An VC's perspective on the Yahoo - Delicious deal

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	An VC's perspective on the Yahoo - Delicious deal

egoldstein

12-12-2005 3:05 PM

447 views

tags:

yahoo, delicious, merger, internet, web 2.0, business model

egoldstein says:

This is one of the best venture capital blogs on the web. Excellent, unbiased, objective analysis of the Internet and web 2.0 sector.

Regarding David's comments on the delicious deal, i totally agree.

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The problem is that none of the services – including Delicious – are close to really capitalizing on any of the above models.  At present, these are just concepts that would need full testing and experimentation to refine.  I personally, was excited to see the Delicious acquisition announcement.  My only disappointment, however, was that the Delicious team didn’t have a chance to fully experiment and discover a business model that worked and scale it.  Granted that they’ve given the above (likely along with a few others) some serious thought – perhaps selling the company was a signal that the above ideas aren’t as fruitful as I conjecture?  Regardless, I am looking forward to seeing similar offerings give it a shot to see if a profitable business can be built.
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