Could Facebook become the Next Enterprise Software Vendor?

  • “It might sound crazy, but I think there’s an argument that Facebook could become a leading enterprise software vendor for the webscale world if the social-networking kingpin is so inclined,” writes Derrick Harris for GigaOM.
  • “As we continue to consume web applications and cloud services and webscale data centers become more common,” he adds, “Facebook’s tools and expertise could be a cash cow.”
  • The article details a few examples of new tools and systems Facebook has integrated to manage its massive infrastructure.
  • “Facebook could stand to make a lot of money by consulting with customers on how to build their data centers and architect their applications, and then selling them the software tools to keep those apps up and running,” writes Harris, also noting there is no indication that Facebook will ever pursue selling webscale software.

Facebook and Twitter Dominate Social Scene: Google+ Losing Momentum

  • The Hollywood Reporter suggests that Google+ may be losing momentum in its foray into social networking, citing data analytics from Chitika recently published in The Next Web. Facebook and Twitter are currently maintaining dominance in the social space.
  • “Our monthly referrals from there are down 38 percent since their peak, while Facebook referrals are up 67 percent and Twitter referrals up 51 percent over the same period,” reports TNW.
  • After Google+ attracted 10 million users in less than a month, expectations rose. But according to Chitika, Google+’s initial spike in traffic was short lived, leveling off just four days after its launch.
  • As one Google engineer stated on his Google+ page, the social network is “a prime example of our complete failure to understand platforms” and “a knee-jerk reaction” to Facebook.
  • “Bottom line: Facebook is still the king of social networks and will be for the foreseeable future,” adds THR. “Plan your marketing campaigns accordingly.”
  • In a related post from Gizmodo, Google+ claims 40 million “users” — but the question remains regarding how many are actually using it: “‘Users’ here, being loosely defined, since Google+ is a relative ghost town of privately shared links about how Google+ is a ghost town.”

Google+ Announces Three New Features in Response to User Feedback

  • Google+ users can now lock posts or disable comments before sharing. Previously, users could share to selected circles, but would then have to close comments after the post was made.
  • “This feature comes in response to popular user feedback, reassuring the G+ community that the platform does, indeed, have its privacy and best interest in mind,” reports The Next Web.
  • TNW also reports there is a new unread notifications number displayed on the tab bar, so that users no longer have to download third party apps.
  • Additionally, Google+ now has searchable hashtags, although the hashtag results are mixed in with regular key word findings.

Facebook Shares Designs: Will Cloud Hardware Get Cheaper and More Efficient?

  • Facebook launched its Open Compute Project as an effort to open-source the technology of its 147,000-square-foot data center that opened in Oregon in April.
  • “It published blueprints for everything from the power supplies of its computers to the super-efficient cooling system of the building,” reports MIT’s Technology Review. “Other companies are now cherry-picking ideas from those designs to cut the costs of building similar facilities for cloud computing.”
  • Although the concept of sharing designs and allowing other companies to build similar cloud-computing facilities at a lower cost may seem altruistic, it also serves as “an attempt to manipulate the market for large-scale computing infrastructure in Facebook’s favor,” suggests the article.
  • “The company hopes to encourage hardware suppliers to adopt its designs widely, which could in turn drive down the cost of the server computers that deal with the growing mountain of photos and messages posted by its 750 million users,” explains Technology Review. “Just six months after the project’s debut, there are signs that the strategy is working and that it will lower the costs of building — and hence using — cloud computing infrastructure for other businesses, too.”
  • Frank Frankovsky, Facebook’s technical operations director and a founding member of the Open Compute Project, notes that the project opens the flow of ideas necessary to improve cloud technology. He is encouraging others to contribute new ideas and improvements to the current designs.

Social Brand Engagement: Facebook Offers New Marketing Tools

  • In the wake of Google’s announcement last week regarding new real-time analytics, Facebook is introducing changes to Insights, its marketing product.
  • A new feature called “people talking about” combines all the stories generated about the brand — Likes, comments, tags, etc. — across Facebook, and provides a raw number to gauge overall buzz.
  • Also new, Premium ads serve stories generated by a brand to fans’ friends. This ad unit isn’t currently available on the self-serve ad platform, so most likely won’t be accessible for those brands with a smaller budget.
  • The obsession with the number of Likes on Pages will likely decline. “Now brands will be judged not just by how many Likes they have, but through their talkability,” suggests The Next Web, as the new number generated by Insights becomes public.

