During our last trip to Morocco which resulted in our engagement, Nina and I both took Netbooks. She took her fancy MacBookAir. I took the MSI Wind that my friends had turned into an amazing triple combo of Mac, plus Ubuntu, plus Windows XP.
Yes, I know it sounds crazy, but thanks to a special install by some friends, this 400 euros machine runs all three operating systems. And on top of that the battery lasted over twice as much as the MacBook Air, it has 3 USB ports instead of one and for pictures it had a great SD slot that of course Apple would never install because it would ruin its hardware aesthetics. In the desert climate, with a rare connection to electricity, frequent dust and sand, the MSI Wind performed like a star. Why am I telling you this?
Because when I shared my enthusiasm with Jordi Vallejo, from Fon, he told me that the managers at MSI Wind loved Fon and it turned out that this was the case cause they loved the idea of doing a Fonera 2.0 / MSI Wind bundle which we launched today in France, Italy and Spain with more countries coming soon.
Basically, we are selling both the MSI Wind and the Fonera 2.0 for only 379 euros introductory price. I hope you like the MSI Wind as much as I do, because it has become my portable computer of choice beating not only the MacBook Air, but all the other netbooks I tested including the Dell Mini and the Asus EeePC. Here´s the link to order the bundle in Spain.
I would also like to share with you what the blogs say about the Fonera. And for technical questions I recommend you read this.
Wired, boing boing, PR News, Gearlog, dv-depot, pc mag, Endgadget

2009 20
Fonera 2.0 goes on sale tomorrow at noon in Europe!
Published by MartinVarsavsky.net in General with No Comments
My Spanish blog is more active than my English blog but this does not mean that I don´t praise, criticism and trolls in my English blog as well. Throughout Fon´s short history, unfortunately, critics and trolls have been partly right when they say that Fon has not delivered on its promise to build a global WiFi network. Yes, we do have 360K Fonspots now but other than in Japan which is the only country in the world in which we have succeeded without installing our software inside the wifi router of telecom operators in other countries where we have been very successful, like UK or France we did this together with BT, Neuf in France, Zon in Portugal.
Why were we not able to grow at a rhythm higher than 4000 Foneras a month more solely on the premise of “share a little wifi at home and roam the world for free”? I would say it was a chicken and egg problem. With BT we truly were able to say that you share a little WiFi at home and roam the UK for free as with them we deployed so many fonspots at once that coverage in that promise and delivery were very well linked. Especially because if you are both a BT customer and a Fonero you get to roam for free in BT OpenZone as well, BT´s commercial offer available at airports, train stations, etc. But in other countries, like Spain where we don´t have an operator we exist thanks to the altruism of some (Linuses) and the desire to amortize the cost of a DSL connection (Bills) but coverage is spotty. Same in Germany were we are still the largest WiFi network but that is not enough to speak of having a real presence in which you can predictably find Fon as you can in Japan or UK.
So what we did to make it more attractive for Foneros to buy a Fonera is to make the Fonera itself very appealing. We greatly improve the Fonera 1.0 and the result is the Fonera 2.0 which goes for sale in Europe tomorrow. The Fonera 1.0 is a great router to share WiFi and to make money selling passes to the Fon community. But the Fonera 2.0 does that and much more. Examples? It downloads your torrents without your computer being on (ONLY DOWNLOAD CONTENT WHOSE RIGHTS PLEASE). It downloads files from Rapidshare and Megaupload. It uploads your videos to Youtube without your computer being on. It uploads pictures to Facebook, Picasa, Flickr. It converts your many times useless 3G signal into WiFi so you can use game consoles and other devices that need internet but don´t come with 3G. It connects your printers via WiFi, or your webcam, and there is more coming.
With the Fonera 2.0 we are convinced that our deployment rate will accelerate and with a combination of Foneras and telco routers we will deliver on the coverage.
In this video I compare the Fonera to the Time Capsule of Apple and show that in a sense, the Fonera is to the Time Capsule what the iPhone is to a mobile phone.
