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Thumbs-up logoThe race to socialize the Web got more intense this week with a major new announcement from Facebook that plays to its strengths at Google’s expense. This is shaping up to be an epic battle and the good news is that users stand to benefit regardless of who wins.

On the surface, Facebook’s move to make its famous “Like” button a fixture on many other websites seems unremarkable.  But it’s really the tip of the iceberg for future services that Facebook calls “Open Graph” and which will strengthen its position as the power broker of the social Web. Moreover, the way Facebook is approaching its strategy is a notable evolution from its past behavior.  This company is growing up fast and Google had better be on its toes.

What does it mean to “socialize the Web?”  As I’ve written in the past, the next great evolution of the Internet will be to move beyond static websites and toward services that travel with the user.  The most important of these will be persistent connections to the members of one’s social circle.  Basically, the experiences and advice of the people we trust will become part of our information-gathering experience, influencing and guiding us whenever we choose to consult them.

Facebook’s new features are an important first step. Visitors to a partner website will now be able to register their recommendations by pressing the famous blue button and having that endorsement added to their Facebook profile as well as to the destination website.  Their friends will then be able to see that opinion when they visit the parter site or check the person’s profile or news feed on Facebook.

Services that choose to partner with Facebook will benefit from immediately adding content from Facebook’s 400 million-plus members with minimal effort. They’ll also enjoy easier cross-enrollment with the social network. Facebook, Google, Twitter and LinkedIn have all been nibbling around the integration issue with features like Facebook Connect and Google Friend Connect, which enable people to log onto one social network using credentials from another.  Now Facebook is making this cross-registration so easy that it says it will discontinue Facebook Connect entirely.

Services like the consumer review site Yelp, which is one of Facebook’s early partners, are positively bubbly about these new developments. Yelp believes that the addition of Facebook friend recommendations will deepen the quality of its reviews and juice its membership. Yelp members will benefit from having their friends’ advice appear next to that of the strangers who now contribute most of the site’s content. Another partner, CNN, stands to gain from having Facebook members recommend stories and drive traffic to its website without any additional promotion of CNN’s part. Meanwhile, Facebook made it clear in its announcement that the “Like” button is just the first of many possible extensions of its service to other partners.

Good Citizen

One aspect of this week’s announcement that particularly impressed me was Facebook’s decision to work with partners.  CEO Mark Zuckerberg (left) declared that “In the first 24 hours alone we’re going to serve one billion ‘Like’ buttons on the Web,”  meaning that Facebook has done its homework to enlist partners that will give its strategy instant legitimacy. This is an impressive evolution for a company that has a history of being arrogant and difficult to deal with.  It also demonstrates that Facebook is aware of the need to add value to other services instead of trying to steamroll them.

Contrast that with Google, which has appeared positively inept in some of its recent web socialization attempts.  Google Buzz has none.  Google Wave, which sounded good in theory, has been a flop in practice. I don’t know anyone who uses it. Knol, which was once seen as a competitor to Wikipedia, is all but invisible. Sidewiki attempts to add integrate friends’ recommendations into the Web browsing experience, but implementation is awkward and website owners may see it as more of a threat than a benefit.

In short, Google’s reputation as a good partner seems to be giving way to the kind of go-it-alone approach that’s typical of market dominators. This is happening just as Facebook is learning the value of collaboration. All in all, this is not a good omen for Google. While a company with 70% of the search market is in no immediate trouble, history has shown that even dominant companies can fall fast when the rules change. Facebook is trying to change the rules.

Why is Facebook’s initiative good for Joe and Jane Web user? Because it continues to move the value equation toward quality content. The more that online success is tied to peer endorsements, the more incumbent it is upon content providers to deliver value that others can recommend. The influence of marketing dollars continues to ebb while the influence of good information grows. What could possibly be bad about that?

In my column in BtoB magazine this month I discuss the contrasting media relations styles of two giants of the Internet age: Google and Apple. The column focused specifically on their communications styles, but I believe the business tactics of these two starkly different but successful companies have bigger significance.

Google and Apple are diametrically opposed in many respects. Apple creates delightful experiences. Its products are proprietary, closed and self-contained, but people love using them because they not only work but seem to function the way humans expect. Apple is a technology company whose vision is rooted in human-friendly design.

Google’s vision is rooted in the potential of technology. The company produces an amazing array of products, ranging from mapping software to CAD design to medical records organizers. Google shares its ideas quite openly in public “labs” and is also prone to ending public experiments with little notice or explanation. Even its self-deprecating error messages are emblematic of the corporate culture, as if to say “So it didn’t work; we’ll make it better.”

The public-facing strategies these companies employ also couldn’t be more different. Apple holds its new product plans close to the vest and reveals them with fanfare at elaborate press conferences that generate months of media speculation. The company may only hold a couple of press conferences a year, but you can be sure they’re memorable.

Apple not only doesn’t use social media, it has actively litigated against bloggers who have revealed sensitive information. The strategy works well for Apple because its rabid base of fans is more than happy to indulge in speculative frenzy and drive awareness that no amount of advertising could buy.

In contrast, Google rarely holds press conferences. Most of its products are announced in a low-key style via blogs. Its developers and product managers work the long tail through one-on-one interviews and frequent speaking engagements. The company uses every social media outlet it can but shuns the media spotlight.

So Which Are You?

