Here’s today’s look at the social media business, including news of a new philanthropic social network from the creator of Craigslist. Also, Zynga CEO Mark Pincus aims his company for success in the model of Amazon.com (NASDAQ: AMZN), and Google (NASDAQ: GOOG) rewards its employees based on the performance of its social business division in 2011.
Craig “Craigslist” Newmark Opens LikeMinded Social Network: After building an empire out of his online classifieds website Craigslist, Craig Newmark is now looking to help people out. That isn’t to say that ads for second-hand furniture and discreet escort services weren’t helping people out, it’s just that Newmark’s new social network LikeMinded is more explicitly devoted to charity. A Wednesday report at Techland says that the network is designed to inform users about nonprofits and other charitable organizations as well as volunteer opportunities. In classic Craigslist fashion, though, the site is also designed for users to share information about social justice opportunities rather than just networking. Newmark opened another venture in recent weeks called CraigConnects which is also a utility for nonprofit organizations.
CEO Pincus Wants Zynga to be Amazon of Social Games: A Wednesday report at All Things Digital has a look at Zynga CEO Mark Pincus’ address at the opening of his company’s Seattle office. With former Amazon (NASDAQ: AMZN) vice president of engineering Neil Roseman heading up the Framville creator’s new Seattle branch, Pincus focused on Zynga replicating the online retailer’s success. “Amazon built shop… We want to build play,” said Pincus. Given his company’s success and rapid expansion, Pincus may reach those goals. Zynga raised somewhere between $250 and $500 million in its most recent round of fundraising that ended in February, giving the company a valuation of $10 billion. Pincus has suggested that Zynga will offer an IPO in 2013.
Google Gives Bonus to Employees Bonus Based on Social Media Business: Google (NASDAQ: GOOG) may have dropped the ball with Buzz in 2010, but the company is serious about its social media initiatives in 2011. The new Google “+1” or “plus one” program that transforms webpage links in search results on the company’s signature engine into a social networking recommendation tool has yet to prove itself. CEO Larry Page is looking to reassure Google shareholders regardless of +1’s performance—he announced on Thursday that all Google employees will receive a 25% bonus depending on the success of the social business division this year. Andreas Pouros, an analyst with Greenlight Research, believes that the announcement is intended to demonstrate that Google is “serious” about social media rather than to incentivize its workforce.
As of this writing, Anthony John Agnello did not own a position in any of the stocks named here. Follow him on Twitter at @ajohnagnello and become a fan of InvestorPlace on Facebook.
