Newspapers ignore Google at their peril

An editorial about Google in the Los Angeles Times has caused quite a kerfuffle (or perhaps a brouhaha) in the blogosphere — in part because the editorial said that for some newspapers, the search engine and its Google News aggregator are as bad as Osama bin Laden.

Robert Niles of the Online Journalism Review says the paper “lit its credibility on fire” with that statement, and insulted its readers with a misunderstanding of how Google News operates and what the benefits are for online journalism. Jeff Jarvis says — and I would agree — that the editorial seems to be mocking newspapers that see Google as Osama.

In any case, there does seem to be a tone of righteous indignation to the editorial, at the idea that someone like Google could be so bold as to claim that a feature of theirs — in this case, the ability to add comments to a Google News story — might help to improve journalism. And that is where I think the LA Times misses the boat.

As my friend Scott Karp at Publishing 2.0 points out, journalism is no longer (if it ever was) a thing that is crafted and polished and then delivered to newspaper readers for their enlightenment every morning. It is something that develops over time — a continuous process, and media outlets are only part of that process now.

I think smart newspapers know that, and are trying to make their readers, their community, and those affected by news events a part of that process. The not-so-smart ones are making fun of Google and hoping it goes away.

Can you say “Facebook bubble”?

Wow. That’s all I can say. Inside Facebook says that TripAdvisor has bought the “Where I’ve Been” app for Facebook for a massive $3-million — which works out to about $1.30 for every one of the widget’s 2.3 million users (and I use that term loosely). As the site notes, that’s about 30 times what Slide paid for the “Favourite Peeps” app a couple of months ago.

Pete Cashmore at Mashable says that works out to about $43,000 for developer Craig Ulliot for every day that his app has been in existence. Not bad. Just a little while ago, Andrew Chen wrote a blog post in which he pondered how an app like Ulliot’s might monetize its users — I guess he just got his answer.

Peter Kafka of Silicon Valley Insider says that the price paid for Where I’ve Been might not be all that insane after all, depending on what TripAdvisor does with it, and Phil Sim of Squash says flipping is nothing to be ashamed of.

Update:

This appears not to be happening. Inside Facebook has a (brief) update here.

Sifry out, layoffs galore at Technorati

It has looked for awhile as though Technorati was having difficulties — and not just technical difficulties but in the executive suite as well, with founder and CEO Dave Sifry writing on his blog earlier this year that the blog-search company was looking for someone to replace him — but now the wheels really appear to have come off. Sifry is leaving the company completely, without a CEO to fill his shoes, and eight people are being laid off.

In his farewall post, Sifry says the company will be run in the interim by a committee of the board (trust me when I say this is rarely a good sign), and that the search for a CEO continues. The Technorati founder says he will continue to be “engaged strategically from the point of view of a director on the board.” According to his post, he will be chairman. As for the layoffs, Sifry says:

“Because we’ll be focusing our efforts more precisely moving forward, it became clear we needed to adjust our expense structure to be more appropriately aligned with our priorities moving forward. So, we had to make the difficult decision to part ways with eight of our staff members.”

I’ll say this much for Dave — he certainly seems to have gotten the hang of the cold-blooded CEO dismissal message. Om notes that one of Technorati’s biggest issues (apart from uptime problems) is that Google is eating the company’s lunch. Tom Foremski of Silicon Valley Watcher has some added perspective on the difficulties of the startup game here.

USAToday — bad model or bad fit?

Update:

As Allen Stern of Centernetworks notes in the comments here, and Mike Arrington notes in this follow-up post on USAToday, the paper says that its traffic not only hasn’t fallen but is actually up by double digits. Maybe we need to file this one under the heading: “better traffic data urgently needed.”

Original post:

There’s a post up at TechCrunch in which Mike Arrington raises the question of whether the USAToday’s high-profile launch of “Web 2.0”-style features — including comments on news stories, blogs, voting on stories, and so on — is paying off or not. According to the stats Mike has from Compete and comScore, traffic to the USAToday.com site has fallen over the past several months by anywhere from 14 to 29 per cent.

At first, I assumed — like <a href="http://www.techcrunch.com/2007/08/16/usatoday-relaunch-as-social-network-may-not-be-paying-off/#comment-1559047“>some commenters — that this might be explained by a normal summer decline in readers, a lack of compelling news, etc. But as Mike points out in his graph, the Washington Post and the New York Times haven’t seen any similar decline over the same period.

usatodaycomnytimescomwashingtonpostcom_uv_310.png

Of course, all the usual caveats about traffic measurement should be inserted here — neither Compete nor comScore (nor any of the other major measurement agencies, for that matter) have what you would call 100-per-cent reliable statistics. But the fact that both of them together show a similar trend at least leads me to believe they are on the right track.

