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ODP Future?

AOL financial problems

         

MarkHutch

2:10 am on Jul 23, 2002 (gmt 0)

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I watched a financial show today and many so called experts believe that AOL/Time Warner will be broken up into smaller pieces in an attempt to increase future share holder values. If this does happen, I wonder what will happen to ODP? I believe Netscape is owned by AOL/Time Warner and ODP is part of the Netscape family. Does ODP operate to make a profit or is it a non- profit company? I just thought it might be interesting to speculate on what might happen in the future with this directory which is talked about all the time within this forum.

Lisa

3:17 am on Jul 23, 2002 (gmt 0)

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ODP will never get killed because of money issues. To many companies would love to step in and help it out if that were ever to happen. It is basically the controlling force powering Google. Personally I would pay for the salary of those two employees that run it if I could buy DMOZ. I would do it in a heartbeat! Who wouldn’t? I believe if AOL does breakup the strongest company inside AOL/Time will fight to have it apart of their mini-company.

mack

4:47 am on Jul 23, 2002 (gmt 0)

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I think the ODP is a strong status symbol for who ever runs it. AOL, Time warner or who ever would fight to keep it.

Beachboy

5:21 am on Jul 23, 2002 (gmt 0)

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It would be nice if AOL used ODP as a kind of status symbol. But to my knowledge they have never publicized the fact they own it. And they quit integrating ODP results in AOL search many months ago. If the honchos at AOL even care about ODP, it would surprise me. I doubt if many of the honchos are even aware they own it. Ha.

angiolo

6:34 am on Jul 23, 2002 (gmt 0)

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I Agree Lisa!

A DMOZ IPO would have a strong success. I would invest in it!

rafalk

1:17 pm on Jul 23, 2002 (gmt 0)

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A DMOZ IPO would have a strong success.

The problem is that DMOZ generates absolutely no revenue, zilch, zero, nada. It loses money. Even were it to be privatized, according to the ODP Social Contract [dmoz.org] editors could take a copy of the latest RDF dump and re-start the project.

Mike_Mackin

1:28 pm on Jul 23, 2002 (gmt 0)

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"5. We Encourage a Self-Regulating Community

We foster a self-regulating community governed by community-driven standards. We encourage the community to regulate itself, and to provide the checks and balances needed to ensure that its members follow mutually accepted codes of conduct and editorial standards. We depend on the honesty and integrity of the volunteer editors to ensure the directory is high quality, user-friendly, and free of abuse."

So why do they pay STAFF?

bird

2:13 pm on Jul 23, 2002 (gmt 0)

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So why do they pay STAFF?

One of the two staff members acts as the legal representative of the directory, and participates in those discussions that could impact the legal standing of the organization. The other one maintains the infrastructure.

The thing is, that just editing is not enough to keep a directory alive. You also need to maintain some significant hardware, software, and connectivity, and you better make sure that you have a strong group of corporate lawyers backing you up when necessary (for copyright issues, legal threats by submitters, handling extreme cases of abuse, etc.).

angiolo

3:53 pm on Jul 23, 2002 (gmt 0)

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> The problem is that DMOZ generates absolutely no revenue

At the moment...

I am sure that having a company with 50.000 volunteer at NO COST is a bargain. You could profit from that directory in several ways, satisfying searchers and webmasters.

Think about the possibility to sell their search logs or asking a small fee just to cover hardware, software, connectivity and lawyers.

korkus2000

3:55 pm on Jul 23, 2002 (gmt 0)

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Non profits make money. They just have to spend it by the end of the year. They are great to hide R and D money. Any large internet company would love to own the ODP.

rafalk

4:08 pm on Jul 23, 2002 (gmt 0)

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Think about the possibility to sell their search logs or asking a small fee just to cover hardware, software, connectivity and lawyers.

The problem lies with the editors. Once the ODP starts to earn money off the labor of editors, a lot of nasty legal issues arise. The only way the ODP can exist, and still have a legion of editors working for free, is if it doesn't earn a single cent.

diddlydazz

4:18 pm on Jul 23, 2002 (gmt 0)

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I am still getting over the April fools joke :O

Remember that ??

What if...

Dazz

Quadrille

6:09 pm on Jul 23, 2002 (gmt 0)

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>> many ... believe that AOL/Time Warner will be broken up into ... to increase future shareholder value ...

