Social Software Business Opportunities Teten

The Virtual Handshake: Current and Future Leaders in the Social Software Industry David Teten CEO, Nitron Advisors, LLC

Social software resources: www.TheVirtualHandshake.com Consult to professional investors, and get free career resources: resources: www.CircleofExperts.com www.CircleofExperts.com Executive recruiting: www.Teten.com © 2005 David Teten

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David Teten • CEO, Nitron Advisors, LLC • Provides institutional investors with access to frontline industry experts • Chairman, Teten Recruiting • Executive recruiting for the institutional investor, investment banking, and strategy consulting industries • Co-Author • The Virtual Handshake: Opening Doors

and Closing Deals Online

(www.TheVirtualHandshake.com) © 2005 David Teten

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Social Software Landscape Customers The Public

Enterprise

General Purpose

Realtime communications-- chat, IM, VoIP, web conferencing, SMS. AIM, ICQ, MSN Messenger, Yahoo! Messenger, Skype, IRC, Net2Phone Virtual communities / social networking services. Tribe.net, Craigslist, AOL, MSN Groups, MSN Spaces, Yahoo! 360, Yahoo! Groups, Ziggs, ezboard, Alumni.net Contact data management. GoodContacts, Plaxo, Bebo, Jigsaw. Blog software and services companies. Six Apart, Technorati, Urchin, FeedBurner, NewsGator, Pheedo

Virtual community builders. Affinity Engines, Aptium, SelectMinds, IntroNetworks, Lithium, WebCrossing, vBulletin Biography analysis. ZoomInfo, ZillionResumes Contact data management. Best Software, Frontrange

Business Purpose

Business-focused virtual communities / social network services. LinkedIn, OpenBC, Ecademy, Ryze, ZeroDegrees

Relationship capital management. Contact Network, Spoke Software, Visible Path, Interface Software, Leverage Software Workflow: Lotus Notes, Groove Blogs: SilkBlogs, 21Publish, Traction Software Wikis: SocialText, JotSpot, Atlassian Social network analysis/knowledge management: Tacit, Entopia Job referral networks: Accolo, Jobster, H3.com

Personal Purpose

Virtual communities / social network services. Friendster, Tickle, Xanga, LiveJournal, Orkut Mobile social software. dodgeball, nTAG, WaveMarket Photo-sharing sites. Flickr, Fotolog.net, WebShots Dating sites. Match.com, eHarmony, Yahoo! Personals, lavalife, TRUE, PerfectMatch, Spark Networks Face-to-face meeting facilitation sites. Meetup, Evite, Cvent Tagging/Bookmarking.43things, del.icio.us, de.lirio.us

© 2005 David Teten

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Selected Social Software VC Investments Company

($M)

VC

LinkedIn

10.0

Greylock

Jigsaw

5.2

El Dorado Ventures

Six Apart

10.0

August Capital

Six Apart

seed

Neoteny

Technorati

6.5

August Capital, Draper Fisher Jurvetson, Mobius Venture Capital

NewBay

4.5

Benchmark

LinkedIn

4.7

Sequoia Capital

Friendster

13.0

Battery Venture, L.P., Benchmark Capital, Kleiner Perkins Caufield & Byers

Tribe

6.3

Knight Ridder Ventures, Mayfield Fund, Washington Post Company

Spoke

11.7

Doll Capital Management, US Venture Partners, Sierra Ventures, Partech

Spoke

5.0

Doll Capital Management, US Venture Partners, Sierra Ventures, Partech

Spoke

4.2

US Venture Partners, Sierra Ventures, Partech

Meetup

1.0

N/A

Tickle

8.0

August Capital

* There

6.0

Sutter Hill Venture

Visible Path

3.7

Kleiner Perkins Caufield & Byers

theSquare

6.0

Brio capital, Chazen Capital Partners, Hudson Venture Partner L.P., NorthStar Capital Partners, Odyssey Capital, Synergy Ventures, Yazam

ClassMates

11.0

ARCH Venture Partners, Brand Equity Ventures, Madrona Venture Group

Evite

30.0

Advent International Corp, August Capital Management, LLC, Greylock Management Corp., Hikari Tsushin Inc., Staenberg Private Capital