Are Popular Online Brands Leading to the Rise of Digital Monopolies?

  • France recently banned TV and radio show hosts from naming Facebook, Twitter, or other specific sites unless directly referencing a news story involving the companies. The regulation was created to reduce bias for the popular social networks over other striving, lesser known sites.
  • Apple’s iTunes has benefitted from the phrase “Now available on iTunes” commonly tacked onto advertisements where it was previously customary to simply say “Now available in all good music stores” — which could today be updated to say “online music stores” in order to include other music providers.
  • Additionally, the phrase “Now available on Amazon.com” has become standard for book promotions, which basically provides free advertisement for the site while ignoring other providers.
  • Similarly, “Follow us on Twitter” and “Like us on Facebook” have dominated commerce. “Social networks only work when people use the same ones. In other words, they naturally lend themselves to being monopolized,” suggests The Next Web.
  • Some brand names have now become part of everyday language. Google, for example, has grown so popular that it is commonly used as a verb when describing the act of searching online. TiVo is also regularly used as verb, and sometimes replaces “DVR” in conversation.
  • The article casts doubt on the actual effects regulation would have on social media monopolies: “…users will typically go where all the action is taking place.”
  • “The Internet isn’t a monopoly though. It’s an oligopoly consisting of multiple monopolies from different digital industries, and the reason this is happening really isn’t all that complicated,” adds The Next Web. “Success breeds success, something which underpins most monopolies, whether we’re talking about dominant languages, biological species or, indeed, Internet technology companies. Hegemony stems from success, and it’s certainly not unique to the Internet age.”

Facebook: Is Frictionless Sharing the Future of Social Networking?

  • In a recent GigaOM article, Matthew Ingram provides a compelling alternative viewpoint to the recently publicized complaints regarding Facebook’s philosophy of “frictionless sharing.”
  • The concept — which essentially allows apps and online publishers to post a user’s activity to their wall without permission — has raised a legitimate concern in terms of whether the feature is a worthwhile addition or an invasion of privacy.
  • “Consumer advocacy groups such as the Electronic Privacy Information Center are arguing the latter, and have even asked the government to step in, while some users have deleted their Facebook accounts in protest,” reports Ingram. “But there’s an argument to be made that Facebook isn’t forcing anyone to share; it’s simply adapting to the increasingly social way that we are living our lives online.”
  • While it’s easy to see the concerns regarding privacy, there are clear benefits to this type of sharing. Ticker, for example, can often provide “serendipitous experiences” such as finding interesting music, video clips, or articles based on the activity of friends. “It also fits right in with the concept that underlies Facebook and most social networking,” suggests the article, “which is what user-interface designer Leisa Reichelt has called ‘ambient intimacy’: the idea that there’s something to be gained by having transient and lightweight connections to people in your life.”
  • The article points out that the news feed was also originally heavily criticized when it launched in 2006, but eventually became immensely popular.
  • Zuckerberg’s “law of social sharing,” which notes that the amount of data people share doubles each year, is a “good predictor of what people will do, regardless of what they say they will do or how much they criticize features like frictionless sharing from social apps.”
  • “And soon, the idea that apps are sharing a continuous stream of our activity will seem just as commonplace and uncontroversial as the original news feed,” contends Ingram.
  • The article argues that “social sharing online isn’t going away any time soon; it’s not just the core of Facebook, but the organizing principle of the modern Web — Facebook is just a symptom of that change, not the cause.”

Privacy Watchdog Groups Ask the FTC to Investigate Facebook Features

  • An association of privacy groups, led by the Washington-based Electronic Privacy Information Center, has asked for a federal investigation into Facebook features that broadcast new information about users. The new partnerships with media platforms allow Facebook to acquire extensive data about user behavior.
  • “That information could also be made available to marketing companies for use in focusing advertisements, and potentially to government agencies interested in tracking people’s behavior,” suggests The New York Times.
  • In a letter to the Federal Trade Commission, privacy advocates wrote, “frictionless sharing creates several privacy and security problems for users.”
  • Facebook responded by explaining its users have more control than what is being suggested. “Some groups believe people shouldn’t have the option to easily share the songs they are listening to or other content with their friends,” company spokesman Andrew Noyes communicated via e-mail. “We couldn’t disagree more and have built a system that people can choose to use, and we hope people will give it a try. If not, they can simply continue listening and reading as they always have.”
  • According to the article, “the FTC does not comment on whether it is investigating any company unless it has some results to release.”

