Bambi Francisco

Flixster - MySpace for movies

This is yet another social network, but the difference is that the content or focus is around movies. Flixster is building upon the popular features that have helped Netflix rent more movies. Those features include the ability to see or make recommendations and see which movies are the most popular among friends or in the Netflix community. Netflix said that some 60% of the movies rented come from recommendations. Clearly, recommendations help people discover new movies to rent. Unlike Netflix, however, on Flixster, you don’t get the great service of receiving movies in the mail. Of course, you don’t have to pay $10 a month either. To that end, Flixster can be a nice complement to the many movie-download services emerging, such as Amazon’s unBox. So, let me share my experience on Flixster. First off, I have to say that this service (more than others) is set up in such a way that it’s easy to invite friends – a form of grass-roots marketing that can have exponential affects on growth. It’s no wonder that in 10 months, Flixster has signed up 5 million registered users who collectively have posted 190 million movie recommendations written. That’s pretty fast. But a lot of that has to do with the way Flixster is set up. One of the smart ways Flixster is making the grass-roots marketing far easier for us is by integrating our address books immediately upon signing up. After I signed up with my gmail account, Flixster displayed my gmail email list and an automated email invite that, with one click, could go to all of my friends (and other random emails) in my email list. Smart move. With one click, I could have invited the 135 emails recorded in my gmail account. The only problem is that the automated invite said: “Hi, I just took a movie quiz at Flixster.com.  If you come take it too we can see if we like the same movies.” Since I didn’t just take a movie quiz, I didn’t think it was honest of me to send this email. Besides, it did feel a bit like I was spamming. The one thing I didn’t like was that I couldn’t easily choose which email accounts I wanted to send an email to. Rather, I had to check off each box (next to an email account) that I didn’t want to send an email to. This was rather annoying, and ultimately a turn-off. Another way Flixster is making the invite process easier is by integrating with News Corp’s MySpace. With 115 million members worldwide, it’s a smart integration. At one point in the sign-up process, Flixster asked if I wanted to send a bulletin on my MySpace account inviting my MySpace friends.

The social network features are great. There’s even a feature that lets you upload videos and images related to a particular movie. There is also, of course, the requisite “profile” page. (I think I must have two dozen profile pages by now.)  The site also seems to have some pretty useful reviews and recommendations. But I’m not sure I’d create a social network just around movies. Don’t get me wrong. I’m a big fan of movies – having seen three in the movie theaters just in the last week -- but I wouldn’t build a social life around my movie preferences. That said, I did click onto the tab that said “Meet people like me.” The No. 1 person that showed up was a 13-year-old girl.

The social and visual Web

I recall years ago when Steve Case said that those who dig for gold make more money than those supplying the picks and shovels. As the co-founder and former CEO of America Online, he was bias. But he has a point. These days if MySpace and YouTube are the ones digging for gold, their sales to News Corp (nws) and Google (goog) show that when you hit gold, you hit it big.

But the battle to become a top video or social network destination site is fierce. The landscape is littered with sleep-deprived, burned-out founders and CEOs of dozens of startup video-sharing or social network sites, as well as those working at veteran Internet sites. So despite the rich rewards in finding that pot of gold, some startups are avoiding this costly war, opting instead to provide the tools and platforms to socialize and video-rize the world. Essentially what they're saying is: Rather than fight with MySpace and YouTube, and the dozens of others, why not just provide the picks and shovels to others who want at it? What's the result of that?

I'm not sure, but I can only imagine that my inbox will be filled with "new friend" requests in a video format some day. Oh, joy.

So, who are these tools and shovel companies? This week, two young companies -- DAVE.tv and vSocial -- unveiled software services to provide companies and individuals a way to have a video and text blog platform that also includes social networking features. (Note: I use blog to define a Web-based publishing platform that allows anyone to contribute.) I think it's an excellent idea. As many of my readers and viewers know I love the marriage of both: The blogging capabilities in video or text allow for anyone to contribute from a staffed producer and reporter to the audience or the user. The social network features allow anyone to market and distribute the content.

