{"id":3255,"date":"2009-09-22T17:01:35","date_gmt":"2009-09-22T22:01:35","guid":{"rendered":"http:\/\/www.redmonk.com\/cote\/2009\/09\/22\/numbers028\/"},"modified":"2009-09-22T17:01:35","modified_gmt":"2009-09-22T22:01:35","slug":"numbers028","status":"publish","type":"post","link":"https:\/\/redmonk.com\/cote\/2009\/09\/22\/numbers028\/","title":{"rendered":"Numbers, Volume 28"},"content":{"rendered":"<p class=\"pic\">\n<a href=\"http:\/\/www.flickr.com\/photos\/cote\/3939029718\/\" title=\"IMG_2061 by cote, on Flickr\"><img loading=\"lazy\" decoding=\"async\" src=\"http:\/\/farm4.static.flickr.com\/3460\/3939029718_a16f6c8ac8.jpg\" width=\"500\" height=\"375\" alt=\"IMG_2061\" \/><\/a><\/p>\n<p>We &#8220;don&#8217;t do numbers&#8221; here at RedMonk, but I come across many interesting numbers each week. here are some:<\/p>\n<h2><a href=\"http:\/\/digital.venturebeat.com\/2009\/09\/18\/facebooks-self-serve-ads-crushing-it-lead-to-profitability\/\">Cashing in on embarrassing pictures<\/a><\/h2>\n<blockquote>\n<p><strong>Facebook\u2019s annual revenue could come in at<\/strong> <a href=\"http:\/\/digital.venturebeat.com\/2009\/07\/15\/facebook-adds-50-million-users-in-35-months-now-up-to-250-million-actives\/\"><strong>$550 million<\/strong>, according to the company<\/a><a href=\"http:\/\/www.insidefacebook.com\/2009\/09\/17\/facebooks-big-advertising-experiment-drives-new-revenue\/\">.<\/a> Silicon Alley Insider ran a few estimates pegging <a href=\"http:\/\/www.businessinsider.com\/how-facebook-became-cash-flow-positive-a-year-ahead-of-schedule-2009-9\">the revenue breakdown this way<\/a>:<\/p>\n<ul>\n<li><strong>$125 million from brand ads<\/strong><\/li>\n<li><strong>$150 million from Facebook\u2019s ad deal with Microsoft<\/strong><\/li>\n<li><strong>$75 million from virtual goods<\/strong> [Holy crap! -Cot&eacute;]<\/li>\n<li><strong>$200 million from self-service ads<\/strong><\/li>\n<\/ul>\n<\/blockquote>\n<h2><a href=\"http:\/\/blog.josephnet.org\/?p=96\">Reading the mint.com tea-leaves<\/a><\/h2>\n<blockquote>\n<p><strong>Benchmark Capital led a $12M Series B round in March of 2008<\/strong> and there\u2019s no way they are happy with the outcome. For arguments sake, let\u2019s <strong>assume they put in $6M of the $12M round and the Company was valued at $60M post money<\/strong> (both are somewhat arbitrary guesses and likely inaccurate but this is a ballpark placeholder. Valuations were falling at the time but Mint was a hot deal). Even then, <strong>Benchmark would have gotten about 3X or about $18M of the $170M<\/strong>. For <strong>a firm that just raised a $500M fund, $18M doesn\u2019t move the needle very much<\/strong>. Needless to say, Benchmark was expecting needing a much bigger return.<\/p>\n<p>&#8230;<\/p>\n<p>There is no doubt that Mint is\/was one of the more promising Web 2.0 startups yet Benchmark didn\u2019t come close to making enough money to make their LPs happy. So <strong>what does this say for $500M funds and their ability to invest in Web startups?<\/strong><\/p>\n<\/blockquote>\n<h2><a href=\"http:\/\/entrepreneur.venturebeat.com\/2009\/09\/15\/youre-a-little-company-now-act-like-one\/\">Admitting who you are<\/a><\/h2>\n<blockquote>\n<p><a href=\"http:\/\/www.balsamiq.com\/company\">Balsamiq Studios<\/a> is doing it right. Read their company page. It\u2019s says \u201cHello.\u201d It says \u201cYes, a couple of guys in a studio.