Facebook is changing the structure of its company stock to a dual-class system, a move that hints the company may be looking toward an initial public offering--even though it says it has no plans to do so yet.
Here's how it works. Existing Facebook shareholders currently have Class A stock. That'll be converted to Class B stock, which has 10 times the voting power of Class A. Should those shareholders sell their stock when Facebook goes public, they'll be converted back into Class A stock--otherwise, they'll stay the way they are.
The story was first reported by The Wall Street Journal, which added the detail that this stock structure change will give founder and CEO Mark Zuckerberg more power unless he opts to sell stock during an IPO. But while Zuckerberg and other executives have said that they eventually plan to take Facebook public, they continue to say that there are no concrete plans for it. Two years ago, Zuckerberg said that it was "years out."
"This revision to the stock structure should not be construed as a signal the company is planning to go public," a statement from Facebook read. "Facebook has no plans to go public at this time."
Professional networking site LinkedIn's platform, previously a closed offering for select partners, has opened up to developers at large, according to an announcement Monday on the company blog.
Well, sort of. Building an embeddable widget on LinkedIn, unlike Facebook's, still requires a stringent application process. But LinkedIn's own code has now been opened up so that developers can integrate it into their own sites. It's launched a developer site for those interested in features that let site users access their LinkedIn profile and contacts externally. They still have to request a key to get into the platform's application program interface (API), which means that LinkedIn widgets likely will not be coming to office prank-calling Web sites any time soon, despite that they could make it much easier to robo-call your boss and ask if his refrigerator is running.
One of the first participants, for example, is desktop Twitter client TweetDeck, which says that it will soon allow users to plug in their LinkedIn contacts' status updates alongside Twitter, Facebook, and MySpace contacts.
LinkedIn has about 50 million users as of last count.
Some looks at the new AOL branding.
(Credit: AOL)It's the media equivalent of moving out of your parents' house, heading to the nearest tattoo and piercing parlor, and yelling FREEEEEEDOM!: AOL has unveiled the "new brand identity" for its post-Time Warner era, slated to begin December 10 when it begins trading on the New York Stock Exchange as a separate company. And there's nary a blue triangle in sight. Instead, there's a plain new text logo presented with various backdrops, from cartoon scribbles to a rock-star hand symbol to a totally adorable goldfish.
The company is currently offering just a preview, and says in a release that a full unveil will come on the spin-off date. Yay, secrets! I love secrets! But we, of course, have many hints: like the fact that CEO Tim Armstrong, who joined the company in March after a long stint as a high-profile Google sales executive, keeps talking up AOL's future as a powerhouse in digital content and publishing. The company's array of niche blogs, which were hatched when AOL purchased Weblogs way back in 2005, are now its centerpiece.
So the new mood? "It's one consistent logo with countless ways to reveal," the release explained. Ooh, sexy!
The release also included a soundbite from Karl Heiselman, CEO of Wolff Olins, which AOL enlisted to help with the transformation: "AOL is a 21st century media company, with an ambitious vision for the future and new focus on creativity and expression, this required the new brand identity to be open and generous, to invite conversation and collaboration, and to feel credible, but also aspirational."
Of course, it's not all sunny: The company is on the verge of significant layoffs, as well as the possible chucking of non-"content" properties like ICQ and MapQuest, as the spinoff date grows closer.
Whatever. Isn't that goldfish cute?
An example of Brizzly's new tweet translation.
(Credit: Brizzly)Web-based Twitter client Brizzly made a dual announcement Friday: first, it's opened up into a full public beta mode (previously, an invite code was required); and second, it can now translate tweets into your default language on the site.
To translate a tweet in Brizzly--which already expands links, videos, and photos posted to Twitter, creating a more visual experience--you can click on a question mark for an instant translation. This is interesting, as Twitter has made its first moves recently in launching translated versions of the service (starting with Spanish), meaning that there will potentially be many more non-English tweets flowing through the system. It uses Google Translate, so needless to say, it's not totally perfect.
