Eric Schmidt (CEO Google) – Issues Facing U.S.

Sorry for the break but exercise outdoors was more fun than watching webcasts inside.  However, as winter approaches I return again to running on the treadmill … and I came across this keynote by Eric Schmidt.

• Why it caught my eye:
  • I like Eric Schmidt
• Would I recommend you watch it?:
  • No, he is rather vague in the talk.
• Most Notable Point:
  • Eric Schmidt is on Obama’s Transition team focused on Economy.  Now that is a huge win.  Would love to see him step down from Google and be part of the Obama administration.  It is rumored on the web right now.
• When should you fast forward?
  • Q&A.  Nothing notable was driven there.
• What the audience didn’t hear:
  • Eric mentioned a couple of times how he is looking for government to embrace crowd sourcing.   Funny thing was a few of the government I.T. leads asked in return when they could talk to the Google engineers.   (totally didn’t get his point)

As always, for those amused here are my raw notes:

*** START OF RAW SCRIBBLE TAKEN WHILE RUNNING ***

http://battellemedia.com/archives/004718.php
Eric Schmidt on 2009
• 11/24/2008, 11:56 AM
• New America Foundation
……………○ Schmidt board member.  Prior to Google.
……………○ Thinktank
……………○ Chairman of New America now (Eric)
……………○ Member of Transition Team for Obama for Economics
• 11/24/2008, 12:00 PM
• Eric comes up
……………○ Issues to look at
…………………………§ How restore trust in government
…………………………§ Healthcare
…………………………§ Schools
……………○ 11/24/2008, 12:02 PM
……………○ Dependence on foreign oil
……………○ He is an optimist, average IQ talent of population
……………○ Talking how 3-4 years how all people in the world will have information of all time … similar to printing press and gutenburg bible moment
……………○ 11/24/2008, 12:04 PM
……………○ Power of ability for people to share their ideas is not yet fully understood
……………○ 11/24/2008, 12:05 PM
……………○ Energy Efficiency leader is in our power
……………○ Tech makes a difference
……………○ Talk about waves of innovation – telegraph, electricity
……………○ Regulatory control of innovation – Right answer is a balance
…………………………§ Understand the objective – Win as a country
…………………………§ Use the objective to find the balance point
……………○ Key is to fund the new startups … that is where innovation comes from
…………………………§ Eric Schmidt via DARPA funding was enabled
……………○ 11/24/2008, 12:09 PM
……………○ Energy grid
…………………………§ Example – Battery from car to provide peak power during day
…………………………§ Problem is design and will to make it happen
……………○ Infrastructure research
…………………………§ Foundation on which wealth is created
…………………………§ More than roads, bridges
…………………………§ New networks (why is US 15th in broadband?)
……………○ Move from regulatory framework
…………………………§ Roosevelt – Electric framework
…………………………§ Eisenhower – Transport framework
…………………………§ Obama – Regulatory Framework
………………………………………□ FCC – example of good regulation – opening white spaces to allow people to create new goods / services
…………………………§ Open systems
………………………………………□ Innovation will come from who knows where so your platform must enable
……………○ 11/24/2008, 12:12 PM
……………○ Open system
…………………………§ Community makes a better decision than an individual
…………………………§ Alternative – Ma Bell … limited choice
………………………………………□ De-regulatory … unleashed the wave of the 90’s in part
……………○ 11/24/2008, 12:14 PM
……………○ Cloud computing
…………………………§ Defines
…………………………§ Move to cloud – due to regulatory changes  allowing data to flow to mobile users
…………………………§ Enables small business
………………………………………□ Takes infrastructure away as a barrier to entry
……………○ 11/24/2008, 12:16 PM
……………○ R&D
…………………………§ Not good in last few years
…………………………§ Businesses by law don’t fund … they are tied to shareholder value … can’t do long term
…………………………§ Most innovation comes from universities.  Core aspect of US edge
………………………………………□ Budget went down last year for science
………………………………………□ Obama has promised to double funding
…………………………§ Focus on science and math
………………………………………□ Problem if the competitors (other nations) innovate  … and have better talent .. And more cash
…………………………§ Federal Tax R&D credit … continues to get pushed out
……………○ 11/24/2008, 12:19 PM
……………○ Visa system – wrong
…………………………§ Why are we kicking out the best and brightest after they come to university here?
……………○ 11/24/2008, 12:19 PM
……………○ Patent Reform
…………………………§ Why is every case is filed in east texas?  Bad policy
……………○ 11/24/2008, 12:20 PM
……………○ International Property Laws
……………○ 11/24/2008, 12:20 PM
……………○ What is google is doing?
…………………………§ Flu trends.  Anonymous way let people know.
…………………………§ Universal language translation.  Can translate from language to language without a dictionary.
………………………………………□ Language causes war
………………………………………□ So now we can bulk transform … no humans required (for rough translation)
…………………………§ What should you do this weekend?
……………○ 11/24/2008, 12:22 PM
……………○ Energy
…………………………§ Oil is finite, Information is Infinite
………………………………………□ How apply to oil issue
…………………………§ Trillion $ industry
…………………………§ Climate change (tied w/ nuclear disaster for risks globally)
…………………………§ Is there a silver bullet … climate change, oil down, gets people to where they need go, creates export industry, and we can afford
………………………………………□ Google 2030 energy plan
……………………………………………………® Electrical power generation (coal, gas)
…………………………………………………………………◊ Same level of consumption per citizen for next 20 years
…………………………………………………………………◊ Reality is consumption is growing … except where utility profit <> efficiency
………………………………………………………………………………► Paid on energy of they save, not what they produce
…………………………………………………………………◊ Every plant rebuilt by 2050 anyway