Now, sure, there are others who already provide white-label video solutions, such as Feedroom, Brightcove, VideoEgg, Maven Networks, and Narrowstep. Even Cisco Systems (csco) is offering video-capabilities to businesses. But none of the aforementioned companies (besides DAVE.tv and vSocial) are offering the social networking features that let the audience communicate with one another, make friends, share and build affinity groups. These are the features that give the audience control to manage their worlds, or in MySpace parlance, their spaces. 

That said, it's only a matter of time before social network features (connect, make friends, share, vote, rank, etc.) are commodities incorporated into blog publishing platforms. It's only a matter of time before all the companies I mentioned above announce that they too will offer the same services and tools. For now, they don't. Or if they do, they're in stealth mode.

Read my Net Sense column on MarketWatch for the rest of the column: Socialize this... video

Gotuit's video on demand

 

 

Mark Pascarella, Gotuit's president, talks about the company's strategy to compete with other emerging video networks. One thing Gotuit has going for it is a sophisticated user interface. It's the difference between going to a rock concert (YouTube) and the symphony.

Video enablers

Only 2% of the total online advertising pie was tied to video ads last year, according to eMarketer, an online marketing research company. That's only expected to rise this year to 2.3%, as online video ads are expected to rise 71% to $385 million while total advertising is expected to rise 34% to $16.7 billion in 2006.  So how will online media and video enablers funnel more dollars into video? For that answer, the best resources are the startups in my opinion. They are definitely redefining the world of video and commercials. I've noted several in my Net Sense column: Vidavee, a Manhattan-based company that's helping marketers place ads - banners, video, etc. -  at points within a video that attract the largest crowds. Gotuit, a startup that lets the audience fine-tune their searches inside a video; Vmix gives users copyrighted material to mash up with their own homegrown movies; One True Media takes makes video editing with its Web-browsing tool and Dave.tv is putting "buy now" buttons on its video-playing technology. Revver is helping amateur producers become stars, such as Fritz and Stephen (check out Eepybird.com).   The makers of the Mentos video made $30,000 so far at a $7.50 cpm.  Other companies mentioned in my Net Sense column are Jumpcut.com, Brightcove, Booyah Networks, and VideoEgg.

To read the whole story, go to my Net Sense column on MarketWatch. Or visit my official blog at blogs.MarketWatch.com/bambi
 

YouTube's 'clip culture'

YouTube CEO and co-founder Chad Hurley said his video-sharing site is encouraging what he calls a "clip culture."

In an era of limited attention spans and abundant choices, his assessment of society as online video comes of age is right on the money. These days, as television networks are attempting to redefine themselves with costly, long-form productions just to maintain their audiences, let alone grow them. YouTube's short-form and low-quality audience-generated videos are attracting about 20 million unique visitors a month. The average video length viewed is 2 1/2 minutes long, said Hurley. Changing the way society behaves is a big feat in and of itself. But it's unclear whether YouTube can make a living doing so. Today, YouTube gets money from banner ads. It's also struck a deal with NBC to promote that network's shows. When I asked Hurley what else YouTube can do for the major networks, he said that the site can be a platform for all the video that's typically on DVDs, such as behind the scene takes and bloopers. Hurley and I chatted after his panel at the Always On. One obvious way for YouTube to make money -- before burning it all away on delivering the video for the world -- is to place 5-second post-roll advertisements on those 100 million video clips being viewed each day. Yet Hurley doesn't want to do that. To me, inserting advertisements into the videos seems inevitable. Auctioning the placements in the video ads is a business process that also seems inevitable to me. Another model is to get sponsors for groups. Yet another is to either get paid by marketers when users recommend certain products.

Go MarketWatch, and read my Net Sense column for my video interview with Hurley and the rest of the column. Read BF's Net Sense.

Search "inside" the video

Gotuit Media is set to launch Monday a video-destination site for consumers. I know, I know. Yet another video destination site!?! How many more do we need? Clearly, Gotuit's library of 2,200 music videos, independent films, movie trailers isn't that compelling, when everyone else has the same stuff. Most of the content, which Gotuit is licensing, is non-exclusive. But here is where this destination site is different. If you're the type that wants to pinpoint specific action shots inside a
video, then this site is for you. For instance, if you want to watch only video takes of 3-point shots across a number of basketball games, you can do that. No longer are you limited to a few keywords to drill down inside a video. Gotuit's technology allows users to "search inside the video versus for the video," said Mark Pascarella, president of Gotuit. Now, that's unique and compelling to me. For instance, I'd love see all the final last minutes of each stage race of the Tour de France. If Gotuit had rights to this video content, I'd be able to go to Gotuit and see these action shots. 

