“Total internet advertising spend cannot justify outsized valuations of social media products that derive revenue from advertising. There simply is not enough ad spending dollars in existence to support the gargantuan market caps.” Two lines from a leaked e-mail by Evan Spiegel, one of the most insightful comments I read in a long time. For […]
Facebook has an innovation problem for which it compensates by “over-innovation” of existing products. That strategy backfires, hurting the company’s reputation, making it hard to expand into business software with its recently announced Facebook@Work, a tool for messaging and collaboration, The company is successful because of its first mover advantage, networking effects and the backing […]
