client login
Username
Remember Me
Forgot Password
Password
CATEGORIES
 
Local Media Blog [ 912 ]  RSS ATOM


Blog Home

Contact Kelsey

Bookmark this page



SEARCH
 


previous month  JANUARY 2006  next month
s m t w t f s
1 7
15
29


BLOG ARCHIVE
 
RSS ATOM  Full archive
 
current month



RECENT ENTRIES
 
 
RSS ATOM


BLOGGERS
 
admin [ 0 ]  RSS ATOM
Carlotta Mast [ 0 ]  RSS ATOM
Charles Laughlin [ 101 ]  RSS ATOM
Greg Sterling [ 748 ]  RSS ATOM
John Kelsey [ 53 ]  RSS ATOM
Matt Booth [ 0 ]  RSS ATOM
Mike Boland [ 83 ]  RSS ATOM
Neal Polachek [ 27 ]  RSS ATOM


COUNTER
 
Visitors    378933
Online users 130
 



Jan 26 2006
Bullish on InfoSpace
I've heard it occasionally said about InfoSpace, which owns metasearch engine Dogpile, "what do they want to be when they grow up?" In other words, what's their business model?

Here's a very bullish piece, originally published in The Motley Fool, that argues the model is healthy and InfoSpace is undervalued by the market:

Last night, InfoSpace closed out 2005 in fine fashion. Earnings before one-time favorable charges rose from $1.40 to $1.60 per share, while revenues came in 36% higher to hit $340 million.

Even after buying back $70 million worth of its stock, the company's cash balance remains strong, clocking in at $11.16 a share. Back that out to arrive at an enterprise value of less than $450 million. A leading and consistently profitable technology company at just 2.2 times 2005 sales? Let's put this into perspective. Last month, Motley Fool Stock Advisor pick Electronic Arts (Nasdaq: ERTS - News) agreed to buy online gaming upstart Jamdat Mobile (Nasdaq: JMDT - News) at more than 10 times trailing revenue.

Adding a little more color to that particular acquisition, EA's buyout price of $680 million would be more than enough to swallow InfoSpace whole, yet InfoSpace's mobile revenues are nearly twice Jamdat's.


While InfoSpace owns a very small share of the consumer search market, it has considerable mobile assets that are not as visible to consumers (or many in the industry for that matter). Separately, today, the company announced a multiyear renewal of its relationship with Yahoo! (search results and text advertising).
Blog: Local Media Blog
 
posted by  Greg Sterling at  19:26 | permalink | comments [0] | trackbacks [0]



Jan 26 2006
Rich Media Ads on Google?
Blogger Jennifer Slegg uncovered today that Google is experimenting with rich media ads. The undisclosed plan will, according to Slegg's sources, involve site targeted campaigns (rather than contextual) and have interstitials (those that precede a link's destination), expanding ads and floating ads.

If true, this will be a major departure from Google's text-only ad setup and could provide a much different (read: inferior) user experience. Although there will be many advertiser benefits that Slegg does a good job of describing.

Along with Google's decision to censor certain content to enter the Chinese search market, the company is going down paths that many thought it never would. Little is known about the rich medi ad plan, but we'll follow it as closely as we can.
Blog: Local Media Blog
 
posted by  Mike Boland at  17:49 | permalink | comments [0] | trackbacks [0]



Jan 26 2006
IPTV in 10 Million Homes in Five Years?
Microsoft will be an integral part of the IPTV revolution, running the software that will reside in the set-top boxes of IPTV systems for Verizon, AT&T and BellSouth. As in the PC market, it has made a very smart and forward-thinking decision to corner the market for software that will dominate the node level of IPTV systems (it also provides some back-end software).

With so much tied up in IPTV, the company has a vested interest in making predictions about how the medium will change our lives and how quickly and seamlessly it will be deployed. Its latest public prediction is that IPTV will reach 10 million homes in the next five years. This could happen because of broadband penetration, anticipated demand and an increasingly digital culture. But consider that cable took 17 years to reach the same goal.

We will get more into this topic, and our predictions for IPTV ubiquity, business model sustainability, and the all-important advertising model in an upcoming Advisory.
Blog: Local Media Blog
 
posted by  Mike Boland at  17:18 | permalink | comments [0] | trackbacks [0]



Jan 26 2006
Smartphone Dilemma
The other day I was considering updating my old "candybar" cellphone. I went into the Sprint/Nextel retail store and began playing around with numerous new and advanced smartphones. I was all set to pull the trigger on buying a new smartphone when I asked a simple question: "How much talk time does this wizbang phone offer?" The salesperson turned his head down and said, "Well, sir, frankly not very much � an hour or two is about all I can talk if I am doing anything on the Web." That small and vital piece of information was all I needed to march over and choose a traditional "candybar" cellphone � one that only does the basics but offers hours of digital talk time. The lesson here is that, while the features of a smartphone are very interesting, the notion of recharging my phone every couple of hours was a quick turn-off. While there may be plenty of early adopters for the smartphone, anyone with half a brain will wait till they solve the talk-time dilemma.
Blog: Local Media Blog
 
posted by  Neal Polachek at  12:47 | permalink | comments [1] | trackbacks [0]