To read more about Gotuit, go to my MarketWatch Blog: MarketWatch.bambi

Video blogging the Tour de France - first mountain stage

Create your own video at One True Media

For those who missed my post on blogs.marketwatch.com/bambi/... here it is again: Tour de France 2006 - ride from the hotel in Luz St. Sauveur up the Col d' Aubisque and Col de Marie Blanque. On this day, our tour group started in Luz St. Sauveur, a quaint little town in southern France. Marty Jemison begins the video by outlining our ride, which consisted of descending for about 12k, and then climbing for about 18k up the Col d' Aubisque, which is about 2110 meters higher. The first descent was pretty sketchy as it was raining and there were many cars on the road. Additionally, Marty - a former U.S. Postal Service rider with Lance Armstrong and who now runs this tour -- isn't exactly slow. Even though he's put on a few pounds since his racing days, he's still above-average strong. After the descent, we begin the climb. I keep up with Marty for a few miles. Eventually, he and three other fast climbers dropped me! No matter, I enjoyed every bit of it - probably because I couldn't see how much climbing was ahead of me (it was cloudy that day). I made it in good time. Here's a shot of me at the top of Col d' Aubisque. You can see the mountains behind me. We then descended down a winding road (fun!) and headed for the Col de Marie Blanque (category 1 climb with 11% grade), where the pro riders would be descending. As you can see, some of my riding buddies were in rain jackets. It was a bit cold and rainy that morning. The weather can also be very unpredictable there, much like San Francisco. It can be 80 degrees on ground level, and misty and cold enough at the top of the Col de Marie Blanque to wear leg and arm warmers and a several layers. Since we are riding the course of race day, we have to make sure we get through hours before the riders, or the police will not let you on the road. (I learned to dodge the police a lot that week). We don't have much time that day to reach the top, so Marty essentially says, "Every man or woman for himself/herself." We all go on our own to attack the mountain with baguettes in our back pocket for lunch, and warm clothes to put on while waiting on the mountain. I make it up to the top where we're handed red and white polka dot t-shirts that represent the "king of the mountain." Marty makes friends with some men from the Basque region. They offered us pasta and wine. Now how often do you get hot pasta and red wine after a grueling climb! We then descend about 3k and find a spot to watch the racers. Here's where the video of the racers are taken. You'll see that first the caravan starts. About an hour prior to the riders coming through a long parade of floats precedes them. They are floats of the many sponsors of the race. The tradition is that the kids working on the floats throw all sorts of swag - hats, gummy bears, water bottles, sweets, etc. Here's a shot of Gary checking out the latest swag. After several days of the same routine, this kind of gets old. Imagine what those on the float feel like!?! Frenchman Cyril Dessel claimed the yellow jersey at the end of the first mountain stage of the Tour de France, won by Spaniard Juan Miguel Mercado. Later in the week, I'll meet Dessel, after Marty got our group VIP passes to meet the riders at one of the starts.

Tour de France rest day

Create your own video at One True Media

Jens Voigt won the longest stage of the Tour de France (142.9 miles), giving the CSC team its first victory at the three-week race. Voigt beat out Oscar Pereiro Sio, of the Illes Balears team, at the finish of the 13th stage. They were about 30 minutes ahead of the main pack, which included race leader Floyd Landis of the United States, giving Pereiro enough of a lead over Landis to take over the Yellow Jersey. In this video of mine is Jens. I met him and the rest of the CSC team on the tour's official rest day (which is hardly a rest day, given that they ride about 60 miles). My group - thanks to Marty (former racer on the U.S. Postal team with Lance Armstrong) - rode with the CSC team for a brief part of their ride during the vineyards of Bourdeaux. I also caught a quick shot of the Discovery team. My handy helmet camera worked out OK for this part of the ride.