So what can we learn from all this? Mike wonders whether it’s possible that “news and social networking just don’t mix.” But I think Tish Grier — who was involved with Jay Rosen’s Assignment Zero crowd-sourcing project, among other things — gets closer to the mark with her post, in which she argues (as I have in the past) that, well… social networking is hard.

You can’t just set up shop and expect people to suddenly show up and start contributing and interacting. For one thing, as Chris Heuer argues, online community doesn’t fit with everyone and everything. There also needs to be real interaction from the newspaper side as well, and encouragement and moderation and so on. It’s like gardening, not construction. And there has to be a reason for people to want to participate, as <a href="http://www.techcrunch.com/2007/08/16/usatoday-relaunch-as-social-network-may-not-be-paying-off/#comment-1559079“>someone notes in the comments on Mike’s post.

Much like gardening, it also takes time for the fruits of your labours to become obvious — I’m not sure we should write USAToday’s experiment off just yet. And for what it’s worth, Jason at Webomatica says that he enjoys the comments there.

Some great advice from the Doctor

Doc Searls has an excellent post up with some advice for newspapers trying to make their websites better. One quibble: he’s still trying to push the “charge for the new, give away the old” idea, which I gave him some grief for last time be brought it up (and he gracefully admitted that he might not be right about the “charge for the new” part).

In any case, the rest of his advice — including the “give away the old” part of the above statement — makes perfect sense and should be laminated and posted in every newsroom from sea to shining sea. Bon mots include the following:

Start following, and linking to, local bloggers and even competing papers (such as the local arts weeklies). You’re not the only game in town anymore, and haven’t been for some time.

The whole “bloggers vs. journalism” thing is a red herring, and a rotten one at that. There’s a symbiosis that needs to happen, and it’s barely beginning. Get in front of it, and everybody will benefit.

Stop calling everything “content”. It’s a bullshit word that the dot-commers started using back in the ’90s as a wrapper for everything that could be digitized and put online… Your job is journalism, not container cargo.

There’s plenty more where those came from. Go read the whole thing — I’ll wait.

Who does Kara Swisher work for?

The question in the title of this post is meant to be facetious — sort of. I know that Kara works for the Wall Street Journal, or at least for Dow Jones (and ultimately for Rupert Murdoch now). The only reason I ask is that she broke a story about Facebook on her Boomtown blog, which is located at All Things D, the site that she and WSJ gadget guru Walt Mossberg run. That story appears nowhere at the Journal site, as far as I can tell.

about_th_kara.jpg All Things D started as an online adjunct to the similarly named tech conference, which Swisher and Mossberg have put on since 2003, and which regularly features geekosphere luminaries such as Bill Gates, Steve Jobs and a few other people you might have heard of. The website was recently relaunched as a news/blogging site with regular posts from Kara and John Paczkowski (and somewhat less frequent posts by Mossberg). The site is owned by Dow Jones but “run autonomously as a small online start-up,” according to the About page.

I guess what I’m driving at is that I think what All Things D is doing is an interesting experiment. Some of Kara’s video interviews show up at the Journal site, but her blog appears to only be at allthingsd.com — and the Facebook story is only there (at least for now), perhaps because it’s just a management shuffle at a non-public company, and therefore might not merit a full WSJ story.

In any case, it will be interesting to see what happens if Kara breaks more stories there rather than the WSJ site — it’s possible that the Journal won’t even care, since it apparently sells ads at All Things D as well.

Update:

Kara’s rather long disclosure statement (in which she also talks about the fact that her partner Megan Smith is the director of new business development at Google) notes that she is no longer on staff at the Journal but is employed as an independent contractor. I still think the model the Journal is experimenting with at All Things D is an interesting one.

Do journalists need — or want — Publish2?

I had a feeling that my friend Scott Karp over at Publishing 2.0 was up to something, and now I see the fruits of his secret labours — or rather, I’ve read his description of what he’s been up to over at the Publish2 blog. The final pieces of the puzzle likely won’t come into focus until the site launches in beta, which Scott says is coming next month.

Like Tony Hung at Deep Jive Interests, I’m a little fuzzy on what Publish2 is going to be exactly, or how it’s going to work — but I will say that Scott is a smart guy (with some smart backers such as Robert Young, Howard Weaver and Jeff Jarvis), and I am very interested in seeing what he comes up with.