…………………………………………………………………◊ Solar, Wind, Enhanced Geothermal
………………………………………………………………………………► Turbines approaching cost of coal
………………………………………………………………………………► Problem of wind, solar … grid not connected.
……………………………………………………………………………………………} Problem with grid … can’t get infrastructure approved.
……………………………………………………………………………………………} Federal incentives required
……………………………………………………® Transportation (oil)
…………………………………………………………………◊ Plug-in hybrids.  Small engine.  40 miles.  Chevy volt.
…………………………………………………………………◊ Charge on battery for short trips.
…………………………………………………………………◊ 1/2 the gas saved.
…………………………………………………………………◊ Works for all cars
…………………………………………………………………◊ Aerodynamic styles, carbon … down by factor of 30 of oil prices
……………○ 11/24/2008, 12:30 PM
……………○ Stimulus program
…………………………§ Use that money to get the energy and infrastructure built
…………………………§ Matching programs … get vc’s tied to federal funds
………………………………………□ Utilities (state).  Fund them for efficiency models.  No brainer.
……………………………………………………® Do those via local contractors
…………………………§ Insulation
……………○ 11/24/2008, 12:32 PM
……………○ Example – Improvement to Homes not doing due to 3-5 year turn
…………………………§ Bond for home improvement (green improvement)
…………………………§ Bond goes on title
…………………………§ Nice and friendly rate
……………○ 11/24/2008, 12:33 PM
……………○ Auto – Fund them to beat the Café standards
……………○ 11/24/2008, 12:33 PM
……………○ Renewable portfolio standards
…………………………§ State shoots for 10% renewable by 2015.
…………………………§ Fund transmission lines between states if have portfolio
……………○ $ flow
…………………………§ Tax credits to solar wind, geo thermal
…………………………§ Create a federal energy lending entity … modelled after 1930’s farm act … make low interest long term loans to build the businesses we are described
…………………………§ Tie to federal buying authority
…………………………§ Co2 eating rock … turns to marble
……………○ Buy polluting cars and replace the fleet
……………○ Jobs programs basically
……………○ 11/24/2008, 12:36 PM
……………○ Restore trust in the government
…………………………§ Obama was skillful in using the internet for funding
…………………………§ People are debating Obama’s weekly address on YouTube.  Fundamental to how we get through this.
………………………………………□ Historically legislation is very closed doors
……………○ Political scandals didn’t occur because falsehoods are quickly corrected in internet
…………………………§ Tracked what everyone said
…………………………§ Political leaders know it matters.  See fellow members get caught
……………○ 1st African American President
…………………………§ Encourage debate
…………………………§ Still can’t see the base information that government uses to make decisions
…………………………§ Stream all the public meetings
…………………………§ Government has not embraced  – blogs, video, etc
………………………………………□ Patent office does – putting out applications early.  Wisdom of crowds gets it done early.
……………○ 11/24/2008, 12:42 PM
……………○ Closing
…………………………§ Optimist
…………………………§ Force people to deal w/ current choices.  Get population involved.  Recognition among Amercians of private and public sectors working together.
…………………………§ 1831 quote – America will do well because of optimism of people, abundance of land, and absence of a king
……………○ 11/24/2008, 12:46 PM
……………○ Q&A
…………………………§ Social Security – $1B payouts a day.  Change the structure.  Get it right.  IT advisory panel.  Get new innovations into government.
………………………………………□ Social Security is most successful IT area in US
………………………………………□ Suggest to how get other people (crowds) to do the job with them
…………………………§ John Simpson – Consumer Watchdog.  No king comment.  Fear Google as ‘king’.  Privacy of  data.  Problems of Google Apps getting marketing to government.   Spread privacy problems.
………………………………………□ He has read their letter
………………………………………□ HTTPS, ETC … too slow
…………………………§ Elizabeth Holferd – Neutral Net – Infrastructure questions.   Where is the network that does all the goals.  How do you get investment into infra companies again?
………………………………………□ He point out Obama is supporting this
………………………………………□ Can’t do infra only – not enough stimulation there.  Not mature enough, can’t scale.
………………………………………□ Google and GE are working together
…………………………§ Wil – Use the grid for hybrid cars.  Immediate threat transfer wealth to other parts of world via oil.  Can natural gas fix the problem
………………………………………□ Crack of energy.
………………………………………□ Problem is its not a long term answer.   Sources are limited so as demand rises the price will rise.   L&G and C&G … use for fleet of buses and trucks.  That works.
…………………………§ DOD Advisory – Doing work inside of government.   Leverage web3.0/2.0.  How do we connect w/ the transition team to share lessons learned?
………………………………………□ Speak to transition team.  They are listening.
…………………………§ Vicki – MIT PHD in Mgmt – Director from NSF talked about MIT projects.   Do they fund?
………………………………………□ Fund computer science
………………………………………□ Fund in energy – Alternative fuels
………………………………………□ Invest in companies for energy future
…………………………§ Charlie Clark – Tax Notes – R&D Tax credit.  Make it permanent.  Would companies do new work if it were permanent.
………………………………………□ Expenses are tied to innovation
…………………………§ Bill Tucker – Consultant – How do you think nuclear power fits into the overall solution.
………………………………………□ Rats nest of issues.   Safety, long term storage, reprocessing.  Political issues.  Debate of a federal/national reprocessing center.
………………………………………□ No new plants since 1970’s.   Capital costs to build a new plant exceed budgets of power companies.
………………………………………□ 4-5 interesting new power plant designs.  Billions on speculative funding so a question mark there.
………………………………………□ Easy to say pro-nuke, anti-nuke.
………………………………………□ Compare wind farms … quicker to build wind farms