<![CDATA[Valleywag: Businessweek]]> http://cache.gawker.com/assets/base/img/thumbs140x140/valleywag.com.png <![CDATA[Valleywag: Businessweek]]> http://valleywag.com/tag/businessweek http://valleywag.com/tag/businessweek <![CDATA[ Valleywag woes won't stop SF journalist from talking about herself ]]> "I always laugh when people talk about how 'self-promotional' I am," blogs vaguely-connected-to-BusinessWeek writer Sarah Lacy in a 902-word post, "given that for ten years of my career you never knew a thing about me other than my byline." Lacy says that Valleywag was more interesting when editor-owner Nick Denton wrote it. We think she's onto an interesting pattern: Sarah Lacy was more interesting when Nick Denton wrote about her, too.

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Thu, 13 Nov 2008 13:40:00 PST Owen Thomas http://valleywag.com/index.php?op=postcommentfeed&postId=5086363&view=rss&microfeed=true
<![CDATA[ Microsoft looks for its own Sarah Lacy ]]> If you can't hire a star, why not one of her best girlfriends? We hear Microsoft has poached BusinessWeek reporter Catherine Holahan for a new online-video project — MSN's answer to Yahoo Finance's Tech Ticker stocks show, which features Sarah Lacy, Holahan's former colleague at BusinessWeek and a close friend. (The two were rarely apart when they attended the SXSW conference where Lacy infamously interviewed Facebook CEO Mark Zuckerberg.) Lacy's known for her va-va-voom Diane Von Furstenberg wardrobe on Tech Ticker. But from the looks of some of her BusinessWeek videos, Holahan prefers a more informal look. Honestly, Catherine: Was a tank top the best look to go for, even when talking about as light a subject as Web widgets?

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Thu, 18 Sep 2008 16:20:00 PDT Owen Thomas http://valleywag.com/index.php?op=postcommentfeed&postId=5052000&view=rss&microfeed=true
<![CDATA[ BusinessWeek's new online strategy: search-engine spam ]]> BusinessWeek has tried it all — comments, blogs, podcasts. But with its latest online strategy, it's really giving up on the idea of serving up quality content. Instead, its new site, Business Exchange, will specialize in gaming Google. Sort through the gobbledygook about "aggregation" and "verticals" and "user-generated content," and you arrive at this vision for the site:

Roger W. Neal, senior vice president and general manager of BusinessWeek Digital, said that as Business Exchange pages work their way up through search engine results, the site should double BusinessWeek’s traffic on the Web within two years, allowing it to sell more ads.

There you have it, bluntly, from a senior BusinessWeek executive: Business Exchange is a search-engine spam trap, meant to capture Google users on their way to actual information. What makes the plan brilliant: In the short term, ad salespeople will sell these pages at BusinessWeek.com rates, raking in a fortune on throwaway content. In the long term, though, BusinessWeek risks turning all of its online inventory into junk by association.

(Photo by Chester Higgins/The New York Times)

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Tue, 19 Aug 2008 09:20:00 PDT Owen Thomas http://valleywag.com/index.php?op=postcommentfeed&postId=5038853&view=rss&microfeed=true
<![CDATA[ 4 ways Facebook helped Sarah Lacy's career ]]> Sarah Lacy, the BusinessWeek.com columnist whose pearl necklaces and resistance to insults I've always admired, explains to U.S. News & World Report how to use Facebook to "fire up your career." Yet she graciously avoids bragging about how she used Facebook to catapult herself to stardom. Lacy's personal assistant is just getting started on the job, so we thought we'd help out:

  • BusinessWeek, Lacy's former employer, doesn't think her freelance columns deserve space in print. But she can drive traffic to the online-only columns by appealing to her Facebook fans. Just keep repeating: Nobody reads magazines anymore.
  • Facebook's what-are-you-doing status updates have encouraged Sarah to ditch traditional journalistic modesty. Summary of her U.S. News interview: "I I I've I'll I mine me I was jogging one day and I happened to run into this guy and he was telling me about this new company. I have an assistant."
  • Using Facebook's powerful promotional tools, Lacy has boosted the Kindle edition of her book to the #1,397 spot on Amazon.
  • Lacy was chosen over all other journalists on Earth to interview Facebook CEO Mark Zuckerberg at mankind's most important gathering, the South by Southwest conference in March. Thanks to Sarah's Facebook-like interview style — "Sarah Lacy is now friends with Mark Zuckerberg" — those who were there still haven't stopped talking about her.

(Photo by Andrew Feinberg)

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Fri, 08 Aug 2008 17:00:00 PDT Melissa Gira Grant http://valleywag.com/index.php?op=postcommentfeed&postId=5034893&view=rss&microfeed=true
<![CDATA[ Mainstream media rushes to fill Internet content shortage ]]> BusinessWeek sent us a press release touting the launch of their 25th blog. Quick, name the other twenty-four!

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Wed, 16 Jul 2008 12:20:00 PDT Paul Boutin http://valleywag.com/index.php?op=postcommentfeed&postId=5025820&view=rss&microfeed=true
<![CDATA[ Who's going to TechTalk Menorca, the Balearic boondoggle? ]]> Martin Varsavsky, the founder of Wi-Fi startup Fon, has concocted another excuse for Web 2.0's jet set to rack up frequent-flier miles and buy carbon offsets: It's called Menorca TechTalk, held on Varsavsky's ranch on the Mediterranean island this weekend. The website is password-protected, but Valleywag got a list of who's going. It's a curious mix of professional conference attendees, like Rapleaf's Auren Hoffman, Loïc Le Meur of Seesmic, TechCrunch's Michael Arrington, and David Sifry of Technorati, mixed in with a few people who have day jobs. There are even Googlers on the list — and when have you known those lot to leave the protective bubble of Mountain View? Oddly, Jimmy Wales did not seem to make the cut, though his New York patroness, Louise Blouin MacBain, is listed. In the comments, sort the TechTalkers into your preferred categories.

