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Social Networking Web Sites 1 SOCIAL NETWORKING WEB SITES Prepared for Michael Perry BISM Professor Kennesaw State University Prepared by Renzo Roque, Project Manager Alan Coffelt, Presentation Coordinator Chris Chubb, Web Master Sandra Aguilar, Research Coordinator Karen Triplett, Formal Report Coordinator Horizon Corporation April 20, 2007 Social Networking Web Sites Abstract Social networking websites have emerged into a premiere source of communication and information; however, like all technologies, there are concerns with their value to society and controls to protect society. Social networks are the relationships or ties we have with other people, usually consisting of family members, friends, co-workers, acquaintances, or those with a shared interest or goal (Kavanaugh, Reese, Carroll, & Rosson 2005). A social network site must have all of the following attributes: Participant profiles, the capability to list and link to other participants, and a facility for visitors to leave “semi persistent” messages. Business organizations that hold the top five social networking web sites include Google, Inc., Microsoft Corporation, The News Corporation Limited, and United Online, Inc. Microsoft owns MSN Groups web site and “develops, manufactures, licenses, and supports software products” (Microsoft Corporation, 2007, p. 4). Social networking websites are relatively new in their growth, and with all the controversy, it is difficult to determine their success. Social networks 2 such as Facebook and MySpace generate their revenue through ad advertisement, driving them to generate hundreds of millions of dollars a year. Although they are able to generate large sums of money, social networking faces several problems. These problems include lack of privacy information, situational relevance and cyber bullying. Most issues are currently being addressed and tighter regulations are being placed on social networking sites to stop these from occurring. In theory, the potential for social networking websites is unlimited; however, due to the lack of control over the users, it is hard to project its future. Unfortunately, the tremendous amount of negative publicity has hindered growth for these websites. True growth will emerge once society full control over the above stated issues. Social Networking Web Sites Internet Social Network Web Sites Internet Social Networking sites are the most recent wave of popular culture sweeping the nation. Social networking sites provide a medium for people to connect and relate to others from across town, across the country and even around the world. Very few people know much about these sites, but participate in them regularly, keeping their popularity alive. Through the subsequent pages our intent is to present the background of social networking, who uses social 3 networking sites, how these sites generate revenue, the known problem facing social networking sites and what their future may hold. Let us first start by looking into the background of social networks and internet social network websites. Social Networks and Internet Social Network Web Sites To understand the current popularity of social network websites we must first explore social networks and the nature of the interaction between social groups or networks. Social networks are the relationships or ties we have with other people, usually consisting of family members, friends, co-workers, acquaintances, or those with a shared interest or goal (Kavanaugh, Reese, Carroll, & Rosson 2005). Within the context of social networks, several factors define relationships. Granovetter (1973) asserts that the strength of a relationship between members of a social network is driven by “the amount of time, the emotional intensity, the intimacy (mutual confiding), and the reciprocal services which characterize the tie” (p. 1361). “Strong ties” and a level of trust and belonging can be developed within social networks, while “weak ties” between networks or groups often serve to extend information, knowledge, and ideas from one social network to another (Granovetter, 1973; Kavanaugh, et al., 2005). Kavanaugh, et al. (2005) argues that weak ties are facilitated with the use of the internet as some members reach out to connect and communicate with others belonging to other social networks. Social network web Social Networking Web Sites sites can be fertile ground for establishing strong connections within social networks and weak connections between one or more social networks. Many social networking sites target those who want to make and maintain friendships, but some target more serious purposes. For 4 example, professionals in a given field use social networking sites to share problems with others that may have more experience and may be able to offer solutions or share knowledge. So what is an internet social network web site? According to Shirky, et al. (2006), a social network site must have all of the following attributes:   Participant pages contain profiles (name, information, photograph, interests, etc.). The capability to list and link to other participants considered part of the individual’s network so visitors can jump from list to list and network to network.  A facility for visitors to leave “semi persistent” messages visitors can read. Shirky, et al. (2006) distinguish between social network sites and other sites and services that can be used as “social network tools” including email, instant messaging, chat rooms, bulletin boards, and list servers. If you cannot view a list of participants’ declared friends or contacts and then link to those participants’ profiles and so on, then one of the key attributes of a social network web site is missing. The authors admit that their definition of social network web sites is somewhat controversial and that there are “gray areas” where it is hard to disqualify a site from the category. Among the sites that meet this definition are: MySpace, Facebook, Friendster, and Orkut (Shirky, et al. 2006) and according to Nielson//NetRatings (2006), MySpace, Blogger, Classmates Online, YouTube, and MSN Groups were among the top 10 social networking sites for April of 2006 in the U.S. Social Networking Web Sites Types of Businesses That Own Social Network Web Sites 5 Business organizations that hold the top five social networking web sites include Google, Inc., Microsoft Corporation, The News Corporation Limited, and United Online, Inc. Microsoft owns MSN Groups web site and “develops, manufactures, licenses, and supports software products” (Microsoft Corporation, 2007, p. 4). Google, Inc. owns both YouTube and Blogger which is a “provider of internet search engine services and targeted advertisement solutions” (Google, Inc., 2006, p. 4). Google acquired YouTube in October of 2006. United Online, Inc. owns Classmates Online and is a “provider of consumer Internet subscription services” (United Online, Inc., 2006, p. 4). The News Corporation Limited, a “global media company, active in all areas of media, including television, film and print media” acquired MySpace in 2005 (News Corporation Limited, The, 2006, p. 4). Social Groups in Need of Networking Websites Which social groups have a need for these social networking websites? Actually, it is easier to identify those groups that do not have a need - anyone without access to the Internet. In reality, some form of social networking website represents every