\u201d They don\u2019t skirt the issues of being a small company:<\/p>\n<p>I know, it sounds iffy: how can such a small team create, test, maintain, market, sell, and support a software company?<\/p>\n<p>Well, that remains to be seen &#8211; but <strong>Balsamiq made $800,000 in their first year of operations<\/strong>, so don\u2019t tell me \u201cbig companies\u201d need to hear garbage PR\/marketing language. And <strong>Balsamiq got 100 product reviews during their first six weeks of operation<\/strong>, so don\u2019t tell me \u201ca couple of guys in a studio\u201d isn\u2019t a good public persona.<\/p>\n<\/blockquote>\n<h2><a href=\"http:\/\/www.networkworld.com\/news\/2009\/091709-google-docs-widely-used-at.html?fsrc=netflash-rss\">SaaS office<\/a><\/h2>\n<p class=\"pic\">\n<a href=\"http:\/\/www.flickr.com\/photos\/cote\/3941687997\/\" title=\"Re-purposed hotel phone bank by cote, on Flickr\"><img loading=\"lazy\" decoding=\"async\" src=\"http:\/\/farm3.static.flickr.com\/2478\/3941687997_fec8dffe3d.jpg\" width=\"500\" height=\"309\" alt=\"Re-purposed hotel phone bank\" \/><\/a><\/p>\n<blockquote>\n<p>The study&#8217;s main finding is that <b>about 1-in-5 companies reported that Google Docs is &#8220;widely used&#8221; in their workplace<\/b>, however possibly as a compliment to Microsoft Office. <b>IDC surveyed 262 people<\/b>, a significant number of whom are senior managers at various sized businesses, which points to rapidly increasing <a href=\"http:\/\/www.computerworld.com\/s\/article\/9108799\/Online_office_apps_get_real_Google_Docs_vs._ThinkFree_vs._Zoho\">interest in Google&#8217;s cloud-based office application<\/a>.<\/p>\n<p>A similar survey by IDC, a sister company of Computerworld &#8216;s parent company, IDG, in <b>December 2007 found that 5% of those surveyed reported that Google Docs was &#8220;widely used&#8221; at their workplace<\/b>. IDC&#8217;s most <b>recent survey, done in July, found wide use of Google Docs in 19.5%<\/b> of the companies surveyed.<\/p>\n<\/blockquote>\n<h2><a href=\"http:\/\/www.infoworld.com\/d\/applications\/firefox-use-reaches-critical-mass-skype-reigns-in-im-049?source=rss_infoworld_news\">Browser Share<\/a><\/h2>\n<blockquote><p>\n  There are now <b>more users running some variant of Firefox (50.6 percent) than not running it<\/b>, according to the latest statistics from the <a href=\"http:\/\/www.xpnet.com\/\" target=\"_blank\">exo.performance.network<\/a>.\n<\/p><\/blockquote>\n<p>Meanwhile, <a href=\"http:\/\/www.techcrunch.com\/2009\/09\/16\/google-eyeing-10-market-share-for-chrome-mac-version-due-by-the-end-of-the-year\/\">from Google-land<\/a>:<\/p>\n<blockquote><p>\n  [W]hile <b>Chrome currently has just under 3 percent of the browser market currently<\/b>, a year from now, they\u2019re <b>planning to have at least 5 percent<\/b>. More importantly, <b>2 years from now, if Chrome doesn\u2019t have at least 10 percent share, Google will be \u201cexceptionally disappointed,<\/b>\u201d Chrome Engineering Director Linus Upson told Reuters. And Google\u2019s own internal projections for the browser are even higher, apparently.\n<\/p><\/blockquote>\n<h2><a href=\"http:\/\/www.infoworld.com\/d\/applications\/bing-grabs-11-percent-search-market-087?source=rss_infoworld_news\">Creeping Bing<\/a><\/h2>\n<blockquote><p>\n  The new search engine, which was first brought out in May to do battle with rival Google, <b>saw its share of the search market grow by 22.1 percent from 9 percent in July to 10.7 percent in August<\/b>. The results made Bing the fastest growing search engine in the top 10 list, according to the Nielsen Co.