OK, so I’ve listened to–and been beaten down–by a legion of folks who’ve schooled me on the evil, evil nature of advertising and how it would destroy the Wikipedia. Now, I don’t think it would destroy Wikipedia, but I’m not one of the core 500 folks who really built the Wikipedia to where it is today, so I would always deferrer to their intimate knowledge of the project.

Here are my proposals so far:

Day One: Add one, non-graphical leaderboard to the Wikipedia.
Response: Die, die capitalist marketing freak—Wikipedia can never have ads or it loses all credibility—die, die capitalist marketing freak, you suck… die, die, die!

Day Two: Add one, non-graphical leaderboard to the Wikipedia that people can opt out of.
Response: Die, die capitalist marketing freak—Wikipedia can never have ads or it loses all credibility—die, die capitalist marketing freak, you suck… die, die, die!

Day Two: Let users add one, two, or three non-graphical ads to the Wikipedia if they OPT-IN.
Response: Have not heard back on this one yet.

Day Three (today): Add a “search the web” box on the top right of the Wikipedia pages or next to the Wikipedia Search box on the left.
Response: ????

The concept here would be to make money the EXACT same way Firefox does: with a Google/Yahoo/MSN/etc. search box. A search box would do $15-25 RPM (revenue per thousand pages). Wikipedia would throw off 1-2% of their traffic to the search box depending on placement. When people leave Wikipedia they go to Google/Yahoo/MSN search anyway, so there is no reason Wikipedia couldn’t take a % of that revenue–right?

If Wikipedia is getting 2B pages a month that would be 20-40M searches. Even at a $10 RPM that would be $300-800k a month. $300-800k a month would buy a lot of servers and it would be hard to argue that a “search the web” box would have any negative impact on Wikipedia…. right?

Anyway, I’ve got an entrepreneurs brain for better or worse… I can think a million way to monetize. My hope is that one of them clears the filter of the brilliant hive mind of the Wikipedia.

Note: IF Wikipedia says they don’t want to make any money that’s fine, but the Wikipedia has stated it needs to make some money to pay for core staff, servers, and bandwidth. The search box solution would give wikipedia the ability to hire 10 tech folks and buy another 300-400 servers–easily.

Wow… that Wikipedia post that I wrote in five minutes before running out to dinner sure did get a huge response. Funny how that happens in blogging isn’t it? You can spend two days on a post and it goes by without one comment or link, and you do a throw away post and it gets 100 comments, 600+ diggs, and dozens of inboundlinks.

Anyway, I made one mistake in the post in saying that I found it unconscionable that wikipedia doesn’t put ads on their pages. I was talking about from my perspective, which we all know is that of an rabid entrepreneur. I should have said that in a better way and I’m sorry if it came across like was saying that Jimbo or anyone at Wikipedia was anything less than a saint (or even worse, a bad person).

I think the world of wikipedia, Jimbo, wikipedians, and the folks who are building the project. Heck, I’m so impressed that I went to all seven days of Wikimania and learned more from those seven days than I did at the last five $4,000 conference I attended ($20,000 in conference tickets vs. $150 for wikimania… hmmm?). I need to be a little more clear when I blog, I know that. I’m super blunt and when I speaking in front of folks they get to see me smile when I say something blunt, but on a blog you don’t get to see that–I’m still learning about this whole blogging thing.

Now, there were many folks who lashed me for even bringing up the topic which I thought was unfair. I mean, if you’re part of the wikipedia project should you be open to healthy debate right? You don’t have to get so personal! Some folks said that I would put ads on the Grand Canyon if given the chance–I wouldn’t. Would I put a small sign in a park that said “We thank Sony for their donation for free concerts in the park?” You bet I would!

It’s all about balance and choice. I suggest one ad. One ad is the minimum you can do right? I didn’t say two or three–I said one.

So, how about this as a suggestion:

Wikipedia put up one Google Adsense leaderboard and there is a large link under it that says “Turn off advertising” and users could select if they donated to Wikipedia with their eyeballs or with a cash donation. Heck, you could even have a selection when you first load the site: I’d like to support the wikipedia by having one, two, or three ads per page.”

So, to be clear:

1. I love the wikipedia and I’m sorry if I insulted anyone with the “unconscionable” word–that was a mistake.
2. I don’t think we should put Coca-Cola’s logo around the frame of the Mona Lise or sell our suit jackets to a sponsor (although, if someone out there gives $100,000 to the scholarship program I’m working on for disadvantaged kids I’ll wear your jacket/logo every day–everyone has a price!).
3. I think giving users the option of ads or no-ads in an upfront way means USERS get to choose–not the pro-advertising or anti-advertising camps. If users get to chose who are we to make the decision for them?
4. I will personally volunteer my time (if it helps) to negotiate a deal for Wikipedia with a number of ad partners including AOL, Yahoo, Microsoft, Adsense, John Battelle’s Federated Media, etc. to rotate the ad units so that Wikipedia is never beholden to any one party (i.e. if someone complains about something we remove them from rotation).

