Facebook and eBay downplay Google threat

Oct 18, 2011 by Glenn Chapman
Sean Parker speaks during the 2011 Web 2.0 Summit on October 17, 2011 in San Francisco, California. Parker said Facebook would have to blunder in a big way for Google's social network to steal its crown.

Silicon Valley star Sean Parker said Facebook would have to blunder in a big way for Google's social network to steal its crown.

" would have to screw up royally and Google would have to do something really smart," Parker said during an on-stage interview that opened a Web 2.0 Summit in San Francisco.

Parker co-founded controversial music-sharing service in the 1990s and his role in Facebook's rise was woven into the hit Hollywood film "The Social Network."

"It is tough to compete with network effects," Parker said when asked his thoughts on the threat posed to Facebook by Google+.

Google needs to get Facebook users to switch allegiances, then do the same with those people's online friends, and those people's friends, and so on, explained Parker, who owns part of Facebook.

The Google logo is seen at the Google headquarters in Mountain View, California. Google said last week that its online social networking challenge to Facebook is growing fast and has topped 40 million users.

A threat to Facebook is "" behind attention-grabbing content turning to rival online venues to escape drowning in the flood of posts, according Parker.

"I don't think privacy is Facebook's biggest problem," Parker said, touching on a topic for which Facebook has been criticized.

"The biggest problem is the glut of information that power users are overwhelmed with," he continued. "Maybe the threat to Facebook is the power users have gone to Twitter or Google+."

He supported Facebook improving ways for its approximately 800 million users to more selectively share posts, pictures or other information with one another.

"Sean is really one of the great prophets of our industry," said Saleforce.com founder Marc Benioff, whose online startup has blossomed into a multi-billion-dollar poster child for cloud computing.

"Facebook, in many ways, is eating the Web," he continued during a talk at Web 2.0. "Facebook is becoming a vision of what the next-generation consumer operating system is."

Online auction powerhouse eBay and its thriving service PayPal also see strong "network effects" providing defense from Google's growing commerce platform.

"I agree with Sean, network effects are powerful things," eBay chief executive John Donahoe said during an on-stage interview at Web 2.0.

Facebook is seeking to improve the ways for its approximately 800 million users to more selectively share posts, pictures or other information with one another.

Google has a tremendous online search and advertising platform and Facebook a widely embraced social platform, while eBay has an entrenched "e-commerce" platform, according to Donahoe.

"The wall between e-commerce and retail is crumbling amazingly fast," Donahoe said. "The large retailers are banging down our doors and saying 'The world is changing; we need help'."

EBay last week launched PayPal Access online identity program and an open X.commerce platform for payments to let merchants large or small tap into Internet age cashless transactions.

X.commerce is intended to match merchants with independent developers building innovative ways to handle check-outs at websites, inventories, calculating taxes and other aspects of running shops with online outlets.

Meanwhile, PayPal Access will let people shop at websites anywhere on the Internet using names and passwords from accounts at eBay's widely used financial transactions service.

boasted that there are more than 100 million PayPal accounts in 190 markets worldwide.

Google said last week that its online social networking challenge to Facebook is growing fast and has topped 40 million users.

"People are flocking to Google+ at an incredible rate and we are just getting started," Google co-founder and chief executive Larry Page said during an earnings conference call.

Page said Google+ style social features will be "baked in" to the Internet star's other offerings.

The Internet giant on September 20 opened google.com/+ to the public as it ramped up its challenge to Facebook.

has also been beefing up its e-commerce platform and letting people use some Android smartphones to find local bargains and pay by tapping handsets on sensor pads at checkout counters.

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User comments : 6

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AngryMoose
4 / 5 (1) Oct 18, 2011
I've not been on Facebook for months, G offers everything I need, most of the friends that I communicate with have either moved or use both sites.

The 'screw up royally' they talk about is arrogance thinking their crown won't be easily taken away, pretty sure that's how myspace went.
antialias_physorg
1 / 5 (1) Oct 18, 2011
Facebook would have to blunder in a big way for Google's social network to steal its crown

Didn't they say the same thing about Facebook when it went up against Myspace? Times change. Especially if google is a lot better at with keeping customer data confidential then Facebook will eventually die.

That said: I find these 'social' sites to be nothing but a huge waste of time. I'd rather go out and spend time with real friends.
SincerelyTwo
not rated yet Oct 18, 2011
antialias,

The degree of naivety in your post is astounding. You think that 800 million people are computer nerds tinkering away at Facebook? I don't use Facebook, but I'm not a moron about it either, most people I know to use it are the most normal and outgoing people around. Elitist pricks like you dis Facebook publicly to cushion your own ego, probably because you are a computer nerd tinkering away at Facebook, you dirty liar.

In any case, things don't change just because things change, things change because there is motivation for a large portion of a group to change their preferences, consequently shifting their focus to some new target. More importantly that shift in attention has to be lasting, Google Plus has had a large surge as does almost any well marketed new website, but it doesn't always stick, and sometimes it does.

Love it when pseudo-in-denial nerds like antialias play the whole 'I'd rather be out with my friends' argument, even "normal" people have computers, idiot
antialias_physorg
not rated yet Oct 18, 2011
I don't use Facebook,


Then you're not really qualified to comment, now, are you?

I have used it...extensively (and other sites like it). It's just fluff. Inane chatter. Pointless updates on what everyone is doing (Twitter being even worse on that one, though) - nothing you'd ever want to know about.
People 'befriend' one another and it means nothing. I've even seen people vow everlasting love without ever having met one another - and they don't even realize how ridiculous that is.

Interaction is more than sharing thoughts. The friendships that last are the ones where you actually go out and have common experiences - everything else is just superficial. And that is what social networks are: supremely superficial (though that might fit the American - and Japanese - psyche pretty well I have to admit)

And yes: this is just MY opinion: They're a waste of time. You are entitled to your opinion. But I dare you to show the person who has become better because of facebook.
SincerelyTwo
not rated yet Oct 18, 2011
antialias,

How does me not using Facebook mean I don't understand it? There are many good friends of mine who use other social networking sites to share and collaborate, ranging from Google Docs to Vimeo, Soundcloud and Flickr.

Using a computer to share information and creative content has nothing to do with whether or not you go out to bars with your friends.

You talk like sitting there on a computer for a couple hours here and there dictates the entire life of experiences you will have. To summarize the impression you give; "You're forever trapped on a computer for life because you spent a short period of time experiencing digital content." Can you seriously not understand how naive that is? Seriously? ... Seriously.
antialias_physorg
not rated yet Oct 18, 2011
How does me not using Facebook mean I don't understand it?

The same way people talk here about realtivity or whatnot without having gone to physics class.

If you don't have any experience of what you're talking about - by your own admission - then don't talk about it as if you know.

There's nothing wrong with digital content (or computers). Heck, I use them for a living. But there's _content_ and then there is fluff. One actually does somthing for people and the other doesn't. Go to facebook. Make an account. Then come back a week later and we'll see what your experience is.

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