  • Alan Levy (BlogTalkRadio)
  • Alec Oxenford (OLX, DineroMail)
  • Alejandro Estrada (DineroMail)
  • Alexis Bonte (Erepublik.com)
  • Andrew McLaughlin (Google)
  • Anil de Mello (Mobuzz)
  • Arturo J. Paniagua (Hipertextual)
  • Auren Hoffman (Rapleaf)
  • Axel Schmiegelow (Sevenload, Denkwerk Group)
  • Benjamí Villoslada (Menèame)
  • Brent Hoberman (Mydeco)
  • Carlos Martìn (IG Expansiòn)
  • Cedric Maloux
  • Christophe F. Maire (Nokia gate5, investor)
  • Claudia Gisiger-Gonzalez (UNHCR)
  • Dan Dubno (Blowing Things Up)
  • David Sifry (Technorati)
  • Demian M. Bellumio (Cyloop)
  • Eduardo Arcos (Hipertextual)
  • Efe Cakarel (The Auteurs)
  • Ehssan Dariani (studiVZ)
  • Esteban Sosnik
  • Esther Dyson (EDventure)
  • Felix Petersen (Plazes)
  • Hans Peter Brøndmo (Plum)
  • Ibrahim Evsan (Sevenload)
  • Ivan Communod (Vpod.tv)
  • Jacob Hsu (Symbio)
  • James Gutierrez (Progress Financial)
  • Jennifer L. Schenker (BusinessWeek)
  • John Markoff (The New York Times)
  • Joichi Ito (Creative Commons, Six Apart Japan, investor)
  • Jon Berrojalbiz (Trading Motion)
  • Jonas Birgersson (Labs2)
  • Jörg Rohleder (Vanity Fair)
  • José María Figueres (Grupo Felipe IV)
  • Jose Marin (IG Expansion)
  • Julio Alonso (Weblogs SL)
  • Lars Hinrichs (XING)
  • Loïc Le Meur (Seesmic)
  • Louise T Blouin MacBain (Louise Blouin Media)
  • Lukasz Gadowski (Spreadshirt.com, investor)
  • Lukasz Wejchert (Onet.pl)
  • Marc Samwer (European Founders Fund)
  • Marcelo Claure (Brightstar Corp.)
  • Marko Ahtisaari (Blyk, Dopplr, FON)
  • Mathias Entenmann (Betfair)
  • Matt Biddulph (Dopplr)
  • Megan Smith (Google)
  • Michael Arrington (Techcrunch)
  • Michael Jackson (Mangrove Capital Partners)
  • Michael Wolf (Farallon Point)
  • Nikesh Arora (Google)
  • Ola Ahlvarsson (Result, FON)
  • Om Malik (Giga Omni Media)
  • R.J. Friedlander (Grupo Planeta)
  • Ricardo Galli (Menéame)
  • Rodrigo Sepúlveda Schulz (Vpod.tv)
  • Rupert Schäfer (DLD, Hubert Burda Media)
  • Scott Rafer (Lookery, Mashery, Winksite)
  • Tariq Krim (Netvibes)
  • Thomas Crampton (Next Media)
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Fri, 09 May 2008 15:20:00 PDT Owen Thomas http://valleywag.com/index.php?op=postcommentfeed&postId=389017&view=rss&microfeed=true
<![CDATA[ 4 things BusinessWeek won't tell you about its under-30 entrepreneurs ]]> The problem with lists like BusinessWeek's collection of 13 under-30 entrepreneurs: Inevitably, in an effort to fill a demographic quota, editors scrape the bottom of the barrel. And presenting a balanced picture of these business novices cuts against the goal of serving up fresh faces. (Whether they're supposed to make BusinessWeek's 50something readers feel either young again or even older, I'm not quite sure.) Here are some things that BusinessWeek would just as soon you not know about members of its boy band:

  • Joe Green (top left) has raised $7.3 million for his Facebook application, Causes. Which would be more impressive had the funding not come from Peter Thiel's Founders Fund. Thiel is an investor in Facebook, and has a vested interest in creating the impression that Facebook appmakers are worth something.

  • Drew Houston (not pictured) runs a company, Dropbox, which offers online file storage, a service users can't get from anyone else. Except AOL, Google, Microsoft, and Yahoo, and a good dozen other startups.

  • VideoEgg CEO Matt Sanchez (top, second from left) tried to compete with YouTube and failed. Or "evolved," as BusinessWeek put it, into an ad network for Flash games, a crowded field that so far has garnered VideoEgg gross revenues of $300,000 a month. The magazine lauded Sanchez for raising $27 million in venture funding; it should have asked instead how much is left.

  • RockYou cofounder Jia Shen (bottom left) launched his widget startup while working for another company, Iconix, according to IM chats produced in court. He and cofounder Lance Tokuda settled a lawsuit with iconix last year. They're now trying — so far unsuccessfully — to raise another round of venture funding, or sell the company.
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Fri, 18 Apr 2008 13:00:00 PDT Owen Thomas http://valleywag.com/index.php?op=postcommentfeed&postId=381591&view=rss&microfeed=true
<![CDATA[ BusinessWeek releases "Web-based" games that download to your computer ]]> businessweekarcade.pngWith great fanfare, BusinessWeek released a compilation of twenty "free, independently developed Web-based games" on its website today. "Casual games," free games that are easy to play and addictive (think Tetris), are big business. Nickelodeon recently announced it was developing 600 games for its websites. Why is BusinessWeek playing tastemaker in this market, though, under the guise of praising the outlandishly simplistic videogames for their "design"?

Whatever the reason, the magazine's editors failed at BusinessWeek Arcade. A number of the listed games, like Echoes, aren't Web-based at all. When I click "Play Now," the games attempt to download to my computer. Finally, we've found an audience for whom even casual games are too hard a concept.

