Google is currently the world's largest search engine and the second largest advertiser in the United States, with so many advertising orders every year that it can't even handle it.
Google uses its own resources to help Facebook, which is equivalent to pulling an advertising order for Facebook in the form of an intermediary, worth 150 million US dollars in three years.
This is really not small.
According to the normal website development logic, 150 million US dollars is enough for facebook's daily expenses in the past three years.
That is to say, if Dunn accepts Google's aid package, New Universal will no longer even need to invest 1 cent for facebook!
This is really a good deal for businessmen.
And Google will also become facebook's only search engine supplier, which is definitely a mutually beneficial business.
Facebook is still in its infancy, with a small scale and few users.
However, behind facebook is the new world, behind the new world is Dunn Walker!
Google understands Dunn's investment vision too well.
Google's three giants, almost unanimously believe that the future of Facebook will be very promising.
The sooner you invest and collaborate, the better for Google.
Unexpectedly, Tang En refused!
3 Years $150 Million Large Order!
Not only did he refuse, he even said that at this stage, facebook is not suitable to be a partner of Google. Space is more suitable!
Oh, God!
Is Dunn really a selfless guy?
In terms of business logic, .space is indeed a more suitable partner for Google than Facebook.
myspace is a lifestyle portal for sns, and it is the first brother in the field of social interaction!
The form of blog is very popular among users. There are even many Hollywood stars, writers, screenwriters and musicians who are attracted by News Corporation to register on myspace for the first time.
Higher traffic, more users, higher number of unique visitors, greater fame... So many advantages. Space is indeed Google's best partner.
In fact, when Google decided to make money through middlemen, outsource the advertising business, and obtain the exclusive operating range of the other party's search engine, Google's executives did generally propose to become a partner with myspace. .
However, .space is a community website invested by News Corporation, and it has long been spread in the industry. News Corporation attaches great importance to this website!
Negotiations are currently underway. News Corporation intends to offer a high price to buy all the shares in the hands of other myspace shareholders! Make myspace a real subsidiary of News Corp!
When the traditional media is declining, Murdoch hopes to continue to occupy a temporary place in the Internet age through myspace!
This idea is certainly correct.
Just imagine, if myspace did not make many strategic mistakes and was not defeated by facebook, then the site that belongs to facebook in the Internet world in the future will belong to myspace.
At that time, News Corporation was in charge of myspace and would continue to occupy the core circle of the world media field.
In the end, what kind of strategic mistakes happened to myspace, which led to being replaced by Facebook, a small company with no background?
The answer is simple: greed for money.
"Benefits are the only goal that companies pursue. However, for Internet companies in the early stage, they must not focus on immediate interests, and then ignore user experience, product improvement and competitors. Today's facebook does not need capital, but It's development. New Universal has no shortage of money!"
Dunn's answer did not relieve Larry Page, and he was still confused: "But... but if the order is given to myspace, well, with the current size and scale of myspace, the order of 150 million US dollars may be difficult to achieve. Satisfy their appetite, the order could be even bigger! With so much funding to help.space is only going to grow faster.”
Tang En said with a smile: "Indeed, the order of 150 million US dollars really can't satisfy myspace's appetite, especially when News Corporation is eyeing myspace and is determined to win. If you want to impress Murdoch, maybe... you need a copy. A mega order worth $500 million, or even $1 billion!"
Larry Page took a deep breath and said: "myspace is backed by News Corporation and has a large amount of cash flow. They will immediately launch an international strategy and take the lead in entering the online social market and occupying overseas markets. At that time... Does facebook really have a chance?"
New Universal is strong.
But News Corp is not bad either!
When myspace grows bigger, even New Universal, even Dunn Walker, may not be able to contain the rapidly developing opponents.
Tang En said with a smile: "Google is not a charity organization. If it can really place an order of 500 million US dollars...or even higher value, it will definitely have very high cooperation requirements."
Larry Page said: "Of course, we will ask Google to become myspace's exclusive search engine supplier and sign a series of gambling agreements. Only when myspace's traffic reaches a series of growth goals, will our advertising Click to reach a certain magnitude, in order to fulfill all the benefits in the contract.”
Tang En snapped his fingers and said happily, "This is what I want!"
