Entrepreneurship & Social Media Salim Ismail Head of Brickhouse, Yahoo! Ex-

Background 1996: First early-stage company 2001: First startup (of my own) 2002: 2 nd startup 2005: 3 rd startup 2006: 4 th & 5 th startups 2007: Joined Yahoo to build/run Brickhouse 1 year, 3000 ideas and 4 products later…. 2008: Back to Startup land

1996: First early-stage company

2001: First startup (of my own)

2002: 2 nd startup

2005: 3 rd startup

2006: 4 th & 5 th startups

2007: Joined Yahoo to build/run Brickhouse

1 year, 3000 ideas and 4 products later….

2008: Back to Startup land

Cork – 1996-2008

Cork – 1996-2008

Overview Internet Infrastructure Context for where we are today technology underpinning product roadmap Data on the internet Hidden Web Event-Driven Business Models Map of the internet Social Media Web 2.0

Internet Infrastructure

Context for where we are today

technology underpinning

product roadmap

What is Web 2.0 According to Tim O’Reilly…. Fundamentally: user participation (UGC) + XML

According to Tim O’Reilly….

Other Web 2.0 Descriptors Services (as opposed to data) UGC (User Generated Content).. e.g. blogs Manipulate and ‘use’ data, not just presentation Low latency (real time) Data aggregation Social Networking Examples Flickr, Buzznet, Dabble Wordpress, Typepad, Drupal Eventful, Upcoming, Edgeio YouTube, MySpace, FaceBook Web 2.0: Consumer to Consumer

Services (as opposed to data)

UGC (User Generated Content).. e.g. blogs

Manipulate and ‘use’ data, not just presentation

Low latency (real time)

Data aggregation

Social Networking

Examples

Flickr, Buzznet, Dabble

Wordpress, Typepad, Drupal

Eventful, Upcoming, Edgeio

YouTube, MySpace, FaceBook

Web 2.0 Tag Cloud

Web 2.0 – Was led by Blogs Last few years - blogs have exploded in use With the rise of the web in the 90s, we had millions of readers, but relatively few publishers (e.g. CNN, CNet) Now, due to the ease of publishing with blogs and other tools, we now also have millions of publishers 1m in 01/04, 10m in 01/05, 50m in 2006 and over 100m today (that’s just blogs) A Syndication ecosystem has evolved Ping servers, ping aggregators and blogging platforms all collaborate to disseminate RSS and Atom updates Blogs now being ‘overtaken’ Top Bloggers: stratifying into self-publishing journalists/pundits MySpace, FaceBook, Twitter, Bebo et al covering the rest Has led to web 2.0 and social media

Last few years - blogs have exploded in use

With the rise of the web in the 90s, we had millions of readers, but relatively few publishers (e.g. CNN, CNet)

Now, due to the ease of publishing with blogs and other tools, we now also have millions of publishers

1m in 01/04, 10m in 01/05, 50m in 2006 and over 100m today (that’s just blogs)

A Syndication ecosystem has evolved

Ping servers, ping aggregators and blogging platforms all collaborate to disseminate RSS and Atom updates

Blogs now being ‘overtaken’

Top Bloggers: stratifying into self-publishing journalists/pundits

MySpace, FaceBook, Twitter, Bebo et al covering the rest

Has led to web 2.0 and social media

Since then… a few companies are betting on it

What makes this all tick? Syndication XML Low Latency Great UX

Overview Internet Infrastructure Context for where we are today technology underpinning product roadmap Data on the internet Business Models

Internet Infrastructure

Context for where we are today

technology underpinning

product roadmap

Web 2.0 = Internet 3.0™ We are increasingly watching … 80s Email 90s Web Browser 00s RSS Aggregator Messaging Request Response Publish Subscribe What’s your email address? Sending What’s your Website? Searching What’s your Feed/Blog? Watching Information Exchange Patterns Evolution of the Internet

Web 2.0 = Internet 3.0 Web 2.0 = Internet 3.0 Structured Data (XML) Syndication is starting to take hold Event-based (Publish/Subscribe) Participatory UX = consumer to consumer Latest wave in internet companies (MS, FB, YT…)

Web 2.0 = Internet 3.0

Structured Data (XML) Syndication is starting to take hold

Event-based (Publish/Subscribe)

Participatory UX = consumer to consumer

Latest wave in internet companies (MS, FB, YT…)

Internet 3.0 – The Nervous System The internet is evolving into a complex organism Search is the memory Web 2.0 provides the basis for the nervous system The key question is: “ Whenever…”

The internet is evolving into a complex organism

Search is the memory

Web 2.0 provides the basis for the nervous system

Now that we understand internet infrastructure... Internet Infrastructure Context for where we are today technology underpinning product roadmap Data on the internet Business Models Definition: Rows & Columns e.g. Word vs. XML authoring

Internet Infrastructure

Context for where we are today

technology underpinning

product roadmap

Example: Blogs RSS is really just a wrapper for text plus metadata plus a syndication mechanism Atom is another, more evolved syndication spec A typical blog Post contains an opinion or specific Information (in text)