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Tue, 25 Mar 2008 16:40:00 PDT Jordan Golson http://valleywag.com/index.php?op=postcommentfeed&postId=372095&view=rss&microfeed=true
<![CDATA[ The Web comic BusinessWeek won't show you ]]> BusinessWeek reporter Catherine Holahan dropped in on BitStrips, a Web-comics startup showing off its wares at SXSW. (Really, who goes to the SXSW trade-show booths?) In Holahan's blog post on the subject, she faithfully transcribed BitStrips founder Ba's thoughts on why he created a website that automates the production of cartoons which look like they were drawn by 5th-grade students. But oddly, she didn't hit on something far more topical: How Ba himself attacked her colleague Sarah Lacy for her keynote interview with Mark Zuckerberg in an "editor's pick." That comic strip, which I'm betting you won't see on BusinessWeek.com anytime soon:

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Mon, 10 Mar 2008 18:00:37 PDT Owen Thomas http://valleywag.com/index.php?op=postcommentfeed&postId=366172&view=rss&microfeed=true
<![CDATA[ Slide's funding brings out reporters' knives ]]> Cutting remarksScoops are important to journalists. But do readers care? Some writers persist in thinking so. I can't remember ever seeing such backbiting over a humdrum funding announcement: Kara Swisher of AllThingsD scooped everyone last Friday with a rumor that Slide, Max Levchin's Web widget maker, was raising a big funding round. Sarah Lacy of BusinessWeek had more details of the $50 million round in an already-written column published to the Web after Swisher's post. Brad Stone of the New York Times weighed in that afternoon. And that's when the knives came out.

Swisher, aggrieved at the lack of recognition for her scoop, accused BusinessWeek and the Times of running "hand-fed" stories, a charge Lacy and Stone's editor denied. (Lacy told me she'd known since the previous Sunday, but had held the information for her column; Stone's editor told Swisher his meeting with Slide that morning was previously scheduled.)

PaidContent.org clearly felt left out. After one of its writers filed a me-too post, editor Rafat Ali skewered Lacy in a followup post, calling her a "doting, in-awe poseur."

On Silicon Alley Insider, Henry Blodget, Lacy's cohost on Yahoo's soon-to-be-launched TechTicker finance show, came to her defense, dismissing PaidContent as an "aging, LA-based digital news blog."

Oh, and somewhere along the way, I managed to write a story on the subject without calling anyone names.

All of which shows how petty bloggers can be, and none of which answers the question of whether this matters to readers. My suspicion: Only to the extent that they may pass over a story they feel they've read elsewhere first. Google News actively punishes scoops, presenting news on a given subject by the most recent article written, a practice which encourages follow-on news articles and blog posts — and, for that matter, makes it hard to discover who actually broke a given story. Techmeme tends to favor the person who writes with most authority, drawing links from other blogs.

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Mon, 21 Jan 2008 13:40:19 PST Owen Thomas http://valleywag.com/index.php?op=postcommentfeed&postId=347300&view=rss&microfeed=true
<![CDATA[ BusinessWeek journo: Facebook grinds to something in 2008 ]]>
"2008 is the year Facebook grinds to — not a halt — but definitely a slowdown. The backlash is already here. I've said it before; I'll say it again: Facebook flight." Ah, the sweet, juicy sound of BusinessWeek's Arik Hesseldahl plopping his cojones on the table. We credit his bravado, but he's wrong. Beacon was bad for Facebook on the blogs, but users hardly noticed.

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Mon, 24 Dec 2007 09:00:12 PST Nicholas Carlson http://valleywag.com/index.php?op=postcommentfeed&postId=336970&view=rss&microfeed=true
<![CDATA[ Old media attempts to break up Larry and Lucy ]]> Who needs a prenup?BusinessWeek is trying to call a halt to Larry and Lucy's wedding! We get that Google is killing your print-ad sales. We get that being dependent on Web searches for, say, half of your traffic or whatever scares the bejeezus out of you. But really, mainstream media, this is a low blow — trying to put a pause on marital bliss with a conveniently planted scare story on billionaire prenups?

Another ink-stained wretchery has already called foul: New York suggests BusinessWeek, in running the article right before Google cofounder Larry Page's wedding to Stanford Ph.D. student Lucy Southworth, is attempting to cause trouble in their tropical paradise. It's all quite silly. Valley billionaires don't give their brides prenups — they give them funding.

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Fri, 07 Dec 2007 09:48:20 PST Owen Thomas http://valleywag.com/index.php?op=postcommentfeed&postId=331342&view=rss&microfeed=true
<![CDATA[ We do TOO have a lot of traffic, says BusinessWeek ]]> businessweek.jpegIn the category of "the best defense is a good offense": The editors at BusinessWeek are not interested in anyone's analysis of why their website's traffic lags Forbes.com and Fortune.com—even when it says they're not to blame. Silicon Alley Insider's Peter Kafka tried to give them a break, yesterday, saying that a 24/7wallstreet.com report blaming their crappy numbers on crappy content was faulty analysis; they were actually the victims of poor distribution. Fortune.com, for example, benefits from all the traffic at CNMoney.com, while BusinessWeek.com stands alone on the web. Yet editor-in-chief John Byrne responded by saying that the ComScore numbers were completely wrong. Yes, they probably understated the case, but they weren't completely out of the ballpark, even according to Kafka. So the question remains: why DO they lag so far behind the other financial sites? I'd pick poor distribution. It's a lot easier to fix.

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Fri, 14 Sep 2007 11:29:15 PDT Evelyn Nussenbaum http://valleywag.com/index.php?op=postcommentfeed&postId=300054&view=rss&microfeed=true
<![CDATA[ BusinessWeek goes off its (RSS) feed ]]> At McGraw-Hill's business newsweekly, someone decided, apparently, to do some late-summer database cleaning. BusinessWeek accidentally updating its RSS feed with some really thrilling stories. Headlines include: "More news today than ever," "Headline bla bla," and "just another headline that we need to fill in." Subheads — known in the news business as "decks" — also suffered: "Deck bla Deck bla Deck bla," "But this time we are testing FedEx campaign handling," and "testing the pp9 ad."

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Thu, 30 Aug 2007 16:37:10 PDT Mary Jane Irwin http://valleywag.com/index.php?op=postcommentfeed&postId=295373&view=rss&microfeed=true
<![CDATA[ Smoking Sarah Lacy ]]>
Amid all the kerfuffle over her BusinessWeek cover story, and subsequent book deal, there's one salient fact about Sarah Lacy that most commentators are way too politically correct to mention: she is the hottest reporter in the Valley. No, make that the hottest reporter in the tech world — ever.

Rose-Bw-MediumRecap: Lacy co-wrote the magazine story which catapulted Kevin Rose of Digg to wider fame. The coverline, over a photo of the linkdump founder with his thumbs up, proclaimed: How This Kid Made $60 Million In 18 Months. Cue Silicon Valley derision, which didn't stop Lacy quickly tapping a New York publisher for a rumored six figures.

