As an IPO looms, Skype is looking for new revenue streams that will help continue its growth and improve its financial prospects. Monday, it unveiled the next big revenue generator: ads on its Skype Windows desktop client.
Skype said in a blog post Monday it will begin rolling out test ads in the U.S., U.K. and Germany this week from big brands including Groupon, Universal Pictures, and Visa. The ads, which will be adjusted over time, will appear in the home tab of the Skype client at the top of the application. In an attempt to preserve the user experience, the ads will be limited, so users will only see one brand a day. Skype said it won’t use pop-ups, but will try to target ads to users to make them relevant using non-personally identifiable demographic data. Users can opt-out of those targeted ads if they choose. Skype said it has already tested some ads with Rdio.
The move to advertising has been tossed around for a long time and actually seems a bit overdue. Skype said it is almost wholly reliant on SkypeOut revenue, which made up 86 percent of its $860 million in revenue last year, according to its updated S-1 filing. Skype knows it needs to diversify its revenue if it wants to grow and have the money to invest in new features, and it needs the money to keep Skype-to-Skype calls free. By tapping advertising as a new revenue stream, it can ease its over-reliance on SkypeOut, which the company identified as a risk factor.
Skype recently announced it has hit 29 million concurrent users, and said in its S-1 that its overall user base is up to 663 million. It has a lot of people communicating, increasingly through video, which makes up 42 percent of calls. It’s an expensive setup, but it’s also a great opportunity for advertising. Fortune last year reported that Skype could rake in $200 million from advertising, especially for video chats, which could host ads alongside the chat. Overall, Skype said its users made 207 billion minutes of Skype-to-Skype calls last year. All that engagement can be monetized well if done with some restraint.
That seems to be Skype’s main concern with advertising. The company said it is moving slowly because it believes the user experience is paramount. And it’s still not clear to Skype how big an opportunity it has on its hands. Here’s the important language from the S-1:
…it is still uncertain what level of revenues can be generated through advertising. Furthermore, we may face difficulty in successfully implementing advertising on certain platforms, such as mobile devices. Finally, our users may respond negatively to receiving advertisements through their Skype software client, which could negatively and materially affect user engagement, our Skype brand and our results of operations.
Skype said in addition to advertising, it will ramp up its enterprise efforts and is also looking at gaming and virtual goods as other potential revenue sources. The advertising effort is Windows-only for now, but if all goes well and Skype avoids an uproar, expect it to appear on Mac and mobile platform as well.
For all its success, Skype is still in need of some revenue diversification. It’s getting there with these ads, which should slowly beef up revenues. A rumored deal with Facebook to provide video chat could also provide some oomph with a boost of new users. Look for more announcements as the Skype money-making machine starts to crank into high gear.
Related content on GigaOM Pro: (sub req’d)
- Report: The Consumer Video Chat Market, 2010-2015
- Mobile Operators’ Strategies for Connected Devices
- How to Market Your iPhone App — A Developer’s Guide
Is There a Traffic Bubble, Or Does The New York Times Have an Inefficient Capital Structure?
As I hope my family can attest, I made a great point over dinner a couple of weeks ago about how the New York Times is clearly undervalued vis-a-vis various internet stocks. The NYT’s not an “internet company” but it does run one of the world’s most popular websites. Then I forgot all about it. But via Ezra Klein, I have a chance to revisit the point via Frédéric Filloux contention that we’re experiencing a web traffic bubble:
About 35% of the HuffPo’s users come form Google. They land on cleverly optimized content: stories borrowed from other (and consenting) medias that mostly generate blogging and comments. This is the machine that drove 28m unique visitors in January, which makes the HuffPo close to the New York Times/Herald Tribune audience of 30m UV. With one key difference: each viewer of the NYT websites yields an ARPU of $11, ten times more than the Arianna thing. Based on the HuffPo’s valuation, the NYT Digital would be worth billions. That’s a consolation.
You can think of some rational reasons for Huffington Post to get a premium over the NYT, related to HuffPo’s more favorable labor cost structure. You can also assume they’re getting a certain AOL desperation premium.
But is the basic thesis that the NYT should be worth a ton of money really so absurd? It’s an iconic global brand whose main competition as an iconic serious English-language global media brand is owned by the UK government. The New York Times Company currently has a market capitalization of about $1.5 billion and if their P/E ratio were at the S&P 500 average, it would in fact be worth “billions” right now. So why isn’t it? If I’m so smart why don’t the markets agree? Well, it’s a family controlled company with a two-tier stock structure. There’s got to be some reason most firms aren’t organized this way, and presumably the reason is that you pay a penalty in terms of the price of your equity. That’s a price the Sulzberger family has historically been willing to pay in order to preserve the family’s control over the iconic brand in question—they’ve viewed staying involved and maintaining their vision of the paper’s mission as important enough to weigh against some more narrowly commercial considerations. That seems like a sensible view to me, but it’s also sensible for investors to penalize them for it.
Recall that when Carlos Slim was given the opportunity to make an unorthodox investment in the NYT he wound up making a bunch of money.
