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Dana Dana Blankenhorn has been a business journalist for over 25 years and has covered the online world professionally since 1985. He founded the "Interactive Age Daily" for CMP Media, and has written for the Chicago Tribune, Advertising Age, and dozens of other publications over the years.
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Moore’s Law defines the history of technology. It held that the number of circuits etched on a given piece of silicon could double every 18 months as far as its author, Intel co-founder Gordon Moore, could see. Moore’s Law has spawned constant revolutions since then, not just in computing but in communications, in science, in a host of areas. Moore’s Law applies to radios, and to optical fiber, but there are some areas where it doesn’t apply. In this blog we’ll take a daily look at new implications of Moore’s Law in real time, as it rolls forward to create our future.
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October 21, 2005

eCraig

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Posted by Dana Blankenhorn

craig newmark.jpgWhen Craig Newmark sold 25% of his Craigslist to eBay last year, there was some skepticism. "This is a mistake. eBay bad and robotic, Craig's List human and good. And now on the way to selling out."

Well, that writer need not have worried. Craigslist can be robotic, too.

Before, and since, eBay bought an early executive's stake in his company, Newmark has been busy trying to control what the Internet says you can't control -- links.

Techdirt has a summary of the latest. Just as eBay blocked out people who tried to link its auctions with those of other companies, Craigslist has forbidden aggregation, even searches across multiple Craigslist sites.

Had Craigslist not sold its stake to eBay it might be difficult for it to get away with this. But lawyers are wonderfully useful creatures, able to stop even obviously-legal things, like linking into the site, by firing papers and money over the bow.

The queston isn't, is this right. (It's not.) The question is, is this helpful to Craigslist?

The simple fact is that, in the short term, it's not, but in the long term, it may be.

Many of the services being offered by these aggregators were desireable. If you're not sensitive tow here someone you buy from is, a search of multiple Craigstist sites has enormous value. Locking out a classified aggregator could leave Craigslist as an island, unable to respond creatively to competition from, say, newspapers.

But it does provide Craigslist with an opportunity, to monetize links that should (by the nature of the medium) be free. If it decides to do this, and if it succeeds, then the rest of the Internet will tremble. We've had plenty of devaluation of the free link privilege over the years. Once someone can sell them, as links, the nature of the Internet will change.

Comments (1) + TrackBacks (0) | Category: Business Models | Business Strategy | Copyright | Internet | e-commerce | law


COMMENTS

1. cl on October 21, 2005 05:28 PM writes...

Craig Newmark was not the one who sold the 25% stake to Ebay. In fact it was a former employee of CraigsList and probably against the wishes of Craig himself. Please read the blog entry that you linked to...

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