Tout is Like Twitter for Video: Is This the Next Chapter in Social Media?

  • Social startup Tout offers a Twitter-like microblogging service, but enables users to publish 15-second video clips instead of 140-character text fragments.
  • “In other words, now anyone can be famous for 15 seconds,” suggests San Jose Mercury News.
  • When asked how it’s different from the Facebook feature that lets users post video chats, CEO Michael Downing explained the “abbreviated and near-instant nature of ‘touts’ makes them like mini-conversations.”
  • Endorsements from high-profile users such as Shaquille O’Neal, Mitt Romney and ESPN are helping the service build momentum.
  • O’Neal is one of many celebrities who have taken to communicating via Twitter (he currently has more than 4 million followers). “But what I’ve been noticing about Twitter lately is that you don’t know who the person you’re talking to really is,” he said. “When you can see my picture, you know it’s me.” O’Neal is so impressed with Tout that he took an ownership stake.
  • Since launching in mid-April, the San Francisco-based startup has attracted 4 million unique visitors. “It took Twitter two years to hit 1 million visitors,” explains Downing. “We hit it in under 12 weeks.”

The Pros and Cons of Twitter: Analyzing and Manipulating Tweets

  • Twitter’s 200 million tweets per day are being analyzed to monitor political activity and employee morale, track flu outbreaks and food poisonings, map changes in moods around the world, predict box-office success or failure for new movies, and predict changes in the stock market.
  • Hewlett-Packard’s Social Computing Laboratory used Twitter to successfully forecast the box office of 24 films by analyzing “the intensity of the word-of-mouth” about them on Twitter. They are now looking at doing the same for other products.
  • The Twitter users are younger adults, more urban and less likely to have children, but there is enough diversity to make judgements from the Twitter’s 200 million user stream.
  • Twitter is also being used to manipulate public opinion. “Twitterbots” have been created to automatically generate messages and thereby attract large followings by building relationships with unsuspecting users.
  • “Network sociologists are worried that these newest contrivances may offer others a powerful way to manipulate people through Twitter on an even larger scale,” reports The Wall Street Journal. “Doing this on Twitter with a thousand accounts or a million accounts is the next step,” said Indiana University computer scientist Jacob Ratkiewicz.

Facebook Deals Shutdown: Is There a Future for the Social Coupon Biz?

  • Facebook Deals, which offered coupons for local businesses in Facebook users’ main news feeds, officially shut down on Sunday.
  • While some assume the shutdown suggests a failure, sources say that Facebook cut the program because of limited engineering resources the company wanted to place elsewhere.
  • “Groupon and rival LivingSocial are no doubt pointing to Facebook’s withdrawal as evidence that the business is harder to replicate than people previously thought,” reports All Things D.
  • Groupon and BuyWithMe have introduced technology that attempts to track consumer loyalty following their first voucher purchase. Other companies in this space, including Google, are ramping up their coupon platforms, creating mobile solutions that “will recognize when people are close to a deal and allow them to redeem it immediately,” suggests the article.
  • “Last week, Microsoft launched Bing Deals, which is aggregating deals from other major providers to help users browse, find and purchase them in one place,” according to All Things D. “Ironically, that site is being powered by The Dealmap, which Google acquired in August.”

The New Social Network: Should We All Be Scared of Facebook?

  • Writing for his blog Scripting News, Dave Winer offers an interesting perspective (and perhaps frightening downside) to Facebook’s new philosophy of sharing all media, all the time.
  • Since Facebook will be seeking out information on you to report on your behavior (even when you are logged out), the floodgates have opened for a range of possible negative repercussions. Winer suggests this type of “virus-like” behavior warrants “a bad name, like phishing, or spam, or cyber-stalking.”
  • “What clued me in was an article on ReadWriteWeb that says that just reading an article on their site may create an announcement on Facebook,” he explains. “Something like: ‘Bull Mancuso just read a tutorial explaining how to kill a member of another crime family.’ Bull didn’t comment. He didn’t press a Like button. He just visited a Web page. And an announcement was made on his behalf to everyone who follows him on Facebook. Not just his friends, because now they have subscribers, who can be total strangers.”
  • This type of information may ultimately be used in lawsuits, divorces and arrests. If the government did this, it would bring up Fourth Amendment issues.
  • Winer offers a solution (of sorts): “Until Facebook owns the browser we use, there is a simple way to opt-out, and I’ve done it myself. Log out of Facebook. And if Facebook had a shred of honor they would make their cookie expire, right now, for everyone, and require a re-log-in, and a preference choice to stay permanently logged-in. With a warning about the new snooping they’re doing. Probably a warning not written by them, but by Berkman, the EFF or the FTC.”

