January 9, 2006

FOG: Fear of Google

It used to be FUD, and then it was FOW. Now we're deep in a FOG.

The fear is that Google will be competing with everything, from paypal to television to Dell Inc. This fear of G's (and M's and Y's and E's) potential business strategies inspires all sorts of irrational behavior, and, most significantly, creates a lot of demand where there would otherwise be little. This is where the opportunity comes in, of course.

Whether already present (or in rapid construction), online communities and other web services have been selling themselves to Google's competitors - often at inflated prices. We all love to use del.icio.us, but, really, it is worth the blog-estimated $100 per user?

Apparently it is! Many pats on the back are due to them (and others) for selling dear, by the way.

Beyond the fear/opportunity-induced transfer of resources, a buzzy technology wave leads to the proliferation of new kinds of thinking and a lot of technology R&D. These two benefits far outweigh the hazards.

We just have to remember to always keep the FOG lights on, as developers and as investors.

Some recent FOG:

Libraries urged to embrace Web 2.0 - Information World Review

Who's Afraid of Google? Everyone. - Wired Magazine

Opportunity and Fear as Google Widens Reach - NYT