 |
User: Login |
Weblog covering digital business
Digital Business, Live From New York. |
| Address URL | http://www.alleyinsider.com/ Registered: 22-Mar-2008 |
| Ads: | |
 Send to email | Chinese Social Net Puts Facebook, MySpace To Shame in NWSPDF |  By Silicon
el 27-Mar-2008 |
QQ.jpg: Paste this image in your site, Myspace, Facebook, Ebay copy this code...
 How can social networks make money? Chinese Internet portal Tencent shows us one model.
Last year Tencent, which operates a series of services under the QQ brand, posted $523 million in revenues and $224 million in operating profit (PDF). In the same year in which Facebook posted $150 million in revenue. And while News Corp. (NWS) says it is on track to wring $1 billion out of MySpace and the rest of its Web businesses, it's predicting much more modest margins of 20%.
So how did QQ make all this money? Only 13% of that $523 million was from online advertising. About two-thirds of total revenue came from Internet services like games and their virtual currency QQ coin (i.e. fake money bought with real money), and another 21% came from mobile services like ringtone downloads.
QQ has 300 million active accounts, basically the population of the U.S. (a lot of users there have more than one account). So that helps, too.
But maybe the answer for the American social networks is not to be social networks. QQ is basically an IM client with a social network built around it. Facebook itself is adding its own chat, as well as as its own currency, so there's still hope for Zuckerberg and Co. And maybe, just maybe, this augurs well for AOL's Bebo deal -- after all, AOL already has the dominant chat service.
Read 16 times
|
|
 |
| MySpace Takes A Step Toward Facebook -- Allows App Invites (NWS) |  There's been a lot of griping by MySpace application developers about the limits that the social network puts on the "virality" of applications. Namely, users couldn't automatically suggest that their friends add an application they like.
That's no longer the case. MySpace says that within a few weeks, users will be able to send and receive invites.
[..] Read complete article | | Published 01-Jul-2008 by Silicon in General
Read 6 times. More hits in   |
|
|
Warning We are not responsible of information posted from external feeds. Use this website at your own risk.
Notice: We will not be liable for any direct or indirect loss or damage arising under this disclaimer or in connection with our website, whether arising in tort, contract, or otherwise.
|
|
| |
Hello, Guest
Online: 137 visitors
+ fotos
Facebook recently passed MySpace as the most-visited social networking site worldwide. But most of its growth is international, and it's still significantly smaller than MySpace in t [..] 
A long-awaited milestone for Facebook: Mark Zuckerberg's social networking site finally caught up to News Corp.'s (NWS) MySpace in worldwide unique visitors in April, when both s [..] 
Social Gaming Network, which makes games for Facebook, MySpace (NWS) and other networks, has closed a huge $15 million Series A funding round. Chipping in: Greylock Partners, Founders Fund, Colu [..] 
Dueling announcements from social networking's biggest players today: MySpace (NWS) announced that it was overhauling its design, while Facebook announced that it would be holding its second annual [..] 
Facebook translates into a bunch of different languages, but Chinese isn't one of them. But there are plenty of Chinese speakers on the site. At least that's the impression we get after se [..] 
It's officially (by our count) a trend: Another company that isn't Facebook or MySpace has stopped trying to run a social network. We've already seen Conde Nast and Verizon [..] 
