Thursday, May 25, 2006

Hooray for the Digital Tsunami

More digital tsunami news.

From the FT: MySpace, the fast-growing "social networking" site, is in talks to forge a internet search link with either Google or Microsoft.

The rapid growth of social networking sites such as MySpace and Facebook has threatened to tip the balance of power on the internet away from traditional portals and search engines. Their potential to become the places where many young people spend most of their internet time could make them the "gatekeepers", or the entry point for online activity.

For my money it is the portals that have most to loose.

But there are more battles comming. Yahoo! and eBay have joined forces in an advertising, payment and communications alliance aimed at thwarting Microsoft and Google, says the Guardian.

The deal consists of four components: bolstering advertising revenue; integration of eBay's online payment system PayPal across Yahoo!; a co-branded eBay toolbar; and the development of "click-to-call" advertising through Skype and Yahoo! Messenger.

Not a good time to be a phone retailer or bank especially as PayPal has just launched a service to allow you to pay other people from your cell phone (as wellas invoice by email, web page da de da).