Patch Monday: Amazon’s Vogels: cloud, start-ups, treadmills

The cloud has levelled the playing field for business, says Amazon’s chief technology officer Dr Werner Vogels. Ten years ago, a start-up needed $5 million. Now, Vogels says, it’s “just $50,000 and a coffee shop around the corner”.

Vogels was in Sydney last week for a promotional event for the cloud-based Amazon Web Services (AWS). In a wide-ranging interview for this week’s Patch Monday podcast he discussed the cloud from both a business and a technical perspective, and responded to reports that Amazon may soon open an Australian datacentre and that the Sony PlayStation Network hack was launched from AWS servers.

You can listen below. But it’s probably better for my stats if you listen at ZDNet Australia or subscribe to the RSS feed or subscribe in iTunes.

There is a slight audio problem for the first few minutes of the interview, but it’s worth persisting.

(The conference room tables were rubbing against each other as Vogels moved his hands, elbows on table. It wasn’t very noticeable in the room, but the sound was transmitted mechanically up into the recorder via the tripod it was sitting on. I did notice after a few minutes and fixed things, so you won’t have to endure it for long.)

Please let me know what you think. Comments below. We accept audio comments too. Either Skype to stilgherrian or phone Sydney +61 2 8011 3733.

Talking business information security on BTalk podcast

Yesterday I was the guest on Phil Dobbie’s BTalk podcast at BNet Australia, a CBS Interactive masthead. The topic? Information security for small business.

I covered quite a bit of stuff fairly quickly. The state of anti-banking malware. Virus protection for smartphones. Password management. Encrypting you hard drives. Mandatory data breach notification laws. And more.

You can see the podcast in its written context as a BNet blog post, A Security Breach is Only a Matter of Time. Or you can just listen below.

This podcast is ©2011 CBS Interactive.

PayPal’s incompetent compliance arsehattery

You really have to wonder about PayPal. Every day they seamlessly process a squillion pissy little transactions from countless innumerate trailer-trash. Nice work. Then they ruin their reputation with Kafkaesque requests and oddly incompetent “service”. Like now.

“We need your help resolving an issue with your PayPal account,” they emailed me on 9 May. “We need a little more information regarding your organisation, since your PayPal account is registered as a charity or non-profit.” Huh?

As Gary Stark tweeted just now, “You, a non-profit? While that might not be your intention, it’s probably just about right.” That’s true enough. But I’m certainly not a charity or non-profit, I’m certainly not tax-exempt, and I’ve never claimed to be. I’m not even an “organisation”. And have never claimed to be.

By “a little more information” PayPal means photo ID, another document showing my address, a bank statement linking me to my bank account, confirmation that I’m not not a “politically exposed person”, and “organisation and payment information”, whatever that might be. But I’ve been travelling for the last fortnight and I’m not carrying all this stuff.

They’re also asking for one item I’m going to have trouble with. Proof of my tax-exempt status. For no such thing exists. As Leslie Nassar tweeted, “If you can’t prove you’re not who you’re not saying you aren’t, then no Internet Money for you.”

Back on 10 May I emailed service@paypal.com.au to ask why all this was happening. I told them that I’m an individual doing business as a sole trader, and have never claimed to be anything different. I received no response. Typical. My PayPal account is now “limited”. Which means frozen.

This morning I’ve contacted PayPal’s compliance team by both email and fax.

You are asking me to prove my tax-exempt charitable or non-profit status. Why? I am not tax-exempt, non-profit or charitable, and have never claimed to be. Never. An email to service@paypal.com.au on this matter dated 10 May went unanswered. Why? Your demand for proof of tax-exempt status does not include the option “But I am not!” Why? I do expect written answers to these “Why?” questions.

I’ll let you know what happens next. Meanwhile, do feel free to vent your own frustration at PayPal in the comments. I daresay I’m not alone here.

Priority Club: so far, a frustrating loyalty scheme

Priority Club is a loyalty scheme for hotels including InterContinental, Crowne Plaza, Holiday Inn and others. So far, my experience has been frustrating.

I joined around a year ago because I sometimes stay at Holiday Inn properties. The other day I finally got around to making sure all my previous stays were listed on my account and earning loyalty points. It turns out that most of my stays aren’t eligible. Some loyalty.

First of all, they rejected one stay because it was back in July 2010. “The Terms and Conditions of the Priority Club® program states that adjustments to accounts will not be made more than 60 days after the statement date,” they emailed. Yet their website allows you to go to the effort of entering claims going back a year. And then have them rejected.

“As an additional courtesy to our members, we will try to research stays up to six months past the current date (rather than the statement date) for possible credit,” their email also said. “Unfortunately, the stay in Potts Point, Australia in July 2010 does not fall within these guidelines and is ineligible for credit.”

So it’s either 60 days or 6 months, depending on their… mood? I’m confused.

I emailed Priority Club to say this was… Well, I said, “Gee thanks. That really makes me feel welcome and that it was worth my time doing the paperwork.” Their reply said that the reason the July 2010 stay wasn’t eligible because it was too cheap. “You did not earn credits from the said stay as the room rate was steeply discounted,” the wrote. Indeed, it was a cheap lastminute.com.au Secret Hotel deal, where you only find out the name of the hotel once you’ve booked so their brand doesn’t get publicly associated with cheapness.

In order to get credit for your stay in any of our hotel chains, you must pay a qualifying rate. Qualifying rates include the Corporate Rate/Flex Rate, Best Breaks, Great Rates, AAA Rate, AARP Rate, Government Rates. The rates (including the 21-day advance purchase, weekend web savers and internet saver rate) offer a discount of up to 60% but also carry coding which automatically earns Priority Club credit.

On the other hand, the non-qualifying rates include the Industry Discount, Employee Discount, Internet Rate (third party website or pre-paid channel), Entertainment Rate, etc. Priority Club® Rewards does not issue credit for room rates that are discounted more than 30% off the hotel’s regular room rate.

So there you have it. Now I’m both disappointed and confused. Like who the hell pays full rates for hotels?

A final irritation was the mismatch between Priority Club’s friendly application form and the clumsy bureaucratese of their emails. That’s hardly unique to them, of course. So many businesses only apply the Magic Make-It-Clear-And-Interesting Communications Stick to marketing materials, not their routine workflow communications that customers end up seeing far more frequently. But it didn’t help.

TechLines: Email is dead, what next?

Has email reached its use-by date as a business tool? If so, what next? That topic was explored in the combined ZDNet Australia / Lifehacker Australia TechLines webcast last week. Here’s the 66-minute end product.

If the embedded video doesn’t work, try over here.

Panellists were anthropologist Genevieve Bell, Intel Fellow at Intel Labs; Alistair Rennie, general manager of Lotus Software and WebSphere Portal at IBM’s Software Group; futurist Mark Pesce; and Adele Beachley, who is RIM’s managing director for Australia and New Zealand i.e. from BlackBerry Land. It was hosted by the ABC’s James O’Loghlin.

I was in the audience, invited specifically so I could ask a question. Indeed, I get one in at the end. You’ll see me in the front row with a silver MacBook Pro in my lap.

I found the whole thing fascinating. O’Loghin worked well as a host too, I reckon. But I was wondering why for a webcast we needed the full six-camera broadcast production style. Freemantle Media did a good job, don’t get me wrong. But it’s an expensive way of doing things. Oh well, it wasn’t my money…

Anyway, have a squizz and let me know what you think.