Googling Google

Christopher Dawson, Sam Diaz and Matt Weinberger

Google+Zynga=cash cow (and not just in Farmville)

By | July 11, 2010, 9:41pm PDT

Nobody is completely sure if Google purported $100 million investment in Zynga (the lovely folks who bring us Farmville, Fishville, Frontierville, and Zynga-time-drain-ville) is anything more than, well, purported. It sounds real enough, though, to raise some eyebrows. In fact, it’s raising a lot of eyebrows. $100 million is not exactly small potatoes and the fact that it came from the great and powerful GOOG (assuming that it actually did) means that Google is taking aim at one of the major bits of Facebook stickiness that advertisers love.

Let’s assume that this new partnership isn’t just the latest bit of sensationalism dreamed up by Michael Arrington and that, as PC Magazine reports, “Zynga’s integration with the proposed Google Games service give users to chance to game throughout Google’s various Web properties [like Gmail].” Clearly this would be a win for Zynga which would have its hooks into the two biggest properties on the Web.  However, would it really be a win for Google? Sure, people spend inordinate amounts of time on Farmville and Mafia Wars, but this is a Facebook thing. Does Google want to hang its hat on an important part of the Facebook brand?

In all likelihood, it isn’t a bad place to start if Google wants to enter the social arena with more success than it’s found in Buzz and Wave. In fact, the data it can gain from an already established gaming platform may be worth far more than a mere $100 million dollars. Again, as PC Magazine points out,

“…the integration will allow Google to begin to map our relationships amongst its user base, creating a kind of social graph—or a mapping of individuals’ friendships and interactions—akin to Facebook’s, currently the world’s largest.”

And now, of course, the purported investment all starts to make sense. Not only could Google stand to make advertising money in the short term by leveraging the sticky social gaming that Zynga offers, but the company satisfies investors worried about Google’s competitiveness in a social space dominated by Facebook. Why should Facebook get all of the online time and captive audiences afforded by Petville? And why should Facebook have more data (at least of specific types) on users than Google? Google is supposed to know everything about us and its lack of social data is a key hole in its world domination strategy. OK, that last bit is a stretch, but the social web is a widely acknowledged weakness for Google.

The fact that Google has made a large investment rather than purchasing Zynga outright (which would be a pretty impressive coup in its competition with Facebook) suggests one of two things: either regulatory concerns would deem such an approach anticompetitive or Google is testing the waters as it ramps up its own social efforts. While both most likely play into the alleged partnership, it’s worth watching Google’s next moves in the gaming space if Google Me really comes to fruition.

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Chris Dawson is a freelance writer and consultant with years of experience in educational technology and web-based systems. In 2011, he became the Vice President of Marketing for WizIQ, Inc., a virtual classroom and learning network SaaS provider.