And, in all these stories, even Valleywag glossed over the fact that Lacy is smoking, so smoking that she'd even be considered smoking in one of those cities where models and actresses congregate. She's also flirtatious, especially after a drink or two.

Not saying that's the reason for her success. Lacy's married, to a civilian, happily. The fact that she and Jeremy Stoppelman of Yelp are both attractive, and know each other, does not mean that they're having an affair, or that she sleeps with other tech execs. And she got the book deal without ever meeting her agent, or publisher, in person, though they might have snuck a look at her photo, I guess.

Lacy-1But, in maintaining access to young entrepreneurs such as Max Levchin and Joshua Schachter, the likely subjects of her book, Lacy's looks don't hurt. Oh, I guess this counts as one of those bubble indicators. You know it's a bubble when ... the tech business books are written by hotties.

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Tue, 14 Nov 2006 12:03:36 PST Nick Denton http://valleywag.com/index.php?op=postcommentfeed&postId=214733&view=rss&microfeed=true
<![CDATA[ BW Faces Amazon in Softball Season Opener ]]> Jeff Bezos - ValleywagValleywag contributor Theo DP shreds BusinessWeek's typically gushy cover story on Amazon and founder Jeff Bezos.

There is softball coverage and then there is SOFTBALL COVERAGE. In Jeff Bezos' Risky Bet, the latest BusinessWeek cover story, Amazon sycophants Rob Hof and the BW crew give us a nice example of the latter.

Hof and Co. fawn all over Amazon's latest technology, including the patent-pending 'artificial artificial intelligence' Mechanical Turk, which not-so-impressed others likened to a virtual sweatshop. BW is wowed at how MT made it possible for Amazon to introduce its failed A9 Yellow Pages and may soon enable 18 year-old Eric Cranston to offer a pittance to those who complete mind-numbing photo-editing tasks! And in an exclusive interview, Hof gets Bezos to spill the beans on how MT can be used to tell if a photo has a naked person in it!

Surprised they aren't building entire cities around it.

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Fri, 03 Nov 2006 12:01:33 PST Nick Douglas http://valleywag.com/index.php?op=postcommentfeed&postId=212320&view=rss&microfeed=true
<![CDATA[ Business Week's Turn to Blow Smoke ]]> b_1024_google.jpgBusiness Week has pulled a NYT and does a calorie-free article on Google. Headline: How Google's Garden Grows. Makes you want a chop a tree down, don't it? The cell phone with faked google screen has nothing to do with the article, CNN.com must be handling BW's graphics now.

The article runs through new Google ventures in the last 6 months; customized searching, online payments, classified ads but no youTube! Businessweek.com writer Catherine Holahan finishes the handjob with this a quote from a Internet stock fluffer.

"They are crossing into uncharted territory," says Denise Garcia, WR Hambrecht's Internet research analyst. "It is the promise of the future that we are seeing. And until we can see some flaws in their plan, the stock will continue to grow."


How Google's Garden Groans Grows [BusinessWeek]

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Wed, 25 Oct 2006 16:12:23 PDT rabruzzo http://valleywag.com/index.php?op=postcommentfeed&postId=210212&view=rss&microfeed=true
<![CDATA[ BusinessWeek: Make up your damn mind ]]> A selection of BusinessWeek headlines from the last 12 months:

Smart Move or Silly Money 2.0?
It Feels Like 1998 All Over Again
Bubble V. Boom?
A Billion for Bebo? Bubble, Bubble, Double Trouble
Social Networks: More Bubble Than Profit? (Part of a special report)
Bubble, Bubble
Tiny Bubbles...
No Web 2.0 Bubble? Hmmm....
Web 2.0 Ads: Another Sign of a Bubble?
Podcasting: The Bubble?

Let's just all put down the magazine and give them some time alone to figure out this bubble.

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Fri, 13 Oct 2006 10:47:10 PDT Nick Douglas http://valleywag.com/index.php?op=postcommentfeed&postId=207465&view=rss&microfeed=true
<![CDATA[ Second scoop: More on the book that "$60 million" bought ]]> As the Big Lebowski says, new shit has come to light. Sarah Lacy, who co-wrote the BusinessWeek cover story "How this kid made $60 million in 18 months" (about Digg founder Kevin Rose, who now jokes constantly with friends and Digg users about the $60 million he doesn't have), will leave the magazine for a year to work on her book about Web 2.0, she said in an e-mail.

Also, a separate source says Lacy definitely took six figures (probably $100-200k, says the source) for the book.

Finally, someone at BusinessWeek mentioned that the bubblicious article was Lacy's first cover story, theorizing that she got it thanks to co-writer Jessi Hempel, a more seasoned writer with some covers under her belt.

Granted, Jessi is the one who went around the blogosphere defending the story, then passing the buck for the story's most egregious exaggerations (especially the $200 million valuation of Digg) to Lacy and BusinessWeek's editors. If that's how a seasoned writer acts, maybe giving this green one a book deal is so crazy it might work.

Earlier: Scoop: BusinessWeek bubble blower gets book deal [Valleywag]

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Fri, 06 Oct 2006 17:07:00 PDT Nick Douglas http://valleywag.com/index.php?op=postcommentfeed&postId=205944&view=rss&microfeed=true
<![CDATA[ Scoop: BusinessWeek bubble blower gets book deal ]]> Sarah Lacy - ValleywagCall it "How this BusinessWeek writer made $500k with one bubble" — Sarah Lacy (pictured right), co-writer of the BusinessWeek cover story that pumped up boys of the bubble and gave Digg founder Kevin Rose a made-up valuation of $60 million, scored a lucrative book deal on the same subject.

The BW story scandalized those afraid of the ludicrous business valuations that Silicon Valley mostly avoided after the dot-com bomb, and it sent Digg's management scrambling to explain that no, they didn't tell Lacy and co-writer Jessi Hempel that their company was worth $200 million, and no, they really aren't a bubble company.

Lacy shies away from the same accusation — Her book is "not a bubble book," she tells me, and she denies rumors that Penguin, her publisher, advanced her $500k (another ludicrous fake valuation, of course).