What do you guys think: should users get to decide for themselves if they see ads on Wikipedia?

Update: Story is now on digg.

While on the subject of media philanthropy….

I sat next to Jimbo at a Wikipedia dinner over the summer. I begged him to put a leaderboard on Wikipedia and told him I would get AOL to sell it and host Wikipedia–for free. He declined saying there will never be ads on Wikipedia. I then explained to him in detail how that one leaderboard could make over $100M per year. I told him that they should take the $100M and give it to charity. They could help fund MediaWiki, the EFF, Firefox, and dozens of other open source projects.

Jimbo: please reconsider!!! I know I can get AOL to sell the inventory at zero cost to you guys and we will donate the bandwidth. Just give us a little 25×25 pixel thank you (i.e. “Hosted donated by AOL.” That’s it.

Note: I’m bringing this up again a good friend pointed me to this very, very conservative valuation of Wikipedia. Wikipedia if it was a private company would be worth $5B.

Note2: I’m not a saying change anything else about Wikipeda. I’m not saying make it commercial–I’m saying put a leaderboard up to make the world a better place. $100M in donations would really help the world–heck, it would change the world!

Note3: In my mind it is unconscionable to not monetize the Wikipedia when a leaderboard would do NOTHING to take away from the project. Let’s do it people! Even if it’s not with AOL, give the inventory to John Battelle or Google to sell–every day that goes by we lose a million bucks that could change the world.

After reading this review by Mike I’ve decided that my next car will be purchased through CarsDirect.com. If only buying a home was this easy…. hmmmmm…. startup idea #297.

This is very cool… we just upgraded our video tools to make them more vlogger friendly.

1. You can now do ANY aspect ratio (nice!)
2. We’ve given folks the option to take off our branding and have a minimalist look to the player (many folks asked for this).
3. We’ve increased the quality of the video.

More details at the Netscape blog…
http://blog.netscape.com/2006/10/26/video-player-revisited/

Since we consolidated a number of smaller blogs into DownloadSquad in June the site has really taken off and will break 1M pages a month.

Way to go team DownloadSquad!

DownloadSquad monthly traffic from sitemeter:

… oh yeah, wanted to give some props to the EngadgetHD (fka HDBeat folks) for having a record month… looks like they will be in the 1M+ page a month club as well!

Another email with a journalist writing a “business of blogging” story. I won’t say which publication until it comes out.

best j

> > 1) Quite simply: CAN blogging be business? If so, can it be a money-
> > maker in its own right for a lot of people, or just for a few, like
> > yourself?

Blogging is already a business. Our company, Weblogs, Inc., is an eight figure a year business.

Gawker Media, Rafat Ali’s PaidContent.org, Mike Arrington’s TechCrunch, John Battelle’s Federated Media, and Boingboing.net are all significant media business today.

> > 2) how does one make it a business. Ie, how did YOU make it one.

Advertising.

> > 3) as much as possible in the way of numbers and examples.
> > Revenues, costs, profits. (can be vague, estimates, projections….)

We are an eight figure a year business today. In terms of profitability the blogging business is better than the magazine or newspaper business in two main ways: 1. there is no distribution cost to blogging (i.e. printing, shipping, and postage), and 2. we don’t have the large management cost structure because our bloggers are not edited.

> > 4) Advertising, AdSense etc: Will blogs be monetised as efficiently
> > as search results in future? If not, why not?

Frankly, that’s a strange comparison. Blogs will never have a better margin than search engines have because search engines are created by machines and blogs are create by humans. Humans are more expensive than machines!

That being said, blogs are the most profitable media business today.

> > 5) Are blogs that become businesses really just newspapers or
> > magazines with a modern format? Are they even still “blogs”, as
> > defined by Dave Winer, or have they sold their soul?

They have already become a business without selling their soul! The core of blogging is based on the authenticity of blogger and them being unfiltered. As long as you don’t filter the blog, and the blogger maintains their authenticity all is well.

> > 6) Are there non-advertising business models? John Battelle seems
> > to use his blog as a way to market his conference and his book. So
> > are blogs really just marketings costs for other existing businesses?