Larry Page narrowed his eyes slightly, seemed to finally react, and exclaimed: "Dawn, you mean... to increase the operational burden of myspace, let the management pay all attention to the contract, every time I have to work hard every quarter to meet the revenue target, and then ignore many more core issues..."
"I said, a start-up Internet company only needs to focus on three aspects: user experience, product improvement and competitors. Google's order is exciting for News Corp. It will make this old guy Murdoch. The excitement seems to have returned to a young age. However, for an emerging company in an emerging industry such as myspace, it is undoubtedly fatal. The revenue pressure and contract pressure will make the management breathless and will seriously drag down the benign nature of myspace. develop!"
Dunn's words made Larry Page pause.
At this moment, his respect and admiration for Dunn further improved.
Dunn's understanding of business has reached another level.
Treat money as nothing, treat money as dung!
Precisely, this is the only way for the rise of Internet companies!
Give up profit and continue to burn money!
When the money is burned to the point that investors are jealous, and the users are complimented, and the absolute word-of-mouth advantage and usage habits are formed, it is the time of the real outbreak!
Larry Page has even imagined something.
After News Corporation completes the acquisition of myspace, Murdoch will definitely be ambitious, trying to build a new News Corporation network empire relying on myspace!
And the large order sent by Google is a "gift"!
Not to mention a traditional and old businessman like Murdoch, even a new generation of Internet entrepreneurs, I am afraid it is difficult to have such a long-term and profound vision of Tang En.
For such a large order, there is only one answer - accept!
Even... Looking at this era, apart from Tang En, I am afraid that no company or businessman will refuse a real money contract worth 500 million US dollars.
If myspace accepts this big order...hehe, the consequences can be imagined!
In the short term, .space has received a large amount of financial support, and it will definitely develop rapidly, first in the United States, then into Europe, followed by Asia, Australia and Latin America.
With the support of News Corporation's channels, .space can complete the global layout within a year or two.
However, Google's large orders will inevitably cause more and more ads to be loaded on myspace. This will make the website slower and slower and the user experience worse and worse.
If it were all high-end advertisements like Dior and Mercedes-Benz, it would be fine, but some advertisements such as slimming tea, rotten teeth, adult products, etc. will definitely affect the user experience greatly!
It is conceivable that when myspace and Google fulfilled the long-term contract, myspace at that time was already notorious, completely lost the love of users, and will inevitably lose its position as the market leader!
With better user experience, fresher operation methods, and more youthful product functions, facebook will suddenly explode and become the new overlord in the field of online social networking!
Larry Page took a deep breath, and he felt more and more that Dunn was unfathomable. His advanced ideas and vision beyond the times were really admirable.
Eliminate opponents by making them earn more money.
This really overturns the business logic of everything in the past.
"Fortunately He is a shareholder of Google, otherwise..."
He was a little afraid to think about it.
At that time, if it weren't for the connection of his alumni Reese Witherspoon, they accepted the investment from Dunn. Whether Google will be as successful as it is today is not certain.
"Dawn, you convinced me. Really, your thinking... can always bring a feeling of enlightenment." Larry Page paused, and then said tentatively, "However, I still There is a question. This Sun Valley meeting, our purpose is very consistent, is to obstruct the cooperation of Microsoft, News Corporation and Time Warner, let them abandon the acquisition of Yahoo plans. Does it matter?"
Giving Google's orders to myspace will bring greater benefits to Google. In this way, myspace can also be suppressed; it can also indirectly help the word of mouth decline. After the number of users has plummeted, the betting agreement between .space and Google fails, and Google can get a large part of the money back...
This is simply a desperate plan to kill four birds with one stone!
Just, does this have anything to do with News Corp's involvement in the acquisition of Yahoo?
Dunn smiled confidently, "Trust me, Larry. I know Murdoch, he wants to build an Internet-based News Corporation. However, he is a traditional business thinker, he is afraid of spending money, and he is greedy for interests. He will agree to cooperate with Microsoft to start the acquisition of Yahoo. What is the purpose? Isn't it to enhance the value of myspace through Yahoo's brand, channel and user traffic? If Google sent myspace an early offer, it could not refuse So is it necessary for News Corp to acquire Yahoo? Google is a stronger partner than Yahoo in the current situation.”
Larry Page was shocked.
Extinction count!
It's really a no-brainer!
Five birds with one stone!