Inclue RSS video feed

Here's a new way to subscribe and watch the videos on my blog from your email. Check it out. Inclue is a 14-month-old company, based in Lajolla, Calif. The company has 6 employees and has received $900,000 in angel funding. What's nice about this service is that if you want to watch video blog posts from inside your email box, you can do so. The problem with the current RSS readers is that they're not rendering the videos that are being placed inside of blogs. So, if someone subscribes to, say, this blog (which has a lot of video), they would just receive a link to the video. With inclue, there is instant gratification. In three weeks, inclue will be working with Outlook Express - the free email client that comes with every copy of XP. Inclue founder/CEO Nick Gogerty says the company is also in talks with user-generated video sites to help them distribute their video content.

More video-related columns

1) NBC has its own user-generated site called www.dotcomedy.com, where aspiring comedians can upload their own videos. But starting a video-sharing site isn't that easy.  On Tuesday, NBC struck a marketing deal with YouTube to tap into the video-sharing site's booming and active community (YouTube had 20 mln unique visitors in May, according to Nielsen//NetRatings). The partnership will allow NBC to test video-sharing sites as a means to promote shows, and it will allow NBC to test user-generated participation in the promo-creation process.  Still, new user-generated services continue to emerge, like Yahoo's user-generated video service. With more than 100 of such video-sharing sites cropping up, it's a wonder anyone bothers to launch another one. But Yahoo did.  For more of what's behind Yahoo, read my commentary on MarketWatch, or visit my official MarketWatch blog.

Net Sense: Yahoo's openness

My official blog on MarketWatch

2) What are people watching on the Web? Are they watching amateur or home-grown video or big-media video? They're watching home-grown video. For more, read my Net Sense column on MarketWatch, or go to my offfical MarketWatch blog.

Net Sense: Your video vs. big media video

3) The trick to making sure that video ads won't be skipped over online is to make sure they're compelling enough to share. The way you can do that is to make the video provocative, if not nearly X-rated. A couple weekends ago,  HuffingtonPost.com started displaying video advertisements created by ad agency JWT for a week-long pilot program. I won't be explicit about the various ads. Suffice it to say that if you watch the one created for Scruffs Hardwear, you'll know what I mean about video ads that have crossed the line of appropriateness. Am I surprised? Actually, I'm no less surprised about salacious video ads on these emerging online publications than  news that a U.K. doctor is conducting an historic full-face transplant, which will undoubtedly ignite a truculent ethical debate. I'm no less surprised about such ads than I am about scientists attempting to write a "code of ethics" for robots, for the anticipated day when robots are not only smart, but possibly sexier than us humans. Read Australian News article. I'm no less surprised about such ads because we live in a world where we're always entering new frontiers, are in need of constant stimulation, and the fact of the matter is that soft-porn ads already exist in respectable magazines and television, say for example the Carl's Jr. hamburger ad, starring Paris Hilton. Anything goes on the Internet when no one is really watching. For more, read my Net Sense column on MarketWatch, or visit my official MarketWatch blog. 

Read Net Sense: Video goes viral

NBC embraces YouTube

YouTube - the online-video sharing service that exploded in popularity after showcasing unlicensed NBC content - managed to ink a marketing deal with the network.  As part of the deal, NBC will make a "small advertising buy" on YouTube's site. The deal runs for a season and includes a cross-marketing and a user-generated video component.   

It's not surprising. YouTube, along with every other emerging video channel or video-sharing service, has been trying to strike such marketing deals with major studios. Guba.com signed with Warner Bros. earlier this week. (Watch my video with Guba.com founder and CEO in my earlier post.)  But Google inked a deal with CBS earlier this year. And, that's not exactly working out so well. Who watches CBS shows on Google? That said, NBC is only putting promotions on YouTube, and not entire  programs.

To read more, go on my official MarketWatch blog at Bambi's blog on MarketWatch

Meanwhile, Guba.com also inked a deal with Warner Bros. earlier this week.

Watch my interview with Guba founder/CEO Tom McInerney

One-off moments in time

Compared with whimsical one-off moments in time captured on video, big media productions just don't seem to matter online. Take a quick scan at the top 100 most popular clips viewed on Google Video, and you'll note that a large majority are far from professionally produced. The No. 1 video, at this juncture, is a 13-second clip, titled "Girl caught cheating." Of all video sharing sites out there, one would think that Google's would be a place where branded productions could get attention. Yet without promotion on Google, CBS content apparently is getting lost in a sea of colorful photo thumbnails, seemingly far more popular if only because they ask little of our time. Consider another example.  The most recent Apple data shows that 30 million videos -- music videos as well as episodes of popular shows, like Desperate Housewives -- have been sold since October 2005, when Apple's store began to offer video. YouTube, the fast-growing video phenomenon, claims that 50 million videos are viewed each day on its site. Put another way, more than 2 million videos are viewed per hour on YouTube vs. 5,000 videos purchased per hour on iTunes, arguably the most successful distribution platform for digital content.

