Head of the Atlanta Federal Reserve confirms Higher Unemployment Numbers

Real US unemployment rate at 16% by the head of the Atlanta Federal Reserve - As we await the local unemployment fiures which should come out today, I found the above story on Breitbart where the head of the Federal Reserve in Atlanta basically credits the U-6 unemployment number is correct.

Here is a quote on manufacturing from this article - Prior to the recession, he said, construction and manufacturing combined accounted for slightly more than 15 percent of employment. But during the recession, their job losses made up more than 40 percent of all US job losses. Here is a quote on Manufacturing from the same report -

"In my view, it is unlikely that we will see a return of jobs lost in certain sectors, such as manufacturing," he said.

As I have stated before. If we extrapolate this 16% actual National Unemployment Rate versus the reported 9.4% reported number and we carry that multiple out with our own reported 15.5% Hickory Metro Unemployment number, then we come up with am Unemployment rate of 26.38%.

The Head of the Federal Reserve (THE Decision Maker for Economic Activity in the Southeast) in Atlanta is telling us that 40% of all job losses came from the manufacturing sector. This should show our local officials and citizens that these jobs are not coming back and we are going to have to find something else to rebuild our economy on. It is time that our local leaders preach this from the pulpit to the masses, because I don't believe the Average Joe around here is wrapping their arms around this concept. We have to change our economy or we will always have these high unemployment numbers.

We have to build an economy, not based on desire, but based in reality. I believe in the long run that we are going to have to produce something in this country, but that will not come until this economy has completely bottomed out, which may be years with the lack of leadership we have seen throughout much of the country. What the Atlanta Head of the Fed is telling us, is that they aren't even worried about fighting for the manufacturing sector. They have thrown in the towel. We need to look towards what has been done in Texas. I truly believe that we will have to fix the economy, not in partnership with the government, but in spite it. Government is presenting obstacles, not solutions!!!

From the Charlotte Observer - Friday Afternoon 8/28/2009 - Jobless rates fall in most area counties
Catawba: 14.9 percent, down 0.6
This is good news, but how much of this is due to people's benefits running out. Also, a Jobless recovery is not a recovery. We are not in a recovery until businesses start hiring and unemployment gets significantly better, as in less than 10%.

Street Names, Wayfinding, and the Status Quo

Over the last year I have come to a much greater understanding of the nuances of this city. In many ways the more questions I ask; the more questions that it leads to. While in many ways that reflection has made me more anxious, it also makes me realize that the status quo cannot stand. We have to start addressing the issues that face this city sooner rather than later.

I remember going to the Hickory Daily Record website late last year and reading a message from Jay Adams about naming the streets. I have heard this issue stated many times before by people and my thoughts were that I was against it. I grew up here and I haven't ever had a problem getting around this city. But maybe there in lies a problem. I haven't wanted to change our street identification system, because it is something that I have grown accustomed to.

During the first Future Economy Council meeting back in March, I listened to some of the issues that Jay addressed and I was literally shocked. I agreed with much of what Jay was saying and I had always thought that we were polar opposites from reading his quotes in the HDR. In particular, he made one statement I profoundly agreed with when talking about the current economic mindset of this community…

(summarizing) over the last nine years we have become lean and that has in many ways put us in a strong position, but we have also adapted down and become accepting of this extreme level of cost containment at the expense of growth.

At the end of that meeting, Jay came up to me and introduced himself and said he thought it was great that we were going to be on the same team for once. I agreed and we set up a meeting where we got together and vetted where we agree and disagree. That subsequent meeting ended up lasting for 4 hours.

What I told Jay, and tell most everyone else around here involved in these processes of Hickory's evolutionary development, is that we need to realize that we come at these issues from an principle of 80% agreement. We need to realize that and address the issues that we agree on first and figure out where we can compromise on the other issues where we don't agree. The issues where we hold vehement disagreements need to be resolved last. And when the public chooses which path to take on those areas where we are so different, then we need to live with the results and move on without holding grudges. I truly believe that in the past this community has gotten stuck in those areas where we have firm disagreements and thus let real issues rot and decay, because of the contentiousness over these issues.

Getting back to the Street Identification issue. I have reflected more on this issue and it is because of Jay. This is one of Jay's pet issues and I have to admit that after listening to him that he has moved me on the issue. As I have said, the current grid system works for me. But, is it worth getting locked into? Do I have a right to tell people that it works for me, so tough if it doesn't work for you?