Of course. Saying “blog” is like saying “paper.” You can do different things with paper including write a book, market a service, or be a counterfeiter–the same is true of blogging. Blogs are a platform, how you use them is up to you. Most people are not blogging for money, they are doing it to express themselves.

> > what are the day-to-day challenges and stresses of running a
> > blog as a business? Ie, anecdotes about the pressure of posting
> > frequently, giving link love and other ways to rise in the
> > technorati rankins and grow an audience.

The challenge is “feeding the blog.” You work at a weekly magazine so you know how much pressure it can be to “put an issue to bed” every week. Working at a daily newspaper is even harder, and a wire service is harder than that. The blogging world is even more pressure than working on a newswire. In fact, I’d say the best analogy for working at a professional blog is working for CNN–the pressure never goes away.

> > 9) Is the business model for blogging really the same as that for
> > YouTube and many other Web 2.0 businesses: ie, to sell out to
> > google or Yahoo or NewsCorp or AOL because those giants can afford
> > to build something bigger, subsidised by profits from search?

You are confusing the concept of an exit with the concept of a business model. An exit is how shareholders realize their gain on an investment. That can happen in the form of a buyout, IPO, or dividends.

The business model of blogging is highly sustainable because the costs are so low. Many blogs today, like Boingboing.net and TechCrunch, could exist forever because they are profitable businesses. The only reason to sell would be if the shareholders wanted to realize their investment.

> > 10) most importantly, what else would you have to say about all
> > this? You are a pioneer in this area. You’ve clearly been thinking
> > much more deeply about this subject than I have. What would you
> > advise me to say?

I think so far you’re looking at blogs are one big thing, and they are not one thing–they are many things. There are blogs done by companies to promote their products. There are blogs done by friends and family to keep in touch with each other. There are “faux blogs” created by unscrupulous marketers to abuse the public. There are blogs that are run as publications in order to make a profit.

You have to look at the *goal* of each blogger in order to measure your success. At Weblogs, Inc. we wanted to build a “scale” blogging business–that was our goal. Some folks want to build a “lifestyle” business and don’t need to make a large amount of money to be successful.

Also, it is very rare that one new medium kills the medium before it. Blogs are not going to kill newspapers and magazines, but they will take 10-40% of their audience, just like cable TV didn’t kill network TV but it did take 20-30% of its audience.

Finally, I think its important to note that blogs have become a vital part of the media ecosystem. Bloggers are interacting with journalists and helping them build their stories–like you and I are doing now! The media business has moved from a handful of people speaking on their pedestals, to dozens of folks at hundreds of tables having conversations about an issue. It’s very fluid.

best j

———————
Jason McCabe Calacanis
CEO, Weblogs, Inc., An AOL Company.
GM, Netscape.com
Office: 310-979-5654 | Mobile: 310-456-4900
Blog: http://www.calacanis.com
Yahoo/AOL IM: jasoncalacanis

LinkedIn: http://www.linkedin.com/in/jasoncalacanis
MySpace: http://myspace.com/jasoncalacanis
AIMPage: http://www.aimpages.com/jasoncalacanis/

We’re looking for an Editor in Chief at Netscape. If you’ve worked for a newspaper or daily newswire and really know old-school, MSM, journalism techniques (like picking up the phone!) hit me up. We need someone who can lead a team of eight anchors/editors/metajournalists doing 2-3 stories each a day.

In case you missed it, I’m starting a weekly podcast in November with the support of PodTech and GoDaddy. “CalacanisCast” will be audio or video, and will feature me talking to folks I know in media, finance, and technology.

All money earned from the podcast will be donated to charity. Right now we’ve raised over $100,000. If you would like me to read a personal commercial on the show and make a donation let me know!

Who should I have as my first guest? Mark Cuban? Xeni Jardin? Steve Jobs? Jon MIller? PayPerPost? Nick Denton?

The Press Release below…

FOR IMMEDIATE RELEASE

Contact: John Furrier
650-380-1975
john@podtech.net
or
Linda G. Miller
212/725-7656
linda@weblogsinc.com

JASON CALACANIS LAUNCHES NEW SHOW ON PODTECH NETWORK
PodTech and Calacanis pioneering media philanthropy with podcast channel sponsorships of over $100,000 donated to education

MENLO PARK, CALIFORNIA (October 26, 2006) PodTech Network announced today that a new audio and video podcast show, CalacanisCast, will be launched on the PodTech Network with GoDaddy.com as the founding sponsor. The weekly show will be hosted and produced by Jason Calacanis, CEO of Weblogs, Inc. (an AOL Company) and General Manager of Netscape.com (an AOL Company), and will focus on Jason’s insights in new media and technology trends and those of his special guests. CalacanisCast launches with over $100,000 in first year sponsorships that will be donated to the Bay Ridge Preparatory School, a K-12 private school based in Brooklyn, New York.

