Amazon terminates Colorado based associates over new taxes
Greetings readers!
Like any Monday morning, I woke up with a feeling of dread about the day and I didn't even have to be awake 5 minutes to know why. When I checked my e-mail this morning, I found that I had received an e-mail from Amazon regarding my affiliate account. As of today, my Amazon affiliate account has been terminated as well as every other Amazon affiliate based in Colorado. Why have our accounts been terminated? The idiots in our state legislature just passed a law for taxing online sales. Our governor can't ride a bike without nearly getting himself killed, how in the world did we think he was smart enough to run the state?! Anyway, below is the full statement I received from Amazon in my e-mail this morning.
Dear Colorado-based Amazon Associate:
We are writing from the Amazon Associates Program to inform you that the Colorado government recently enacted a law to impose sales tax regulations on online retailers. The regulations are burdensome and no other state has similar rules. The new regulations do not require online retailers to collect sales tax. Instead, they are clearly intended to increase the compliance burden to a point where online retailers will be induced to "voluntarily" collect Colorado sales tax -- a course we won't take.
We and many others strongly opposed this legislation, known as HB 10-1193, but it was enacted anyway. Regrettably, as a result of the new law, we have decided to stop advertising through Associates based in Colorado. We plan to continue to sell to Colorado residents, however, and will advertise through other channels, including through Associates based in other states.
There is a right way for Colorado to pursue its revenue goals, but this new law is a wrong way. As we repeatedly communicated to Colorado legislators, including those who sponsored and supported the new law, we are not opposed to collecting sales tax within a constitutionally-permissible system applied even-handedly. The US Supreme Court has defined what would be constitutional, and if Colorado would repeal the current law or follow the constitutional approach to collection, we would welcome the opportunity to reinstate Colorado-based Associates.
You may express your views of Colorado's new law to members of the General Assembly and to Governor Ritter, who signed the bill.
Your Associates account has been closed as of March 8, 2010, and we will no longer pay advertising fees for customers you refer to Amazon.com after that date. Please be assured that all qualifying advertising fees earned prior to March 8, 2010, will be processed and paid in accordance with our regular payment schedule. Based on your account closure date of March 8, any final payments will be paid by May 31, 2010.
We have enjoyed working with you and other Colorado-based participants in the Amazon Associates Program, and wish you all the best in your future.
Best Regards,The Amazon Associates Team
If you live in Colorado, please contact the elected morons that pushed this through and tell them to repeal it!
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The secret to netbook success: Battery life!
Netbooks have been the hot item now for quite a while but the latest numbers out are showing a slowing in growth for netbook sales. While taking a quarter of the mobile computing market is impressive, if manufactures and retailers want to continue to ship these low margin products, they must focus on one thing, battery life.
For years, the biggest problem with that has faced the road warrior is battery life or lack of it on most laptops. On the average laptop, you are usually lucky if you see 2 1/2 hours of real world use on the battery. If you are using a gaming laptop like I do on occasion, you jump for joy if you hit an hour of average use when on your battery. Luckily, netbooks have hit the big time and they tend to have great battery life (in comparison). With most netbooks having nearly identical specs (screen size, processor, ram, ect.), the best way to market a product like this is with battery life. One of the things that often sets one netbook apart from another netbook (aside from the brand) is the size of the battery. Most netbooks have either 3 or 6 cell batteries. For many netbooks, a 3-cell battery will maybe get you 3 hours on a good day whereas I have seen the 6-cell in my Acer Aspire One go in the neighborhood of 7 hours. I have even seen advertisements for netbook battery life above 10 hours, but I never trust advertised battery life, which is a real problem for manufactures.
When most manufactures advertise battery life, they generally state the absolute most you will see and they do everything they can to achieve a higher number. Most manufactures use every trick they can come up with from turning the screen brightness as low as it will go to turning off the wifi all in the name of a higher battery life claim. It has become such a problem that most people don't even pay attention to advertised battery life and instead look for reviews from others that can give them an idea of what they will see in the real world. This is a problem that manufactures must shake off. There are two ways that they can do this, just advertise real world numbers (the honest way), or at least put the real world expectation of battery life next to the best possible battery life so that consumers have a better idea of what they are getting. Once you have some sort of honest way of reporting the battery life, then it is time to advertise it.
With most laptop owners yearning for more battery life, that is what manufactures should be targeting. I honestly don't expect to see netbooks get much cheaper in the near future so instead of trying to argue price, argue battery life. Full size laptops can be found pretty cheap these days so you need to give people a better reason than $100 difference to go with a netbook instead of a full size laptop and the battery life is where you can sell the product. While it will certainly have an effect on the sale of full size laptops which are a larger margin product, that is a good thing for a couple of reasons. One, it will help laptop manufactures to strive for better battery life which has desperately been needed for many years and two, you can still promote a full size laptop as doing much more than a netbook can do with much less hassle. While netbooks are easier to carry around, it is much more of a hassle to get the software you want installed on them and they aren't really made for doing any heavy computing like trying to edit some images, video or even crank out some code with a nice IDE like Visual Studio or Eclipse. Also, laptops hold much larger amounts of memory which is also a big selling point. If you push these points, it won't hurt sales as much as you think it might.