We have all anecdotally dealt with trying to give people directions to get around the city. We have all heard horror stories associated with people getting around the city. Let's be realistic, we know that we have a bad reputation associated with our Street identification system. It is all over the internet. That is a problem and it is time that we face it. It is a big negative when trying to market this city for people to be talking about our city in the manner above. It is hard to quantify, but if you carry the above consequences out, then you can't help but come to the conclusion that it is hurting our property values and our economy, because people don't want to deal with it.

This is the number one reason why I have changed my mind on this issue. After further reflection and honestly listening to Jay, I do see where he is coming from. Jay (ACRES) markets and sells Real Estate. It diminishes and devalues the local Real Estate marketplace, whether right or wrong, when people say it is impossible (some say a nightmare) to get around Hickory. As for us, who are used to the grid system, it isn't about us. It is about people visiting the city, it's about potential new residents, it's about new customers, it's about people being able to efficiently get from point A to point B, and it's about not having to have those excruciatingly tough phone calls telling people how to get to your location. The best thing is that there is a compromise.

I heard Mandy Pitts on WHKY this morning addressing the Wayfinding issue. Last year and earlier this year, the Issue was addressed at two Council Meetings and in several Focus Groups. The issue was first addressed at the City Council Meeting of October 7, 2009. In that meeting Assistant City Manager Andrea Surratt addressed the council. She said that this subject was first brought to atention at the February 2008 retreat. She thoroughly discussed the issue as a way of reducing sign clutter, projecting community image, projecting consistency, and safety.

Here is a link to a wayfinding system in New York City. Wayfinding in NYC

As I stated at the time, if this project is developed in such a way to help businesses and organizations in every quadrant of our city, then I think it will be a wonderful thing. It would be a great benefit to the small businesses interspersed throughout our city. It also would collaterally help businesses near those destinations. So I really do think that this will be a great project for 21st century Hickory, if the focus is right.

The City did move forward on this plan, and at the City Council meeting on January 20, 2009 Ms Surratt made another presentation. this time a Contract was approved with Frazier Associates for Professional Services for the Wayfinding and Branding Project not to Exceed $73,850. You can follow the link above, but there was much debate about this issue. Here is a summarization of that debate:

Mr. Lail believes that this idea is excellent, but he had questions about the cost of the contract with Frazier and he also wondered aloud about the possibilities of finding a local firm to do this. Ms. Hoyle had questions about the timing of this expenditure during these uncertain economic times. Mr. Meisner asked if there was any way to pare this plan down. The Mayor, Mrs. Fox, and Mrs. Patton seemed to feel that it was time to move forward on this issue, because of aesthetics, mapping, and long-range planning. The deciding vote was 4-3 with the Mayor, Fox, Patton, and Seaver For and Lail, Hoyle, and Meisner against.

Here was the Hounds take:

I am 50-50 on this issue at the current time. I think that this needs to be done, but wonder about the timing during current circumstances. I can understand where both sides are coming from. It is hard to justify an expenditure, like this, at this point in time; but we really do need to work on the "Brand Identity" of this town. Go ahead and get this study done so that we can have a system and then we need to incrementally put it in place.

The major expense is going to be sign implementation. I also wondered, like Brad, whether it was smart to move ahead when the issue of Hickory by Choice is being readdressed by Studio Cascade during the same time frame. But, as Harry Hipps pointed out to me, "This stage is about art. It is about creating a logo. Studio Cascade's plan will come into play during the implementation phase when the signs are actually being placed. That has nothing to do with what the signs look like."

Harry Hipps participated in the focus group study of this issue and submitted an article on the Hound entitled - WAYFINDING - TRAFFIC AND GOVERNMENT. He had some very valid points in that article. He stated that this process could have been handled differently. He stated, "This is tailor made for citizen involvement."

First, we don't need a lot of interviews to determine what entities need a sign... Secondly, we will need different types of signs... so we know what we need as far as types of signs from this. Finally, the design of the logo itself, the colors, the images, etc...