Offerpal Media, one of the companies at the center of a bitter dispute over misleading advertisements on social networks, on Thursday launched a revised policy designed to "forbid any offers that are misleading, deceptive or otherwise objectionable."
Companies like Offerpal are enlisted by many of the big gaming companies built on social networks like Facebook; they help those companies make money by letting game players earn points and virtual goods by completing offers and surveys rather than paying real money.
They make a lot of money doing so. So do the game companies, like Zynga and Playfish (recently acquired by Electronic Arts), which in turn advertise heavily on the likes of Facebook to recruit new players.
But then the negative press started to emerge: many of these "free" offers and surveys actually had hidden costs attached to them that weren't adequately disclosed. Some companies like Zynga started backtracking and going so far as to ban offers altogether. Facebook and MySpace, the two biggest social-network platforms, made very public revisions to their policies. But the controversy continued, and both Facebook and Zynga were named as defendants in a federal class-action lawsuit.
Offerpal, which replaced its CEO amid the controversy, has now come out and said that while it's setting a basic standard for advertisement quality, game makers and publishers enlisting Offerpal's services can opt to be even more stringent. "Offerpal will rate all offers by quality and allow its partners to select a quality level of compliance ranging from 'Level 1' for minimal restrictions to 'Level 5' for highly conservative restrictions," a release explained.
Will the new restrictions keep angry bloggers and consumers--not to mention lawmakers--at bay? More importantly, are they going to amount to anything more than smoke and mirrors? We'll see.
Sold!
Auction site eBay has, as long anticipated, sold off the Skype telephony service to a group of investors that includes Marc Andreessen's new Andreessen Horowitz group, Silver Lake, and the Skype co-founders' Joltid Ltd. The investor group now holds about 70 percent of the company; eBay retains the rest in a minority stake. Joltid was brought into the investor group as part of the settlement of a copyright suit that the Skype co-founders, Janus Friis and Niklas Zennstrom, filed against eBay over Skype's technology. At one point, that dispute was looking so ugly that eBay was reportedly considering rebuilding Skype's technology altogether.
The sale amounted to approximately $1.9 billion in cash and a note from the buyer in the principal amount of $125 million, for a total of $2.025 billion.
eBay's plans to get rid of Skype, a purchase that had never fit quite well into its auction business, had been well-publicized. Last spring, the company formally announced that it planned to spin off Skype as a publicly traded company in the first half of 2010.
The final $2.75 billion valuation is only slightly higher than the $2.6 billion that eBay originally acquired Skype for in 2005.
The simple concept of having virtual-good payments in games sent directly to your cell phone bill has gotten a lot of buzz--and stirred up a lot of rivalry. One of the start-ups looking to pull this off, Boku, announced Monday that it has signed on a dozen new gaming partners, both a few based on the Facebook platform and some others that are either Web-based or desktop downloads.
The partner companies are Waves, Cie Studios, Cyberstep, GameDuell, IGG, King.com, NHN USA, Ntreev, Outspark, PerfectWorld, Snap Interactive, and Zoosk. Most of them aren't household names: they're game manufacturers, not the games themselves, and some of them are most prominent outside the U.S.
There are a handful of companies trying to grab market share in this space, but the two who have been most vocal about making inroads have been Boku and rival Zong, which last month announced that it would allow members to sync credit cards with their phone numbers, allowing for larger payments and putting the company closer to direct competition with the likes of PayPal.
Boku says it's sticking to the mobile-number-only strategy, choosing instead to ink more deals and emphasize its global reach: with the current round of partnerships, the company says it will have 200 million registered users added to its ranks (no word on how active they all are, or how much redundancy there is across games).
Additionally, Boku has made some infrastructure upgrades that it says will improve the user experience, including the ability to detect whether a phone number that has been entered is landline or mobile--and if mobile, what carrier it's coming from.
