I was reading and article the other day about how Myspace is angry that other businesses are building themselves up on the backs of their service. Their logic is that because their users are on Myspace that all content should come from Myspace tools and plugins. They think this is desirable because they want 100% of the advertising opportunities to be monetized through their offerings. Their main example is youtube. Myspace argues that youtube would have never become popular if it wasn’t for Myspace users putting videos up on their sites. They now believe that they deserve a piece of the pie and so are limiting these 3rd party services from being used on Myspace sites.
This is complete idiocy! Don’t they realize the synergy between their services. Myspace benefitted at least as much from allowing users to post youtube vidoes as youtube did. Myspace can’t create every tool that users want, and frankly they shouldn’t even try. These 3rd party offerings are what makes Myspace usable for their customers. When corporate greed gets in the way then foolish decisions are made.
I look at it from the point of view that plugins and 3rd party offerings are what makes Bluehost so successful. Fantastico in our backend is used hundreds of thousands of times a year. It is a product that allows the installation of 3rd party sofware with a single click. There are almost 50 different choices of software, in many categories. I don’t look at Fantastico as competition or something to make money on, I see it for what it is – Added value for our current customer base. Customers appreciate the 3rd party offerings we provide and they show it with their renewals. Why does everything have to monetized in todays economy? Sometimes it is enough that it provides benefit for the consumer.
Matt Heaton / President Bluehost.com