Denton says blogs can't make money, Business 2.0 says he is making $250,000 a year. Hmmmm…..

Ben Silverman at the New York Post has the early info on the big Business 2.0 story [update: the B2.0 story is out and it is a softball] on Nick Denton today. Ironic how Denton claims blogs can’t make money when he is making more money than anyone doing it!

Ben has also spoke with Mark Cuban who confirmed heis an investor in Weblogs, Inc.

It is true, Mark is now an investor in Weblogs, Inc. (the deal wasn’t closed when Denton mentioned it at the Apple store two weeks ago).

Nick Denton – the man behind Gawker.com and its Washington, D.C., sister, Wonkette – is a pessimistic mini-media mogul who doesn’t like publicity, according to the latest issue of Business 2.0, which hit yesterday.

“Who the hell knows how big blogs are going to be in 10 years? Right now, they are small businesses, but they get all this attention because the media is obsessed by media,” Denton said.

Business 2.0 estimates Denton’s business, Gawker Media, is grossing about $250,000 per year and could generate $1 million in revenues next year. Gawker and Wonkette are both in the black and generating about $6,000 per month in revenue, according to Business 2.0.

Denton’s main competition is Jason Calacanis’ Weblogs Inc., a network of business-oriented blogs. Calacanis, who helped hype Silicon Alley for years with trade and news publications, told Business 2.0 that he believes blogs can be a cash cow.

Calacanis wouldn’t answer questions about his own company’s funding, but Dallas Mavericks owner Mark Cuban did.

Cuban wouldn’t say how much he’s invested in Weblogs Inc. but confirmed he’s putting some money to work in the space. “I am an investor [in Weblogs Inc.], and excited about it is all I can tell you,” Cuban told The Post.

Update: Denton takes the piece apart: “Business 2.0′s financial guesswork is again heroic to the point of foolishness.”