Strangely, but lots of panic from all the app developers today, when @Ev on the corporate blog announced the acquisition of Tweetie’s owner Atebits.  To me this is clearly an obvious direction and it could only be predicted.  In reality it should not really affect app developers as it is a very similar model to Google and syndication.  Think of all those websites that are powered by Google-Search?  It is like Google having a search engine without all the different types of its own end-user experiences to build and test out their business?  They need to best understand and support the end-user first and foremost.  The Web2.0 world already established the model for syndication, and it would be the kiss of death if either Google or Twitter stopped offering api’s for developers and publishers to syndicate and let the vertical world evolve.

However, the differences between Google and Twitter is that Google is an advertising company and Twitter was just growing larger and larger as a bit-pipe. Google was once in the similar situation and added advertising as the balance to only building out a user-base in the beginning.  In order for Twitter to start to build up its advertising business ( which will probably be the next announcement) required them to have the ability to test and launch it first through their own properties…. hence Tweetie.   It is like Google not having a tool-bar strategy to test cookies, etc…  This is my reasoning why the Tweetie client will be free and just called Twitter.  They needed this kind of product to test and build the best user-experiences to surround their product and build out all the API’s for syndication.  Now especially advertising.

I am bullish on the fact this acquisition took place at this time, and it looks like Twitter is really coming together to potentially be  the next Real-Time Search and Real-time advertising engine that links to mobile.  They now have a platform to test and evolve as a free app…..

So in my mind the Twitter+Tweetie is basically Twoogle.

The recent blog post by John Battelle ( SearchBlog) prompted me to share some of my own quick thoughts on Foursquare, Apps and syndication of the Twitter bit-pipe.

I myself started to use Gowalla, Foursquare, Brightkite and a variety of others and I have to admit that had very similar feelings to what John had to say.   I also found that it is not what they offer today, but what they could be…

Up until now many location based services were based on Lat/Long and following you on a map.  Google latitude was just this.  Seeing my little face on a map was cute, but having it follow me around all the time somehow just did not make sense ( for me anyway).  Even thought it was system of opt-in, it was designed very much so as a 1x opt-in.  What I find so powerful about Facebook is the ability to always opt-in with a status update.    This is what I believe has become the real power of these services;  the ability to always control your opt-in by checking-in.  Instead of the lat/long trace, an individual can opt-in  ( check-in) to a location and leave notes or syndicate out their status via Twitter, Facebook and any octopus service they are tied into.    The application is the key point of user experience and these services have started to really attract users and build offers with marketers as per their check-in.   Even though I still use Twitter quite a bit via the web interface, I have started to use more services that appeal to me and just push it through Twitter as well.  Having the relationship with the end-user at the Application level and then building relationships with brands and marketers could be the real power here.  Over time as more and more services present themselves that are competitors to Twitter and unless they own the end-user in some sense, their ability for true marketing and managing the sales funnel could become quite difficult to keep control.  Could they end-up as a dump bit-pipe?

We all have been waiting for Twitter to showcase their new advertising business model ( which seems to be delayed), but as a bit-pipe they have pushed a key mass of  the end-user relationships to the developer communities.  It isn’t surprising to me that Fred Wilson ( a lead investor in Twitter) made the announcement today that Twitter is at an inflection point and may start to build and leverage its own applications to enable the “killer app”.  Yes- Twitter has built a very powerful syndication model and a strong loyal gathering , but the ownership of the end-user is something that is very key in balance to attract marketers and advertisers; that direct relationship has traditionally been key for media  and media sales.   However, if they did have the advertising machine, like in the case of Google, then syndication is a very strong balancing act for buffering and building out distribution.  Some how I feel like Twitter has sandwiched themselves in the middle with out the control over the end-user completely, and with no monetization engine just yet.  This is like flying with out flaps on the each wing on either side, so to speak?  You can go fast, but were is your control…

So as Foursquare, Gowalla, Brightkite and others  battle it out for control of the end-user and the unique interface to the local community, twitter may in fact just become just another vertical feed provider  in the growth of real-time conversations and local.