Jason Calacanis said “I’m thrilled to have PodTech and GoDaddy.com as partners. We’re going to have a fun time with the show, and help some kids in need at the same time. It doesn’t get any better than that”.

The media philanthropy model that the CalacanisCast show represents is a first example of a sustainable, high-quality media property that generates not only awareness, but monetary support, for philanthropic causes. Sponsorship revenue for CalacanisCast will underwrite the tuition of disadvantaged youth to attend Bay Ridge Prep, and represents the formation of the Bay Ridge Prep Opportunity Scholarship Fund.

“This fund is a wonderful gift to the school and to the students selected to receive a unique, four-year private school education that emphasizes a respect for education, teamwork, and individual success”, said Charles Fasano, Ph.D., Executive Director of Bay Ridge Prep.

“We are ecstatic to have Jason as part of the show line-up on PodTech. He is an innovator and pioneer in new media, and we are excited to pioneer a philanthropic podcast sponsorship model with him”, said John Furrier, CEO and Founder of PodTech.

About PodTech Network
PodTech Network is a media network of audio and video podcasts for influencers and leaders in the global technology and media industries. Our rapidly expanding roster of top-quality programs can be easily experienced on a personal computer or portable media player. PodTech marketing partners include leading brands such as Intel, IBM, Seagate, and SAP. PodTech marketing partners benefit from our morecasting™ suite of services that combine social media planning with podcast series production, syndication, and sponsorships to create powerful, profitable conversations with influencers and customers. PodTech was founded in 2005, and venture investors include Venrock Associates and US Venture Partners. Visit www.podtech.net for programming and more information.

About Jason Calacanis
Jason McCabe Calacanis is CEO and co-founder of Weblogs Inc., a network of widely read blogs including Engadget – ranked # 1 by Technorati. Founded in January of 2004, Weblogs, Inc. became a wholly owned subsidiary of AOL in November of 2005. Calacanis, who was appointed a senior vice president of AOL, maintains editorial supervision over Weblogs, Inc. In June of 2006, Calacanis and relaunched Netscape, the iconic browser owned by AOL and was named its general manager. Prior to forming Weblogs Inc., Calacanis was CEO and founder of Rising Tide Studios, a media company that published print and online publications including the Silicon Alley Reporter, a must-read monthly that chronicled New York’s internet and new media industries. The company also produced of high-profile industry specific conferences in New York, Los Angeles and San Francisco. After the industry consolidated, the company’s flagship publication changed its focus and became Venture Reporter, which was purchased by Dow Jones. Calacanis grew up in the Bay Ridge section of Brooklyn and received a B.A. in psychology from Fordham University in Manhattan. He serves on the board of directors of Bay Ridge Preparatory School. His views on media and media philanthropy can be read daily on his own blog, www.calacanis.com.

About Bay Ridge Prep
Bay Ridge Prep (BRP) is a private, nonsectarian K – 12 school located in Bay Ridge, Brooklyn. The school opened in 1998 with 35 students and has expanded to an enrollment of over 290 students attending class in two facilities. BRP’s teaching strategies are based on the most recent advances in educational research, with a focus on teaching to the multiple intelligences and creating an environment that promotes both academic achievement and social maturity and growth. This child-centered approach to education helps bring out a student’s strengths, develop their weaknesses, and gain a better understanding of themselves. The result of such an approach is a more motivated student who becomes interested in learning, and excited about coming to school. For more information, visit www.bayridgeprep.com

Someone just told me this is the best keynote they ever heard in four years. Frankly, I was tired and didn’t know what to say since the business of blogging is so well established… so I just told my story.

“Overall, an intersting talk with some funny anecdotes and refreshing honesty.”

http://www.propr.ca/index.php/2006/bbs-jason-calacanis/

http://tucowsblog.com/blog/_archives/2006/10/26/2449776.html

http://www.jason-preston.com/index.php/2006/10/26/calacanis-takes-the-podium-at-bbs-seattle-06-i-get-a-calacanis-nickname/

http://coolmel.zaadz.com/blog/2006/10/bbs_2006_from_weblogs_inc_to_netscape_jason_calacanis

Here is a nice quote, I wish I came across this way on my blog more often (I feel so misunderstood sometimes : “I’m very glad I’ve finally been able to see him in person. He’s funny, engaging, and very very smart.”

