• Starting a company like Digg is less like building a traditional tech company (think Apple or HP) and more like launching a TV show. And perhaps, like TV shows, these companies are ephemeral in nature. People flock in for a while, then get bored and move on.
• Newsweek scribe Daniel Lyons • Offering an interesting perspective on the decline of Digg, which he suggests may have been as much about the change of its audience as a failure of Digg to keep up. The TV show metaphor is actually a very good one. While not every company will fall prey to changing seasons, Web 2.0 companies are particularly apt to them due to their socially-oriented business models. Lyons suggestion at the end is most telling: “The big lesson of Digg may be simply this: if someone offers you a ridiculous amount of money for a company that wasn’t that hard to build, don’t think twice. Take the money and run.” source

Posted by Ernie Smith • Permalink