Lacy says she'll cover "the rise of Web 2.0 out of the bust, following key characters who are/were notable
stakeholders in both, with analysis on what is the same and what's different." Not a promising premise — sounds like every other story in Business 2.0, Forbes, and Fast Company — but just how bad (or, who knows, good) the book turns out depends on which "key characters" Lacy decides to follow. (It's a safe bet her friends at web startup Yelp — pictured left — will make the cut.)

Earlier, on Lacy's BW story: Why BusinessWeek said Kevin Rose is worth $60 million [Valleywag]

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Thu, 05 Oct 2006 14:00:27 PDT Nick Douglas http://valleywag.com/index.php?op=postcommentfeed&postId=205587&view=rss&microfeed=true
<![CDATA[ Burn! Burn! Burn her! ]]>

"'Witch Hunt' in the Silicon Valley," says BusinessWeek.

Well, someone's gotta do this.

SEC: What makes you think she is a witch?
Stockholder: Well, She turned my stock into a newt!!
(pause)
SEC: a newt?
(long pause)
Stockholder: It got better...
Stockholders: BURN HER anyway! BURN! BURN! BURN HER!

"Witch Hunt" in the Silicon Valley [BusinessWeek]

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Tue, 15 Aug 2006 06:00:00 PDT Nick Douglas http://valleywag.com/index.php?op=postcommentfeed&postId=194202&view=rss&microfeed=true
<![CDATA[ The Inside Yelp ]]>

Remember the fuss over BusinessWeek's cover story, "Valley Boys," a few weeks back? I know, we forgot about it too. But a few alert readers pointed out that feature writer Sarah Lacy has a little undisclosed connection to the story.

Lacy tapped the founders of Yelp for BusinessWeek's gallery of Valley boys. Are they really changing the world, making millions, nabbing the hot babes? Sure, as much as anyone else in the feature, and as much as dozens of other Valley boys who didn't make it into this hall of fame. But the Yelp boys have an in with Lacy.

Above is a shot of Lacy with Yelp co-founder Jeremy Stoppelman at San Francisco's "Bay to Breakers" charity race. Both are sporting "Co-ed Naked Yelping" tees, and boy do they look happy and close. (Granted, they were probably guzzling beer from a keg just like everyone else at Bay to Breakers, so factor that in.)

Sure, it's a bit sketchy to cover your friends for BusinessWeek. But don't be too hard on Lacy. She wrote a puff piece about Yelp and all she got was this lousy t-shirt.

Photo: Yelp Bay to Breakers [DJYelp on Flickr]
Graphic: Russel Simmons and Jeremy Stoppelman [BusinessWeek]

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Mon, 14 Aug 2006 12:59:32 PDT Nick Douglas http://valleywag.com/index.php?op=postcommentfeed&postId=194104&view=rss&microfeed=true
<![CDATA[ Remainders: YouTube still doomed ]]>
  • Tech blog GigaOM explains why Fox Interactive won't buy YouTube. For why no one else will, see this Valleywag list. [GigaOM]
  • Viacom doesn't need YouTube either, thanks to a sweet distribution deal they just cut with Google Video. With this deal, other sites can embed shows from MTV, Comedy Central, and such; the embedded vids carry ads, and Viacom and Google split the revenue. In other words, everything New Media is Old Media again. [International Herald Tribune]
  • Google is paying $900 million to Fox Interactive if all goes right with its plan to power the search on several Fox sites — most importantly, MySpace. [Battelle's Search Blog]
  • The San Jose Mercury News discovers, two months after the fact, that blogger Robert Scoble left Microsoft. Call it the "Late Edition." [Mercury News]
  • Did BusinessWeek backpedal by editing the print version of its "Digg is worth $200 million" story after bloggers tore apart the online version? Or did the magazine always plan tell online readers one thing and print readers another? [Techdirt]
  • Our big sister Gawker, exploiting the convergence of media and tech to totally step on our turf, reports that tech-media vet Alan Patricof dumped $5 million on the Huffington Post. (Disclosure: Founder Arianna Huffington is Gawker publisher Nick Denton's honorary girlfriend, judging by their party photos. I have a writer's account at the Huffington Post that I never bothered using. Patricof writes for the Huffington Post. One of Patricof's older investments was a startup run by Michael Wolff, who called Patricoff a crank in his book Burn Rate.) [Gawker 1, Gawker 2]
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    Mon, 07 Aug 2006 17:26:14 PDT Nick Douglas http://valleywag.com/index.php?op=postcommentfeed&postId=192658&view=rss&microfeed=true
    <![CDATA[ Emergency evening post: Blogger publishes rejected BusinessWeek cover ]]> The blog "Web 2.0" says it found the alternate cover to the current issue of BusinessWeek — a cover that's less, you know, wildly speculative, but so much more boring. Looks real, because who would bother Photoshopping this?

    On the left, the secret boring cover. On the right, the stupid but sensationalistic cover BusinessWeek ran.

    Wealth Punks: The other cover [Web 2.0 Blog]
    Earlier: Why BusinessWeek said Kevin Rose is worth $60 million [Valleywag]
    Earlier: Kevin Rose explains the BusinessWeek cover photo [Valleywag]

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    Fri, 04 Aug 2006 19:52:15 PDT Nick Douglas http://valleywag.com/index.php?op=postcommentfeed&postId=192303&view=rss&microfeed=true
    <![CDATA[ Why BusinessWeek said Kevin Rose is worth $60 million ]]> The original title for BusinessWeek's cover story on Kevin Rose was originally titled "Wealth Punks," Valleywag has learned. The magazine also considered the bland "Geeks 2.0" for the cover before settling on "How this kid made $60 million in 18 months."

    Why did it happen?

    Well, the editors made a "last-minute decision," pushed by people higher up at the magazine, according to a source. Valleywag hasn't learned which specific higher-ups were gunning for the change, but the cover copy reads less like the experiential story of a Wired profile and more like a sensationalistic exaggeration to push newsrack sales.

    For netting pure publicity, the cover worked. But most of that publicity was media backlash against superinflated numbers — so at what expense comes this quick shot of readership (and a glut of online traffic)?

    At best, BusinessWeek will escape with the same reputation it had going in. But at worst, when deals go sour, articles like this will be blamed — and no one will want to be the magazine's next cover boy.

