Copy vs. Create
November, 2007
Greg Hochmuth
Web 2.0 Expo Berlin

Copy vs. Create
Cloning, Learning and Competing
on the Web
November, 2007
Greg Hochmuth
Web 2.0 Expo Berlin

and since?

...

around 400 profiles of
German companies

Clone vs. Compete
Clone, copy, or competition?

http://vkontakte.ru/

http://www.xiaonei.com/

http://www.digg.com.my/

http://www.digg.com.my/

http://www.digga.se

http://www.pusha.se/digga.php

http://www.pusha.se/

http://www.wired.com/software/webservices/news/2007/05/twitter_clones

http://twitter.pbwiki.com/Clones

http://www.6.cn

http://www.meebo.com.cn

site:techcrunch.com clone

site:alarmclockeurope.com clone

http://del.icio.us/tag/clone+web2.0
...

Verwandt.de: German Geni Clone
Google PowerPoint Clone Coming
Propeller Will Be The New Net Digg
Clone Y Combinator’s Unathorized
European Clone Ambient Backs
European Dogster Clone Taatu
launches HabboHotel clone Index
Ventures Backs StubHub Clone
Samwers Invest in Twitter Clone
German Twitter Clone Finds A Buyer
on Ebay Another China YouTube
Clone - 56.com - Raises $10M ...

Clone vs. Compete
Clone, copy, or competition?

http://searchengineland.com/070615-081218.php

http://searchengineland.com/070615-081218.php

http://www.startupvergnuegen.com/

Clone vs. Expand

Expand and Fortify
• •
StudiVZ Digg
• XING • Delicious
• Jimdo
• YouTube
• Netvibes
vs. • Twitter
• Wikio
• LinkedIn
• Ciao
• Dawanda
• Spreadshirt
• ...

When things go wrong

When things go elsewhere

When things happen elsewhere

Non-US Markets Lead Usage Penetration in Many Categories
E-commerce: Broadband:
Online Gaming: Mobile Payments:
Germany S. Korea
China Japan
Online Advertising:
UK
Social Networking: Microtransactions via SMS:
Brazil / S. Korea Philippines
47
Source: Morgan Stanley Research
www.morganstanley.com/institutional/techresearch/pdfs/web2.0.pdf

China –
Internet Market Capitalization - 76% CAGR over 4 Years
China public Internet company market capitalization (US$ in B)
(1)
$50B
$50
$45
Total Market Capitalization (US$ in B)
$40
$35 76% CAGR
$30
$25
$20
$15
$10 $5B
$5
$0
2003 2004 2005 2006 2007 YTD
Includes: Sina, NetEase, Sohu, Ctrip, Shanda, 51job, Tencent, Tom Online, Baidu, China Digital TV, Perfect World, CDC Corp,
The9, eLong, Kongzhong, China Finance Online, Linktone, Hurray!, New Oriental Education, Home Inns, Netsun, Xinhua
Finance Media, Acorn, and Kingsoft
(1) Market Capitalization as of 10/15/2007
48
Source: Morgan Stanley Research
www.morganstanley.com/institutional/techresearch/pdfs/web2.0.pdf

Forget flat.
This will only get more complicated:

LinkedIn, XING
MySpace, Bebo, Hi5, Orkut

LinkedIn, XING
MySpace, Bebo, Hi5, Orkut

LinkedIn, XING
MySpace, Bebo, Hi5, Orkut
http://labs.google.com/papers/sawzall-20030814.gif

Thanks.
get in touch: grex@cs.stanford.edu