More recent trends could highlight some hypothetical futures for currency.
For the past few months, in the United States, a fight has been brewing over how the pipes that control the Internet would be ruled. On one side, activists and large Internet companies felt that access to the Internet should be neutral and that all sites should be accessed in the same fashion. On the other side, large cable and phone companies have been arguing that they should have a chance to charge different rates for different types of services. The whole fight was embodied into a campaign called Net Neutrality and made its way into the American congress. Today’s news that the Net Neutrality bill was defeated may create future problems for American internet businesses but will not kill the Internet, as some have claimed. Instead, it will probably dictate, in the long run, the death of the very proponents of a ban on net neutrality: phone and cable companies which have been trying to overreach in their attempt to fatten up their bottom line. Looking at the stakes At issue in this debate is how bandwidth is distributed and whether it should be metered in any fashion. At the current time, in the US, most people who get…Read More
AOL bought Weblogs inc., the two year old weblog network founded by Jason Calacanis and Brian Alvey, for a number that is rumored to be anywhere between $25 million and $40 million. In this process, Time Warner may be providing some ideas as to the valuation of blogs by traditional media. The power of the network and links Many in the blogosphere say that traffic is not a good measure of what blogs are but that conversation, as represented by links and indexes like Technorati, represent a more accurate view of the value of a blog. As a result, I decided to look at how may sites were linking to sites in the WeblogInc empire. Jason and Brian have been doing a great job at building a stable of blogs but it seems a large portion of their success comes from a single blog. Let’s dig into the numbers. In the following table, I took a look at the list of blogs listed on the weblogs Inc. main site and ran the Technorati site numbers against them (duplicate entries in the weblogsinc list were removed as well as entries that pointed to sites which no longer exist). Weblogs Inc. Blogs…Read More
Two entries popped up in my RSS reader today that made me think about the ever-changing musical landscape: On the shifted librarian, Jenny talks about changing behaviors when it comes to music. A 9-year-old thinking of music as something you burn, not a piece of plastic, represents one of the biggest challenges to date to the music industry. While peer-to-peer networks represented the beginning of a battle, that shift in behavior among kids represents a potentially disturbing trend: if this behavior doesn’t change, 5-6 years from now (when those kids are teenager) the music industry will see steep declines in the sales of music CDs. In other words, the medium no longer matters as an entity. Recurring revenues based on changes in format (as was the case with the move from LPs to tapes, and then from tapes to CDs) will no longer exist. In a somewhat related story, Martin Tobias talks about bands selling concert videos through iTunes. This represents threat number two to the music industry in that no record label was involved in this transaction. It could be because they didn’t want to be but that’s a source of revenue that is no longer available to a…Read More