Thoughts on Facebook | entrepreneurship
Thoughts on Facebook | entrepreneurship
I just saw Jason Calcanis letter to Mark Zuckerberg concerning Facebook’s current business practices. Like everyone else in the Tech industry, we all have our 2 cents and I’m not any different. My thoughts on Jason’s points:
- Being able to export everything – I do believe this feature would be nice to have, however this is an aspect of Facebook’s sustainable competitive advantage. They’ve created an ecosystem where there is a huge cost to switch to a competitor. If a competitor that was everything facebook but 10x better, it would be hard for them to convert users away from Facebook. Facebook is where all the content is and by enabling users to export their content creaks the door open for competitors. And no, Facebook is not too big to worry about 5 kids in garage.
- Universal Like Button – People are not doing open source without strategy behind it. Having an open source system is to create a standard and quickly capture the market. Bluetooth radio standard is free to use and license. Bluetooth did this model in order to accomplish the interoperability between devices and quickly gain market share versus competitors such as Zigbee. However there is no need to do this when your company is the standard.
- Currency – 100% behind you there.
- Remind users of privacy settings – This sounds annoying. The truth is that everyone sub 30 doesn’t have much problem with sharing everything. Your open letter is a sign of this. Mark probably would have appreciated a direct letter to him and would have read it just the same. Sharing more information and creating a search index for more than just sites is the future of web 2.0. Without displaying certain information to the public, it is impossible to create the internet of people.
- Partner more – This way of partnering sounds like a lot of Barney relationships. If the partnership saves time, money, and creates value Facebook (like most companies) partner or purchase the startup. But partnering just because it’s the good thing to do in the valley does not sound reasonable.
Those are my thoughts on the letter.
Few obvious points on me:
- Yes, I am a fan of Facebook
- As a young entrepreneur, I do look up to what Mark Zuckerberg is doing now
- I am a lot dumber than Jason Calcanis and my knowledge cannot compare to his
-Chris















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