© 2005 David Teten *$11 (angel investors), $33 in Total

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Yes, Another Bubble 13stripes - Affinity Engines - Amigos.com - AOL: People and Chat Directory - AsiaFriendFinder - Backwash bianca - Bolt - BuddyPic.com - BuddyBridge - BuddyZoo - Building an Online Community: Just Add Water Bumi-n City - Buzznet - Classmates.com - CNN Interactive Communities - CommunityZero - Company of Friends - The Conneck - Contact Network - Corporate Alumni - CouchSurfing - CPixel.com - Cybertown del.icio.us - Dogster - domeus - dudecheckthisout.com - easeek - Ecademy - eConozco - EdGateway Communities - Edgeofeverything - eFriendsnet - 8minuteDating - Eliyon - enCentra - EnterNexus - EntreMate Eurekster!, - Everything2 - everyonesconnected.com - eyebees - FaceParty - Findapix - FollowMrsPoon.com FriendFan.com – FriendFinder – Friendifieds – Friendity - Friend Surfer - friendsreunited.com - Friendster Friendzy - Full Moon Webs - FunHi - firsttuesday.com - GoingProfessional - Groups@AOL - Growth Company Gruuve - heiyou.com – HelloWorld - hipster Huminity - ICERED - I’m Not From Here - IndianFriendFinder InterAction - iSawYou.com - ItsNotWhatYouKnow - KnowMates - LianQu - LinkedIn - Link Silicon Valley livingdirectory.org - Local2Me - thelunchclub.net - Makeoutclub - Many 2 Many - MapPlanet.com - matcheroo - Meatball Wiki - Mediabistro - Mediachest - Meet Up - MixerMixer - Monster Networking - MSN Groups - MSN Member Directory - MySpace – mrNeighborhood - MyEMatch - New Friends in Town - NetMiner - Netmodular Community - Netparty - Networking For Professionals - nerve.com - nlinebusinessnetworking.com Nowwwhere - Online Community Report - Open Business Club - OrderGenerator - orkut - PalJunction Paradise - Petsburg - Picit.com - Pinoy Exchange - Pinoy Forum - Playdo Community - PLINK - Polypol PopMates - PowerMingle - RateMyBody - RateOrDate - RealContacts - ReferNet - RepCheck - Ringo - Ryze Shortcut - Silicon Valley Pipeline - socialcircles.com - Social Grid – SocialTree - The Spark - SmartGroups.com - Spoke Software – The Square - StayingClose - StumbleUpon - Sullivan Executive Networking Community Tacit ActiveNet - Talk City - TENG - Thefacebook - TheFence.com - There - threedegrees - Tickle - Tribe.net TruthBytes - UUFriends - Virtual Communities and the Internet - Visible Path - Volume.com - waferbaby Wallop - Webstock Whole Earth Festival - Well, The - WildAbout.com - WisdomBuilder - WhizSpark - WiW WordofMouthConnection.com - World Lounge - WorldShine - YeeYoo - Yahoo! Groups - Yahoo! Member Directory - Zamboozle – Zanpo – Zerodegrees

© 2005 David Teten Source: Social Software Weblog

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“Networking”….What Is It Good For? • Getting a job • Pay and promotions • Influence and effectiveness • Organizational learning • Democracy • Personal

Source: Achieving Success Through Social Capital,Wayne Baker.

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How to Value Your Network • Ch • Co •R •S •I •N •D

= Character = Your Competence = Relevance of the other person = Strength = Information = Number of people = Diversity N

D * ∑n=∑ (Chn *Con *Rn * Sn *In)

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Benefits of Building Relationships Online • Searchable • Crosses boundaries of time and space • Passive presence • Ease of forming groups • Reduced time and expense • Greater visibility

© 2005 David Teten

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Relating in Realtime • Chat • Instant messaging • Internet telephony • Skype • Web conferencing • Mobile dialogue • SMS

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General Virtual Community Platforms/ Social Network Sites • Leaders • Ryze • Tribe.net • Groups.Yahoo.com • Huminity • ZeroDegrees • Entrepreneurial Opportunity • Better integration of web-conferencing/conversations with existing infrastructure. © 2005 David Teten

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Blogging • Blogging • Allow feedback • Cross-link

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Selective Online Executive Groups • Affinity Engines, Aptium, SelectMinds, Traction Software • International Executives Resource Group (IERGOnline.com) • AlwaysOn-network.com • ValueInvestorsClub.com • Village.Albourne.com • ChiefOfficer.com • ComputerWorld Executive Suite (Exec.Computerworld.com)

© 2005 David Teten

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Contact Management • Leaders • Best Software • FrontRange Solutions • eGrabber • Entrepreneurial opportunity: • Automatic contact updating

© 2005 David Teten

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Business-Focused Virtual Communities • Leaders • LinkedIn • Ecademy • Ryze

© 2005 David Teten

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Next Wave of Enterprise Software Diverse Dynamic Unique Relationships

