Social Software Explored

Yeah – I know – which is why I was so intrigued by the article. It’s located over on CNN.com with the title “Microsoft tinkering with scary-smart ad spots” and it definitely grabbed my attention.

With the impending bid for Yahoo still looming news about Microsoft’s latest advertisement projects are very interesting. We already know how a company like Microsoft can use distribution channels (the OS) to drive revenue to other products (Desktop Publishing and Workplace Communications). Now it seems that the purchase of Yahoo is another mechanism for Microsoft to exploit one channel to benefit from another.

Unfortunately, it is genius and, it represents a big push for the company to continue its strife to take over the world. Scary – very scary.

I am a big proponent of smarter ads and also could care less if my “actions” on the Internet are tracked by “big brother”. Look, the Internet is a tool. If it doesn’t get smarter what good is it. So, I have stated before here that I want the Internet to learn about me and understand what I like and don’t like. Present me with advertisements that make sense. Don’t show me things that I would never be interested in.

Part of me feels that if we get more targeted ads, then we won’t need so many. Instead of having to blanket a site with many ads hoping to reach a site visitor, they could have one spot that is guaranteed to reach visitors. If I can go to a page – look at the ad – say quickly “yes” or “no” then move in it wouldn’t bother me. So, I am glad that someone (Microsoft or not) is working hard to turn this crazy out of control advertisement world on its head. Shake out what doesn’t work.

One of the projects that they are working on stated that it could “… scan(ned) videos for surfaces where product images could be inserted…”. Who knew that vidoes had “surfaces” but I guess if it did then we could certainly use them for product placements.

Another project built “transcripts” from a video using voice recognition so that it could supplement the video with targeted advertisements (on the side of the video) which correlated with the content of the video. Hell ya. I am in.

Building systems that make advertisement companies smarter will help us – we are consumers – we buy things. What are we really afraid here (besides the impending takeover of the world by Microsoft)?

With all of the discussion around the Internet today centered on the potential acquisition of Yahoo by Microsoft (which I have to admit I am not fond of), one must consider Yahoo’s community and Microsoft’s lack of community (besides the Developers Community of course) as a major reason we are at this point.

Many of the discussions so far, center around the Yahoo’s search engine and Microsoft’s desire to stay in the advertisement race. In my mind, it is not the technical abilities of Microsoft’s search which makes them unsuccessful it is the fact that they have no compelling content or applications which enhance an external community. Most people that go to msn.com only go there because it is the default page in the IE browser that they are “forced” to use.

Communities are hot (apparent when Microsoft attempted to buy Facebook). They represent excellent channels and offer great support for brand loyality. And with the growing numbers in advertising (and targeted advertising) dollars – a community site or set of applications make sense.

Take Flickr for example – many people were upset when Yahoo purchased Flickr (myself included). Since Yahoo is favorable in the public eye, the “sell-out” to Yahoo was more digestible than a “sell-out” to Microsoft however. And while Flickr does have some pretty nice technical features and it is easy to upload photos, it is the community that drives that site. What happens when the community falls out of the picture?

Obviously, Flickr would come along with the Yahoo purchase and I bet that the thought of being under a Microsoft umbrella makes Flickr members unhappy (go Picasa).

So the question that I ask is “Can you really buy a Community?” I think not. Communities grow organically, and most of them grow because people involved carry some of the same beliefs and share common ground.

You can’t buy that. This will fail.

Updated: Ok, after reading this article “CNN.com readers weigh in on Microsoft’s Yahoo bid” it seems that the “public” are concerned about Microsoft’s purchase of Yahoo as a method for them (Microsoft) to compete with Google.  I would agree on that if you think about search – other than that – Google is leaps and bounds above Microsoft when it comes to innovation.  Unfortunately, the folks over at Yahoo may not be innovative enough to help Microsoft.  Oh — this is sooo exciting.