\n<\/p><\/blockquote>\n<h2><a href=\"http:\/\/www.infoworld.com\/d\/hardware\/can-mainframe-use-really-grow-861?source=rss_infoworld_news\">Mainframes, you know you want &#8217;em<\/a><\/h2>\n<p class=\"pic\">\n<a href=\"http:\/\/www.flickr.com\/photos\/cote\/2403844282\/\" title=\"James Love CICS by cote, on Flickr\"><img loading=\"lazy\" decoding=\"async\" src=\"http:\/\/farm3.static.flickr.com\/2231\/2403844282_c9b7437754.jpg\" width=\"375\" height=\"500\" alt=\"James Love CICS\" \/><\/a><\/p>\n<blockquote><p>\nAccording to a study out today of <b>300 users by researchers at IDC nearly one-half of said they plan to increase annual spending on mainframe hardware and software over the next five years<\/b>. Only IBM mainframe users were included in the survey population, IDC noted&#8230;.And IBM\u2019s mainframes haven\u2019t been immune to the economic downturn. This summer IBM reported that <b>System z mainframe server revenue decreased 39 percent year-over-year in the second quarter<\/b>, while <b>overall company revenue declined 13 percent.<\/b>\n<\/p><\/blockquote>\n<h2><a href=\"http:\/\/www.statesman.com\/blogs\/content\/shared-gen\/blogs\/austin\/theticker\/entries\/2009\/09\/18\/austin_jobloss_rate_deepens_in.html?cxntfid=blogs_statesman_business_blog\">Austin Jobs<\/a><\/h2>\n<blockquote>\n<p><strong>The [Austin] area lost 7,200 jobs between August 2008 and last month<\/strong>, a <strong>0.9 percent drop<\/strong>. The <strong>decline was 0.2 percent in June and July<\/strong>, according to the Texas Workforce Commission.<\/p>\n<p><strong>The losses were concentrated in the manufacturing sector, where the annual loss rate was 11.5 percent<\/strong>. That reflects continuing job cuts by high-tech companies including Samsung Austin Semiconductor and Applied Materials Inc. and their suppliers.<\/p>\n<\/blockquote>\n<p><b>Disclosure:<\/b> see <a href=\"http:\/\/www.redmonk.com\/clients\/\">RedMonk clients<\/a> for clients mentioned above.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>$500M VC problems, mainframes, Browser Wars II.<\/p>\n","protected":false},"author":2,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[18],"tags":[],"class_list":["post-3255","post","type-post","status-publish","format-standard","hentry","category-numbers"],"jetpack_featured_media_url":"","_links":{"self":[{"href":"https:\/\/redmonk.com\/cote\/wp-json\/wp\/v2\/posts\/3255","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/redmonk.com\/cote\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/redmonk.com\/cote\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/redmonk.com\/cote\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/redmonk.com\/cote\/wp-json\/wp\/v2\/comments?post=3255"}],"version-history":[{"count":0,"href":"https:\/\/redmonk.com\/cote\/wp-json\/wp\/v2\/posts\/3255\/revisions"}],"wp:attachment":[{"href":"https:\/\/redmonk.com\/cote\/wp-json\/wp\/v2\/media?parent=3255"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/redmonk.com\/cote\/wp-json\/wp\/v2\/categories?post=3255"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/redmonk.com\/cote\/wp-json\/wp\/v2\/tags?post=3255"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}