In the end, I believe both products can thrive in their own markets with the right marketing but you must market the features that matter most, especially when you have little to differentiate yourself from your competition.
Microsoft finally advertises its biggest advantage over the iPod, cost
Greetings Readers!
Microsoft has unveiled their latest attack on Apple, but this time it doesn't involve anybody going to a retail store and purchasing a laptop. This time Microsoft is setting its sights on the iPod. The latest commercial attacks Apple for not having a subscription service on iTunes for music downloads. Without a subscription service, they claim it will cost $30,000 to fill a 120GB iPod with mp3s. Microsoft's Zune on the other hand, has an unlimited music service that is $15/mo for unlimited music downloads. It would take over 166 years of a Zune Pass subscription to equal what it would cost if you were to fill a 120GB iPod from iTunes. I believe that this is a great move from Microsoft. When you talk saving money during hard economic times, people are going to listen. Much like the Windows ads, I think that they can do the most damage to Apple if they push the issue of cost.
Of course the commercial doesn't give you the whole story, otherwise you might not be compelled to switch. All music downloaded with a Zune Pass comes with that dreaded DRM garbage that the rest of the world is moving away from. Without the pass, you can get DRM free music but not with it. The subscription has DRM so that you continue to subscribe to the Zune Pass. If you don't keep your subscription renewed, you will end up with a bunch of music that won't play. That is the downside of the Zune Pass. You get to keep 10 songs a month I believe for free but everything else will die if you don't renew. Microsoft paints a pretty picture with the commercial, but everything has a downside and this is one they hope you won't notice. Of course you could crack the DRM and eliminate that downside, but that is not legal. As much as my pirate nature would like to share information with you on how to do that, I am not looking to piss off Microsoft, especially when I have the desire to work for them at some point. Anyway, below is the new Zune ad that attacks the idea that it would cost $30,000 to fill an iPod.
Ads on School Tests?! Are you kidding me?
Greetings Readers!
Normally I try to stick strictly to technology topics for this blog, but today is a bit different. In all of my podcasts and blogs, I typically cover all kinds of media, entertainment, and technology news, and while this blog mainly focuses on the tech end of that, today I want to rant about a media topic, in this particular case, advertising gone too far. Earlier today, Slashdot pointed me to a story from the USA Today about a teacher by the name of Tom Farber at a San Diego high school who is selling advertising space on his tests.
Mr. Farber says that his annual copy budget is $316 (the district cut the teacher's supply budget by nearly 1/3) and yet he uses $500 worth of paper for the tests he gives out. What does he decide to do to help feed his copy budget? Sell advertising! Mr. Farber sells advertising on his tests at the rates of $10 an ad for a quiz, $20 for a chapter test and $30 for advertising on a final. He also says that 2/3 of the advertisers are the parents of the students, hoping to give their kids some encouragement while the rest is local businesses.
Maybe its just me, but this seems like a bad idea. While I will admit this is some clever thinking by the teacher to help save him from trying to have to pay money to make test copies for his students, students shouldn't have to be bombarded with advertising while they are trying to focus on a test. Personally, I don't want to start thinking about food in the middle of a test because I see an advertisement on the page for a local burger joint. With U.S. students already lagging behind much of the rest of the civilized world in education, we don't need any help being distracted from getting an education.
While I don't mind advertising in schools, I think it should be on places such as the bulletin board in the hall or in student newspapers and even bathrooms, but not in tests. There is a time and place for everything, and a test is not the place for advertising. I don't even see how tests could be an effective form of marketing. Do you really want you business to be associated with that test that little Johnny failed? I know I wouldn't!
Mr. Farber and teachers all around the country need to think a little harder on this. If you want to use advertising, do it in a more appropriate manner. Better yet, if you don't want such a huge copy bill, try going paperless! Many schools around the country are going paperless, many giving students a laptop on which they can do their work. Whether you give students a laptop on which to work or take them to a computer lab to take their tests, there are better ways to keep from suffering the sting of a small copy budget than having to sell advertising on tests. If nothing else, at least give the students a minute or two before each test to whiteout the advertisements if they think they will be distracted by them. These are just a some ideas for ways to adjust to your budget.
I hope this idea doesn't catch on around the country as it would be a bad sign for the continued deterioration of our educational system. I don't hate advertising (well, sometimes I do), but there are some things that just shouldn't be used as an advertising medium.
-Jeremy "pcnerd37" Bray