    Earlier: Kevin Rose explains the BusinessWeek cover photo [Valleywag]
    Also: Digg fallout [Valleywag]

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    Fri, 04 Aug 2006 17:11:15 PDT Nick Douglas http://valleywag.com/index.php?op=postcommentfeed&postId=192284&view=rss&microfeed=true
    <![CDATA[ Kevin Rose explains the BusinessWeek cover photo ]]> Amid all the more serious criticism of BusinessWeek's story about Kevin Rose, everyone forgot to ask: Why did the magazine run such a dorky photo of the Digg founder? Well, he told me.

    Kevin Rose: btw, the cover shot was taken as a joke - I had no idea they were going to use that pic..
    Valleywag: yeah, can you tell me about that on-record?
    Kevin: honestly I was just messing around when they took that pic. had no idea they would actually use it for the cover
    it was me just joking around
    BusinessWeek didn't show us the cover or title of the story until they put it on their website
    Wag: why the headphones?
    Kevin: good question
    Wag: ha, why did you even have them on?
    Kevin: they wanted a pic for the inside of us doing something... I had a pic of me drinking a beer, but I guess that didn't make the cut
    Wag: are those their headphones?
    Kevin: no, mine
    $20 @ best buy - sony ones - seriously pretty good

    There we go. Kevin Rose didn't think his thumbs would end up on BusinessWeek, and he uses cheap headphones.

    Earlier: Ripping on the Valley Boys story, part 1: the cover [Valleywag]
    And: Digg fallout [Valleywag]

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    Fri, 04 Aug 2006 16:00:42 PDT Nick Douglas http://valleywag.com/index.php?op=postcommentfeed&postId=192277&view=rss&microfeed=true
    <![CDATA[ Digg fallout ]]> Marc Andreesen on TIME - ValleywagBusinessWeek's Kevin Rose cover story got a solid pounding in the online press today. The profile of Digg's founder earned these responses:

    • Steve Rubel wins at life by showing the last time this happened. Pictured: Netscape founder Marc Andreesen, who's now cooling his heels at a low-profile startup. [Micro Persuasion]
    • The linguistically adept Techdirt calls Kevin a "vapor millionaire." [Techdirt]
    • Jason Fried, prophet of small business, calls BW's math "slippery." [37signals.com]
    • Jason Calacanis, manager of Netscape's Digg competitor, does some quick arithmetic and laughs at the resulting valuation-to-earnings ratio. [Calacanis.com]
    • The UK Guardian misses a perfectly good chance to snipe BW. [Guardian]
    • In a comment on Digg, Kevins says, "I'm not a millionaire." In fact, one of his employees had to buy him lunch yesterday. [Digg]
    • The community at Slashdot (Digg for old people) adds some witty retorts, including: "I've noticed that the level of discussion on Slashdot has improved since Digg 3.0 was unleashed." [Slashdot]
    • Blogger Rafat Ali won't listen to the story's accompanying podcast, for fear of nausea. [PaidContent]
    ]]>
    Fri, 04 Aug 2006 12:39:48 PDT Nick Douglas http://valleywag.com/index.php?op=postcommentfeed&postId=192224&view=rss&microfeed=true
    <![CDATA[ Ripping on the Valley Boys story, part 1: the cover ]]> rose-bw-medium.jpgOkay, BusinessWeek's cover story on Digg founder Kevin Rose was ludicrous — a throwback to the giddy 90s, with wild numbers being thrown about and startuppers treated as flyboys.

    In my haste to finish the workday, I only cursorily covered this yesterday. But now, in the harsh light of several more critical stories, let's give that cover story the beating it deserves.

    First off, the cover's a disaster. There are three kinds of cover portraits: The artistic, the serious, and the goofy. Kevin Rose dressed like a sixth-grader and giving two thumbs up? That goes beyond "goofy" into "mildly insulting."

    The 29-year-old dot-commer isn't the only one being insulted. Readers' intelligence takes a blow when BusinessWeek claims Rose made $60 million from Digg. Just six months ago, Kevin was saying "I wish" about Yahoo's rumored $40-million buyout of Digg. BusinessWeek even admits inside that Digg only pulls $3 million a year in revenues.

    Now, $3 million is a fantastic income for a two-year-old company with 15 employees. And sure, that number will probably rise. But the $60 million figure, based on an arbitrary Digg valuation of $200 million, is an obvious grab for attention — BusinessWeek couldn't be bothered to write "How Kevin Rose may have made 40% of a $40 million deal."

    Coming up: Why, BusinessWeek, why? Also: The best of the worst from inside the article.

    Valley Boys [BusinessWeek]

    ]]>
    Fri, 04 Aug 2006 11:51:51 PDT Nick Douglas http://valleywag.com/index.php?op=postcommentfeed&postId=192209&view=rss&microfeed=true
    <![CDATA[ Kevin Rose, BusinessWeek cover boy ]]> kevin-cover-businessweek.gif

    What a better chance to remind you to nominate a Web 2.0 hottie than with this week's BusinessWeek cover story about Valley hottie Kevin Rose? BW profiles the Digg founder (seen here wearing headphones — why? discuss) at length, describing him as a bright-eyed boy "beaming as though he's talking about a new girl."

    The piece touches on stories like Rose's rejection of an early $5-million buyout offer from blog publisher Jason Calacanis, the infamous signing of a girl's breasts at a Diggnation recording, and Kevin's childhood in Las Vegas. Great stuff and a good read for more than just Digg fanboys. Still, what's with that cover?

    Valley Boys [BusinessWeek]

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    Thu, 03 Aug 2006 17:15:04 PDT Nick Douglas http://valleywag.com/index.php?op=postcommentfeed&postId=191999&view=rss&microfeed=true
    <![CDATA[ BusinessWeek screws up, and Condé Nast doesn't care about the Internet ]]> Jon Fine - ValleywagBusinessWeek's story on the purchase of Wired News is worse than useless. Writer Jon Fine (pictured here in his New Media glasses) rushed out a piece as thoroughly researched as a Gawker Media blog post.

    For example, Fine wonders why Wired sold its magazine to one company (Condé Nast) and its web site to another (Lycos). A writer of his caliber should know that Wired had no choice but to split its properties, because no media company would take the site, and no dot-com would take the magazine. Condé Nast was so uninterested in the Internet that it let Lycos handle its magazine's web site — a decision everyone later regretted.