To be sure, statistics barely exist for video streaming and downloading. We rely on companies, like YouTube, to give us their internal numbers without really knowing what they're counting exactly. So, for now, we have to settle for video viewing stats that are decent at best, or entirely inaccurate at worst. The result: misguided conclusions.  For instance, MSN Video was the No. 1 video site ranked by unique visitors, followed by Video@AOL, YouTube and then Google Video. According to comScore, MSN Video had 14.9 million unique visitors in January 2006, or 5 times more than YouTube, with 2.7 million visitors. Yet over at Nielsen//NetRatings,

YouTube's audience figures were nearly twice as high, and MSN Video was doing worse. YouTube had 4.9 million unique visitors in January while MSN Video had 9.6 million, according to Nielsen//NetRatings. For those watching traffic data over the decade-long commercial life of the Internet, it's not a surprise that the numbers vary since the methodology at the research companies is different.The point remains that the imperfect data likely misstates the real activity of these self-produced, non-copyrighted videos.

While it's hard to be sure, I'd say there is a lot of overstating of true demand going on. That's because at least some of the activity at these video-sharing services can be attributed to spying (hundreds of rivals trying to find out just how video services are working), experimenting, pirating and double counting (the same video sent around and viewed on multiple sites or platforms). This is not the kind of activity one should extrapolate from; the Internet bust taught me that.

Read Net Sense on MarketWatch

Interviews with video startups

During the first six months of this year, the amount of venture dollars invested in Internet video startups rose 45% to $156 million, according to Dow Jones VentureOne. Nineteen companies received that funding. If the investing continues apace, the dollars pouring into this sector will surpass the $267 million million invested in 40 startups in 2005. All told, since 2002, 139 video or video-related startups received a total of $954 million in venture financing.

Some of those companies include MeeVee, Revver, YouTube, Video Egg, Brightcove, CinemaNow, FeedRoom, and Veoh. 

Watch my interview with MeeVee President Michael Raneri

Watch my interview with Instant Media CEO Andy Leak

Watch my interview with Veoh CEO Dimitry Shapiro

Watch my interview with MobiTV CEO Philip Alveda

Also watch my interviews with two social search startups, Eurekster and PreFound

Watch my interview with PreFound CEO Steve Mansfield

Watch my interview with Eurekster CEO Steve Marder

MSN video originals and Warhol

MSN's user-generated upload service - code name Warhol - is still on track to be available this year, according to Rob Bennett, who heads up MSN's entertainment and content unit. He also talks about what kinds of original Internet programming we can expect out of MSN. Will any of these made-for-the-Net videos go to the networks or cable, where there is a larger audience today? Watch my interview with Bennett to find out.

Watch my interview with MSN's Rob Bennett

Video publishing over easy

VideoEgg co-founder Kevin Sladek talks about how he spent 18 months building a publishing tool that transcodes video on a user's machine rather than on VideoEgg's servers. In this way, the upload time is faster. He said video uploads take about 2 minutes over a DSL line. Well, the video of his interview took me about 20 minutes on a DSL line. Nonetheless, the service does work. And, VideoEgg is one of the few companies providing private-label video-uploading services. For instance, VideoEgg is powering AOL's Uncut user-generated video service. Both companies will share ad revenue.

Google's video exchange ambitions

Google is trying to get everyone -- and I mean everyone -- to create video advertisements.In fact, if you're a job candidate seeking to get hired by Google, you might consider creating a video ad about yourself and bid against other marketers to place your smiling face on those gazillion blogs and publications that write about Google. This idea was first mentioned to me by Ryan Money, who started HireVue.com. But Google's Gokul Rajaram seems to think the video resume idea will work on Google as well. My money is on HireVue.com since I believe Google will be too distracted to provide the contextual environment job seekers need. Plus, I don't believe job seekers will want to pay for everyone watching their video resume.

