Welcome to the
Virtual Goods News Wrap-Up for the week of May 22, 2009. The Wrap-Up
is where VGN spotlights stories that we didn't get to cover
individually, but still make for interesting reading about the virtual
'Virtual Currencies' Power Social Networks, Online Games
Hot on the heels of BusinessWeek's big story on the monetization power of virtual currency comes a surprisingly similar piece from CNN. This piece draws a parallel between virtual currencies and the in-game gold of a game like World of Warcraft while also explaining how virtual gifting and goods work to the uninitiated.
App Revenue Is Poised To Surpass Facebook Revenue
Ad Age exposes one of the most interesting Facebook facts in a week of heavy news about the company: third parties on Facebook's platform may be generating more revenue than the company itself. That could mean achieving profitability for Facebook requires little more than figuring out how to get a cut of platform transactions.
Facebook CEO Says IPO A Few Years Out
Rumors have swirled since early spring about the possibility of a Facebook IPO or the company seeking a round of investment capital. Right now, it looks like neither is likely to happen in the immediate future. It puts the new Facebook emphasis on virtual currency in an interesting context.
Facebook Payments: Think Virtual
A useful CNet summary of the evolutionary process that lead to the current testing of Facebook Credits. The article also explores why Facebook is going with a virtual currency system instead of a more traditional online payments system, especially in light of the tremendous revenue being generated by the Facebook platform.
Gambit: Facebook Users Have Deeper Pockets Than Their MySpace Counterparts
Payment service Gambit provides some figures that indicate an interesting statistic may be at play in Facebook's current trend of accelerated growth over rival MySpace. Apparently Facebook users are willing to spend more per average user in games and other platform apps than their MySpace counterparts.
How Is Facebook Going to Monetize The Open Stream API?
An interesting point is raised in this Inside Facebook piece about the possibility of Facebook building virtual currency transactions right into the stream. Any method of microtransaction purchase that keeps users from "leaving" an app tends to generate more sales. Letting Facebook users pay for things from the stream could be huge.
Is Facebook's App Directory The Precursor To An App Store?
Pure but very interesting speculation about the ramifications of one of Facebook's other changes rolled out this week, a new directory of "verified" apps that are essentially recommended to users by Facebook itself. With the Credits system in testing and Apple's App Store generating big money, the prospect of a Facebook App Store equivalent is worth thinking about.
No Recession In WeeWorld: Teen Socializing Drives Virtual Goods Revenues
A Boston-area paper profiles successful virtual world WeeWorld and its virtual goods-oriented business model. The emphasis here is on the challenges and pure gee-whiz factor of designing virtual items that users really want to buy as much as the monetization potential to be found.
Payment Industry Perspectives: Q&A With Paymo CEO Paul McGuire
An interesting profile of Hi5 payments partner Paymo. While most businesses that even think about mobile payments tend to use Zong, Paymo offers competitive features and rates. Mobile payment is still an emerging service in the US, but it's one VGN expects to take off big once the transaction fee issue is somehow addressed.
Virtual Burial Is For Virtual People
The American Conservative takes a very dim view of Jay Goss start-up EternalSpace, which offers virtual burial spaces online that are clearly intended to let online acquaintances as well as distant friends and family participate in the grieving process. The article raises a few interesting points but otherwise seems to be a bit of a knee-jerk reaction.
Join us for App Conference – October 18-19, 2012 in Santa Clara
- Announcing Digital Kids Summit – Sept 19 in San Francisco
- Microsoft Unveils Xbox One
- Microsoft to Reveal Next-Generation Xbox
- DHX Media Partners with YouTube on Paid Channels
- DreamWorks, Verizon Team on Million Dollar Turbo Racing League App Promo
- Apple App Store Hits 50 Billion Downloads
- Google Introduces Google Play for Education
- Kids Use iHeart Locket “Smart Necklace” to Connect with Diary App
- Warner Bros. Targets Girls with LEGO Friends for Nintendo
- AppCertain App Monitoring Service Debuts First App
- NASA Grants Austin Tech Company $125M for 3D Printer Outerspace Initiative
- Compare Metrics Collects $4.2M
- Open Labs Raises $800K from Timbaland
- SolarWinds Acquires N-able Technologies
- Postmaster Closes $600K Seed Investment Round
- YouEarnedIt Welcomes New CEO Steve Semelsberger
- Emerging Technology Fund to Receive $50M
- Vista Equity Partners to Acquire Websense, Inc.
- Affinegy Names Frank LaBarbera SVP World Wide Sales and Marketing
- Austin’s tech scene 2001 vs 2011: Fewer workers but healthier ecosystem
- Attend or Exhibit at Tech Career Expo WWDC
- Only 20 Days to AARP Health Innovation 50+ LivePitch
- AARP Health Innovation@50+ LivePitch Judges Announced
- 4,100 Job Seekers Participate In Sell-Out Tech Career Expo Austin 2013
- Video Walkthrough of the Tech Career Expo Austin
- Engage Digital To Support 2nd Annual AARP Health Innovation@50 + Startup Pitch Event
- Caprese Skewers passed around by the Dell and Pandora Tables at The Tech Career Expo
- Geeks Rule at the Austin Tech Career Expo Next Week
- Get your LinkedIn Profile and Top 3 Skills In Front of 47 Innovative Companies
- Microsoft, General Motors, Mitratech, Myspace, Digby and HostGator.com Join Tech Career Expo Austin Line Up
- Digital Kids Conference Registration Ends Tomorrow, Friday, Feb. 8th
- Tech Career Expo Returns to Austin, March 8-9, for Annual Technology Recruiting Bonanza
- Engage Digital and kidSAFE® Seal Program Launch First Ever Digital Kids Safety Summit
- Digital Kids Conference Emcee Spotlight: Joi Podgorny and Richard Gottlieb
- Introducing KidsWire
- Earlybird Registration Ends Tomorrow! Register Now.
- Tech Career Expo Austin has the Jobs You Need: 1,100 Open Positions Available
- Digital Kids Conference Earlybird Registration Extended to Tuesday, Jan. 15
- Digital Kids Conference Keynote Spotlight: Victor Lee of Hasbro
- Early Bird Registration for Digital Kids Conference Ends Next Week