2009 19
The Age of the Unthinkable explained by Joshua Cooper Ramo
Published by MartinVarsavsky.net in General with No Comments
What I like about Joshua Cooper Ramo’s book, The Age of The Unthinkable is that it it starts with the premise that complexity in world affairs is here to stay. Maybe it is Joshua’s background in physics that has made him see foreign policy as an area where Heisenberg’s uncertainty principle also applies. That in human affairs also we can never know where things stand that we can only speak in terms of probability. That when we oversimplify, our policies backfire and we end up in the “Age of the Unthinkable” where financial markets, world peace, the environment all blow up in our face. So who are the winners in this era? A minority of unlikely candidates that range from Sergey and Larry at Google to China as a nation, to Hezbollah as an organization. The losers however seem to be mostly in the USA, Europe and elsewhere and are those who stick to simplistic models (i.e. Bush Cheney Middle East approach) and fail to tackle the diversity of inputs that may lead to a certain outcome. A good example of Ramo’s challenge of the status quo is criticism of Joseph Nye´s soft power theory. Soft Power theory says that if the “enemy” likes our culture he will stop being our enemy. As Ramo shows it is possible for terrorists to listen to our music, watch our movies, dress like us and still….want to blow us up. And what makes the book more interesting is that Ramo’s past as the Foreign Editor of Time Magazine made him meet many “despicable” characters such as the head of information of Hezbollah and, surprisingly, learn from them. In a style similar to that of President Obama, he shows us how talking to the enemy and learning from the enemy can be a better strategy than spending trillions trying and failing to destroy it. But before getting carried away here is my advice: Buy the book and come up with your own opinion. It’s worth it.
2009 16
Lexus hybrids 4×4 are a disappointment
Published by MartinVarsavsky.net in General with No Comments
When I bought my Lexus RX400 in Spain in 2005, I thought that I would pay a high price for a car but both help the environment and save on maintenance and gas. After all, I was getting a hybrid, a car that is both an electric and gasoline car. But after some years of ownership, I have come to the conclusion that hybrids are neither so environmental nor economical. As for gasoline consumption, my Lexus uses 14 liters every 100 km. That is more liters than my other car, an Audi Q7 3.0 TDI albeit a diesel. And in terms of overall economy, whatever you supposedly save on gas you spend on service. Lexus has a super expensive service program because of some parts that must be replaced related to the way the car recharges the car batteries when braking. My calculation is that each km that you do in a Lexus costs 10c in terms of service costs alone.
disappointment
disappointment
2009 16
Nokia profits down 90% stock up 10%
Published by MartinVarsavsky.net in Micro with No Comments
Read this from CNET. Now see how the stock is doing right now.
2009 16
Outlook for ’09 at Fon
Published by MartinVarsavsky.net in Fon with No Comments
We are now facing the toughest environment that I have ever seen for start ups. We have gone from financial markets and VCs willing to finance dreams to a “show me the money” reality that will force start ups to close their doors if they can´t delivere. Fearing this new scenario and warned ahead of time by our investors at Allen and Co, I started cutting costs at Fon during early 08. The cutting was severe, we let go around half of our people, we shrank from around 90 employees around the world to 40 now. Moreover we stopped subsidizing our hardware. But surprisingly the combination of employee reductions with subsidy ends was still accompanied with tremendous revenue growth and now it is almost sure that Fon will start making money this year.
Fon earns margin out of two different sources, telecom sales, meaning people who are not WiFi donors but require WiFi and pay per hour, day or 5 days, and buyers of our hardware, the Fon WiFi routers, our social routers known as La Fonera or Foneras in plural.
In terms of telco sales last week was FON’s best week ever. After a tough winter in which both hardware and telco sales were shrinking, telco sales turned around and grew from 30K to 47K euros per week in the last 4 weeks alone: this is 50% revenue growth over the average winter week. Revenues and hotspot growth is mainly coming from BT and Zon in Portugal but it is also coming from many countries around the world. Our best countries are UK, France, Japan, Portugal, and Germany. Why was the winter so bad for us? I think that the global crisis “froze” people for a while and now they are relaxing their spending again. Also WiFi is partly an outdoor product and the winter is bad for us in general. We were also hit by the pound´s collapse against the euro which fortunately is now reversing.