RSS is really just a wrapper for text plus metadata plus a syndication mechanism

Atom is another, more evolved syndication spec

A typical blog

Post contains an

opinion or

specific

Information

(in text)

The Internet is largely ‘hidden’ data Unstructured information (Visible Web) HTML and text oriented Search-engine crawlable Difficult to analyze Structured information (Hidden Web) XML, structured information (auctions, tickets, cars, jobs) Lives mostly in walled gardens (eBay, Monster…) Not easily available to search engines Much of that can be syndicated The hidden Web is 400-500x larger than the visible one VISIBLE WEB HIDDEN WEB Source: Crawling the Hidden Web Sriram Raghavan, Hector Garcia-Molina

Unstructured information (Visible Web)

HTML and text oriented

Search-engine crawlable

Difficult to analyze

Structured information (Hidden Web)

XML, structured information (auctions, tickets, cars, jobs)

Lives mostly in walled gardens (eBay, Monster…)

Not easily available to search engines

Much of that can be syndicated

Types of Structured Content Web 1.0 Autotrader eBay Monster Craigslist Lexis Nexis Online Media Web 2.0 Wordpress TripAdvisor Dabble “ Fire Eagle” SkyDeck SafariU Zillow Tripit Zimbra .. .. ..

The old world (hidden web) Before User fills form site stores data users search site craigslist

Before

User fills form site stores data users search site

The new world After User fills form (publish) data is syndicated users get updates Create/Publish/Discover Syndicate/Aggregate Read/Consume/Process

After

User fills form (publish) data is syndicated users get updates

Aggregators Blogs RSS Readers RSS Feeds Closed Syndication or Branding Browsers Web Pages Search Engines Internet Information Flows Open Syndication or Branding Pings Create/Publish/Discover Syndicate/Aggregate Read/Consume/Process Web 2.0 Web 1.0 Walled Garden DBs

Blogs Aggregators RSS Feeds Browsers Web Pages Search Engines Internet Information Flows Pings Open Syndication or Branding craigslist Closed Syndication or Branding Create/Publish/Discover Syndicate/Aggregate Read/Consume/Process Web 2.0 Web 1.0 Walled Gardens

Recent Products Who do I know (Social Networks) : Flickr, Upcoming, FaceBook, MySpace, Bebo What am I doing (status updaters) : Twitter, Pownce, Skype, FB Where am I (location brokers) Fire Eagle, Plazes, Loopt Gov’t Data Enterprise Data E-commerce Transactional data (reviews/ratings) (offers for sale) (events) Self-publishing (where am I) (what am I doing) SN Profiles Blogs (about me) HTML Create/Publish/Discover Syndicate/Aggregate Read/Consume/Process Web 2.0 Web 1.0 Aggregators Blogs RSS Readers RSS Feeds Closed Syndication or Branding Browsers Web Pages Search Engines Walled Garden DBs Open Syndication or Branding Pings Social Networks Mini Feeds Closed Syndication or Branding Social Networks (email)

Who do I know (Social Networks) :

Flickr, Upcoming, FaceBook, MySpace, Bebo

What am I doing (status updaters) :

Twitter, Pownce, Skype, FB

Where am I (location brokers)

Fire Eagle, Plazes,

Loopt

Create/Publish/Discover Syndicate/Aggregate Read/Consume/Process Web 2.0 Web 1.0 Aggregators Blogs RSS Readers RSS Feeds Closed Syndication or Branding Browsers Web Pages Search Engines Internet Information Flows Open Syndication or Branding Pings Social Networks Mini Feeds Closed Syndication or Branding Social Networks (email) Walled Garden DBs craigslist

Types of Structured Content Gov’t Data Enterprise Data E-commerce Transactional data (reviews/ratings) (offers for sale) (events) Self-publishing (where am I) (what am I doing) SN Profiles Blogs (about me) HTML Create/Publish/Discover Syndicate/Aggregate Read/Consume/Process Web 2.0 Web 1.0 Aggregators Blogs RSS Readers RSS Feeds Closed Syndication or Branding Browsers Web Pages Search Engines Walled Garden DBs Open Syndication or Branding Pings Social Networks Mini Feeds Closed Syndication or Branding Social Networks (email) 80s Email 90s Web Browser 00s RSS Aggregator Messaging Request Response Publish Subscribe What’s your email address? Sending What’s your Website? Searching What’s your Feed/Blog? Watching Information Exchange Patterns Evolution of the Internet

Business Models – Internet 3.0 Publish (syndicate) Blogs Photos Video CGM Subscribe RSS readers Cell phones Web Clients Aggregate Search Engines Social Networks Vertical Search Tagging Aggregators

Types of Structured Content Gov’t Data Enterprise Data E-commerce Transactional data (reviews/ratings) (offers for sale) (events) Self-publishing (where am I) (what am I doing) SN Profiles Blogs (about me) HTML Create/Publish/Discover Syndicate/Aggregate Read/Consume/Process Web 2.0 Web 1.0 Aggregators Blogs RSS Readers RSS Feeds Closed Syndication or Branding Browsers Web Pages Search Engines Walled Garden DBs Open Syndication or Branding Pings Social Networks Mini Feeds Closed Syndication or Branding Social Networks (email)