What an opportunity this presents for citizen input. We could have a contest for someone to come up with the design. Local school art classes may be interested in trying out, graphic arts students at local colleges may want to try to be the winner so it would be a Resume enhancement for them. Local advertising agencies may try so they could get some bragging rights. Many people could then be focused on Hickory's image and what we are about and what we want to present to people. The artwork submissions could be submitted to a committee comprised of residents from our arts, engineering, academic, and other areas to narrow down the choices to be voted on by Council. This would generate more than artwork, it would generate participation in a City enterprise that is directly involved in defining who we are and what we want to be in this world.

When Council meets, few people attend or seem to care. It's a shame that participation and interest is so low. I think it is incumbent on the City government to do what it can to try to spark some interest from citizens and get us all working together for our common good. This would have been an opportunity to think outside the box.

I am glad that Mandy addressed the Wayfinding issue this morning, because I was starting to wonder what was going on. She said that a new logo has been developed that had several residents involved in its design. She also said that we are at the beginning of the process and there are still several steps left in the process. She said that the DOT still has to approve the design of many of the Wayfinding signs. She also reiterated that the project is being funded by the City Parking Fund, which was initially initiated to fund a new parking deck downtown.

The Hound hopes that the Wayfinding issue and Hickory By Choice are being tied in together. I also think this would be an opportune time to tie the Street Identification system in with this process. I liked Harry's proposal to get citizen's involved in the artistry and implementation of the Wayfinding system. I hope this happens where possible. In coming to the conclusion that it is time to start naming our streets, what better way to do that than to allow the citizens to name the streets and be integrally involved in the process.

If this were allowed to happen, then the Local Neighborhood Associations could begin working on the name Identifications of streets in their neighborhood or ward. We could have Naming Contests or sell Naming Rights to some streets to raise revenues. What I am proposing isn't a revolutionary, overnight adjustment; but rather an evolutionary, gradual compromise. We would still have the grid system, but we could put caps on the top of the old street signs with their new names on them. As the street signs aged and were replace, the old street signs would be replaced by signs with their new street name on them and would have the block number and city quadrant at the edge of the sign.

One thing that everyone has seen, over time, is that as our City has been further developed, the grid system has become more and more convoluted. "Street-Drive-Circle NE" obviously ain't working folks. I have heard that GPS Systems (like Tom-Tom) have a lot of trouble with their database when it comes to Hickory's Street Identification System. Let's move past the status quo and do something that I have come to the realization most of the people in this community want. Why fight it? Is it really worth fighting to hold onto the grid system, when so many people and so much evidence is pointing against it. Why be stubborn? Let's make the change. What do y'all think?

The Cruising on Hwy 70 Issue - I like this Kid's Moxy

Aaron Scott is a rising junior at Lenoir-Rhyne University. He contacted me a couple of weeks ago to begin a discussion about the Cruising issue, out on Highway 70, that takes place on Friday and Saturday Nights. I have been aware that this has been happening for years, but I do not understand the inner workings of what is taking place.

Aaron told me that what drew him to contact me was the fact that I have shown interest in the plight of the young people in our community. I don't think he will mind me sharing these words:

"Well over the summer I have been talking with citizens out in Hickory about trying to stop the cruise weekends on US-70 primarily ran by teenagers. I want to bring them off of the road and allow the local government to invest in businesses to revive them and offer new costumers. If you would please take the time to look over the two attachments I have sent you, and please give me some advice. I believe what you wrote in that article really gave me a confidence boost about stepping up to the plate to offer new ideas. When you view what the city of Hickory has been doing, I think of a Nicholas Machiavelli quote, "I do not wish to preserve the status quo; I want to overthrow it." If we fail to realize we must look forward, and keep our eyes down field, we will fall victim to old habits and customs. "If you ignore history and its teachings, you will fall victim of it."

I met Aaron last week at the Hickory City Council meeting and had an excellent conversation with him after the meeting. I explained to him that I don't think it is the City of Hickory's role to invest in businesses to provide a marketplace for these kids. I believe that these kids just being alive creates a marketplace of opportunities that aren't being taken advantage of.

I agree with his assertion that it is dangerous to have kids out riding up and down HWY 70 at all hours of the night, and for safety sake, we need to be proactive and put a stop to these planned cruises before something terrible happens. These are mostly High School kids who should be under some sort of supervision. State Laws say that they aren't supposed to be out past a certain time and we have all witnessed this occurring out at Wal-Mart around Midnight. We know eventually something bad will come from all of this. Why wait until a horrific incident takes place? Do something now!!!

