Friday, March 13, 2009

Google CEO: newspaper is dying

When radio was invented, people said newspaper was dying; when TV was invented, people said newspaper was dying; now when search was invented, Eric Schmidt said newspaper is dying.

It turned out people were wrong for the first two times; then how about this time?

Eric Schmidt, a lecturer in Stanford Graduate School of Business, gave a speech to all MBA students on Tuesday. The main topic is trying to inspire the frustrated MBA students that America still has hope. However, it is more like a lecture on Google's vision in the media world.

"(The traditional media didn't get it; Internet is built on the abundance, not on scarcity. It is a "max" system, and they should try to maximize the distribution". Schmidt said. "Online behavior is very important now, and the maching can learn what you like".

Coincidentally(or not), Google publicized that it will match online adverts with Web users' viewing habits today. It is another controversial technique on people's privacy, but hay, Google always has this in all its services such as Gmail and Google News. and soon, everything becomes a standard.

I agree for Google, it is a strategic and smart move. Advertisers would love this because right now not a lot of people click on the small ads on the right of search results. But this turned out to be a traditional model, just as ads on newspaper or on TV. Schmidt's saying on the traditional media model is definitely contradict to what Google is doing now. Internet is a media, not different from newspaper and TV, though it has a fancy name "technology".

Do people still need newspaper? Sure, but in different format such as on PC or mobile. Do people still want to read a piece of paper to read on the train or at breakfast? Sure. The need is lower, but still there. I have bias on newspaper, while every time newspaper turns to survive and be stronger. Finger crossed!!!

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