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Digitopoly

Competition in the Digital Age

Month: February 2012

Posted on February 10, 2012

Wikipedia, Mitt, Barack, and a Hand over the Heart

It was just a little skirmish, a mere tit-for-tat in the presidential race. It made headlines for a day and it also made Wikipedia just a little bit better. To be sure, Romney and Obama infrequently appear in the same sentence as Wikipedia, so this is worth a look. How did the-encyclopedia-that-anyone-can-edit get mixed up …

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Posted on February 7, 2012

How many customers does Facebook have?

That appears to be the question taxing analysts at the moment. The reason is that they want to work out if Facebook is worth $100 billion or not. For this, they guess that Facebook needs to make $5 billion a year in profit. Why? Well, if we go to its nearest neighbour, Google, it is …

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Posted on February 6, 2012

Does Zuckerberg need to fail?

The forthcoming Facebook IPO gives us lots to talk about. It is likely to be the largest in history (cool). It is predicated on an established business model (good), plus a future growth path into the mobile space that is uncertain (not so good). And it will make its 27-year-old founder incredibly rich (good, for …

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Posted on February 2, 2012

What would you say to David Cameron about Google?

Why was Google invented in the US and not the UK? Jonathan Haskell, Professor at Imperial College in London, asked that question in his most recent blog post. What motivated him to ask it? He got a little nudge from his Prime Minister, David Cameron, who asked the same question. Haskell justifiably hesitates to put …

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Posted on February 2, 2012

A quick feed on the Facebook IPO

Facebook's user base is huge (845 million) but its growth rate is slowing. The main opportunities for growth appear to be in Asia. Facebook make most of their revenue from advertising (87%) and the rest from payments for app use. As a result, last year they made $1 billion. Zygna earn revenues 25% of Facebook's …

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