It seems obvious from Scott’s preamble that Publish2 is based in part on a Digg-style model, in which journalists (and he appears to be defining that term broadly, as he should) submit and then vote for news stories. Publish2 will also apparently incorporate some of the social bookmarking features of sites like del.icio.us, and stored bookmarks may also feed into the service.

How the participants in the site will be chosen is a little unclear. It sounds as though it will begin with a selected number of journalists, and then spread out from there to journalists who are not part of a mainstream entity, and to what Scott refers to as “news bloggers.”

This reminds me of the model that Citizendium.com has been trying to use to fix what it sees as the flaws in Wikipedia, by using some form of “expert” sources. And it seems clear that Scott wants to use journalists as the core of his news aggregation engine in order to address some of the flaws of the Digg model.

Jason Calacanis tried to do something similar when he revamped Netscape.com, by using editors who select and highlight — and in some cases even report on — stories and content. And in Publish2 there also seem to be aspects of what Newsvine.com and Daylife.com (which Jeff Jarvis is also involved in) are doing, as well as Topix.com. Whether Publish2 can make it work better than any of these remains to be seen.

One of the first things I thought when I read Scott’s description was: “This sounds like exactly what newspapers should already be doing.” And part of what he implies in his post is that not enough journalists, and not enough publications, are really making use of social networking tools to improve the news generation or aggregation process. I would definitely agree with that.

Can Publish2 help to change that? I’m looking forward to finding out.

Facebook opening up — a little bit

Dave “I invented RSS” Winer says he has discovered some RSS feeds of Facebook data that contrast with the site’s reputation as a “walled garden” or “black hole of data.” But has he? Mike Arrington seems to think so, since he posted an item on it at TechCrunch.

But at least one feed that Dave mentions, composed of status updates from your friends, has been around for awhile now; I know that because I’ve been subscribed to it for months now, as have many of the commenters on Mike Arrington’s post, including Narendra Rocherolle of 30boxes, and commenters on Dave’s blog too (as he acknowledges).

I can’t say whether the feed of posted items from Facebook or the notifications feed are new (if you know, please enlighten me in the comments). Do these feeds mean that the site is opening up a bit? Yes. How far it will go remains to be seen. Justin Smith at Inside Facebook notes that there are still lots of things that Facebook isn’t open about.

Will VMWare start a parade of crap?

Lots to be excited about today, if you’re a VMWare shareholder — like EMC, for example, which paid about $600-million just four years ago for a company that is now valued at about $15-billion. And if you’re a venture capitalist or banker with some skin in the technology game, you’re probably salivating at the idea that the moonshot IPO might be back. My friend Paul Kedrosky has a look at what the strong reception for the VMWare IPO could imply.

garbage.jpgI haven’t taken an in-depth look at VMWare, but as far as I can tell there is no reason to be overly concerned about the company. Yes, the valuation may be overdone (particularly given the competition in the industry) but virtualization is a real technology and VMWare has some undeniable strengths. eWeek has a good overview of the company and interview with co-founder Diane Greene. But what concerns me is that the standing ovation for VMWare (live-blogged by Ashlee Vance at The Register and ably described by Eric Savitz at Barron’s) could help to open the flood gates and unleash a torrent of offal onto the markets like we haven’t seen since the days of Theglobe and Pets.com.

Om Malik has just one example of what could be waiting in the wings: Classmates, a pop-up-ad-flogging, spam-marketing Web 1.0 service that was acquired by ISP United Online and merged with some other craptastic company, is being taken public in what Om speculates is a rushed offering that reeks of opportunism, right down to the special voting shares.

And if Facebook goes public, as everyone including my dentist figures it will? Better get out your hip-waders.

Freakonomics gives trolling lessons

Want to get lots of traffic to your blog, and hundreds of comments from readers? Post something in which you speculate about how terrorists could attack the U.S. — and then ask your readers for their own suggestions. Better still, post this at the New York Times website.

I missed it when it originally happened last week, but that’s pretty much what the two Steves — that is, Stephen Dubner and Steven Levitt — did over at Freakonomics, which recently became part of the NYT web operation (I wrote about the fuss over them adopting partial RSS feeds here, a topic that was later taken up by my friend Mike Masnick at Techdirt).

Levitt, who is a professor of economics at the University of Chicago, wrote about “what I would do to maximize terror if I were a terrorist with limited resources.” After laying out some of his thoughts about different approaches, he said: “I’m sure many readers have far better ideas. I would love to hear them. Consider that posting them could be a form of public service.”