PS – I also annouced my podcast on PodTech. Here is the press release that should be going out shortly.
PSS – Scoble is tracking the news are it breaks across the blogosphere: http://scobleizer.wordpress.com/2006/10/26/jason-calacanis-just-announced-something/
PSSS – TechMeme has a bunch of links: http://www.techmeme.com/061026/p48#a061026p48

FOR IMMEDIATE RELEASE

Contact: John Furrier
650-380-1975
john@podtech.net
or
Linda G. Miller
212/725-7656
linda@weblogsinc.com

JASON CALACANIS LAUNCHES NEW SHOW ON PODTECH NETWORK
PodTech and Calacanis pioneering media philanthropy with podcast channel sponsorships of over $100,000 donated to education

MENLO PARK, CALIFORNIA (October 26, 2006) PodTech Network announced today that a new audio and video podcast show, CalacanisCast, will be launched on the PodTech Network with GoDaddy.com as the founding sponsor. The weekly show will be hosted and produced by Jason Calacanis, CEO of Weblogs, Inc. (an AOL Company) and General Manager of Netscape.com (an AOL Company), and will focus on Jason’s insights in new media and technology trends and those of his special guests. CalacanisCast launches with over $100,000 in first year sponsorships that will be donated to the Bay Ridge Preparatory School, a K-12 private school based in Brooklyn, New York.

Jason Calacanis said “I’m thrilled to have PodTech and GoDaddy.com as partners. We’re going to have a fun time with the show, and help some kids in need at the same time. It doesn’t get any better than that”.

The media philanthropy model that the CalacanisCast show represents is a first example of a sustainable, high-quality media property that generates not only awareness, but monetary support, for philanthropic causes. Sponsorship revenue for CalacanisCast will underwrite the tuition of disadvantaged youth to attend Bay Ridge Prep, and represents the formation of the Bay Ridge Prep Opportunity Scholarship Fund.

“This fund is a wonderful gift to the school and to the students selected to receive a unique, four-year private school education that emphasizes a respect for education, teamwork, and individual success”, said Charles Fasano, Ph.D., Executive Director of Bay Ridge Prep.

“We are ecstatic to have Jason as part of the show line-up on PodTech. He is an innovator and pioneer in new media, and we are excited to pioneer a philanthropic podcast sponsorship model with him”, said John Furrier, CEO and Founder of PodTech.

About PodTech Network
PodTech Network is a media network of audio and video podcasts for influencers and leaders in the global technology and media industries. Our rapidly expanding roster of top-quality programs can be easily experienced on a personal computer or portable media player. PodTech marketing partners include leading brands such as Intel, IBM, Seagate, and SAP. PodTech marketing partners benefit from our morecasting™ suite of services that combine social media planning with podcast series production, syndication, and sponsorships to create powerful, profitable conversations with influencers and customers. PodTech was founded in 2005, and venture investors include Venrock Associates and US Venture Partners. Visit www.podtech.net for programming and more information.

About Jason Calacanis
Jason McCabe Calacanis is CEO and co-founder of Weblogs Inc., a network of widely read blogs including Engadget – ranked # 1 by Technorati. Founded in January of 2004, Weblogs, Inc. became a wholly owned subsidiary of AOL in November of 2005. Calacanis, who was appointed a senior vice president of AOL, maintains editorial supervision over Weblogs, Inc. In June of 2006, Calacanis and relaunched Netscape, the iconic browser owned by AOL and was named its general manager. Prior to forming Weblogs Inc., Calacanis was CEO and founder of Rising Tide Studios, a media company that published print and online publications including the Silicon Alley Reporter, a must-read monthly that chronicled New York’s internet and new media industries. The company also produced of high-profile industry specific conferences in New York, Los Angeles and San Francisco. After the industry consolidated, the company’s flagship publication changed its focus and became Venture Reporter, which was purchased by Dow Jones. Calacanis grew up in the Bay Ridge section of Brooklyn and received a B.A. in psychology from Fordham University in Manhattan. He serves on the board of directors of Bay Ridge Preparatory School. His views on media and media philanthropy can be read daily on his own blog, www.calacanis.com.

About Bay Ridge Prep
Bay Ridge Prep (BRP) is a private, nonsectarian K – 12 school located in Bay Ridge, Brooklyn. The school opened in 1998 with 35 students and has expanded to an enrollment of over 290 students attending class in two facilities. BRP’s teaching strategies are based on the most recent advances in educational research, with a focus on teaching to the multiple intelligences and creating an environment that promotes both academic achievement and social maturity and growth. This child-centered approach to education helps bring out a student’s strengths, develop their weaknesses, and gain a better understanding of themselves. The result of such an approach is a more motivated student who becomes interested in learning, and excited about coming to school. For more information, visit www.bayridgeprep.com