Jan 26 2006
My Yahoo! Addendum
To add to Greg's comments on the strengths and potential of My Yahoo!, see our post earlier this month about Yahoo!'s expressed plans for the personal hub.
Blog: Local Media Blog
 
posted by  Mike Boland at  12:23 | permalink | comments [0] | trackbacks [0]



Jan 26 2006
MyYahoo! to Get Push It Deserves?
MyYahoo! is a powerful strategic asset that has been languishing to some degree. Now Om Malik reports that it may be ready to rise to the level of attention that it deserves internally.

It�s really a potential personal dashboard for search, local, email, news, mobile, video, calendar, etc.�everything to help users manage what is now coming to be know as �the digital lifestyle.� Let�s see what evolves/emerges.
Blog: Local Media Blog
 
posted by  Greg Sterling at  10:51 | permalink | comments [0] | trackbacks [0]



Jan 26 2006
TV Advertisers Cling to Oscars, SuperBowl
As TV audiences fragment, advertisers are clinging to large-scale �live TV� events that still draw large audiences, i.e., the �Oscars� and the Super Bowl. There�s something of a paradox going on: even as audiences shrink, TV networks (in certain cases) have been able to command advertising premiums and the Super Bowl is an example (rates are up from last year).

But every day brings news of another video search/video sharing Web site.

How is all this viral video and fragmentation going to ultimately impact TV advertising and the targeting strategies that must emerge to compensate for loss of audience reach? For example, what will be the contextual match for two guys driving naked through the San Fernando Valley or someone bored in his cubicle at work or two drunk teenagers at a party? And what brand advertiser or local business will want to be associated with those streams? (12-step programs? Monster.com? The Gap?)

This is something we�ll be investigating at Drilling Down:

1,000,001 Channels: But Is Anybody Watching?
TV used to be simple for everyone. But the newly fragmenting world of video search, mobile TV, on-demand cable and IPTV makes the range of potential consumer choices staggering. What are the new technologies that are rapidly turning TV from a mass medium to one that is highly personalized? What is the new consumer �video consumption� model, and what are the implications for networks, content producers and advertisers? Will a million �Wayne�s Worlds� and the potential �Tower of Babel� effect destroy the medium for advertisers or open it up to a range of exciting new possibilities, including some for SMEs?

Blog: Local Media Blog
 
posted by  Greg Sterling at  06:37 | permalink | comments [0] | trackbacks [0]



Jan 26 2006
Live Labs
It appears that everyone is the world of search is opening new labs. Google has been announcing new research labs here and there for the past several months; Yahoo! earlier this week announced research labs in Spain and Chile. And last night Microsoft announced that it was creating a new research group �Live Labs�:

MSN and Microsoft Research are creating a dedicated applied research division named Live Labs. Live Labs will be staffed by top researchers that will leverage the capabilities of MSN and Microsoft Research to work through prototyping new products and services. Microsoft will invite technologists and scientists to join the dedicated group. Live Labs will make it a priority to work in collaboration with academic researchers, industrial labs, government research labs and others and by offering opportunities for grants and fellowships to promote continued innovation in the industry.

This doesn�t have to do with local per se, but this Live Labs �beta� site has been set up to document or reflect the progress of various Windows Live initiatives. Each separate initiative has an associated blog (e.g., Windows Live Local blog).

There�s also something of a �culture shift� being undertaken in this effort. From the Live Labs �manifesto� by Gary William Flake, who�s in charge of the new effort:

Inline with our vision, Live Labs� near-term charter is to bootstrap a virtuous cycle in three parts: (1) empower Microsoft employees to more rapidly create great Internet technologies; (2) sponsor higher bandwidth exchanges of ideas and innovations between our internal partners, academia, and the Internet community; and (3) foster a community of people and projects which will inspire others to join us in this mission.

and

Ostensibly, the charter of Live Labs suggests a dilemma: How can we simultaneously be small and agile but also influential enough to have a meaningful impact? Indeed, this is a dilemma that all organizations face as they grow and mature. Our answer is embarrassingly simple: We are a perpetual startup within Microsoft . . .

There are a lot of elements that go into success (or failure) for a company and one of the underappreciated factors, in my view, is culture. And there�s an implied recognition in the manifesto that there needs to be some change within Microsoft for the company to more effectively compete online.

Here�s more from Search Engine Watch.

Blog: Local Media Blog
 
posted by  Greg Sterling at  06:09 | permalink | comments [0] | trackbacks [0]










The Kelsey Group, 600 Executive Drive, Princeton, NJ 08540-1528
Tel: (609) 921-7200 Fax: (609) 921-2112 EMail: [email protected]
Copyright© 2005 The Kelsey Group. All Rights Reserved.