Location awareness is hot, from gamelike social services such as Foursquare and Gowalla to platforms such as Google Latitude. Now one start-up is hoping to make it as easy for any company to integrate into a Web or mobile service as it is for retailers to use PayPal. Meet SimpleGeo, which on Thursday is launching into a private beta.
Boulder, Colo.-based SimpleGeo, co-founded by former Digg engineer Joe Stump and Socialthing founder Matt Galligan (who sold the would-be FriendFeed competitor to AOL), started out as a company called Crash Corp. earlier this year. The goal was to make augmented-reality applications for mobile devices like the iPhone, but the founders said that building the location-aware infrastructure for their first game took a whopping three months.
So they changed their company name and angle: SimpleGeo's purpose is to build that infrastructure for other companies to eliminate the development hell, hoping to do for "geo" apps what PayPal did for sites requiring payment systems or Facebook did for sites requiring logins and social-networking features. The complete offering, which can also build in augmented-reality features, encompasses storage, analytics, and a software development kit (SDK).
Three versions are available: free, $399 per month, and $2,499 per month. A public version is slated to launch in the spring.
Nobody's really doing this yet, though apparently a few other start-ups are toying with similar business plans, and SimpleGeo is still new enough that it has not yet closed a round of venture funding. Because it's in private beta, we also haven't yet seen just how powerful it is (though Galligan has posted some test video to Flickr) so it's not yet possible to answer the big, glaring question: what if Google makes a big, developer-focused Latitude push that could snuff out smaller competition?
In the wake of acquiring smaller digital music services iLike--and now, it looks like, Imeem--MySpace continues to attempt to align itself as the foremost player in the digital music industry. On Wednesday, the News Corp. division rolled out a music charts page to track the most popular music getting listened to on the social site.
It's fairly self-explanatory. There's a prominent "movers" section featuring artists that have seen an uptick in activity recently, and music can be filtered by genre, country, and label category (indie, unsigned, or major). Then there are links to "friend" an artist, buy songs, and watch music videos on MySpace's recently launched music video portal.
(Credit:
MySpace)
The design, regrettably, isn't very user-friendly and requires quite a bit of scrolling. And in a world of finely tuned "music discovery" and personalized recommendations, charts can seem a little bit static. A blog post from MySpace Music head Courtney Holt assures that it's "just the beginning of a product and platform evolution that reinforces the key messaging, vision and direction of the new MySpace Music."
MySpace launched its music service last year as a joint venture with major and independent record labels, and has received a mixed response as the industry continues to grapple with the fact that no non-iTunes digital music service has proven to be a huge moneymaker yet.
NEW YORK--Former Six Apart executive and well-read blogger Anil Dash has a new gig: he announced at the Web 2.0 Expo here on Wednesday that he will be the director of Expert Labs, a new nonprofit that will take the dot-com incubator model and apply it to new digital tools for the federal government.
"Despite what our ego tends to think in the tech industry, the issue is not that we need to have more tweeting from the White House," Dash said onstage. "(We can) help them learn the lessons that we've seen over the past half decade of Web 2.0's ascendence."
Expert Labs, which is a division of the American Association for the Advancement of Science that's funded by the MacArthur Foundation, will match digital voids and holes in government and policy with the developers who can fill them, with grant money paying for the work. The organization also hopes to host developer competitions, a similar move to some municipal projects like New York's "Big Apps."
It's not a government agency, but the Expert Labs Web site explains that "we've been privileged enough to connect with agencies and departments across the federal government, from the White House on down." Cutting through bureaucracy, needless to say, will still be a challenge. Dash is unfazed.
"If we tap into the expertise of each community, there's enormous potential," he said. "So we're going to ask policymakers for their expertise in defining the questions that we need answered." Then, Expert Labs plans to hook those projects up with technologists who can build the requisite systems, and then to members of the science and academic communities to help solve the issues at hand.
"No matter how smart the policymakers are in our government...there's always going to be more experts outside the Beltway," Dash said. "The tactics thus far have been a closed-door meeting with a half dozen people for an hour."
He asserted, "The Web has changed the way that works."
