Google’s $100 Million Purchase of Feedburner - Confirmed

I recently had the chance to chat with someone close to the Google / Feedburner deal and they have said that we should see an announcement within 1-3 weeks on the details of the purchase. It looks like the deal will be for around $100 million and it will be an all-cash deal, with payment made within the first year. Google was smart in negotiating that the founders and other management key personnel stay with the company for a few years.

Rumor: Microsoft wants to buy Yahoo!

Microsoft Corp. is resuming its pursuit of search engine operator Yahoo Inc. that could help it better compete with Web search leader Google Inc., published reports said Friday.

Yahoo shares surged more than 18 percent in morning trading.

The New York Post reported Friday that Microsoft has asked Yahoo to enter formal negotiations for an acquisition that could be worth $50 billion. Yahoo’s market capitalization was about $38 billion on Thursday.

The Wall Street Journal said executives of the two companies are looking at a merger or some other kind of matchup and said the talks appear to be early-stage discussions. It said the companies explored the idea of combining last year but the talks led nowhere.

The newspaper reports each cited unidentified people familiar with the situation.

Microsoft is feeling increasing pressure to compete with Google, which plans to beef up its portfolio with a $3.1 billion purchase of online advertising company DoubleClick Inc.

Microsoft currently trails both Yahoo and Google in the lucrative and growing business of Web search.

Google won a search advertising deal with AOL in 2005 that the Post said Microsoft wanted. In addition, Google is developing Web-based software that directly competes with Microsoft Office.

The Post story said Microsoft and Yahoo have held informal talks over the years and said Microsoft’s latest approach to Yahoo signals increased urgency.

Earlier this week, Yahoo said it would buy 80 percent of advertising exchange Right Media for $680 million, increasing its stake in that company to full control.

Yahoo shares surged $5.14, or 18.2 percent, to $33.32 in morning trading, while shares of Microsoft fell 57 cents to $30.40.

Yahoo is Hot on Google’s Heels

Yahoo Inc. added another weapon in its high-stakes duel with its richer Internet rival Google Inc. this week by snapping up online advertising exchange Right Media Inc. for US$680 million (euro499.82 million).

Although the cash-and-stock price is well below the US$3.1 billion (euro2.28 billion) that Google recently agreed to pay for online ad distributor DoubleClick Inc., Right Media did not come cheaply for Sunnyvale-based Yahoo.

Last October, Right Media was valued at US$200 million (euro147 million) based on the US$40 million (euro29.4 million) that Yahoo paid to acquire a 20 percent stake in the privately held company at that time. Yahoo is now paying more than three times Right Media’s valuation just six months ago to gain full ownership of an exchange designed to make it easier for Web publishers to show what they have to sell to online advertisers.

Digg HD-DVD Decryption Code Meltdown

Tuesday night Digg is being flooded people digging stories that tell the Decrypt keycode for all HD-DVDs that are currently in production. Basically, this is the key that you need to copy HD DVDs. The even bigger piece of the story is that Digg has said they will ban your account if you Digg the story. So what does a group of thousands of Geeky-Diggers do? — Submit Digg upon digg about the Decreypt. Currently the top 10 stories range in number of Diggs from 6,500 - 4,000 and they are all about the HD DVD code decrypt.

WICKED Wordpress Theme Generator - My New Favorite Tool

Yvo Schaap has created a WICKED Wordpress Theme Generator - literally allowing you to create a new WP theme on the fly.

If you’re like me…and short on time and dont want to mess with CSS - this would be a great tool to use if you pump out several wordpress sites over a weekend.

The Wordpress Theme Generator lets users create their own custom themes and layouts for Body Size, Sidebars, Menu and overall presentation; then download the files in Zip format for easy upload to their Wordpress blog.

Realtime features allow you to see what you’re making as you build it.

check it out

Mobile Wallet Development is Expanding

There’s a really good article at the Washington Post regarding the banding together of several different telecom companies to build a mobile wallet application.

Consumers will be able to use a phone as a wallet or as an access card simply by waving it over a wireless reader — and in some cases punching a PIN number into the phone — similar to how travelers in Tokyo and London access public transport.
…..
“After several fragmented initiatives, the mobile phone industry is now uniting around a single approach to enabling the mobile phone to be used, instead of cash or plastic credit card, at point of sale,” said Rob Conway, CEO of the GSM Association, the global trade association for cell phone operators.

Robert Scobble: “Ebay is about to announce a gadget that you can put on your blog and consumers can buy products - but not leave your site”

Robert Scobble - “I study how people outside of ‘us’ find people and things”

It’s a Google World:
Podcasters aren’t optimizing their content for Search Engine Optimization - and they are leaving traffic on the table.

