Conversations About OpenSocial Explode

by Jay Deragon on 11/01/2007

Motley FoolCommentary and perspective about Google’s OpenSocial are exploding on the net.  Motley Fools article of October 30th provides yet another perspective on these developments.

Microsoft Must Kill Google, Now
By Rick Aristotle Munarriz October 30, 2007  

There’s a lot of chatter over Microsoft‘s (Nasdaq: MSFT) decision last week to fork over $240 million for a 1.6% stake in Facebook.

  • “I’m not seeing how this makes any sense,” argues MarketWatch’s John Dvorak.
  • The deal “demonstrates just how badly the world’s largest software maker wanted to deepen its relationship with a start-up that doesn’t even have $200 million in annual revenue,” suggests Michael Liedtke of the Associated Press.
  • And finally, as Fortune‘s Josh Quittner proclaims, if Facebook’s revolutionary “social advertising” model takes off, “$15 billion for Facebook will look like the deal of the century.”

I submitted my opinion last week: This isn’t an investment, it’s a cover charge. Microsoft doesn’t really believe Facebook is worth $15 billion. But still, you’d be nuts to think that Microsoft would have paid up if there were no bonus schwag involved. In this case, it got expanded advertising rights on the popular social-networking site. That’s what sealed the deal.

If we dig deeper, we can see that Microsoft’s costly stake may prove to be a bargain if it succeeds in strengthening Microsoft while weakening Google (Nasdaq: GOOG)read the whole story here……

Additionally in response to my previous post “Will OpenSocial Create Systemic Changes?” David Hinson, the creator of the Linkedin contacts app on Facebook, responded with an interesting perspective which I thought worthy of sharing.  Here it is

David writes: “I think everyone sees this for what it is – a holding action against red-hot Facebook in the application platform arena, with “me, too” social networks in tow. Here are my “sight-unseen” takes on the challenges this approach has, technically and philosophically:”

1) Technical: this is a spec, NOT a library.  So that means each container vendor (Friendster, Hi5, LinkedIn, etc) will have their own implementation and flavor of the container.  Think Browser Wars, and then envision a cross-product affect as you try to work out the differences in what is exported (or not) across seven or eight social networks.  Unless you’re giving everyone werewolf bites, this is not a trivial development exercise.  I’m withholding judgment, but on its face I look upon this architecture as no different as say the Java platform or OLE / ActiveX – great in promise, rapidly different in delivery.

2) Philosophical:  how is it “open” simply by virtue of Google heading up the effort?  Simply because they are (a) not MS and (b) not Facebook?  I can tell you this – I would fear Google more than I would FB with regard to ultimate intent.   Still, I would prefer not to be the frog with a scorpion on my back.

Certainly the conversations on these matters will continue and the ultimate voice will be what the users of the social web end up doing.

What say you?

{ 2 comments }

Michael Pokocky November 2, 2007 at 3:54 am

It’s official. Goolge has teamed up with MySpace and a host of others. The interesting thing this has been going on all along right under our noses.(1.)

My view is that like any buisness where deep pockets are required to allow a project to mature as in the magazine business Google with a Stock Price of $700 and climbing and a market cap in the hundreds of billions — I read somewhere that Google is so big that it represents the forth largest company in the world. But Jay you’re the expert here so confirm this please. My point it that its pretty safe to say that when you got the money you can pretty well do anything you want. What a world we live in hey. A search engine with no tangible assets really and it doesn’t make anything tangible like a car is worth $700 per share. My deceased stockbroker friends from the 80’s surely are tuning over in their graves missing out on this one. What Jay is next?

(1.) Ostrow, Adam . “It’s Official: Google + MySpace = OpenSocial.” Mashable.com. 01 Nov. 2007– 12:32 PM PDT. Mashable – in-depth analysis of Web 2.0 strategy. 01 Nov. 2007–4;52pm EST. http://mashable.com/2007/11/01/myspace-google-2/.

Michael Pokocky November 2, 2007 at 3:53 am

It’s official. Goolge has teamed up with MySpace and a host of others. The interesting thing this has been going on all along right under our noses.(1.)

My view is that like any buisness where deep pockets are required to allow a project to mature as in the magazine business Google with a Stock Price of $700 and climbing and a market cap in the hundreds of billions — I read somewhere that Google is so big that it represents the forth largest company in the world. But Jay you’re the expert here so confirm this please. My point it that its pretty safe to say that when you got the money you can pretty well do anything you want. What a world we live in hey. A search engine with no tangible assets really and it doesn’t make anything tangible like a car is worth $700 per share. My deceased stockbroker friends from the 80’s surely are tuning over in their graves missing out on this one. What Jay is next?

(1.) Ostrow, Adam . “It’s Official: Google + MySpace = OpenSocial.” Mashable.com. 01 Nov. 2007– 12:32 PM PDT. Mashable – in-depth analysis of Web 2.0 strategy. 01 Nov. 2007–4;52pm EST. .

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