    He also says that Wired News and Wired Mag shared offices for eight years. Wrong again — the remnants of the once-mighty Wired News just moved across the hall from the Mag a few months back, only to hear endless "You think this is a Holiday Inn?" jokes from the Mag staff.

    But Fine's real sin is quoting Condé Nast dealmaker Steve Newhouse (the boss's son), who says the purchase is all about Web 2.0. Bull. Web 2.0 doesn't care about Wired, and to be honest, Wired doesn't really care about Web 2.0 (its editor's Net-centric "Long Tail" book notwithstanding).

    Newhouse did not pay $25 million for eight writers at a dying news site. Newhouse paid $25 million to wrest his magazine's web site away from Lycos.

    Update: Fine posted a correction. If he sends me his address, I'll mail him a copy of Wired — A Romance.

    Steve Newhouse on Wired and Wired News [BusinessWeek]
    Earlier: Condé Nast bought Wired News: What that means [Valleywag]

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    Thu, 13 Jul 2006 07:00:00 PDT Nick Douglas http://valleywag.com/index.php?op=postcommentfeed&postId=186986&view=rss&microfeed=true
    <![CDATA[ Valleyspeak translated: Marissa Mayer herds pumas ]]> Google's most public VP occasionally slips beyond even the most creative interpreter's grasp. But in Marissa Mayer's latest interview in BusinessWeek, her message is clear — once it's translated from Valleyspeak.

    For instance, she says about the Google Checkout payment system:

    PayPal is a really excellent, mature product. And our service, if you actually look at what we are doing, doesn't really take aim at what they do and what their core competencies are. So there is just a misunderstanding of where the product is aimed.

    She means: "Still, it's fun to watch 'em squirm."

    Marissa speaks volumes, after the jump.

    She says:

    Gmail, I would say, has actually been phenomenally popular. It may not be the size of Hotmail and Yahoo! Mail. We actually have artificially restricted the uptake [...] if we removed the invitation model, we would see ten times as much demand. And if you do that calculation, we would be almost as large as Yahoo! or Hotmail. So, we think that Gmail is actually a very good product.

    She means: "Pay no attention to the ComScore report, pay no attention to the ComScore report..."

    She says:

    [CEO] Eric [Schmidt] and [co-founder] Larry [Page] acknowledged that we really do need to apply a little bit more organization to some of what's happening here at Google.

    She means: "Dad took the car keys and grounded me. Can't party, must do homework."

    Mayer says:

    There certainly are some engineers who tire of working on one particular task and want to move on to a new task.

    Mayer means: "You've heard of Geek A.D.D.? Add that to a PhD and a sense of entitlement, and 'herding cats' becomes a woefully inadequate metaphor. Try 'herding ecstasy-fed pumas.'"

    BusinessWeek asks, "Do product managers need to have more power inside Google?" Mayer says:

    No, I don't think so.

    She means: "I'm the VP of search products. You seriously think I'd let them have my power?"

    Inside Google's New-Product Process [BusinessWeek]

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    Fri, 30 Jun 2006 15:19:55 PDT Nick Douglas http://valleywag.com/index.php?op=postcommentfeed&postId=184704&view=rss&microfeed=true
    <![CDATA[ Bad idea roundup: BusinessWeek gets schooled ]]> Seattle Weekly and BusinessWeek - Valleywag
    • Martin Sorrell, head of UK advertising giant WPP, says media owners should put everything behind a pay wall. Yeah, that seemed to work six years ago. [Online Press Gazette]
    • MySpace says it will restrict dirty messages between teens, which is like McDonald's restricting hamburgers. Remember the good old days when the Internet was dangerous? [NYT]
    • Pictured: BusinessWeek, running out of cliched covers of its own, takes a cliched cover from a year-old Seattle Weekly. The latter paper is not amused. [Seattle Weekly]

    ]]>
    Wed, 21 Jun 2006 15:38:08 PDT Nick Douglas http://valleywag.com/index.php?op=postcommentfeed&postId=182457&view=rss&microfeed=true
    <![CDATA[ Her innovation is real. But she is not. ]]> BusinessWeek put Google VP Marissa Mayer on this week's cover. But the more interesting photo is atop the Inside Innovation section. Which forces the question —

    Gawker Media polls require Javascript; if you're viewing this in an RSS reader, click through to view in your Javascript-enabled web browser.

    Earlier: Marissa Mayer: hologram or android? [Valleywag]

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    Tue, 13 Jun 2006 17:49:48 PDT Nick Douglas http://valleywag.com/index.php?op=postcommentfeed&postId=180515&view=rss&microfeed=true
    <![CDATA[ Marissa Mayer's 9 Notions of Innovation ]]> The world is made by people with lists — Nixon kept his enemies list, Machiavelli had his list of rules for a prince, and how could the Black Mamba have killed Bill without her list of katana-victims-to-be? That's why Marissa Mayer's 9 Notions of Innovation prove her worth to the world.

    But BusinessWeek publishes the list with sparse subtitles and bland illustrations. Where's the in-depth commentary? The overachieving Google VP deserves better.

    1. Ideas come from everywhere: Google expects everyone to innovate, even the finance team. Other examples of innovative finance teams: Enron, WorldCom, President Bush's budget advisor.
    2. Share everything you can: Every idea, every project, every deadline — it's all accessible to everyone on the intranet. And yet Googlers are very careful not to accidentally have any idea what everyone else is doing — especially the PR department.
    3. You're brilliant, we're hiring: Founders Larry Page and Sergey Brin approve hires. They favor intelligence over experience. As for high-experience, low-intelligence, that's why they have CEO Eric Schmidt.
    1. A license to pursue dreams: Employees get a "free" day a week. Half of new launches come from this "20% time." It has to be approved, and Larry decided it has to be close to the "80% time," but sure, it's kinda free. They have $5 massages and you're going to nitpick over this?
    2. Innovation, not instant perfection Google launches early and often in small beta tests, before releasing new features widely. The first priority isn't making the customers happy — it's pushing releases to keep the press happy.
    3. Don't politic, use data: Mayer discourages the use of "I like" in meetings, pushing staffers to use metrics. It's not "Larry Page favors me because I have blackmail." It's "Larry Page dated me for three years. Larry Page is [redacted] inches long. Larry Page is classified with low self-esteem. Larry Page is promoting me over you."
    4. Creativity loves restraint: Give people a vision, rules about how to get there, and deadlines. Or give them leather straps and a ball gag, and you'll see, creativity adores restraint.
    5. Worry about usage and users, not money: Provide something simple to use and easy to love. The money will follow. Then, cash in before the money follows the stockholders out the door.
    6. Don't kill projects — morph them: There's always a kernel of something good that can be salvaged. Ugly projects never die, they just get passed to a new team and warped out of all recognition until the original developer sits at his desk, gorging himself on free trail mix and weeping.