Aggregate of the traffic is what gets you found. “Google is worth understanding” - How do people find you? When someone searches for “funny videos” - you’ll want to be found. “If you’re not thinking about how you rank on Google - you’re missing a ton of new business.”

It’s a People World and Word of Mouth World:
Robert thinks that we need to not ignore the word of mouth traffic - remember that, especially with Youtube, AskaNinja, Twitter, etc.
When he reads his feed reader - things that make him slow down are keywords, interesting photos, or “authoritative” people. These are the things that makes his eye stop and actually read the content.

It’s a Distribution World:
If you want to care about the apple tv - you need to care about the format, higher resolutions work better and will drive more traffic. It takes twice the time to code - and the bandwidth can be spendy, but you need to listen to what your readers or listeners care are the formats that they use.
Joost is starting a sister site that uses a “mashed P2P network that is far cheaper than today” - this will allow for the lower level Vbloggers to bring their content to the masses.

Getting bloggers to talk about you is exponential - it will bring in a ton of traffic!
“At Podtech we built a player that allows users to put content on their own site - which allows users to consume content without going outside of your site, and traffic trippled in 1 week.”

Nice little Tidbit of news:
“Ebay is about to announce a gadget that you can put on your blog and consumers can buy products - but not leave your site” — Look out AuctionAds!

Google 1Q Profit Rises 69 Percent - Blowing Away Estimates

Google Inc.’s first-quarter profit rose 69 percent, maintaining the online search leader’s penchant for blowing past analyst estimates.

The Mountain View-based company said Thursday that it earned $1 billion, or $3.18 cents per share, during the first three months of the year. That compared with net income of $592.3 million, or $1.95 per share, at the same time last year.

If not for expenses incurred for employee stock compensation, Google said it would have earned $3.68 per share. That figure topped the average estimate of $3.30 per share among analyst surveyed by Thomson Financial.

Quarterly revenue reached a new company high of $3.66 billion, a 63 percent increase from $2.25 billion last year.

After subtracting advertising commissions, Google’s revenue totaled $2.53 billion. That amount was about $40 million above analyst estimates.

Pleasant earnings surprises have become routine as Google has established itself as the most profitable — and perhaps most powerful — business on the Internet. Google has now beat analysts’ estimates in all but one of 11 quarters since its ballyhooed initial public offering in August 2004.

The scintillating performance has helped elevate Google’s market value to nearly $150 billion, despite a 6 percent decline in the stock price since the company’s last earnings report.

As usual, Google’s financial firepower flowed from its ubiquitous search engine, which has become the hub of the Internet’s largest advertising network. Google delivered 225.9 billion advertising links during the first quarter, an 85 percent increase from 122.3 billion at the same time last year, according to data compiled by online research firm Nielsen/NetRatings Inc.

Although Google has been trying to develop other revenue channels beyond the Internet, online advertising continues to produce virtually all of its profits. Google is expected to become an even more dominant force with last year’s $1.76 billion acquisition of online video leader YouTube Inc. and its recently announced $3.1 billion deal to buy Internet ad distributor DoubleClick Inc.

Trump Loses Domain Name Dispute

A recent WIPO Complaint against “estore” a Brooklyn, New York company was brought up by Real Estate Tycoon, Donald Trump. The domain in question was TrumpFurniture.com and The Donald really wanted to get that name into his own hands. In a rare case of Donald not getting his way, the WIPO panelist, Douglas M. Isenberg ruled:

“The nature of the “other word” is particularly important where the trademark is not exclusive to the complainant. In this case, the Panel observes that the TRUMP trademark is also an English word with multiple meanings (including, for example, to “produce a sound as if from a trumpet”; “playing card in the suit that has been declared trumps”; “outdo”; “proclaim or announce with or as if with a fanfare”) and also a part of trademarks owned by parties other than Complainant. In light of the above, the Panel is not persuaded on the record before it that the Disputed Domain Name is confusingly similar to a trademark in which the Complainant has rights.”

It looks like one of my favorite businessmen doesn’t always get his way!

IDNs vs ASCII Domain Name Brand Protection

One thing that I see all the time lately is a company that has an older web 1.0 domain name like companname-fr.com or companyname.fr and yet, they fail to realize that the IDN (Internationalized Domain Name) version of their brand is still unregistered or even worse, it’s owned by someone else. IDNs are growing even more important for businesses, it’s really Local Search of Steroids, you have a person that speaks a certain language, searching from a certain location, and they already have certain expectations about the content that they find when they access the website. IE. if someone in Russia types in школы.com, they would expect to find information about “schools” in Russian.