But I think there is a place for such pay-per-click video ads, partly because the inventory for news and entertaining video (where these ads typically are placed) is scarce. Advertisers are clamoring to place ads on rich media. I know since I've been creating online videos for MarketWatch since 1999. Google is creating liquidity for advertisers (with video ads) by giving them a cheap alternative ($5 to $12 per CMP) across the blogosphere, where there is inventory. And, when the supply of entertaining video increases, Google will have already amassed the inventory of video ads.

Publishers won't mind these video ads as long as the ads are relevant. And, I believe they have the potential to be relevant and entertaining. The possibilities of what video advertising will look like tomorrow, and who will be advertising are scary, exciting, on the verge of ridiculous, potentially profound, and almost limitless. 

Google's ad video project has had mixed reviews across the Web, with many skeptical about the viability of pay-to-click video commercials. For those who have any doubt about how much video advertising will be created and viewed, think again. Videos will come from people and places unimaginable.  Will Swedish nannies start creating ads about their services and target blogs that only attracts readers who can afford such luxuries? If the potential salary covers the cost of their ad spend for those clicks, which it might, why not? If I had property in Lake Tahoe, I might take my relatively cheap video camera and create a video to showcase the property and upload it onto Google and target lifestyle blogs. 

My Net Sense column - which includes the rest of my observations -- received a lot of responses. I hope those who responded to my column also post their observations here for others to read.

Read my Net Sense on MarketWatch

Knowledge exchanges

Yahoo Answers, Google Co-op and MSN's Live Q&A sound very similar to me. Yahoo's Patrick Crane spoke with me about what he thinks is Yahoo's competitive advantage.

Video competition

At Yahoo's analyst day, Jeff Weiner - head of Yahoo's search initiatives - said the search giant would have some new product/service launches in a couple weeks. While he didn't say that a user-generated video upload service would be one of those services, that type of product seems to fit right in with Yahoo's other offerings. My guess is that it's coming soon. The challenge for Yahoo is to making it different from what's already out there.

I recently was alerted to 88Slide.com. It's a site - or should I say channel - that airs one-minute video trivias. Founder Noah Bonnett told me he was inspired by Rocketboom, a daily 3-minute news show.  Bonnett hopes to give advertisers consistent short-form content to sponsor. Bonnett - who shoots the video himself - has already attracted some sponsors. It doesn't surprise me. Advertisers are seeking short-form content that's predictable and reliable.

There is also Purevideo, backed by angel investor Ron Conway. Purevideo owns stupidvideos.com and is in the process of creating other video channels. Vmix is yet another video site hoping to build Internet channels. Booyah Networks (not affiliated with CNBC host James Cramer) is one of the more interesting private-label video services because of its auction-based advertising model. Essentially, Booyah has technology to automate the bidding process for pre-roll or post-roll ads. Think - AdWords for video. Among the other emerging video channels or video aggregators I've come across besides Google Video, YouTube, Grouper, MySpace videos and Akimbo, are Current.tv, Pixsy.com, Dailymotion.com, Metacafe.com, Vidilife.com, Guba.com, and eBaumsworld.com. There's also Ourmedia.org, Veoh.com, Podzinger.com, Break.com, Tagworld.com, Gorillamask.net, Fireant.tv, Dailysixer.com, iFilm.com, Sloopy.com, Atom Film (and AddictingClips), Extremefunnyhumor.com, Dinkytv.com, Stupidvideos.com, GrindTV.com, Comegetyousome.com, Ripetv.com and Livedigital.com.

Who will be the stars of this online video medium? I'm sure they'll arise in no time.  After all, the infrastructure for viewing video online is practically in place. Sadly, I'm sure some of these budding channels won't survive.

War of ideas

Do you see napkins flying around?

Watching the emergence of startups in Silicon Valley reminds me of 1999, when a plethora of two-person shops -- that got funding with just a business plan scribbled on napkins -- competed for the same mindshare and dollar. To some extent, the same frenzied environment is shaping up today: Competition is cutthroat for the same eyeball and the same buck.

Venture capitalists -- seeking to fund their own winner -- are investing in similar companies that essentially are doing the same thing. Look no further than video-sharing sites. Blue-chip venture firm Kleiner Perkins has Akimbo, which hosts more than 10,000 shows. Sequoia Capital has YouTube, whose most popular video was watched 9-plus million times. Every VC will have their own Internet TV startup, I’m sure. RipeTV.com -- the Web version of SpikeTV -- is expected to announce a round of VC funding soon, I hear.

