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How Bloggers Will Survive the Ad Crash

Posted Oct 13, 2008 07:51pm EDT by Sarah Lacy in Internet, Media, Venture Capital, M and A, IPOs, Recession
Soon after Om Malik announced his blog network GigaOm had raised $4.5 million in funding, he penned a blog post on how ad-based businesses would be the hardest hit in tech. So as an entrepreneur is Malik worried? You bet, he says. But that's not stopping him from building what he hopes will be a next generation publishing company. In the final segment of my interview with Malik, he talks about his decision to raise money and how he-- like so many other entrepreneurs in the Valley-- is hoping to steer through uncertain and scary times ahead.

12 Comments

you
jurekszydelski - Monday October 13, 2008 10:20PM EDT

Blogs give opportunity for social interaction.People integrate around similar needs, taste, philosophy. Those categories give chance to identify our own status.People gravitate to blogs where they can express thoughts about music, love, work, arts, etc.Those are ready customers, who are being targeted by advertising business.Malik gave very accurate advice. Community work, listenning to blogers, beter inventory, surf the internet traffic. Those issues require a new approach to marketing and advertisement.I agree:big does not mean good.

dudzcom
dudzcom - Tuesday October 14, 2008 12:51AM EDT

omg, give the girl a chance to get a word in edgewise... half the da*n interview is a soliloquy!

Johnny Ike
Johnny Ike - Tuesday October 14, 2008 03:28AM EDT

goodluck

you
tj - Tuesday October 14, 2008 06:00AM EDT

Who cares...

Ashish
Ashish - Tuesday October 14, 2008 09:46AM EDT

Not only blogs, but small and big sites with UGC (e.g. www.Indore360.com) are also going to be affected in one or other ways by the slowdown. Infact, Google adsense has already seen some advertisers backing off.

you
Yahoo! Finance User - Tuesday October 14, 2008 10:13AM EDT

Good heavens, how about someone moderating these comments for everyone pitching their websites....

you
roger h - Tuesday October 14, 2008 12:31PM EDT

Well the vultures circle as the bull drops to his knees. I lost 38% this year in my 401K Yah I know I'm being selfish right? When there is money to be made in the market the traders will return. I'm sitting here bleeding as the government props up those crooks. I don't lend money to people who can't pay it back. I honestly think when the government props up the people responsible for this meltdown and they continue to do business as usual we are on the tip of the iceberg in cold water. Later, Roger

you
Yahoo! Finance User - Tuesday October 14, 2008 04:46PM EDT

malik is clueless! never made a buck for anyone, but promoted himself really well

Yahoo! Finance User
Yahoo! Finance User - Tuesday October 14, 2008 10:21AM EDT

There never will be an end and blogs will continue. The reality is that if you can't "turn" the corner and make money and not just self promote to boost company value...your gone!

you
cluelessfools - Wednesday October 15, 2008 11:53AM EDT

BS if the companies go out of business do you think they will continue to spend on ads? lol This will spread like wildfire! Say good bye to ad supported business model!

you
Rick M - Tuesday October 14, 2008 10:30AM EDT

Good insight by Malik, but he shouldn't be using the "JC" exclamatiion for effect. It's low class, and it definitely doesn't belong in a business discussion.

you
flamehead_doa - Tuesday October 14, 2008 10:49AM EDT

I hate Sarah Lacy's pieces. Completely irrelevant to the days news! Where's the hook? Why do I care about ad revenue when the financial system is imploding? Why not talk about declining tractor sales as well as completely ignoring the big picture. And why is it on Lacy days we don't get video pieces from Task and Blodget? Sure techticker is supposed to be about tech, but the quality of Task and Blodgets work is MUCH better and WORTH watching.

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