Almost 600 commenters didn’t see it that way, however. Dozens wondered what on earth the subject had to do with economics, while others said posting such ideas was reprehensible. The post generated an editorial in the New York Post, a scathing blog entry by my friend Rachel Sklar at The Huffington Post and a follow-up post in which Levitt tried to explain himself (a little). The latter has so far gotten about 300 or so comments.

Damn — I wish I’d thought of that 🙂 I’m sure there will be those who believe this was a deliberate strategy to boost readership, but I doubt it — I think Levitt is just like that, which is part of what makes the blog so thought-provoking. Meanwhile, Jeff Jarvis uses the post as part of an argument for why he thinks blogs should be affiliated with newspapers rather than “owned.”

Are newspapers totally screwed?

Henry Blodget — who used to be a Wall Street analyst and now runs a content hub called Silicon Alley Insider — recently wrote a provocative analysis of the online newspaper business entitled Running the Numbers: Why Newspapers Are Screwed, which ran at the Insider as well as Blodget’s personal blog, Internet Outsider (I guess he’s an insider and an outsider).

Henry’s point is a relatively simple one: publishing content online costs a lot less than publishing it on paper, and therefore newspapers can save a lot of money by running their stuff online. Unfortunately, online content also generates a lot less revenue than printed content does, so newspapers actually wind up worse off if they move online.

To justify this line of argument, Henry looks at the New York Times — presumably because if the New York Times can’t make the math work, no one can. Using (for the sake of argument) the idea that the Times immediately stops publishing in print and moves entirely online, here’s what Blodget says would happen to the company’s bottom line:

Revenue drops by more than half, 40%-50% of employees get fired, and the company still loses money. Using the NYT’s Q2 numbers and these assumptions, for example, revenue would have dropped from $789 million to $285 million.

More importantly, EBITDA (earnings before interest, taxes, depreciation, and amortization) would have dropped from $118 million to -$64 million.

Not a great picture, is it? But there are a number of problems with Henry’s analysis, as several people — including my friend Mark Evans, who has posted some thoughts on the subject, and Seamus McCauley of Virtual Economics. Seamus in particular takes issue with many of Blodget’s assumptions.

Among other things, Seamus makes the point that a proliferation of online content actually makes certain kinds of content more valuable — particuarly content that has been verified by trusted sources, which he believes is the true core competency of mainstream media organizations (Jack Trout has some ideas about what makes newspapers valuable here, while others think a paper’s most valuable asset is its useability).

Are Blodget’s projections unrealistic? Pretty much, yes. Obviously, printed newspapers aren’t going to vanish overnight, nor is online advertising going to remain static. But thinking about what might happen if they did is definitely a worthwhile exercise.

Whose bandwidth is it anyway?

An Internet storm has been brewing for some time now, and the latest bit of bad weather comes from across the pond in Britain, where a number of Internet service providers are warning the BBC that its new iPlayer streaming-video application had better not suck up too much bandwidth, or the ISPs will be forced to restrict the use of it, or charge customers more. Not that long ago, Google was getting a similar message from Verizon executives.

traffic_jam.jpgThe storm in question goes by many names — including “net neutrality” — but the reality is that it stems from a clash of two forces: the Internet providers whose pipes we all have to use, and increasingly bandwidth-intensive applications such as Bit Torrent and Joost. Internet providers have been selling the idea of almost unlimited bandwidth for years, but as more people try to use it the ISPs are finding their networks overloaded (and/or the “peering” fees that they pay are skyrocketing). That’s why almost all of them use some form of bandwidth or packet “shaping” to give some kinds of traffic priority over others.

If you’re an Internet user, this is going to strike you as an obvious cash grab. If you’re an ISP, however, the kind of ultimatum that British providers are giving to the BBC no doubt seems completely justified. As more than one observer has pointed out, streaming-video providers in particular are effectively offloading the cost of bandwidth onto ISPs — and that can only continue for so long.

At Last100, my friend Steve O’Hear makes the point that if it wasn’t for bandwidth-intensive applications like video, people wouldn’t need the high-speed accounts that the ISPs have been making so much money selling. And Om Malik makes a similar point in his post. Perhaps this one falls into the category of “Be careful what you wish for.”

Update:

Speaking of Joost, one of the problems with peer-to-peer streaming video apps like Joost and Babelgum is that they depend on users with fast upload speeds, and Jackson West at NewTeeVee notes that in the U.S. in particular this is a major issue. Meanwhile, one UK Internet provider has distanced itself from the iPlayer story.