VCs are filling the pipeline because they know traditional companies fear their extinction in the new media age and are hungry for ideas. And, while venture investors’ raison d’etre is to disrupt the status quo, in a twisted way, they’re competing with the startups they embraced only a few years back. Google, which was funded by Kleiner and Sequoia back in 1999, is trying to win in the video-sharing world with Google Video. 

The cash is plentiful on both sides. Last year, venture capitalists raised $24.2 billion, which was spread across 199 new funds, according to Dow Jones VentureOne. It’s the highest dollar amount raised since 2001.

Google has $8.43 billion in cash and cash equivalents. Yahoo has $3.8 billion in cash and cash equivalents, is also considering launching its own user-generated video service. Microsoft , which owns MSN and has $34.8 billion in cash and short-term investments, plans to launch its own video sharing service, code-named “Warhol,” that will integrate with its MSN Video and MSN Spaces services. At the same time this user-gen world is cluttering the media landscape, there's another kind of digital content being created as well. This time, it's from people who are already creating content for a living. They are those who have ties with traditional publishers and agents, but are now creating new content that can give them a greater piece of the pie. I call them free agents. IAmplify just got out of stealth mode about 3 months ago. This Manhattan-based company is helping these free agents. Read about iAmplify's business model on MarketWatch.

Read Net Sense on MarketWatch

Read NYTimes on Google/MSFT arms race

Read SJ Mercury News on eBay/Google strained relationship

Check out Yahoo's rival to CNet - Yahoo Tech channel

 

The problem with VideoEgg

I've been testing out VideoEgg - whose tagline is video publishing over easy (love that) -- for a few weeks now. It's one of the few services that allow you to put a player on your site and upload video. It's unlike Revver, YouTube, Google Video and Grouper. Those services are video destinations. While VideoEgg is useful, it doesn't allow you to edit the comments on your post. For instance, I tried to put my AddictingClips video in a "startup interview" folder, and that edit caused my AddictingClips video to disappear. So, I had to republish. As some of my visitors might notice, the Mika Salmi video is back at the top of this blog. 

AddictingClips

So you want to share your videos? You can earn $250 if you submit your video to Atom Entertainment, which operates AddictingClips and AtomFilms. If you're serious about a making movies, you might want to consider this service, given Mika Salmi's track record. AtomFilms helped launch JibJab into stardom. I asked Salmi, who started Atom Entertainment about 8 years ago, how he was going to compete for user video when YouTube seems to be the place to be seen. File-size limit at AddictingClips is 100 megabytes.

YouTube vs. MySpace videos

To everything, churn, churn, churn. There is a season, churn, churn, churn. If there is one word we'll hear often in this new media world, it's churn. Consider: It took MySpace's video service four days to top the charts, surpassing YouTube and Google Video, according to Hitwise, a measurement service company - which sells its data for $30,000 to $50,000 annually. It won't be long for that ranking to change since there's a lot of churn at these user-generated sites, according to Bill Tancer, general manager of global research for Hitwise, who came to the MarketWatch studios recently. Tancer also clarified some traffic data.

Hitwise had been reporting that YouTube was generating more session times than vids.MySpace.com. But Hitwise wasn't exactly comparing apples to apples, resulting in what may have been overinflated numbers for YouTube. According Tancer, all of the hits on YouTube are counted. So, if I'm just navigating around YouTube's favorite or most-viewed videos, these are counted as sessions, even if I don't watch a video. Also, if I click back onto a video just to write a message, the video automatically plays. On MySpace, only videos that are  viewed are counted as sessions. MySpace videos also don't automatically play.

AddictingClips

So you want to share your videos? You might win $250 if you submit your video to Atom Entertainment, which operates AddictingClips and AtomFilms. If you're serious about making movies, you might want to consider this service, given Mika Salmi's track record. AtomFilms helped launch JibJab into stardom. I asked Salmi, who started Atom Entertainment about 8 years ago, how he was going to compete for user video when YouTube seems to be the place to be seen. File-size limit at AddictingClips is 100 megabytes.