Web 2.0 & Cyworld

2007.11.26. Hae Jin

Table of Contents

1. What is Web 2.0

2. Six Features of Web 2.0

3. Case study of Cyworld

as Web 2.0 model

What is Web 2.0?

Tim O’Reilly

The common things

survivors have after the

doc-com bubble

collapse in 2001

Web 2.0

Features of Web 2.0

1. The Web as Platform

2. Harnessing Collective Intelligence

3. Data as the Next Intel Inside

4. End of the SW Release Cycle

5. Easy-to-Use & -Change SW

6. Above a Single Device

1. The Web as Platform

Software ServiceService

Netscape Google

1) Selling Service, Not Software

1. The Web as Platform

-Focus on big firms-Fixed formats

-Target small ones- Varied formats

-Target small ones- Varied formats

DoubleClick(Ad) Adsense(Ad)

2) Reach to the edges, to the long tail

1. The Web as Platform

Akamai(CDN) BitTorrent(P2P)

3) The more people, the better a service

2. Harnessing Collective Intelligence

-Links between pages -Users’ reviews-Users’ reviews

PageRanks Amazon

1) Hyperlinks & Network Effects

2. Harnessing Collective Intelligence

-Social bookmark-Share my list

-Most relevant DT

-Linking blogs-Instant responses

-Stronger bond

-Linking blogs-Instant responses

-Stronger bond

del.icio.us Bloglines

2) The Wisdom of Crowds & RSS

3. Data is the Next Intel Inside

-Huge investments in navigation system-Selling the data to online map providers

-”NavTeq Onboard”

NavTeq

Data is the sustainable asset

4. End of the software Release Cycle

-Daily operation -UpdatesEvery 30 minutes

-UpdatesEvery 30 minutes

Yahoo! Flickr

Real time response & daily operation

5. Easy-to-use & -change program

SilverPhone iPhone

Simplicity and Openness

-Three keys-Target 4-50’s

-Exclusive use-Block hackers

-Exclusive use-Block hackers

6. Above a single device

IPTV(HanaTV)

From online to offline

-Download through the internet-Online shopping, newspaper, search

- Much more channels

6. Above a single device

Kindle (E-Book)

From online to offline

-Downloaded books-Much cheaper-Huge storage

-Portability

Cyworld as Web 2.0

Brief History of Cyworld

1999.9

“Mini Homepage”

Founded

2001.9 2002.10

FREECHAL started to charge

users

Cyworld members 0.3m ->18m

2003.3

“Mini Room”

2003.8

Acquired by SK Communications

Grown to the Biggest

Community

How Big?

- 20 M members (one out of three Koreans)

- Total Sale in 2006 – 100 B Won

- Daily Sale of “Dotory(Nut)” – 0.3 B Won

Why Cyworld is Web 2.0?

• People form communities•People build online network

•People are served with Service, not SW

Social Networking Site

1. The Web as Platform

Why Cyworld is Web 2.0?

• Linking my closest friends in “closest kin”•“Paper” plays the role of RSS

Hyperlinks & RSS

2. Harnessing Collective Intelligence

Why Cyworld is Web 2.0?

• Tons of tiny decorating items(Avatar, BGM, Skins, virtual products)

Updates of Items Users Purchase

4. End of the SW Release Cycle

Why Cyworld is Web 2.0?

• Very easy to make a homepage•Decorate whatever I want

•Linked to messenger “Nate on”

“Mini Homepage” & “Mini Room”

5. Easy-to-Use & -Change Program

Why Cyworld is Web 2.0?

• Nate on users log on Cyworld on the move• Monthly fixed price(3,000-3500 won)

•Items in Cyworld be exchanged in real shop(Only Nate on)

Going into Mobile & Real World

6. Above the level of a single device

Why Cyworld isn’t Web 2.0?

Tendency to be close and secluded

No special data & privacy issue

3. Data is the Next Intel Inside

Cyworld 2.0

Multiple accounts(2-3)

All forms available ; Café, club, mini homepage, blog

Data storage

Conclusion

Open

Share

Participate