On the hardware side FON’s outlook is bright. We have over 3000 pre ordered Fonera 2.0. We will start selling the Fonera 2.0 in Europe on April 21st. Due to cash conservation we have been very cautious in ordering stocks of the Fonera 2.0, but now it looks like we have been overly cautious. If you google Fonera 2.0 you will see that we are getting a lot of pre release reviews and that not a single one is negative. Tech bloggers and journalists appreciates a router that not only has the basic Fon functionality of free WiFi roaming and allowing its owner to make money from it but the more advance functionality of taking care of your uploading and downloading while your computer is off. They also like the 3G to WiFi conversion capability as many gadgets, especially gaming gadgets come with WiFi but not with 3G.
So now that we have shrank our monthly expenditures from 700K in Jan 08 to 210K euros per month now and are growing revenues so fast, it looks like we will break even this summer. If we do we will be a sustainable, profitable company which is the only guarantee of survival in an environment of cash starvation.
Bottom line is that we are not out of the desert yet, but we are getting close.
It so happened that this Pesach found us at the border with Morocco and Algeria. We were 3 couples traveling, 4 Jews and 2 non Jews, most of us non-believers but lovers of tradition, both of Pesach and Easter. So in such a Muslim environment we became a little concerned about being openly non-Muslim and we decided to come up with the encrypted story of the Haggadah. This video is the result.
2009 10
Nina and I got engaged!
Published by MartinVarsavsky.net in General with No Comments
It all happened in Morocco where I managed to meet the 4 conditions of a great proposal. It was planned in secrecy (to the point that the 20 friends who came to Morocco to join us in the engagement party thought they were coming for Nina´s birthday which was a month ago). It contained a ring. It was a surprise to the fiancee. And most importantly, the outcome was a yes.
The proposal itself was in a desert camp at the border of Algeria and Morocco. We were first traveling with our friends David and Anna Lena and Gabriel and Mariquel and then joined by 16 other friends in Marrakech where last night we had the engagement dinner party.
Not all went well. When I proposed a walk in the desert at midnight under a full moon I was greeted with a “let´s wait until tomorrow to go for a walk I am too tired.” But other than that glitch the rest went very well and now we are happily engaged and celebrating with friends in Marrakech.
Here are some pictures of the trip and the engagement. Locations are Skoura, Ait Benhaddou, Zagora, Mhamid and somewhere in the desert.
2009 3
The Fonera 2.0 can help you save money and reduce CO2 emissions
Published by MartinVarsavsky.net in Fon with No Comments
According to this PC Energy report, US organizations alone waste $2.8 billion every year powering 108 million unused PCs, responsible for approximately 20 million tons of carbon dioxide emissions, roughly equivalent to the emissions of 4 million cars. PCs and monitors are 39% of total ICT emissions worldwide (that account to 2% of the total emissions), equivalent, according to the PC Energy report, to a full year of CO2 emissions from approximately 43.9 million cars. If all the world’s 1 billion PC’s were powered down for just one night, says the PC Energy report, it would save enough energy to light up New York City’s Empire State Building for more than 30 years.
There’s a very simple action anybody can take to reduce emissions and cut energy costs: turn your PC off at night or when it’s not being used. Our Fonera 2.0 can be really helpful for this purpose: if you usually keep your PC on all night to download/upload content from the Net, the Fonera 2.0 can take care of downloading files from BitTorrent, Megaupload and Rapidshare and uploading your pictures and videos to Flickr, Picasa and Youtube, letting you turn off your PC at night, thus significantly reducing your energy consumption and CO2 emissions. If you believe turning your computer off and on every day will somehow damage it, or won’t help you reduce your energy comsumption, read this article from Microsoft.
But how much money can you save? Say you keep a desktop PC, consuming around 100 W, powered up day and night to download content from the Net. If the average price in Europe for a kilowatt hour is €0,18, your PC will cost you around €157 per year. Using a Fonera 2.0 you could keep your PC on for only 10 hours a day, and the Fonera will do the downloading/uploading for you during the night, using only around 3 watts. You’ll save €89 in one year and pay back the €49 investment to buy your Fonera 2.0 in less then 7 months. Furthermore, every year you’ll avoid producing 355 kilograms of CO2. Your PC left on day and night would otherwise emit 629 kg of CO2 in one year, equivalent to driving a BMW X3 SUV for 3600km. Turning your PC off at night and using your Fonera 2.0 for downloading will bring your CO2 emissions down to 273kg per year.
2009 3
Fon Pineapple
Published by MartinVarsavsky.net in Fon with No Comments
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