Surface Encounters proudly guarantees client satisfaction and total price putting in granite assurance. “I’m normally skeptical heading with new firms, but your workers has produced me a believer!” - Steve, Indianapolis
Surface Encounters is a fast-growing surface encounters organization and, nonetheless they have kept pace with the many latest client referrals. “This organization is probably the most inexpensive, trustworthy and pleasant agencies from the whole state. I'd recommend them to people.” - Mike R., South Bend
Loads of deliver the results goes into designing lovely countertops from nature. The process comprises laser measurement artistic vein matching, precision diamond and water-jet cutting, edging and professional set up. 1 can not plainly phone in their order for a custom countertop and have it inside a day or two. Top quality will take time.
Surface Encounters encourages persons to visit a showroom to discover alot more about normal stone countertops. Apart from the variety and fabrication practice, a further important portion of buyer treatment is making sure an individual appreciates tips on how to care for their granite countertop to maintain it looking new for decades to come.
Granite is actually a beautiful organic stone products that's a famous materials used for countertops and floor tiles in kitchens and bathrooms. Granite has surpassed marble in recognition for the reason that is it even more resilient and more convenient to care for. Granite is unmatched by synthetic goods for its strength and sturdiness, tolerance to temperature alterations and resistance to stains and scratches.
Granite can be a effortlessly shaped stone that is certainly quarried from deep inside the earth, harvested, minimize, polished, sealed and set up in residences to add beauty, elegance and model. Given that this is a healthy solution, no two slabs are exactly alike. Granite is accessible in countless shades through the several minerals which might be determined inside rock. Given that it arrives from all over the entire world, distinct areas and environmental variables make it unique.
Granite is predominantly crafted up of quartz crystal, however it also incorporates many different quantities of other metals this includes feldspar, mica, copper and iron. Some granite may perhaps include bits of gold or silver. The amount of every metal is dependent about the region it arrives from. All granite is shaped right into a challenging stone by heat and strain. Rain adds other minerals since it is forming. It is on hand all over the entire world, in all region, and each and every region will develop a surface encounters completely unique variety of granite.
Surface Encounters state-of-the-art machinery makes sure the highest quality finished product because they design and style and establish several of the best kitchens and bathrooms. Granite Countertops enhance the warmth and attractiveness of properties whereas increasing their value and bettering lifestyles.
Surface Encounters is also worried with worker morale; joyful staff are much more probably to contribute to your success of a corporation. Furthermore to getting a flourishing organization and one particular that could be wonderful to get the job done for, Surface Encounters does their aspect to protect our planet.
Surface Encounters does what exactly is appropriate for their users, personnel and the setting. Surface Encounters makes use of superior water recycling capabilities to recycle up to 43,000 gallons of h2o each day. On top of that, a hundred percent on the scrap created in making elegant kitchens and stunning baths is re-used as aggregate in street building, surface preparations and concrete.
The Columbus, Ohio Grand Opening of Surface Encounters elements an art gallery showroom of Granite, Marble, Quartz and Engineered Stone counter tops. Store Supervisor, Scott Donnelly unlocked the doorways in the showroom at 4717 Roberts Street, just west in the I-270 Beltway. The Surface Encounters manufacturing technique employs precision, automated engineering all through the fabrication from the customer's custom-made counter prime, these as: a laser measuring alignment that applications the diamond-tipped sculpturing blades. Surface Encounters' practice features computer-driven software program that perpetuates the stone's healthy veins. Every Surface Encounter retailer has at the very least 1 registered, interior designer to assist you in establishing the finished undertaking you happen to be wanting for. The craftsmanship continues with the
Homeowners are determining to remodel instead than market their properties in today’s industry
Granite countertops are becoming a major selection amongst Wixom individuals for kitchen remodeling jobs. Kitchen remodeling is usually the first undertaking tackled with households investing 3,000 hours or even more annually in their kitchen. Granite countertops give an atmosphere that enhances the superior time put in with relatives and friends. Granite countertops final a lifetime and strengthen the top notch of households.
Surface Encounters Wixom retail store manager, Sal Dellacasa, says there are many causes individuals are deciding on granite for his or her countertop requires. “Granite countertops add beauty and elegance to a kitchen. Granite is obtainable inside of a number of vibrant colours and rich textures and its strength and durability is unmatched by every other healthy stone or synthetic countertop materials.”
Surface Encounters’ people appreciate professional services and also a friendly, beneficial staff to information them with the kitchen remodeling operation. Quite a few of Surface Encounters new prospects are referred to them by previous users.
"This business is just about the most reasonable, trustworthy, and friendly providers within the complete state. I would advise them to everyone." Mike R. Clinton Twp., MI
"The business has generally been there to help me in no matter what way doable. Thank you a lot!" David V. Lapeer, MI
Surface Encounters Macomb will be the dwelling of half-off granite for kitchen and bathroom countertops. Granite countertops by Surface Encounters have speedily grow to be the top selection for Macomb residents that are remodeling their kitchens. Kitchen remodeling normally requires priority with families investing 3,000 hours or more per year within their kitchen. Granite countertops give an surroundings that enhances the excellent time put in with loved ones and pals and advance the quality of households.
Surface Encounters Macomb retail store manager, Sal Dellacasa, says there are many reasons individuals are opting for granite for his or her countertop needs. “Granite countertops add attractiveness and elegance to a kitchen. Granite is available within a number of vibrant colors and prosperous textures and its strength and durability is unmatched by any other surface encounters healthy stone or artificial countertop materials.”
Surface Encounters’ prospects like qualified services as well as a friendly, useful staff to guidebook them with the kitchen remodeling technique. Lots of of Surface Encounters new clients are referred to them by previous clients.
No comments:
Post a Comment