But like Aaron, I want to come at this from a positive angle. As I said, this issue presents an opportunity for business owners in Hickory. Why don't these businesses offer incentives and discounts to get these kids to patronize their establishments. This is an excellent article - Winning the Profitable Teen Customer Demographic. The article states, "Some businesses might have an advantage if their services or products appeal to teenagers. Teens have disposable income and they like to spend it. If you can grab this demographic, you may find intensely loyal, enthusiastic customers."

Is that not what local businesses want, especially in these Economic times when they are struggling? Teens are also struggling in the current economic environment, but for the most part teens don't have the same obligations as adults, so they tend to have more money to spend freely than their parents. Although many of the underlying assumptions have changed, this article Teen Market to Surpass $200 Billion by 2011 states, "Teen spending money, accumulated through paying jobs, allowances from parents, 'as needed' money from parents, and monetary gifts, will increase an estimated 3.5% annually, raising the aggregate teen income 14.4%, from $79.7 billion in 2006 to $91.1 billion in 2011." Sounds like a market segment I would be going after.

I told Aaron that if he is truly interested in seeing this issue addressed, then he is going to have to be proactive. He needs to set up meetings with business owners and managers to talk about this issue and see where each party can collaborate on marketing strategies. I think everyone needs to realize that it is in this community's best interest to get these kids off the streets. Cruising is pointless. It wastes gas, it decreases safety, it increases liability, and these kids can't properly socialize while they are riding up and down the highway.

Well Aaron has been proactive. He has formed what he is calling the Ten Action Committee. Here are two messages he has sent me about events he has established to promote this Idea and Agenda:

T.A.C. at Hickory Dickory Dock

Every Weekend for a month.

With permission from Hickory Dickory Dock, the Teen Action Committee will start recruiting new Representatives on their premises. We will have a table set up on how to join, and what we stand for. Please drop by our table and let us know that you s...upport us. For more information please join our group to receive emails. "The Teen Action Committee is dedicated to provide teenagers an outlet to learn about one another, and to stand up for what they believe in. The committee is designed to establish individuals to be open minded, and it stands on bi-partisanship.

Host:Teen Action Committee

Time:8:00PM Friday, August 28th

Location:Hickory Dickory Dock

T.A.C. at the Hickory Crawdads

Come support us during an evening at the park. With permission from the Hickory Crawdads, the Teen Action Committee will start recruiting new Representatives on their premises. We will have a table set up on how to join, and what we stand for. Please drop by our table and let us know that you s...upport us. For more information please join our group to receive emails. "The Teen Action Committee is dedicated to provide teenagers an outlet to learn about one another, and to stand up for what they believe in. The committee is designed to establish individuals to be open minded, and it stands on bi-partisanship."

Host:Teen Action Committee

Time:7:00PM Tuesday, September 1st

Location:L.P. Franz Stadium

What the Hound would like to see - I think it is a great first step that the Crawdads are allowing Aaron to try to accomplish this goal. It would be great if Crawdad officials (or whoever it takes) would step up and make discounted tickets available to teens and free tickets available to teens for good behavior in school. We see empty seats available out there. Fill them up with some teens.

I would also like to see the City and the Crawdads support a concert series for teens on the weekends the Crawdads aren't playing and a concert series (or DJ) for the teens in the fall -- all at LP Franz Stadium. Why not use the Convention center occasionally for something like this? Use it to educate these kids and help build community pride, spirit, and participation. Let's start raising people to BE solid citizens, instead of casting them out on the streets and hoping for the best.

I think it is great that Hickory Dickory Dock has stepped forward. I hope some other restaurants will also step forward and support this mission. As I have stated, they stand to reap a good reward (money and a loyal customer base), if they do so. I know that some of these entities worry about controlling these kids, but there is little control out there on HWY 70. In my opinion, this would be a great Community Goodwill gesture for these businesses to step forward and at least attempt to make a go of this.

As a community we need to start thinking outside of the box on some real issues involving our citizens. We need to support our younger generation and be thankful that we have a go-getter like Aaron Scott in our midst. Let's support this kid. He is showing some real leadership in attempting to get this off the ground. Maybe if he leads others will follow and wouldn't this be a good feeling of success, as we attempt to change the fortunes of Hickory.

Just The Facts about Hickory's Loss of the Younger Demographic

The other day I was fortunate to be present and hear a presentation made by Taylor Dellinger of the Western Piedmont Council of Governments. I also received a Newsletter that has his studies in it. This newsletter is very informative and it really lays out the issues that this area faces going forward.

