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The Web is evolving in an amazing way, and it's happening right now. I'm convinced that Yahoo's acquisition of del.icio.us is going to be seen as an incredibly smart move -- and one that will not be good for Google. Yes, Google may still remain the search engine leader, that is, search engines as we now know them -- traditional ones. But more and more people will be using other means to search the web. Web 2.0 means. Social Bookmarking. These are growing rapidly, whereas growth in traditional search is not.

If you compare searching on del.icio.us vs. Google (or Yahoo), you'll find that:

1) del.icio.us response time is a little slower -- that's fixable in the long run.

2) del.icio.us content is Web 2.0 technology heavy. There's a lot of content on Ajax, Ruby on Rails, etc., but not so much on "shipping logistics", for example. Traditional search (Google/Yahoo/MSN) is deep in everything.

3) Traditional search relies on algorithms, is slow to recognize new sites (ever hear of the Google sandbox?), and puts too much weight on a site's age. Del.icio.us recognizes new sites quickly and rankings come more from collective (democratic) agreement vs. algorithms.

4) I believe Yahoo's strategy is to ultimately use the information/data gained from del.icio.us bookmarking as the major influence in determining search engine results pages (SERPS) for the Yahoo search engine. Unless Google has something we don't know about, they are way behind.

A few scary notes about Google:
1) Adsense is their only revenue source, and margins on this will tighten and competition will become fierce. While they may retain leadership, their total market share percentage will decrease.

2) Google has too much going on and they've lost focus. Successful companies lead by seasoned business veterans have butt-loads of cash on hand too, but they're not spending it in 52 directions at once. This reminds me a lot of past companies like "Internet Capital Group" and CMGI -- and we all know what happened to them. Google might be creating neat stuff, but.... what's the business model? So far, Adsense is it, and we know what's going to happen to those margins and the competition is coming.

So what's going on in Web 2.0? The amount of activity out there is amazing. Here are some lists:

Bookmarking
Blogging Services
Business Networking
Classifieds
Community
Job Search
Knowledge Sharing
Web 2.0 List 1
Web 2.0 List 2
Web 2.0 List 3
Web 2.0 List 4
Web 2.0 List 5
Web 2.0 List 6
Web 2.0 List 7
Mashups List 1
Mashups List 2
Mashups List 3
Mashups List 4
Mashups List 5
Mashups List 6
Mashups List 7
Podcast Sharing
Portals
Social Bookmarking
Search
Social Networking


Necessity is the mother of invention. Why are all these sites springing up? It's because traditional search is not fulfilling a need or isn't doing it well enough. The ultimate Web 2.0 winners will be stealing a lot of traffic from traditional search.

PS> I forgot to add these thoughts:

Look how many tools and supporting services are popping up for del.icio.us:

del.icio.us Tools Part 1
del.icio.us Tools Part 2
del.icio.us Tools Part 3

By the way, what's the point of DMOZ anymore? del.icio.us (and other Web 2.0 sites) are the "end-around" play on DMOZ. DMOZ is the feudalistic model of the web. Some "lord" of a particular category, possibly some geek in Belgium with a penchant for porn, decides, if and when he ever gets around to it, whether your site will be listed in a directory that gets syndicated to major search engines and thousands of web-spam sites.
Posted on Thursday, March 23, 2006 6:48 AM | Back to top


Comments on this post: Web 2.0 - The Web is Evolving Rapidly

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