An Ill Wind Blows In Facebook Appville?

All of the sudden, there’s growing consternation about investing in Facebook apps. Could it be that there’s too much money going into unproductive apps, with tenuous business models, in a suffocatingly crowded space that’s controlled by one self-interested player? One issue that’s been getting attention: the ability for Facebook to develop apps that obviate the need for something from a third party. Valleywag mentioned earlier this week that an upcoming feature basically apes the popular “Top Friends” app. It also happened when Facebook introduced chat feature a little while back. Besides making a third-party app redundant, Facebook can and does make changes to the way apps are promoted, displayed, or anything else that could affect a third party developer. Shasta Ventures VC Jason Pressman told peHUB that Facebook’s moves could cause the space to cool down:

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