Is your company Apple or Google? Most businesses model their public personae on the Apple example. Their plans are shrouded in secrecy, access to executives is granted only to the top media and leaks are dealt with harshly out of fear that they could compromise the goal of being first to market. The theory is that the market is hungry for information, so it’s best to withhold news until it can have the greatest impact.

That strategy works for Apple but not for most businesses. Today, customers are swimming in information and if they don’t get insight about where you’re going, they simply move to someone else. Companies that build products behind closed doors risk becoming irrelevant because no one talks about them. What’s more, they lose the advantage of involving customers in a process that can not only make their products better but form the basis for a word-of-mouth marketing force.

How about being first to market? That benefit is vastly overrated. History has demonstrated that the only advantage of being an early mover is that it gives you the opportunity to make mistakes that others learn from. Apple’s sole first-to-market experience – the Newton – was also its most notable failure. The history of technology markets in particular is littered with businesses that created innovations that others later made successful.

In a world of plentiful information, the winners are those that do the best job of talking about their innovations before they reach the market. Prospective customers want to be involved in the process, and they punish those businesses that don’t indulge them. Look at the companies that are making headlines today and you’ll find nearly all of them have adopted an open and inclusive path to the market.

The Apples of the world are few and far between. Nearly everyone would like to be an Apple, but few will ever get the chance.

In the two weeks since Google announced plans to unveil a Wikipedia-like encyclopedia called Knol, the blogosphere has been buzzing about its potential impact. Is this the Wikipedia-killer? A nefarious attempt to undermine media companies? A market-share play by a near-monopoly?

In my opinion, it’s none of those things. Knol is just a good idea that fills a gap in the market and that is likely to become a rich and useful alternative to Wikipedia. If Google and its contributors make money in the process, what’s wrong with that?

Knol will succeed because (for lack of a better term) it exploits the greed factor in community knowledge-sharing. Think of Wikipedia as public television or radio: it’s a public information source that is endearing, in part, because it’s so free of commercial interest. Sure, some people do use Wikipedia for business benefit, but most do so for the sake of sharing knowledge and contributing to the public good. Wikipedia’s anonymity is a virtue in that respect. There will always be value to that model and an audience for it.

Knol is a commercial play. According to sketchy details provided so far by Google, users will be able to attach bylines and profiles to their contributions and submit to community ratings. Articles will move up the popularity stack based upon a Digg-like process in which visitors identify the most useful content. Contributors could also see some financial reward if their work is heavily trafficked.

The fact that Knol promotes the identity of its contributors will give it significant commercial appeal, particularly for experts who don’t have the benefit of a big forum for their knowledge. I’ve written the past about an experiment called Wikibon that is a precursor to Knol. The creator of Wikibon, David Vellante, spent many years in market research and understands both the power and limitations of that model.

Market research firms charge high fees because they have a reputation for quality. The analysts who work there command big salaries and enjoy considerable influence in their markets. It’s the think-tank model and it’s tried and true.

The problem with think tanks is that they shut out the vast majority of potential experts. In most business-to-business markets, there is a huge body of knowledge locked up in the minds of practitioners, consultants and small businesspeople who don’t have the wherewithal to become part of the giant research firms. Their expertise is available only to the small number of people they can reach through whatever means they have available.

Wikibon is a long-tail experiment that tries to tap into that knowledge and create a quality information resource at a cost that’s potentially much lower than that of the think tanks. The idea is to remove all of the organizational overhead and just let people showcase their own expertise. If they do it right, they can grow their professional profile and improve their chance of landing good jobs or consulting assignments.

The same factors will apply to Knol, and that’s why it will be so successful. Few Web properties have Google’s capacity to showcase individual experts. There are many blogger networks out there, but Knol should quickly become the biggest blogger network of them all.

For individuals with the time, skill and savvy to promote themselves through a vehicle like this, the payoff could be significant. That’s why I say that Knol appeals to the greed factor. People will continue to contribute to Wikipedia because it reaches a vast audience. They will contribute to Knol because it promotes their personal interests. There will be a place for both models on the Web. There’s no reason that either has to be successful at the expense of the other.

In the final Tech PR War Stories podcast of 2007, David Strom and I stretch out a little and ruminate on what’s ahead for 2008. Here, in no particular order, are our predictions. It’s going to be another wild year for tech PR, but one in which savvy PR pros can elevate their status with employers and clients:

  • The end of beats at technology publications. Reporters will become more generalized and contract experts will contribute more of the specialized coverage;
  • Fragmentation in coverage of technology; it will come from a variety of sources;
  • Google will buy Second Life and Skype. Paul sees big opportunities for the search giant to leverage those core technologies into franchise businesses;
  • PR pros will have to do a better job at creating meaningful relationships with press. They’ll also have to reach out to unexpected places for coverage;
  • Increasing concerns about privacy in social networks. Facebook’s Beacon was just the tip of the iceberg;
  • The Wall Street Journal will become a free service. Rupert Murdoch has already made it clear that he wants to take the paper in this direction and that will have big implications for tech coverage as the Journal asserts itself as a major online news force;
  • The rise of social search, addressing some of the inherent limitations of search. Mahalo and WikiaSearch are early proofs of concept of an evolution of the search utility;
  • Vendors will increasingly become publishers and will need help from PR people to create useful and interesting content.

Download the podcast here (19:00).