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Ed's last blog post..GO VOTE!!
Obtaining more funding will not solve the problem as spending has become part of the culture of the company.
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... this could not be more wrong.
A website pays for bandwidth in the country in which it operates, if foreign visitors visit, it doesn't pay foreign providers. The sentence is misleading. This issue at hand is that there are foreign visitors (which yes, cause higher bandwidth costs -- but at local prices), and Facebook has no ability to sell ads targeted to these users. They have no inroads into the large international agencies, and they have not feet on the ground IN those foreign local markets to get local money.
Basic problem: Their audience and infrastructure is thousands of times larger than their sales ability.
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Interestingly, there are more Danish people (population 5,5 mill) on Facebook than German people (population 80 mill.).
Why not start offering photo prints. As a revenue generator it is working well for some photo sharing sites. And it adds stickiness as well.
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Although they often drive household purchases (grocery choices, upgrading high-speed internet, more powerful computer, cable TV, etc.), it's not a demographic that has a credit card in their hand.
If Facebook doesn't move to a subscription model, I find it hard to see where their revenue growth will come from. I agree with Michael, who suggested services like photo printing ... but these impulse buys will require a payment method that's available to teenagers. How many parents will hand over a credit card number to their little darlings?!
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Their Own Ad Network "Facebook Ads" doesn't really convert well (According to many advertisers)..
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Could just sell user's data, that would be easier but maybe slightly more illegal...
John
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The survival of Facebook shouldn't be in question, but the future of its management.
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The truth, since they've completly ignored unhappy "new-facebook" users, I ask my self if
any one understands what he is doing there?
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For a company that worth 15 billions and people behind it with overpaid salaries and partying all nights. Facebook is destined for destruction.
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John
As far as making new "friends" on these sites, who really does that? You may swap a few messages with someone but will you ever really get to know them, will you ever meet them in person, will you care when they stop using the site? The answer is probably a resounding no!
Want to meet new people? Why not try the tried-and-true ways of going to the pub, or sporting events, take up a hobby, selling drugs, or, god-forbid, talking to your co-workers.
Death to social networking - it's a silly idea. Facebook one of them???Not sure!!!
It still meets our daily needs funny enough
The main asset of Netlog is the easy localization at a low cost, which could help them spread further over the world.
Stil lall of them are in need for a business model.
I remember John Donovan saying at YES Summit that Lending Club is placing themselves inside of popular social networks "the same way you put a physical branch where people are."
Unless any given app adds value to the interaction that goes on inside of these social networks (for example, iLike is wildly successful in Facebook because it's another personality showcase) - which has to be more than simply being present - use will be scrappy.
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