Comments on: Huffington Post replaces its CEO
Betsy Morgan is leaving the company after fewer than two years on the job, and will be replaced by Eric Hippeau, a partner at Huffington Post investor Softbank Capital.
Betsy Morgan is leaving the company after fewer than two years on the job, and will be replaced by Eric Hippeau, a partner at Huffington Post investor Softbank Capital.
Web sites launch all the time, but they also shut their doors. We highlight 15 that bit the dust this year.
Let the debate begin: Was the iPhone more important than iTunes? Was anything bigger than Google finding a great business model? CNET offers its list of the 10 most important stories of the '00s.
CNET News' Caroline McCarthy is a downtown Manhattanite who believes that, despite popular opinion, the Web can actually help your social life. She's happily addicted to fun social-media tools from Twitter to Yelp to Facebook, sends an inordinate number of text messages, and has a tendency to waste time at the office reading restaurant blogs. Here, she explores all facets of the Web's gregarious side, as well as the unique tech culture in her home city of New York. (Don't call it Silicon Alley.)
Add this feed to your online news reader
- by mbenedict June 15, 2009 10:42 PM PDT
- Huffington Post's business model is all wrong. Didn't anyone learn anything from the dot-com bubble burst?
- Like this Reply to this comment
-
(6 Comments)Huffington Post has the typical "profits don't matter" so "lets raise a ton of money from VC to grow" model. As a result they have to over-engineer everything, hiring a ton of people and building a massive, expensive technical infrastructure (to support thousands of bloggers, etc.)
They generate maybe $8 million in yearly revenue but need a 40 to 50 employees to do so!!
As a comparison (both politically and economically) look at Matt Drudge. His Drudge Report is a much leaner, simpler model. He has one static HTML page vs. Huffington Post's thousands of bloggers.
Yet with one cached HTML page, the Drudge Report manages to generate about 50% of Huffington Post's traffic and revenue (about $4 million a year) with just TWO employees (counting Matt Drudge himself plus his colleague Andrew Brietbart) and very little infrastructure cost.
Needless to say the Drudge Report is highly profitable, while the Huffington Post likely operates at a net loss. The Huffington Post needs to do much more than replacing the CEO; they need to jettison their entire business model.