I came across a thread at IDNforums that discussed this a little but, (it was actually about using “articles” like “EL or “L” in french names, but you’ll see where I am going here…

There are a few examples given where “articles’ are used in French domain names:
lemonde.fr
l-hotel.com
delamour.com

I want to take a closer look at l-hotel.com. This company does have a real usage for this domain as, l’hotel means “the hotel” in French, however this company, L’Hôtel, a large world-wide brand, fails to protect their brand from an IDN standpoint. Hence, take a look at L’Hôtel.com

– Now, if you’re IDN savvy, you’ll realize that the this domain is actually different, when it’s converted to Puny Code, www.xn--lhtel-7ta3296c.com. But the concept remains, if L’Hôtel really wanted to protect their brand, then they need to pay attention to the IDN version of their domain name.

Hotels.com
I will show you another example, and I’ll keep it very simple, but you’ll see that there are many more possible combinations than I use in the example.

Hotels.com owns hotels.fr - But, Do they own; hôtels.com (hotels in French) or hôtels.fr NOPE!

This will be a challenge for companies in the future, as they not only need to protect their brands from a .com perspective, but, in all CCTLDs and in close to 200 different languages. In many cases there may be several companies that can claim rights to the IDN version of a domain name and to a ccTLD version or a combo of the 2. Especially with generic words like “hotel.”

Venture Capital Activity: Technorati Buys Personal Bee, Akami Buys Red Swoosh, LinkedIN, Y Combinator

Technorati Buys Personal Bee

Technorati said Wednesday that it has acquired Berkeley-based Personal Bee, an online service which allows people to create their own personal sites using RSS feeds. Financial terms of the deal were not disclosed. Ted Shelton, founder of Personal Bee, will join Technorati as its VP of Business Development.

Akamai Buys Red Swoosh
Akamai Technologies said today that it is acquiring San Mateo-based Red Swoosh, a developer of client side technology for media distribution, in a deal worth $15M. Akamai said it purchased Red Swoosh in an all-stock merger transaction, and that it will use the acquisition to augment its services. Akamai said that Red Swoosh will be integrated into its existing engineering team in California.

LinkedIn Claims 10M Users
Palo Alto-based LinkedIn, the online social networking web site focused on business professionals, said today that it has reached 10 million users for the site. The company said that it is currently growing at the rate of over 130,000 members a week. LinkedIn provides social networking tools targeted at business users, and has received funding from Sequoia Capital, Grelock, Bessemer Venture Partners, and the European Founders Fund.

Y Combinator is Breaking VC Ground!

The Mercury News has a good description of how Y Combinator works:

Here’s how it works: twice a year, Y Combinator invites “hackers,” or programmers, to fill out an online application, outlining who they are and a business idea. One winning batch of teams is funded in winter and the other in summer. With Y Combinator’s help, each becomes a real company - one that is expected to create its product within three months. The amount of money Y Combinator gives each group - $5,000, plus an additional $5,000 per founder - is a pittance for what it asks in return, which is, on average, a 6 percent stake in their start-up. That money has to really stretch. Beyond their living and working expenses, it must also cover relocation costs, as the winter winners must relocate to the Bay Area and the summer winners to the Boston area.

Why I Blog - Am I Crazy?

Thanks to Eric Hebert for tagging me in the latest Blog Meme game!

I’ll jump right into the 5 reasons of why I blog….

To Share Ideas
I’m a very strong believer in collaboration. Some of the best ideas or concepts can come from sharing similar situations or findings and then creating your own conclusions or solutions based on what other people have experienced. I like to share what I am thinking so that hopefully others will learn a little and share that with others.

To Learn From Others
It’s my blog, but you can comment too!!! - Some of the best ideas that I hear from other people come from blog comments that people leave for me after I make a post. Thanks everyone!

To Create Controversy
Do you every get bored surfing blogs with regurgitated content? - I sure do! I like to stirr things up a little bit when I can. It’s always nice to see SEO controversies in the blogging world!

To Be Credible
Everyone gets their five minutes of fame, but once that’s up, what do you do then? Well….how about blogging to get another 15 minutes of fame! Some 4 letter domain name comes to mind here, it starts with a “DI” and ends with a “GG”. All kidding aside, when you do SEO for several years, I have learned quite a bit and it’s great to share with others and build a small following of readers that look upto you and actually care about what you say. Rock on!