The first issue that the Newsletter points to is the rise in the area's unemployment rate from 8.5% in October 2008 to 14.9% in April 2009. Subsequently, we have seen the unemployment rate rise further to where it is currently 15.4%.

The next issue that the newsletter delves into is the area's Per Capita Personal Income (PCPI) level. This periodical shows that PCPI rose from $26,101 in in 2004 to $29,084 in 2007 -- the number has risen to $29,385 for the year 2008. Pointed out is that the 9.3% rate of increase over the 4 year span, from 2003 to 2006, did not keep up with the nation's inflation rate of 9.8%. Also shown is the variance in PCPI per county where Caldwell County has the lowest PCPI ($27,240) and Catawba County has the highest ($31,051).

PERSONAL INCOME PER CAPITA IN CURRENT DOLLARS for the year 2008 (not from the newsletter), puts these numbers in perspective. The State with the highest PCPI is Connecticut ($56,248) and the State with the lowest is Mississippi ($29,569). North Carolina has a PCPI of $34,439 and is ranked #36 out of the 50 States. The average PCPI in the U.S. was $39,751.

Comparing other MSAs in North Carolina, Durham's PCPI is $39,383, Raleigh-Cary, NC is $39,239, Charlotte-Gastonia-Concord is $38,962, Fayetteville is $37,248, Winston-Salem $36,128, Greensboro-High Point, NC is $34,263, Asheville is $33,238, and Wilmington is $33,036. Obviously this shows that we have the lowest Per Capita Personal Income of any of the Large MSAs in the State of North Carolina and it really isn't even close.

The next category that Taylor looked at is one that has been a Pet Peeve with myself, and several other people that I know, for what is going on several years. The Nation as a whole is getting older, but what the stats in this category show is that Hickory is aging dramatically. It is my opinion that this has happened mostly because of the combination of a lack of opportunity for the younger generation and local leadership's insistence on marketing our area towards retirees.

The Population in our Metro for the ages 18 to 44 grew from 130,033 to 130,078 from the year 2000 to 2008. That means we grew by 45 people, in that age bracket, during that time period. During that same time period, the 45 to 64 age bracket population grew from 83,612 to 97,698, which is a 16.8% increase. The 65+ age bracket population increased from 46,056 to 50,559, which is a 9.8% total increase. When the numbers are carried out further what we see is that our overall population increased by 5.67%, which consisted of the 0 to 44 age bracket increasing by a microscopic .38% and the 45+ age bracket increasing by 14.34%.


Can you now see the pulpit that I have been preaching from on this issue? Young people renew and revitalize a community. Look at the number of children being born. The 0 to 4 year old age bracket has decreased by -7.8% and this is a direct result of the emigration of adults of child bearing age from this community. The 5 to 17 age bracket is below the overall average by over 27%, which shows that this trend has been carrying on longer than four years (plus the data lag). This trend most likely goes back to the aftermath of this decade's first recession.

Continuing on with Taylor's data, we are given a comparative chart to other MSAs in North Carolina. What we see is that the areas with the most positive economic outlooks correlate with the growth in the age 18 to 44 age bracket. Wilmington grew 21.5% in this demographic, Raleigh-Cary 17.3%, Charlotte 11%, Jacksonville 8.2%, Greenville 6.8%, Asheville 6.4%. If you look at the Milken Institute rankings, these were the success stories from our state. Only one city, Fayetteville, with a decrease in this Demo had a positive outlook according to Milken and the loss of this Demo (in Fayetteville) may be due to emigration caused by military issues. Hmmm...It's starting to make sense isn't it.

Taylor states that the number of people over age 65 in the Hickory Metro was the third highest percentage in the state at 14%. Only Asheville (17.0%) and Wilmington (14.7%) had a higher percentage of population from that Demo. Raleigh's percentage from that Demo stands at 8.9% and Charlotte is at 10.0% by comparison.

You can ask anyone who knows me. I have hung out with older generations since I was knee high to a grasshopper. I love old people. I believe any wisdom I have is due to the time that I have been around seniors and peppered them with question after question. I don't want to run off or harm the older generations. I believe most of them will be the first to tell you, we cannot afford to market ourselves towards seniors at the expense of the younger population. It's like trying to squeeze out everything from Harvest without saving and sowing anymore seeds.

