Why OpenSocial Is Unlikely To Dethrone Facebook

from the where's-the-networking? dept

The announcement of Google's new OpenSocial API has generated a blizzard of commentary around the blogosphere. Yesterday Mike argued that it was a smart move on Google's part because it creates a broader web platform that will be more attractive than any one social network could be by itself. However, the various news reports I've read suggest that OpenSocial is missing probably the most important element of a social networking site: the networking. Most people don't join Facebook because they want to use the latest Facebook widget. They join because that's where their friends are, and because it offers basic functionality like messages and photos. Widgets are just icing on the cake.

Filed Under: open, social graph, social networking, social networks
Companies: facebook, google

Spying Goes All 2.0

from the pssst,-slip-me-some-ajax-in-the-dead-drop dept

While the US intelligence community has a long history of expensively botched computer systems, it does seem like they've suddenly became Web 2.0 believers. Last year we wrote about the internal Wikipedia-like offering called Intellipedia, that would let members from different agencies in the intelligence community share information more easily. It appears that things have progressed beyond that as well. They now have a social networking app just for the intelligence community, called A-Space, along with a del.icio.us clone and internal blogs. Of course, it seems like some in the intelligence arena (especially those who happen to be undercover) aren't entirely thrilled with the concept -- but it will be interesting to find out how it develops (as if we'll ever find out). What would be really nice to know is how much these efforts are costing compared to the $600 million that was thrown away on useless computer systems.

Filed Under: cia, fbi, intelligence community, social networking, web 2.0
Companies: cia, facebook, fbi, myspace

Inadvertent Online Resumes Continue To Cause Some Problems

from the broken-off dept

It's pretty common for people to do Google background checks on prospective employees (or potential dates) these days, so it's a little surprising to see people still put all sorts of information that could harm their job prospects online. A substitute judge in Las Vegas lost his position last week, after some people noticed that his MySpace profile listed his personal interests as, among other things, "Breaking my foot off in a prosecutor's ass ... and improving my ability to break my foot off in a prosecutor's ass." A local district attorney alleged that this displayed a bias against prosecutors, and asked that the judge be recused from his criminal cases, but court administrators went a step further and decided not to use his services any more. The judge, or now ex-judge, says that, basically, he was trying to be funny, and that the overstatement on his page was obvious. That may be the case, but given his position -- and his political ambitions -- it's hard to imagine that he couldn't foresee any problems from putting the comments up online.

Filed Under: judges, social networking
Companies: myspace

MySpace Turns A Profit, Barely

from the not-even-in-the-tweens-of-millions dept

Ever since News Corp. bought out MySpace, there have been lingering doubts about the social networking site's profitability. The deal that the company signed with Google did put some of these doubts to rest, as it seemed likely that News Corp. would comfortably recoup its initial outlay. But the fundamental issue of whether a popular social networking site is necessarily a cash cow remains up in the air. Yesterday, News Corp. announced that in this past fiscal year, the company's interactive division (which is mainly MySpace) turned a profit of $10 million on revenue of $550 million. These are incredibly paltry margins. This division is still growing rapidly, so it's understandable that it would be putting a lot of money towards new investments. However, the figures include money from the Google deal, which should drop right down to profits. In other words, while the company may be crowing that the unit is now profitable, it's far from showing that things are truly successful.

Filed Under: social networking
Companies: myspace, news corp

Content Scares Advertisers Away From Social-Networking Sites

from the this-offensive-content-is-brought-to-you-by... dept

Thanks to the extensive use of ad networks and other middlemen, it's common for companies to not know each and every place online where their advertisements appear. For instance, a lot of big companies claimed ignorance when their ads showed up through adware products, saying that they had no idea they were supporting the practice. Last week, a number of British companies became alarmed with their ads on the Facebook social-networking site appeared on the profile pages of the British National Party, a far-right wing political party that's generally seen as racist and fascist. The companies yanked their ads from the site, and now the British government says it won't advertise on user-generated content sites for fear that its ads would run alongside contentious or undesirable content. This is a serious concern for many businesses, which don't want to be seen as supporting or associated with certain groups or types of content. But it's a potentially bigger problem for Facebook and other social-networking and user-generated content sites. These sites' major challenge is figuring out how to monetize the massive amounts of traffic they get, and their poor click-through rates are already one factor that holds down the rates they can charge. Couple those low rates with a dearth of quality advertisers scared off by the sites' content, and it sounds like a vicious cycle for social-networking and UGC sites.

Filed Under: advertising, social networking, user generated content
Companies: facebook

Lawsuit Alleges Facebook's Founder Built The Site With Stolen Code and Ideas

from the we-want-some-money dept

ScaredOfTheMan wrote in with the news that a lawsuit alleging Facebook founder Mark Zuckerberg stole the original code for the site is coming to a head. Zuckerberg worked as a programmer for another social-networking site, now called ConnectU, while a student at Harvard, and the sites founders allege that during that time, Zuckerberg took ConnectU's design, source code and business plan, and turned them into Facebook. If he actually did steal the business plan, you sort of have to wonder why Facebook is now being mentioned as a billion-dollar buyout target, while ConnectU remains pretty much anonymous. While this dispute originally began back in 2004, it's taken on added urgency as Facebook has become more popular, and those high-dollar buyout and IPO rumors build -- particularly as the ConnectU founders want full control of Facebook turned over to them. A judge will rule on July 25 on Facebook's motion to dismiss the case, but it's hard to believe that will be the end of the matter. As long as huge amounts of money continue to swirl around the social-networking space, so too will the lawsuits.

Filed Under: social networking
Companies: facebook connectu