Here is a recent chart published by Silicon Valley Insider on the relative Average Revenue Per User (ARPU)/ Year in 2009 for some of the leading Internet players.  Google leads the pack with an ARPU of >$18 USD, where as the social media players are still much lower.  I think it is going to be interesting year in 2010 as Facebook/Twitter and others really build on there social advertising strategies.   I think what would be interesting to model is the time it took Google to reach this value as opposed to now both Facebook and Twitter.

I was once  told that the advertising business is “a distribution constrained business”;  based on the quality of segmentation and reach.  As Social channels do offer that deep insight, as they move from a Social utility business structure to more Social entertainment, I am interested to see how high they will go over the next 5 years and the major brands gravitation toward them.

There have been many charts that show Google’s search growth has been relatively flat, so  I would expect their first priority is definitely to move toward innovative location-based local advertising with a focus on mobile.  Even if we were to add up $18 per person for year for 2 years= $36 does not completely buy a mobile device.  There is still a long way to go for a free phone powered by advertising only by Google.

Another good article. Even a friend Peter Jenner is quoted on the real value of “FANS”- more valuable then selling music?

Nine Inch Nails iPhone App Release [ Wired Mag Article]

The flavor of the month for a mobile strategy has definitely been to build an  iPhone App, and given Apple’s leadership in the music industry, iPhone is clearly a mobile strategy in North America over other devices that support different content distribution strategies potentially better.  There is a need for a good white paper on  ” My Mobile Strategy, or just build an iPhone App” – that I have started to work on.

With that said, what this App does is exactly what is very important to the industry and the monetization process…. build a relationship with the fans and bring them into the entire dialog withNIN.   Through this can lead to enormous monetization opportunities.  NIN’s Trevor Reznor states….” Now and artist needs to be a Marketer”

I hope this does bring a bit of clarity to the Music industry again that the traditional methods are now dead and building a Social Media Fan strategy with the right ownership of  Analytics is key. Does a strategy with MySpace enable Artists to own thier own Analytics and dialog in its full form?  With that said,   is not a silver-bullet strategy  to go out and develop an iPhone app at a price of $20~50K USD.  I would say the NIN iPhone App is North of $50K with all the Google Earth integration etc….

There is definitely hype here today and with Apps there is always a compatability issue that needs to be resolved. When Apple launches iPhone2, all the costs incurred with the development of App V1, might go out of the window.  The real value is to look at everything it takes to build a  CRM structure and strategy for your artists to embrace the new social media tools and get a strong dialog with the fans.  All of your artists should begin to look at how to best leverage Twitter, but with a clear understanding of how to capture the dialog and analytcis of the fans.

Here is an example of a search on Twitter for “The Trews”.   Just 3 hours ago, there were Fans tweeting about ” the Trews”.  The first thing that is important is for someone at Bumstead on behalf of the band to go and click ” FOLLOW” of each of the individuals tweeting about the Band.  Just think how great a fan will feel when they are being followed by the band themselves.  It is a process of feeling inclusive.

This is an easy way to aggregate Thousands of Fans that a direct dialog can be created every day.  Twitter allows for picture releases, even small clips, etc….. by having all this linked back to the Artists website and even a mobile version of the site can build a major engagment marketing process of having a dialog with Thousands of Fans on a day2day basis.

Just a quick Reference, today NIN has 13,917 Followers.…. Not alot, but after this announcement this will go up clearly and they will have an opportunity for greater dialog.

…. building Brand enagement with Twitter is a first step that will link to a mobile strategy, and a relationship that can lead to unique possibilities in monetization.  The difference is that this can be done for Virtually Zero Cost, where an iPhone App is a bit costly….

Why not build that base and then have the opportunity to share an iPhone/Android/S60/Blackberry App + your Website, Myspace page all linked back you your Mobile View