Taylor makes a lot of projections from the current statistics and trends that show our community continuing to age even more drastically over the next 15 years or so, until the life of the Baby Boomers has run its course. Much of what we are experiencing is due to a natural progression of that trend, but I honestly believe that this community has exacerbated that trend at the expense of economic growth. I think many of our leaders have mistakenly equated successful Marketing and PR towards the older demographic with sound Dynamic Economic policy.

Think about the life tendencies of retirees versus twenty and thirty-somethings. There is a reason why Manhattan advertising agencies market towards the younger demographic. They are the consumers. Why do we want to attempt to buck that trend. Look at what South Florida is experiencing due to their retirement communities. Do we really want to follow them down that dead end path?

I think that there are many elements to this loss of the younger Demographic that have played a role in our current malaise. We have to restore balance to this community and in my opinion the first step towards doing that is to attempt to retain our own young people and attract young outsiders. It will take a lot of hard work expressly geared towards this challenge to change these trends, but I honestly believe that the evidence of communities doing better than we are points us right to this conclusion.

Just what is Apple doing in Maiden?

The Following articles are mainly from the blog Data Center Knowledge. The online source is listed before the Linked article Titles.

Data Center Knowledge - Apple: Maiden iDataCenter Will be 500,000SF - The new North Carolina facility will be nearly five times the size of the 109,000 square foot Newark, Calif. data center Apple bought in 2006 to support its growing infrastructure. Apple also operates a data center on its Cupertino, Calif. campus, and has used content delivery networks from Akamai (AKAM) and Limelight Networks (LLNW) to distribute content to its users around the globe.

The new Apple facility will be the company’s East Coast operations center. A document filed with the state indicates the data center will “take advantage of 3 hour time change on the East Coast to facilitate communications between European operations/sales and California for data transmission.”

(Comment from Finance Geek Blog) - With Apple having already announced their plans to build its new $1 billion data center in Maiden, North Carolina, folks I have spoken to inside Apple told me that once the new data center is completed, Apple plans to have a more active role in doing their own content delivery.

Data Center Knowledge - The Apple-Google Data Center Corridor -Google and Apple may be having their tensions at the boardroom level, as seen in this week’s news that Google CEO Eric Schmidt will resign as a director of Apple. But the two technology giants are aligned in another area: the merits of western North Carolina as a haven for massive Internet data centers.

Apple’s planned $1 billion data center in Maiden, North Carolina is just 25 miles from a huge Google data center complex in Lenoir. The proximity is not an accident, as the Google project in Caldwell County prompted economic development officials in nearby towns to begin pursuing data center development.

Data Center Knowledge - Apple Moving Quickly on NC Project - Apple is known for keeping its new technology secret prior to launch. So it’s not surprising that the company has had little to say about its $1 billion data center project in North Carolina. The new iData Center may not get the fanfare of a MacWorld keynote when it launches, but one thing is clear: Apple plans to move quickly to the construction phase.

“It’s my understanding that they want to have bulldozers on-site in mid-August,” said Scott Millar, execurtive director of the Catawba County Economic Development Corp. “They’re moving ahead rapidly with permitting and acquiring the land, with the intent of hitting the ground running.”

Data Center Knowledge - The iDataCenter and the Cloud - Some of our recent reporting on Apple’s $1 billion data center in North Carolina is being discussed around the web this week, prompted by an piece by Leander Kahney at The Cult of Mac that examines the likelihood that the new facility will power cloud computing applications. There’s additional discussion at Wired, Fast Company, Mac News Network and Apple Insider.

Cult of Mac - Interview: Apple’s Gigantic New Data Center Hints at Cloud Computing - One of the leading theories about the size of the NC project is that Apple is planning future cloud computing services that will require lots of data center storage. Cloud computing is a hot trend, and I’d be surprised if Apple isn’t thinking hard – and thinking differently – about cloud computing. Many cloud enthusiasts say that cloud computing will eliminate the need for data centers. In reality, the only thing will change is the owner of the building. All the applications and data that are moving into the cloud will live on servers in brick-and-mortar data centers. The companies that are building the biggest data centers tend to also have the biggest cloud ambitions


Cult of Mac - Apple Hires Top Green Hardware Expert For Data-Center Ops - Apple is getting serious about getting green. To make sure that its massive new data-center is energy efficient, Apple has just hired a top eBay executive and leading expert in the “greening” of cloud computing facilities.