To Have a Little Fun
Blogging sometimes can be too serious, I like to chat about things that you wouldn’t normally see from an SEO/M Blog.

Alright, Time for a little Tagging!

Steve Alledia - Good Domaining Friend and Joomla Master
Tim Germer - PPC Pro and founder of NorthWest Noise
Frank Schilling - Blending Domainer & SEO worlds puts him on my list of marketing pros!
Earl Grey - Long Time BH Friend
Paul Madden - The SEOidiot

Google to acquire DoubleClick for $3.1B

Seeking to expand its already well-honed ability to sell targeted Internet advertisements, online search leader Google Inc. said it has agreed to pay $3.1 billion in cash to acquire ad-management technology company DoubleClick Inc.

The two companies announced the deal after the markets closed Friday. The boards of both companies have approved the takeover, which is expected to close by the end of the year.

New York-based DoubleClick helps its customers place and track online advertising, including search ads, which Google — more than its nearest search competitors Yahoo Inc. (Nasdaq:YHOO - news) and Microsoft Corp. — has turned into an extremely lucrative business.

Shares of Mountain View-based Google rose 3 cents to $466.32 in after-hours trading. DoubleClick has been privately held since 2005.

The sellers are San Francisco-based private equity firm Hellman & Friedman, along with JMI Equity and DoubleClick management.

Commentary:
From DoubleClick’s announcement of the exchange:

Using the new platform, publishers and other sellers make specific inventory available for purchase. Sellers define a minimum bid value - or “reserve price” - for the inventory and specify rules to restrict certain advertisers, formats and content. In parallel, buyers specify the inventory they wish to purchase, and the associated bid value for that inventory. They can also specify a rule to dynamically control the bid so that the bid price is automatically adjusted in line with inventory performance.

From the New York Times:

DoubleClick, which was founded in 1996, provides display ads on Web sites like MySpace, The Wall Street Journal and America Online as well as software to help those sites maximize ad revenue. The company also helps ad buyers — advertisers and ad agencies — manage and measure the effectiveness of their rich media, search and other online ads.

DoubleClick has also recently introduced a Nasdaq-like exchange for online ads that analysts say could be lucrative for Google.

“Google really wants to get into the display advertising business in a big way, and they don’t have the relationships they need to make it happen,” said Dave Morgan, the chairman of Tacoda, an online advertising network. “But DoubleClick does. It gives them immediate access to those relationships.”

From Bloomberg

`Deep Pockets’

Google declined to give financial details for DoubleClick, whose headquarters are in the same building as its own New York offices. The purchase eclipses the $1.65 billion Google spent to buy video-sharing Web site YouTube in November and was 50 percent more than Hellman & Friedman had wanted. A person with knowledge of the talks said last month the firm may seek about $2 billion.

“The amount is mind-blowing,” said Richard Fetyko, an analyst at Merriman, Curhan and Ford in New York. Fetyko follows DoubleClick rival AQuantive Inc., which he rates buy and doesn’t own. “Apparently there was very competitive bidding. Microsoft has deep pockets, but apparently everything has its limits.”

Friday’s Trip Around the Blogosphere

Kathy Sierra’s - Creating Passionate Users
You really ought to check out Kathy Sierra’s recent post about “outspending vs. outteaching”.

Is Google Acquiring G.CN ?

The China Search Engine View blog writes:

[W]hen you search the whois here, you may find there is one item more, “Registrant Organization: 北京刘元和君咨询有限公司” (Jan Liu & Associates), the attorney for Google’s case of googel.com.cn and googel.cn. Has Google really got g.cn?
This looks pretty realistic to me – and I must say that it’s an interesting branding play for Google China!

Speaking of Google – Aaron Wall has a great discussion about Google being and invisible hand in online marketing .

Aaron takes a look at the perception of trusted advertisers and how that affects your marketing spend and budget.

Their newest ad unit is an unmarked text link ad, which only displays any ad notification AFTER people hover over the link. Publishers who refuse to sell links directly will publish the ads, and if they spread anything like AdSense does, what happens to links to commercial sites? What happens when virtually nobody is willing to link to a commercial site unless it is through Google? What happens when their affiliate payouts are not high enough to solicit a review? And what happens to those businesses when Googlers decide they want that market for themselves, like real estate?

Zanox Puts CPA on the Forefornt: Completes Swedish Acquisition

Zanox which is a really cool Germany-based startup company that plays in the multi-channel marketing business has announced that they acquired a company called Free Network. This Swedish company is only a few years old but they offer CPA advertising - which is an area of huge growth for online adverting in the next few years.