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Summary:

Social media-focused blog net Federated Media’s looking for someone to take over at the top. In a vaguely worded post on FM’s official blog,…

imageSocial media-focused blog net Federated Media’s looking for someone to take over at the top. In a vaguely worded post on FM’s official blog, John Battelle, the company’s founder and CEO, said that the company needs a new leader to move the company forward. Battelle was slightly more clear about one thing, however: he’s not leaving the business. He didn’t indicate when he came to this realization or if a change is imminent.

The company has had some bad news lately. Earlier this month, TechCrunch’s Mike Arrington said the site had severed its relationship with FM and would manage its ad sales itself. A few months prior to that, Giga Omni Media said it would leave the FM fold. In his post, Battelle defended the company’s performance, saying FM “put nearly $25 million in the pockets of independent creators on the web.”

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  1. Losing publishers as a they grow is — as FM people have acknowledged — an issue with their business model. They help publishers grow, capturing them on the way up, but once they get big enough, those publishers can handle their own sales.

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  2. They just lost Techcrunch and lost DIGG last year. There's really no way for FM to get big. I feel very sorry for their investors because this company will struggle to get bigger and will most likely get a lot smaller over time.

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  3. Richad Rocca Friday, May 22, 2009

    @Dorian and @Jenkins, you both are wrong. Techcrunch and DIGG did not bring very much monetary value to FM, in fact they were at times a liability. Their traffic numbers were great to illustrate reach, but FM's bread and butter is with reach the niche and creating game changing platforms for their clients.

    Lastly, they just added Recipe4living and are bidding for Del Monte business. This shows growth in a new segment and therefore new dollars. By adding more tech audience sites they would not be adding new dollars, just more eyeballs in an ad segment that they have near maxed out on ad dollars.

    Q – what segment of the industry do you two work in?

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