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Google and Facebook rivalry takes centerstage

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The technology industry's latest rivalry takes centerstage next week when Internet powers Google Inc and Facebook lay out their competing visions to create a new generation of Web services at a high-profile conference in San Francisco.

The relationship between the two Internet icons has become increasingly confrontational, and the battle will likely intensify on Monday when Facebook is expected to introduce a revamped version of its messaging technology that could pose a challenge to Google's Gmail.

http://news.yahoo.com/s/nm/20101113...jA3luX3RvcF9zdG9yaWVzBHNsawNnb29nbGVhbmRmYWM-
 
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AfternicAfternic
That was started as an idea I read in a news article somewhere in February of 2010. But recently a few weeks ago, Google blocked Facebook users from importing contacts from Google because Facebook does not share but a taker. According to Google.

Facebook's problem right now is cashflow.
I think it once again made a loss this year, so it needs investor badly.
I think the only investor willing to go in right now is Microsoft. For some strange reason, maybe its to limit Google's influence.

But if Facebook is successful in getting funding and help from Microsoft, it could pose serious threat to Microsoft later on. Since Facebook have been buying out alot of rivals or potential rivals to get highly skill employees and shut down the other bought out. Main purpose, becomming a software land, a direct threat to Microsoft.

The problem?
Facebook already spent alot in 2010.
They probably have a net loss this year, and advertising in 2010 probably was less than 2009. At 2009 they wrote it was a profit in the tens millions (nearly breakeven) but nothing confirmed. In 2009 valued itself at $10 Billion, in 2007 valued itself at $15 Billion when Microsoft hop on.

So what's 2010?
Large expansion, huge ambition, including offering traditional emails.
Taking over groupon sites, map, online transactions, and offcourse huge developer's platform for games and apps.

At what cost?
Cashflow is probably NEGATIVE.
Ađding to the recession, facebook click per impression is very low compared to Google.

I think facebook is desperately needing cash to continue expansion.
It did alot in 2010, not to mention customer database nearly doubled. In terms of hundreds of millions.

Who's going to feed the hungry Giant/Tiant ?
Will it be Microsoft?

Will the Titan collapse ? if there is no cash?
What happen when Google starts to launch its Social Sites?
This will eat away customer database.

Not only that, people grow up. Facebook is just like Myspace.
Highschool kids grow up.
College kids graduate and move on.

I be waiting to see who FB is asking money from in 2010.
And who's going to feed the giant.
What will happen when cash is gone???????????????????
 
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Today Nov 5, 2010, Facebook toned down a lot on the project Titan/ Google Email "killer".

However it will be an email, advertised as an IM system. Messages and anything on your Facebook profile will be saved for 5 years, that includes your relationship status, your wall messages, and ofcourse your emails or so.

The tone of Facebook today was definitely "defensive", today there's no such thing as "Project Titan" and no "Google Killer" according to Zack the founder of Facebook. However previously "according to familiar sources" say there were.

For some reasons Facebook backed down, it could be the cost associated with 500 million email accounts and that the system is too big to swallow at the moment. Considering Facebook might once again be in the red, cash negative and not making a profit. An email system on its platform, according to AllFacebook.com survey, only 16% users say they want one, while another 25% or so say they will use it with Google. The rest, over 50% say they will not use Facebook for email. The poll was conducted by avid Facebook users/ those enthusiast. What happens if the poll was conducted with non-fans? it would be worse.

So why did Facebook tone it down so much?

My guess is it has to do with cash problems.
And those "familiar to the source" did not show up this time at the live conference web 2.0 in San Francisco Cali.

Usually we read news "sources familiar to the matter"...this time. It is confirmed there is no project Titan or Google "killer".
 
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