Days of Our Lives, the blogosphere edition

I guess it wouldn’t be a weekend without some kind of pissing match or emotional upheaval in the schoolyard blogosphere, and the current candidate is a high-profile sparring exercise involving Jason “Mahalo” Calacanis and Dave “I invented RSS” Winer.

In a nutshell, Jason got up at Chris Pirillo’s Gnomedex conference and talked a lot about Mahalo.com, his “people-powered search” startup. No surprise there — Jason is a promoter’s promoter.But some people took offence at the promotional flavour of his remarks, including Dave (although Dave has pointed out that he wasn’t the only one, and Wired notes that Chris Pirillo himself made similar comments on Twitter).

If you want to catch up, there’s Jason’s response to Dave on his blog and Dave’s initial response and follow-up. Stowe Boyd has some thoughts about how Dave tends to be a loose cannon at conferences, as Blake Ross (ex of Firefox) and others can probably attest.

As I know from personal experience, Dave is notoriously thin-skinned — kind of surprising for a guy who has been blogging since most of us were in kindergarten, but still a fact. He even takes Steve Hodson to task at Winextra for describing his remarks at Gnomedex as being “pissy.” Robert Seidman, meanwhile, goes with the term “chucklehead.”

Dave maintains that his comments were all about how Mahalo isn’t a platform that developers can work with, and seems upset that everyone focuses on the tone of his remarks instead of the substance. But there’s an easy solution to that: don’t be so pissy about it in the first place.

Update:

As always, my mesh friend Loren Feldman at 1938media has a way of putting everything into perspective with his Gnomedex Thoughts video (thanks to Allen of Centernetworks for the link). And it seems that Jason and Dave have made up, according to a Twitter post — I refuse to call them “tweets” — from Jason, in which he said: “Accepted Dave… and as always I respect your ideas greatly and am always open to hearing how you think any product can be better. “

Dave has apologized (at least sort of) here, but in true Wineresque fashion, he apparently couldn’t let things rest and so has posted a number of suggestions for Jason on how he could apologize as well. Classic. Still can’t get enough of this topic? There’s more at Wired’s Epicenter blog.

Partial Freakonomics feed = bad idea

I’m a huge fan of the Freakonomics guys, and a subscriber to their RSS feed, but I didn’t realize until I saw a MediaPost item on Techmeme that they had been “acquired” by the New York Times. I also didn’t realize until I read through the item that they have switched to partial RSS feeds, which I absolutely loathe.

That loathing appears to be shared by dozens of commenters and formerly faithful readers who left their thoughts on Stephen Dubner’s post about the move to the Times. Many have said they will be unsubscribing from the blog, which will hopefully make the NYT smarten up.

I realize that — as Tish Grier points out on the MediaPost item — the Times is looking to make their content pay, especially if they decide to lose the Times Select pay wall (as has been rumoured), and getting readers to click through to the website is probably one way of doing that. But I still think it sucks.

Some of the reasons are enumerated in this comment on the Freakonomics post. The bottom line is this: if I wanted to click through to the website, then I would just go to the damn website in the first place. Partial feeds defeat almost the entire purpose of reading RSS feeds in the first place. Bad idea, guys.

Update:

Mike Masnick at Techdirt has a post on the topic, in which he describes how full-text feeds can actually lead to more page views. And the Freakonomics guys have posted an update on the RSS issue that is somewhat less than reassuring.

Google and MSFT need to try harder

Storage news from both Google and Microsoft today: The former is giving you the ability to upgrade your combined Gmail and Picasa Web Album storage, in what could be a precursor to a full-fledged Gdrive storage offering, and the latter has launched its news Windows Live Skydrive.

Both are defective, in my opinion. I realize that these are just betas, but Google is way off base with 6 gigabytes of combined Gmail and Picasa storage for $20 a year. The early-bird (or more likely mistaken) price of $1 made a lot more sense to me. Storage is virtually free, and Google knows it — and as more than one person has pointed out already, Yahoo Mail is unlimited, and Flickr.com has unlimited storage for $20.

Windows Live Skydrive, meanwhile, starts with the clunky Windows Folders interface and design and 500 megabytes of storage. What the heck is that all about? I have photos that are 500 megabytes in size (okay, that’s a bit of an exaggeration, but not much). Mike Arrington of TechCrunch is similarly unimpressed.

Microsoft is going to have to work a little harder than that, and so is Google. Storage options like JungleDrive that are built using Amazon’s ultra-cheap S3 storage service — and others like the ones described at Read/Write Web — look pretty good compared to either one at the moment.