Out went friendster when Myspace launched. Then Myspace fell to Facebook. Facebook, which seems to be the juggernaut in social media, has always put out a poor product. It seems like Google, which probably more than any other company can derail Facebook, is making an attempt to do just that. Using Gmail, Google will take on social networking, and I believe threaten Facebook with a much more integrated experience. Yes, Google does have Orkit, which does have some successes like India and Brazil, but overall has been largely dismissed as a social platform in America. However, most users have Gmail accounts and facebook profiles. By leveraging their greatest asset, access to email, I believe Google has found the right entry for the American market. Why go to two sites, when you already have to go to one? Is it likely that Facebook will introduce email? No, giving Google a huge edge that Facebook probably can't compete against.
Social media will remain a key market for many new online players. Expectedly Google wants to get its arms into anything media and internet related. Facebook should expect this, and I would suggest make its website as accessible and simple as possible. I am not sure there is any real defense, as Microsoft can attest to, but Facebook seems not have a handle on its customers. We use the site because others do, not because it is the best.
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Google might find out that they got into the ring with the wrong opponent in the wrong weight class. Indeed Facebook might be Pee Wee Herman to the enormously profitable search company but there are a number of things that make it a formidable foe.
First, they are the rulers of social networking right now. They have invested in keeping their website sticky. Users spend hours at a time, chatting, adding friends and creating a lot of content. Google might have an advantage of 70% of web browsing activity beginning with searches but Facebook has a captive audience and is quickly ramping up its search capabilities. Second, history will remind us several companies that have veered away from their key strengths and driven into the ditch of irrelevance. While Google is trying to beat Facebook at its game, companies such as Nervana are developing intelligent search engines that can be asked questions naturally and has much more flexibility. Thirdly, Google needs Facebook. Not that I ever do this but have you ever Googled someone? Invariably their Facebook profile comes up. Social networkers often jump between Facebook and Google in their everyday activities. It only make sense for these two juggernauts to remain aligned. Now hug it out!
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