As has been made clear above, there *are* no current profits, and becoming commercial would meet the AOL legal issue of how *not to pay* the editors, whose work is the basis of ODP, and therefore of those potential profits.

Realistically, selling off ODP would have to be to someone who wanted it *as is*. Which means Google, to protect the source of their directory, or a rival who either wanted that source - or wanted to undermine Google.

But how could that work? Even if say, Altavista's owners bought ODP ... they could not stop Google using the source.

So there's only one potential buyer. And that's Google.

cayleyv

8:30 pm on Aug 2, 2002 (gmt 0)

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I have been amazedby the ways of the internet. The ODP is (in my opinion) slightly better than Yahoo for the best directory. Looksmart - those jokers dont even include non english sites. The bottom line is that there is really only room for one search engine and one directory. These have become google & ODP respectively. Depending on how AOL plays their cards, the could end up with their own proprietary version, if nothing else to snub their chief rival Mocrosoft.

I predict more radical shakeouts in the search field...

skibum

6:20 am on Aug 3, 2002 (gmt 0)

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Unless skrenta, tolls, or someone else integral to getting the ODP up and running is around to make the top brass at AOL/TWX aware of what ODP is, how it works and how vital it is to the net I'd be surprised if its high on their list of things to preserve if the $h1t hits the fan financially. Fortunately the licence agreement ensures that if anything does happen the data is out there for anyone to use.

It would probably take some creative accounting to show that AOL makes money indirectly through ODP by using Google, but then again there is no shortage of creative accountants at AOL or any number of other companies these days.

Beachboy

7:57 am on Aug 3, 2002 (gmt 0)

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I wouldn't be surprised to see ATW's corporate rulers take a look at ODP for a valuation appraisal. Sell it? Change it to a revenue model? It's owned by a huge company that is having revenue problems on the Internet side. I don't believe for a minute any senior exec cares at all about "the Way of the Web" ... the way in which ODP operates. He or she is going to look at it for profit potential. I'd prefer ATW's management remain (hopefully) blissfully unaware of that property. If they don't know about it, they won't mess it up.

choster

11:31 pm on Aug 4, 2002 (gmt 0)

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If AOLTW remains intact, I do not think the present situation will change. ODP is simply too small and esoteric a concern. Selling ODP wouldn't take a major expenditure off AOLTW's books. Reorganizing as a business unit probably wouldn't generate enough revenue to affect corporate income, either.

If AOL is spun off from AOLTW, or if Netscape is spun off from AOL, or if Mozilla is spun off from Netscape (dmoz=Directory Mozilla), then the cost becomes a little more prominent, I suppose. I don't know if the ODP staff has any friends on the board :-).

I don't know of anyone who'd be interested in buying just the ODP. Google might, since they have integrated their main product closely with ODP data. I suppose LS or YH could integrate their listings with ODP, i.e. retaining their regular pay services but sending free submissions to volunteers, but it wouldn't make business sense for them. People aren't shying away from using Yahoo because they have a bad directory.

One outside possibility is that ODP could be spun off as a separate foundation funded by grants. I could not fathom the cost structure for all the bandwidth, disk space, and recordkeeping, but if a case can be made for keeping the directory active as an open content alternative to corporate-owned directories, there is money to be applied for.

I wonder if this might ironically impinge on the open nature of the directory far more than its current corporate sponsorship-- with money tight, already-delayed system improvements might be delayed further, and the need to please donors/sponsors might put pressure on editors to, say, work on Arts/Music categories so the arts foundation will be happy.

skibum

4:10 am on Aug 5, 2002 (gmt 0)

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I'd think any switch to a revenue model for ODP would result in the resignation of lots of editors, it would crumble and just become another YAHOO! Maybe meta/editalls would be kept on to review paid submissions, but $$$ isn't the reason one would put that much time into such a project.

IMHO, the present situation is ideal. Second best would be for Google or FAST to absorb it so long as they did not in any way dictate content or listings with the exception of that required by appropriate local laws.

It makes me sick to thing of AOL selling or in any way getting rid of ODP.

Beachboy

6:25 am on Aug 5, 2002 (gmt 0)

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Well, Skibum, I agree with you, and let's hope that some misinformed exec at AOL-TW doesn't screw it up.