Myspace article from Bloomberg

This Bloomberg Businessweek article is not directly related to anime but I still want to share it with all of you:

The Rise and Inglorious Fall of Myspace

Anyone who is interested in internet business should see this article, which has good history and solid analysis. The age of .com bubble is long gone, and internet is now a large, well-consolidated sector. Social network or not, people from industrial moguls (e.g. Murdoch) to individual investors (e.g. YOU) need to take internet more cautiously. Of course, big websites (think Facebook, Youtube) are fundamentally different from the likes of Bank of America, Shell or General Motors, but nowadays their potential to crunch (and create) incredible amount of wealth is no less than that of any traditional business.

Myspace vs. Facebook

On a side note, what used to be the main drive of internet businesses are innovative, refreshing ideas. Fortunately or not, idea is the one commodity on the market today that is apparently in over-supply. Over-abused in the last 2 decades and no longer a novelty, idea’s ability to generate wealth is under fire. If 1 in 100 innovative ideas would be successful, unlike in the 90’s, chances are the one is not getting the financial leverage it needs to bear fruit in 2011. Despite the optimism of some, personally I see conservative business, sector consolidation and retreat to traditional sectors a most likely trend for the decade ahead as “innovations” like Facebook gradually turn into “tradition”. Though not necessarily a bad thing, this development would inevitably mark the end of an era, an era of bold commercialization of innovative ideas the credibility of which is trusted by all.

Back to Myspace, it is a prime example of how mismanagement destroys an seemingly indestructible establishment in the age of internet. Die-hard users (aka Brand Loyalty)? Fandom?? More ideas??? None could save you from a falling infrastructure based on trust and social perception. The journey of Myspace is a good lesson to us all, even to the mighty Bank of America which is barely saved by Buffet last week, just saying. Maybe commercial anime websites such as Funimation and Anime News Network have something to learn as well?

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