Disclosure

Christopher Dawson

Christopher Dawson is the Vice President of Marketing for WizIQ, Inc., by day and a freelance writer and educational technology consultant by night. Well, most of his colleagues at WizIQ are based in India, so really he's working with them whenever he can stay awake. He has worked for his local school district as a teacher and technology director, for the Johns Hopkins University School of Public Health, and for Biogen, Inc. (now Biogen-IDEC, Inc.). He has also consulted with STATNet and Cytyc Corporation and retains close ties with X2 Development Corporation (now owned by Follett Software, the supplier of the student information system he administered for several years). Follett is paying him a monthly honorarium to act as a presenter for their "SIS Voices for Student Achievement" community (he produces occasional blog posts and hosts a monthly webinar on the use of student information systems to inform data-driven instruction and school-wide change. He regularly purchases and/or recommends Dell hardware. This is because Dell makes good hardware and has truly committed itself to education in innovative ways, particularly with their "Connected Classroom" initiative. It isn't because he has dealings with the company through his role at WizIQ (which he does) or because they have provided him with long-term loans of a variety of equipment for in-depth testing (which they have). Intel (reference designer for the Classmate PCs he has implemented in his local schools) has provided him with long-term loans of Classmate PCs for testing, as have Dell and Lenovo with their educational offerings. He may report on any of these companies as his experiences with them have direct bearing on educational technology; positive reports are not necessarily an endorsement and he receives no direct financial compensation from these companies or any others. Intel paid all expenses for his attendance at the 2009 Intel Classmate PC Ecosystem Summit which he attended as the sole representative of the technology press. He was invited to attend in 2010 but his wife would have killed him if he spent 3 days in Vegas geeking out and left her home alone with a new baby. Acer provided him with a 50% discount on an Aspire One netbook in early 2009 after he tested it for 30 days through their educational seed program. He liked the netbook at the time but it has since broken and sits unused in his office. Canonical sent him Ubuntu lanyards, t-shirts, and mousepads for his kids. He stole one of the lanyards and proudly hangs his keys from it and occasionally features his 8-year old wearing an oversized Ubuntu t-shirt on his Facebook profile. Gunnar Optiks sent him a pair of computer glasses to evaluate for a holiday gift guide. He is wearing them now as he types this because they never asked for them back and they rock out loud. Seriously - they work brilliantly and make it much easier to spend 20 hours a day staring at an LCD. If they ever asked for them back, he would fork over the $99 and buy a pair. Microsoft gave him 2 free copies of Office 2010 professional, a desktop clock, and a useless book on Office 2010 when he attended the launch of Office/Sharepoint 2010. He occasionally uses the SharePoint lanyard they gave him instead of the Ubuntu lanyard for his keys, but feels dirty afterwards. Adobe provided him with a pre-release version of the CS5 Master Collection for evaluation and ultimately provided a full, licensed copy for ongoing testing of educational applications of this admittedly expensive software. Like the Gunnars, if the license expires or they come out with CS6, he'd actually go out and buy it himself. Which is saying something, because he's actually pretty cheap. Any other companies wishing to send him cool things to evaluate, wear, or otherwise adorn his kids are more than welcome to; he promises to disclose it here if he keeps any of the stuff. Finally, because WizIQ is a virtual classroom and learning network provider, Chris, as VP of Marketing, frequently interacts with, seeks out deals with, and directly or indirectly competes with a whole lot of LMS, SIS, and other Education 2.0 companies. In general, he'll limit his reporting about these companies to news that does not impact his relationship with them or with WizIQ. If he reports on them, it's because what they are doing is newsworthy or worth the attention of his readers and not because he's trying to broker some deal, damage competition, or otherwise advance his position in his day job. LMS and SIS companies, along with other online learning communities, are a pretty important part of Ed Tech. If he stops reporting on them completely, there won't be a whole lot left. He'll be sure to call out any overt conflicts of interest if they are unavoidable. Finally, Follett Software Company pays him a little tiny honorarium every month to present on their SIS Voices webinars and to write the occasional blog or discussion thread for them. Since Follett recently bought X2 (maker of an awesome web-based SIS that Chris just happened to have used, served in advisory groups for, and frequently reported on), this is probably also worth disclosing.

Biography

Christopher Dawson

Christopher Dawson grew up in Seattle, back in the days of pre-antitrust Microsoft, coffeeshops owned by something other than Starbucks, and really loud, inarticulate music. He escaped to the right coast in the early 90's and received a degree in Information Systems from Johns Hopkins University. While there, he began a career in health and educational information systems, with a focus on clinical trials and related statistical programming and database modeling. This focus led him to several positions at Johns Hopkins, a couple-year stint in private industry, teaching high school math and technology, and 2 years as the technology director for his local school district. Most recently, he started his own consulting business and is now the Vice President of Marketing for WizIQ, Inc., a virtual classroom and learning network provider. He lives with his wife, five kids (yes, 5), 2 dogs, and a hateful cat in a small town in north-central Massachusetts. Although he is no longer teaching, his roles with WizIQ and ZDNet allow him to continue helping students and teachers add value to education with technology rather than merely adding to the bottom line.

Talkback Most Recent of 3 Talkback(s)

  • RE: Google Zynga=cash cow (and not just in Farmville)
    Google cannot build a Social Networking site! Orkut was good, until most of the users discovered FB ( Brazil being the exception).

    Google is a company of Engineers and they should concentrate on their Core Offerings and not try to dip their hands in every honey pot available in the world..
    ZDNet Gravatar
    Rahul Mulchandani
    11th Jul 2010
  • They can't
    @Rahul Mulchandani

    Google wants to rule the world just like Microsoft did back in the day, but somehow people are OK with this, despite Google violating people's privacy and trust on numerous occasions.
    ZDNet Gravatar
    Cylon Centurion
    12th Jul 2010
  • Google too shall pass
    Remember when Yahoo ruled the interwebz? Remember when AOL ruled the interwebz? Remember when delphiforums was an ISP or something like that? Remember compuserve and prodigy?

    Google too shall be superseded someday. The only constant is change. What fun!

    The other day, I found myself wondering if Yahoo has an API? If they did, I sure hadn't heard of it the way we hear about google's, facebook's, etc. I went and looked, and by golly geewhiz, it does, and a darn nice one at that.

    Of all the current fads, as a developer I love Twitter best. It still gives me that feeling of "being on the ground floor" of something that is going to be great, and its developers are positively engaged with its user and developer communities. Plus, its API is beautifully easy to use.
    ZDNet Gravatar
    Improper Username
    12th Jul 2010

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