Apple has picked up Olivier Sanche, eBay’s Senior Director Data Centers Services and Strategy, according to the Green Data Center Blog. Based in San Francisco, Sanche has helped make eBay’s massive global operations carbon neutral since 2007. Most recently, he helped oversee the construction of eBay’s newest data-center, which will meet the highest green standards when it goes online in 2010.

Wired - Apple’s New Data Center Likely to Focus on Cloud Computing - Cloud computing huh? We noticed Apple’s iWork app was pretty lacking with no real-time online collaboration tools. A data center devoted to cloud computing would certainly fill that hole. But there still has to be something even bigger going on here, and your guesses are as good as ours. Add them in the comments below.

Fast Company - Is Apple Shooting for the Cloud? - Hence you could draw one final conclusion, and take this as yet another hint that Apple's fabled iTablet is on the way. It kind of makes sense--the iTablet's probably not going to have the same raw computing power and local storage as a fully-fledged MacBook, so a cloud-based solution for iPhoto, Numbers and the like (and maybe even your iTunes library?) would make excellent sense. It's just a thought, of course.

Apple Insider - Expert speculates Apple's new data center to be for cloud computing - While Miller's cloud computing possibilities are speculation, as Apple has not announced its intent for the $1 billion server farm, it's also possible Apple is simply looking to bolster its current offerings. When MobileMe first launched in July of 2008, it was riddled with problems. As a result, Apple gave subscribers an extra 30 days of free service. MobileMe now comes with a 60-day free trial, while the cost for the service, with 20GB of online storage, is $99 per year.

Wikipedia - Cloud Computing - is a style of computing in which dynamically scalable and often virtualized resources are provided as a service over the Internet. Users need not have knowledge of, expertise in, or control over the technology infrastructure in the "cloud" that supports them.

• It is service-based.
• It is scalable and elastic. I.e., it is able to add and remove infrastructure as needed.
• It uses shared infrastructure to build economies of scale.
• It is metered and users pay according to usage.
• Most importantly, of course, it uses Internet technologies.

Newsweek - Computing Heads for the Clouds - Supercomputers today are used mainly by the military, government intelligence agencies, universities and research labs, and large companies to tackle enormously complex calculations for such tasks as simulating nuclear explosions, predicting climate change, designing airplanes, and analyzing which proteins in the body are likely to bind with potential new drugs. Cloud computing aims to apply that kind of power—measured in the tens of trillions of computations per second—to problems like analyzing risk in financial portfolios, delivering personalized medical information, even powering immersive computer games, in a way that users can tap through the Web. It does that by networking large groups of servers that often use low-cost consumer PC technology, with specialized connections to spread data-processing chores across them. By contrast, the newest and most powerful desktop PCs process only about 3 billion computations a second.

The Hounds Layman Opinion - All of what these guys are saying is true. Yes, this will help to create flexibility and integration of computing. You will have a form of a Computer System at home. It will be like your Desktop today, but also full integrated with the controls of an Entertainment Center (TV, Stereo, Electronic Gaming), a Knowledge Center (Library, Spreadsheets, Word Processor, the Web), and a Home Management system (Electricity, Temperature Control, Lights, etc.) Then you will have your PDA (Iphone, Blackberry, or whatever comes next) that the Cloud (This network of Supercomputer servers) will allow you to keep in touch with your personal data at all times. In my opinion, the next Generation of PDAs will take the place of any need of a laptop.

The problems going forward in the near term are Disk Storage and Bandwidth. The Cloud helps to deal with those two issues. Remember the article I wrote a few weeks ago about the Exaflood entitled BROAD BAND!!! (There is a great video in that article)? Cloud Computing is the cheap and easy way to deal with these issues in the near term. On Demand High Definition Video is going to take up a lot of Bandwidth and Storage Space. Personal Hard Drive Capacity will continue to increase, but true High Definition Video will eat up a lot of space on those Hard Drives.

It will be easier and increase portability by having Movies and Audio parked on a remote server at a Data center, such as the one in Maiden. These facilities will also be needed to deal with the exponential World Wide wave of demand that is coming as more and more people gain accessibility to computers. As one can see there is a need for this Data Center and I believe the ancillary benefits to this area will be tremendous.