solution: Software that monitors an entire network Payoff: Faster troubleshooting, less downtime When the network goes down even briefly at Homebytes.com, CEO David Clark considers it a disaster — for his customers and his employees. Homebytes, a $2.5-million start-up in Richmond, Va., provides a portal for homeowners to list their for-sale properties on various real estate Web sites. The 150-employee organization maintains a wide area network linking more than 100 machines in Texas, Washington, D.C., and California, as well as Richmond. Since Homebytes’ site is the primary way customers come to the company, hiccups in the site’s service can drive away potential business. And if the E-mail system fails, Clark’s employees feel hamstrung, unable to do their work. At one point during the company’s two-year existence, it wasn’t unusual for the Web site to crash more than once a week. In recent months, a bigger problem has been keeping the company’s E-mail system up and running. “About two months ago our E-mail went down for an afternoon,” recalls Clark. “Not only was I frustrated by my own inability to get things done, but I was presented with employees’ wanting to take the rest of the day off because they felt they were spinning their wheels sitting at their desks without E-mail. I told my tech people that in the future I wanted to know that a problem was going to happen before it happened.” The person who fielded Clark’s directive was Rich Mulrain, a network engineer. A friend suggested that Mulrain take a look at a new software application designed to monitor network performance. The software, which sells under the clunky name WhatsUp Gold, is made by Ipswitch Inc., in Lexington, Mass. Every 60 seconds the software polls all the machines that make up a company’s network. If a server or a router fails to respond adequately, the software alerts network administrators to the location and nature of the problem. The warning can come by E-mail or beeper, depending on which systems are functioning. “WhatsUp paints a picture of what my network looks like,” Mulrain explains. “I can use that picture to monitor everything, and when something goes down, our response is faster.” When Mulrain installed the software, in July, his grandest desire was to arrange an E-mail-notification protocol that would prioritize which information-systems staffers would be notified — and in what order — if part of the network failed. Using this system, he assigned a point person for each device. When trouble occurs in a particular device, the system quickly alerts the point person assigned to it as well as the company’s help desk, so they can anticipate incoming complaints. The system also warns other technicians that the network is malfunctioning. “When we know where problems are minute by minute, we can call up the person who owns that device and say, ‘We see that you have this situation over there,” Mulrain says. “It gives us control.” Mulrain can also track mishaps that occur on the off-site servers that host some of the company’s data. “We know if our Web site is down before our ISP does,” he says. “In fact, we can call them and tell them when there’s something wrong in their building.” That remote-monitoring functionality is particularly helpful in documenting the level of service Homebytes receives from its vendors. “We can verify if they’re complying with service-level agreements or not,” he says. CEO Clark is very relieved that Mulrain’s research turned up the Ipswitch software. And he’s especially happy that the program cost only about $1,000 — significantly less than other, older network-monitoring software sold by the likes of Computer Associates and Hewlett-Packard. But for Clark the most important thing is that his IS team can now respond much faster to potential problems. “We can’t afford to lose any network time,” he explains. “If our Web site is down for only a few minutes while customers are inputting their personal information into our site, their confidence in us wavers. That can create the reputation that your technology is not so solid — and that’s my greatest concern.” Please e-mail your comments to editors@inc.com.