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Web 2.0: Chronicle of a death foretold | Media Money October 12, 2008

Posted by Jonathan Hewett in : delicious links , trackback

Crunch time is coming for Web2.0 companies, says Peter Kirwan:

"The business models underpinning social media and user-generated content are in big, big trouble.
Funding is drying up. The space available for experimentation in media planning is closing down rapidly. The cult of free looks decidedly vulnerable. […]
Suddenly, and rather miraculously, ad-funded web sites are becoming unfashionable. Paid content? It’s the new black. As one VC puts it: “Free is over; I am only interested in investing in services that customers pay for.”[…]
Welcome to the future. The breaking of web 2.0 will look a bit like the dot com crash of 2000 — only this time, everyone will be scared."

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