Business Models Users/Advertising Subscriptions Data Mining

Internet Entrepreneurship It’s a numbers game “ You have to do everything right, and THEN get very lucky” Market timing Too early is worse than too late Team, Team, Team Focus, then Execute Never give up stick around long enough…

It’s a numbers game

“ You have to do everything right, and THEN get very lucky”

Market timing

Too early is worse than too late

Team, Team, Team

Focus, then Execute

Never give up

stick around long enough…

Dynamics of starting a company today Low barrier to entry Virality is key Lots of competition Focus on service rather than data

Low barrier to entry

Virality is key

Lots of competition

Focus on service rather than data

Dynamics of Revenue Streams Advertising User base (you need a lot of them) Behavioural targeting Social profiling Data Mining Aggregate information on large sets of users E.g. Rapleaf, Spock, Wink, Google, Fire Eagle Subscriptions Typically for enterprise or prosumer use

Advertising

User base (you need a lot of them)

Behavioural targeting

Social profiling

Data Mining

Aggregate information on large sets of users

E.g. Rapleaf, Spock, Wink, Google, Fire Eagle

Subscriptions

Typically for enterprise or prosumer use

Tensions to be navigated How dodgy are you willing/able to be… ? Customer acquisition & monetization Spam factor When to take in revenue When to launch Don’t be a perfectionisht

How dodgy are you willing/able to be… ?

Customer acquisition & monetization

Spam factor

When to take in revenue

When to launch

Don’t be a perfectionisht

Thoughts on Social Media Computers are binary 80/20 rule Leverage with other types of information

Computers are binary

80/20 rule

Leverage with other types of information

Types of Structured Content Gov’t Data Enterprise Data E-commerce Transactional data (reviews/ratings) (offers for sale) (events) Self-publishing (where am I) (what am I doing) SN Profiles Blogs (about me) HTML Create/Publish/Discover Syndicate/Aggregate Read/Consume/Process Web 2.0 Web 1.0 Aggregators Blogs RSS Readers RSS Feeds Closed Syndication or Branding Browsers Web Pages Search Engines Open Syndication or Branding Pings Social Networks Mini Feeds Closed Syndication or Branding Social Networks (email) Walled Garden DBs

Key Drivers of Value Syndication XML Low Latency Great UX Gov’t Data Enterprise Data E-commerce Transactional data (reviews/ratings) (offers for sale) (events) Self-publishing (where am I) (what am I doing) SN Profiles Blogs (about me) HTML

Back to blogs RSS is really just a wrapper for text plus metadata plus a syndication mechanism Atom is another, more evolved syndication spec A typical blog post today contains an opinion or specific Information (in text)

RSS is really just a wrapper for text plus metadata plus a syndication mechanism

Atom is another, more evolved syndication spec

A typical blog

post today

contains an

opinion or

specific

Information

(in text)

There’s over a trillion XML documents Unstructured information (Visible Web) HTML and text oriented Search-engine crawlable Difficult to analyze Structured information (Hidden Web) XML, structured information (auctions, tickets, cars, jobs) Lives mostly in walled gardens (eBay, Monster…) Not easily available to search engines Much of that can be syndicated The hidden Web is 400-500x larger than the visible one VISIBLE WEB HIDDEN WEB Source: Crawling the Hidden Web Sriram Raghavan, Hector Garcia-Molina

Unstructured information (Visible Web)

HTML and text oriented

Search-engine crawlable

Difficult to analyze

Structured information (Hidden Web)

XML, structured information (auctions, tickets, cars, jobs)

Lives mostly in walled gardens (eBay, Monster…)

Not easily available to search engines

Much of that can be syndicated

Steps for building a business Pick a domain you’re passionate about Travel, sports, entertainment, business…. Pick a type of data that can to be leveraged on the internet Location, social information, structured data, live info Select one of the drivers of value creation Position yourself for risk Jump in with both feet Gov’t Data Enterprise Data E-commerce Transactional data (reviews/ratings) (offers for sale) (events) Self-publishing (where am I) (what am I doing) SN Profiles Blogs (about me) HTML Syndication XML Low Latency Great UX

Pick a domain you’re passionate about

Travel, sports, entertainment, business….

Pick a type of data that can to be leveraged on the internet

Location, social information, structured data, live info

Select one of the drivers of value creation

Position yourself for risk

Jump in with both feet

And if it doesn’t work…. Pick yourself up.. Dust yourself off… Get a new T-shirt… Start again…

Pick yourself up..

Dust yourself off…

Get a new T-shirt…

Start again…

Blogs Aggregators RSS Feeds Browsers Web Pages Search Engines Internet Information Flows Closed Syndication or Branding Pings Open Syndication or Branding craigslist Create/Publish/Discover Syndicate/Aggregate Read/Consume/Process Web 2.0 Web 1.0 Walled Gardens