Subject: Re: Yahoo/etc. goes commercial From: lang@panix.com (Langdon Doty) Date: Fri, 21 Apr 1995 17:11:36 -0400

Cc: online-news@marketplace.com, inet-marketing@einet.net
Status: RO
X-Status: 

With these indexes and search engines (Yahoo, Lycos, etc, etc) being
bought/courted by the big players, if not eventually swallowed up entirely,
It is quite evident that the devil's advocate is correct.

An index and/or search engine which has become a "popular" filterer of
information (we can include the hotwired's, in fact anybody that has
created a large repeat audience on the net) with a facility for secure
transactions, taking a little piece off the top,  is where all the big
players are heading (look at Microsoft, etc, etc). And if the are not too
greedy, they might just pull it off.  Their reasoning is, if you act as a
sort of "infobank", charging modest fees for a business to be there, taking
3-5% off the top if they opt for your secure payment facility, and making
sure you offer compelling enough content for people to continue to visit,
you will create the ingredients for quite an impressive virtual empire,
which could expand exponentially.

 The first one off the block to offer 1) the most compelling filter (Yahoo
is ahead on that one), and 2) the most cost effective method of paying for
the goods and services highlighted (the game is wide open on this one) will
have tremendous leverage. Sequoia capitalists are no fools.  They will play
the sponsorship game in the short run because that is where the mass market
bozo's think their money is well spent, but what they will be leveraging in
the future, unless they're clueless (which they are not), is the tremendous
traffic going their way. I'm assuming they wont be too greedy and they will
probably start charging a modest fee to be posted there, and if some
company wants more, which many will since that is usually the first spot
anybody goes to for their information (so far, but expect a real war in the
future between different "Mega Filterers"), they will offer a secure
payment facility.

So by offering compelling content as a lure, modest rent to those who want
to be listed there (charging very little for non commercial types), and a
modest processing fee for those who want a payment facility, you are
offering a win win situation, which will eventually knock out any greedy
monopolists (we won't mention any names).  And what you have is a potential
empire. Coupled with a clever interlinking of various nonprofit and other
businesses' products and services to synergize sales, and you have a real
winner. etc, etc.

That's what I think will happen anyway. I leav it to the floor.


--------------
lang@panix.com

                                             



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