    Marissa Mayer's 9 Notions of Innovation [BusinessWeek]

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    Tue, 13 Jun 2006 16:06:26 PDT Nick Douglas http://valleywag.com/index.php?op=postcommentfeed&postId=180488&view=rss&microfeed=true
    <![CDATA[ Mediocre what-now? ]]> BusinessWeek plays it safe:

    Sure, sure, you wrote "products" to replace "ones." I don't buy it. Work up some nerve and print "mediocre shit" like the man said.

    The Hottest Tech Outfit You Never Heard Of [BusinessWeek]

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    Fri, 14 Apr 2006 18:25:59 PDT ndouglas http://valleywag.com/index.php?op=postcommentfeed&postId=167460&view=rss&microfeed=true
    <![CDATA[ It was MySpace all along! ]]> BusinessWeek covers MySpace's effort to pacify parents and lock down safety. So is this an awkwardly-placed ad, or a shot from "MySpace of the Apes"?

    I can hear Tom Anderson now: "You maniacs! You blew it up! Ah, damn you! God damn you all to hell!"

    From MySpace to Safer Space? [BusinessWeek]

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    Wed, 12 Apr 2006 10:59:46 PDT ndouglas http://valleywag.com/index.php?op=postcommentfeed&postId=166811&view=rss&microfeed=true
    <![CDATA[ Reactions to Valleywag: Aw, shucks. ]]> Adam Curry's face - Valleywag
    • BusinessWeek profiled little old me. Note: The Compaq Evo is being replaced by a refurbed Powerbook with working speakers. Continue sending loud and obnoxious videos. [BusinessWeek]
    • Podcaster Adam Curry was a real sport about the Bastard of the Blogs thing. (But he implies that he drinks Budweiser smokes pot. Official loss gain of cool points?) [Adam Curry]
    • And Waggers keep writing the Valleyspeak phrasebook. Note to would-be word-coiners: the blog-related lexicon is saturated. Send words about business, social networks, anything but blogs! [Valleyspeak]

    ]]>
    Wed, 12 Apr 2006 10:16:41 PDT ndouglas http://valleywag.com/index.php?op=postcommentfeed&postId=166788&view=rss&microfeed=true
    <![CDATA[ Selling Steve Jobs ]]> SuperJobs! - ValleywagBusinessWeek gives another thousand words to anyone who will preach the Gospel of Apple — this time in yet another "present the way Steve Jobs presents!" puff piece. Corporate presentation coach Carmine Gallo treads where so many have tread before, with five points from Sales 101:

    Sell the Benefit
    Show the customer how the product will make them feel good. A great lesson, taught in 2000 in the book How to be a Rainmaker.

    Practice, Practice, and Practice Some More
    I think we actually have a saying for that. It's catchier.

    Keep It Visual
    Good advice, which Gallo spoils by crediting a 17% market cap increase to a Powerpoint presentation.

    Exude Passion, Energy, and Enthusiasm
    Unlike all the other areas in your life.

    "And One More Thing..."
    "At the end of each presentation Jobs adds to the drama by saying, 'and one more thing.'" Except when he doesn't.

    It's Your Turn
    The classic New Media appeal: "What are your suggestions? Write my next article!"

    That's all for that piece. Do you have other pieces to deconstruct? Write my next article!

    How to Wow 'Em Like Steve Jobs [BusinessWeek]

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    Thu, 06 Apr 2006 19:04:42 PDT ndouglas http://valleywag.com/index.php?op=postcommentfeed&postId=165722&view=rss&microfeed=true
    <![CDATA[ Lucasfilm is converging -- eventually, anyway ]]> lucasfilm.jpgEarly celebrations of Apple's 30th anniversary aren't the only gun-jumping stories this week. BusinessWeek interviews execs from Lucasfilm's two main divisions: film department Industrial Light & Magic and game maker LucasArts.

    It's all about convergence — but at the article's end, LucasArts producer Chris Williams admits:

    There's no project that ILM and LucasArts are both collaborating on right now. But there is full intention that we get to that place. That's certainly a key part of the vision.

    Please, interview people who already did something and leave the "They'll change the world next year" stories to Wired.

    The New Force at Lucasfilm [BusinessWeek]

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    Wed, 29 Mar 2006 23:30:27 PST ndouglas http://valleywag.com/index.php?op=postcommentfeed&postId=163945&view=rss&microfeed=true
    <![CDATA[ Marissa Mayer's wisdom on haikus, sonatas, and religious paintings ]]> Marissa Mayer. Again.Okay, it's kind of mean to keep picking on Marissa Mayer, right? Like maybe I should give up by now? Ha, like that'll stop me.

    Found this in the January BusinessWeek (thanks to Rod Boothby). Looks like they've gotten so used to writing about the Google VP that they let HER start writing — about herself, of course.

    Creativity is often misunderstood. People often think of it in terms of artistic work — unbridled, unguided effort that leads to beautiful effect. If you look deeper, however, you'll find that some of the most inspiring art forms — haikus, sonatas, religious paintings — are fraught with constraints. They're beautiful because creativity triumphed over the rules.

    Thank you, Marissa Mayer, for breaking out of corp-speak and gracing the world with adages from the heights of Google. Please don't let your position as an executive in an IT company stop you from realizing your true calling as a timeless cultural critic.

    Turning Limitations into Innovation [BusinessWeek]

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    Thu, 02 Feb 2006 19:27:02 PST ndouglas http://valleywag.com/index.php?op=postcommentfeed&postId=152482&view=rss&microfeed=true