FB and FF – The AOL/Time Warner of Web 2.0?
Posted in web 2.0 on August 10th, 2009 by Matthew – Comments OffAs I sit here and watch the breaking news of Facebook’s acquisition of FriendFeed light up the Twitter-verse, a thought occurs to me. Facebook is the epitome of the Web 2.0 world – having grown from the brainchild of a college dropout to one of the largest online communities on the internet. You know you’re not just a cool web startup when you’re interviewed for 60 Minutes. FriendFeed has not had nearly as much media focus as Facebook or other social media darlings like Twitter and LinkedIn, but with the all-knowing, yet hard to define super-powers of the “ex-Google” founders, it’s had more than its fair share of media attention. Robert Scoble, I’m looking in your direction.
Here’s a news flash – these companies don’t really make any money. While the terms of the deal have not yet fully been disclosed (or even made official), I wonder if this is worth it. When two companies making no profit merge, they must be doing it for the hope of a future realization of revenue and profit. In other words, there are “synergies” here. Sounds a lot like the fateful merger of the Web 1.0 media giants – AOL and Time Warner. We all know how that ended up.
I don’t have enough knowledge or experience to be able to effectively (or even professionally) compare these 2 blockbuster deals. But, what I know about the first one is this. The merger of AOL/Time Warner marked the end of the Dot Com / Web 1.0 hype. It was all down hill after that. Many people have been discussing and speculating that Web 2.0 is already jumped the shark, and that we’re now in Web 2.5 or even approaching Web 3.0 – The Semantic Web. There’s a big part of me that thinks all this talk about Web 2.5 is just a fancy way of hitting the snooze alarm and prolonging the inevitable. Maybe we’ll look back at this latest big time merger and see it also marked the end of an era.
Then again, maybe not. What do you think? Please leave a comment below.