Zuckerberg Vision of Sharing Everything We Do Online a Terrible Plan?

  • Farhad Manjoo, writing for Slate, offers a compelling counterpoint to Facebook’s updated “share everything with everyone” philosophy.
  • The article suggests that Mark Zuckerberg’s vision for Facebook’s newly-designed profile feature (“it’s called Timeline, and it’s beautiful”) involves encouraging sites to develop social apps within Facebook, a grand vision that could dramatically change our digital lives. On the surface, this sounds like a fascinating idea, but there may be problems that evolve from too much sharing.
  • “If Facebook’s CEO has his way, everything you do online will be shared by default,” explains the Slate article. “You read, you watch, you listen, you buy — and everyone you know will hear all about it on Facebook.”
  • The article uses Spotify, Netflix and Hulu to illustrate Zuckerberg’s concept of “frictionless” sharing: “What he means is that I don’t have to bother with the ‘friction’ of choosing to tell you that I like something. On Facebook, now, merely experiencing something is enough to trigger sharing.”
  • Manjoo does not have privacy concerns or hesitation regarding Facebook’s financial gain based on his personal information. However, the author believes that the “nightmare” of “frictionless sharing” is more about Facebook killing taste. He believes that Zuckerberg is essentially lowering the bar by providing an all-access pass to things we don’t necessarily share with everything because they aren’t worth mentioning in the first place (read: boring).
  • While Manjoo enjoys sharing and discovering new media via Facebook and Twitter, he fears the day these services no longer serve as tools for navigating recommendations once they are bogged down in minutiae.
  • “That’s why I welcome any method that makes it easier for people to share stuff,” he writes. “If you like this article, you should Like this article. And even if you hate this article, you should Like this article (add a comment telling your friends why I’m a moron). But if you’re just reading this article — if you have no strong feelings about it either way, and if you suspect that your friends will consider it just another bit of noise in their already noisy world — please, do everyone a favor and don’t say anything about it all.”

Are There Key Ingredients Missing from Facebook Music Sharing?

  • Following last week’s F8 developer’s conference, and the news that Facebook is making a significant shift into media sharing, Wired offers an interesting take on possible missing elements to successfully sharing music via the social network.
  • “Yes, Facebook will facilitate legal music sharing — something the industry has been trying to do ever since Napster electrified (some would say “electrocuted”) the music business over 10 years ago,” suggests the article. “But as important as it is, Facebook’s music initiative is missing five key ingredients, all of which are within its grasp.”
  • According to Wired, the following are the missing ingredients…
  • True Music Sharing: Facebook should allow people to listen to each other’s music using whatever music service they want. Instead of using the service that the friend is using, you should have the option to select which platform you would like to use. They’ve started doing this (somewhat unfairly) for Spotify with a “play in Spotify” link in shared songs on other platforms, like Rdio.
  • Real-Time Group Listening: “Why didn’t Facebook music launch with the ability to join other listeners on a station in real-time, so that people can chat about what they’re hearing…?”
  • Music Tab in the Ticker: With all the new information coming to Ticker through automatic updates in Open Graph, it would be nice to have a music filter to separate music updates from other things like adding friends.
  • Apple: Apple, iTunes and iCloud were not included in the media system and would be beneficial to users.
  • Independent Developers: Facebook just needs to “stay out of the way” of independent app developers that build third-party players atop their catalogs — apps that could offer a range of interfaces, platforms, designs, features, and more to programs like Rdio or Spotify.

Google+ Passes 43 Million Users: Will It Compete with Facebook?

  • Paul Allen, the unofficial statistician for Google+, believes that the three month-old social network has reached a new milestone with 43.4 million users. (Google+ opened to the public on Tuesday and announced a number of new features for mobile and the Web.)
  • Using his model that examines uncommon surnames, Allen suggests there has been a dramatic 30 percent growth in the two days since the public has been able to access the service without an invitation.
  • “The stats leave me to question exactly what keeps drawing people in at such a rapid rate,” comments Brad McCarty, North American editor for The Next Web. “Are people really backlashing against Facebook? A reported 800 million users seem to be just fine on the site, especially after recent changes to privacy. But maybe it’s a combination of just wanting a change, and Google’s rollout of comprehensive new features for its own network that has spurred momentum.”