Nobody Knows

People don't really know how this is going to work," says Nicholas Economides, a professor of economics at New York University's Stern School of Business. Companies are trying many different approaches, but he says that a solid business model for social networking has yet to emerge. "There's no formula for success," he says. Even Twitter, for all its notoriety, has virtually no revenues.

From MIT's Technology Review.

Down to Zero

"When we started out two years ago people were holding onto their content and weren't seeing value of link for reward rather than payment for reward", Davies says.

"Paid [for] content will die a death in the mainstream, and we're getting closer. People are [now] starting to realise that.

"That's how we're able to do these kind of [licensing] deals now."

Were they ahead of the curve? "We assumed this is where it was going – it's what the music industry has done," he says.

Idiomag, co-founder, Andrew Davies, tells Journalism.co.uk that in launching two years ago he:

'wanted to apply this concept of personalisation to the consumer [magazine] industry'.