Business Process & Workflow

Transactions

Discrete Static Repeatable

Late 1980s

© 2005 David Teten Source; Spoke Software

1990s

Today

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Relationship Capital Management Software • Spoke.com, Contact Network, Visible Path, Interface, Leverage • Build new relationships • Benefits: insight, access, and influence • Improve close rates, deal velocity, and revenue per customer • Protects privacy © 2005 David Teten

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Workflow Social Software • “Groupware” • Lotus Notes, Groove, Basecamp • Wikis • SocialText, JotSpot • Corporate Blogs • SilkWare, 21Publish • Knowledge Management/ Internal Social Network Analysis • Tacit, Entopia © 2005 David Teten

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Personal/Dating-Focused Sites • Personal interest • Flickr • Friendster • Tickle • Dating • Match.com • eHarmony

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Online Meets Offline • Meetup • Politics • Slashdot, LiveJournal • entertainment industry (film industry, screenwriters) • style & design professionals (graphic design, interior design, fashion industry)

• Event Management Tools • Evite • cVent © 2005 David Teten

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Blog Business Models Traditional Businesses Leveraging Blogs • Individual virtual presence • Teten.com/ blog

© 2005 David Teten

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Blog Business Models Traditional Businesses Leveraging Blogs • Corporate virtual presence • Robert Scoble • ~800 other Microsoft bloggers • Schwimmer Legal

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Blog Business Models Traditional Businesses Leveraging Blogs • Using blogs to improve traditional business processes • Eloqua • Nitron Advisors • Teten Recruiting

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Blog Business Models Selling Blog Technology • Technology sales focused on individual users • Bloglines • Six Apart (Movable Type) • Radio Userland • NewsGator • AmphetaDesk • FeedBurner

© 2005 David Teten

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Blog Business Models Selling Blog Technology • Technology sales to the enterprise • SilkBlogs • 21publish • Pubsub

© 2005 David Teten

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Blog Business Models Media Businesses Using Blogs • Blog-based media • About.com • CreativeWeblogging.com • Corante • Gawker Media • WeblogsInc.com

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Blog Business Models Media Businesses Using Blogs • Premium Content • DaringFireball.net (“Mac Nerdery”)

• Justin Hitt (Iunctura.com) • Graphic Communications World (Quoinpublishing.com) © 2005 David Teten

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Blog Business Models Media Businesses Using Blogs • Virtual Communities • Flickr • 20six • Blogger • LiveJournal • Xanga • Hi5 • Userland

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Blog Business Models Related Services • Enabling advertising to blog audience • Google AdWords/AdSense • BlogAds • Waypath Blender

© 2005 David Teten

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Blog Business Models Related Services • Data about the blogosphere • Technorati • BlogShares.com • BlogCensus.net • Blogdex.net • Bloglines • http://Blo.gs.

© 2005 David Teten

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Blog Business Models Related Services • Consulting • Stowe Boyd • Lee LeFever • Judith Meskill

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Blog Business Models Related Services • Education • Scott Allen • Rebecca Blood • Biz Stone • John Batelle • Kynn Bartlett

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Continuous Learning • New book--The Virtual Handshake: Opening

Doors and Closing Deals Online

• At TheVirtualHandshake.com: • Tips • Mailing list • Blog • Detailed information on social software companies

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David Teten David Teten is a serial entrepreneur who creates businesses that leverage social software. He is CEO of Nitron Advisors, which provides institutional investors with direct access to frontline industry experts. He is also founder of Teten Recruiting, an executive recruiting firm specializing in serving the hedge fund, private equity, investment banking, and strategy consulting industries. Teten Recruiting is the majority shareholder in Nitron Advisors. He was recently honored as a "Future HR Leader" by Human Capital magazine. David is a frequent public speaker, earning rave reviews from audiences such as the Euromoney Hedge Fund Start-Up & Business Development Forum; MIT Enterprise Forum (Israel); Kirkland & Ellis Private Equity Summit; Wharton School; Columbia Business School; Yale; and Princeton. David is the coauthor of The Virtual Handshake: Opening Doors and Closing Deals Online (with Scott Allen). He co-writes with Scott a column for FastCompany.com; runs The Virtual Handshake resource site and blog; and also writes a personal blog, Brain Food. He is a contributing author for BLOG! How the World of Blogs and Blogging is Changing Our Culture (CDS Books, fall 2005). David formerly was CEO of an investment bank focusing on serving the internet domain name asset class, which he built to 450 customers. He has worked with Bear Stearns' Investment Banking division as a member of their technology/defense mergers and acquisitions team, and was a strategy consultant with Mars & Co. While still in college, he ran a computer consulting group. David holds a Harvard MBA and a Yale BA.

© 2005 David Teten

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