public group. Almost everyone is aware of the interactive social websites such as MySpace. These are very popular with teenagers and young adults and receive most of the attention from the public due to the controversy that surrounds them. However, many other social websites exist to service other groups. For example, Black Planet is an online community specifically designed for AfricanAmericans. Care2 is a site that focuses on groups interested in the environment, health, and human rights. There are also sites such as Live World.com and Visible Path target business relationships, both internally and externally. Any social, political, ethnical, religious, or business group can find a use for social networking website. Social Networking Web Sites Success of Social Networking Sites Social networking websites are relatively new in their growth, and with all the 6 controversy, it is difficult to determine their success. Some individuals have expressed frustration and disappointment with the sites. As reported by Molly Wood (Cnet, 2005), “Therein, I think, lies one of the five problems I’ve identified with social networking…”(Wood, M. (2005). Five reasons social networking doesn’t work. Cnet). The first point in the article states there is nothing to do once you enter the site. If you are looking for an intellectual conversation, you are in the wrong place. The second point is that it is tedious and takes too much time to maintain one's personal information. A third complaint is that advertisers have an easier means to targets large groups using these websites. Her fourth comment describes that many of the individuals are not very dynamic and lose interest. The final point made was communication is quicker through other means of the Internet, such as Google and/or e-mail. However, one cannot argue their success is represented by the incredible number of members and revenue associated. To put this in perspective, in July 2005 News Corporation purchases Myspace.com for $580 million. Today, this site has over $23 billion in revenues. In addition, there are many other sites that provide great benefit to the business industry, such as the medical field. When utilized properly, these businesses have instant access to almost unlimited resources in their field. How Social Networking Sites Make Money Social network websites are multi-million dollar industries that generate hundreds of millions of dollars a year. Sites such as Facebook and MySpace generate their revenue through advertisements. For example, every time a user goes into Facebook and clicks on an ad banner, the company who owns the banner will give a certain amount of money to Facebook for compensation for that one user who clicked the ad banner. Facebook generates about one million Social Networking Web Sites dollars in revenue from advertising including banner ads and sponsored groups (Wikipedia, 2007). According to Kittinger, Facebook will charge up to fifteen dollars per 30,000 “fliers” or 30,000 page views with their personalized advertisements on the side. Given the right calculations, on average a Facebook member will view 23.6 pages on one day. Facebook also 7 had a good advantage over other networks because they are able to charge a different price for ad banners according to what kind of university page they are trying to advertise. Yahoo Groups and Match.com are other social networks that generate big amounts of revenue per year, but they differ from social networks such as MySpace and Facebook because they charge for some of their options, giving them names such as “Gold Membership” or “VIP Pass” for their websites. Another one of their main revenue-generating ideas is that of a search engine built in their website. MySpace’s power, search engines such as Google, Yahoo and MSN expect to compete fiercely for the rights to be the search engine of choice for MySpace (Business Week, 2005). Business Week also states that the executive editor of searchenginewatch.com gives his guess for how much the deal would cost, therefore assign on the already millions of dollars in revenue they already make, “will probably be worth hundreds of millions of dollars.” Known problems with Social Networking Social networking sites face several problems such as lack of privacy information, situational relevance, and cyber bullying. As it turns out, there are many concerns regarding social networking websites. Some problems pertain simply to the verbal attacks and unsubstantiated claims targeting innocent individuals. However, the greatest concern deals with the physical and financial security of each individual. Unfortunately, the Internet has opened new doors to predators, who find it easy to hide from their prey and attack from long distances. These Social Networking Web Sites attacks could be physical, such as abductions, or they could be financial, as accessing an individual's checking or savings account and unlawfully withdrawing funds. The lack of privacy information within social networking is one of the great concerns among users. This type of issue can become a terrible headache to any one because at any point, 8 any one can lose control of her or his posted information. Many users think their information can circulate widely and rapidly, and this information can be accessed by anyone without any control. Once, users publish their information on line, they have little control over it. Therefore, it can be downloaded and reposted wherever and however other people desire. As a matter of a fact, users that have little control over their personal information can end up sharing more than what they expect, which can lead to identity theft (Social Networking Privacy 2006). However, there are some ways to gain control on the information posted on these social networks. Many sites have restrictions on who can join a site. This is why users must belong to a specific group or community before they can be included in that network. Also, there are default privacy settings that specify the level of information that others can access. Another option is the Opt-in system which allows users to flag the specific disclosures they want to activate. Although it is very difficult to have 100% control over information, there are ways that can make it easier to mange. People should always keep in mind that whatever information is posted, it’s posted! Another problem that social networking sites have is cyber bullying. Drew Jackson provided a good definition: “Cyber bullying is negative or hurtful behavior using an electronic medium, repeated over time that involves an intention to hurt the victim and a power differential between the bully and the victim” (Cyberbullying Concerns on the Rise, 2006). This issue is especially common within young people. Cyber bullying can be expressed as a non-verbal and/or physical aggression. It can cause fear and a feeling of insecurity to its victims. Victims are Social Networking Web Sites usually less powerful than the aggressor; therefore, it does not usually stop at the first sign. It continually keeps happening because victims feel afraid of reporting it. Cyber bullying can be considered a crime when it defames or harms a victim. However, victims can report cyber bullying to www.cibertipline.com or they can report it to the ISP provider or current social network web site. Victims are also protected by laws that prohibit cyber bullying. Social networking web sites are an easy way to present cyber bullying due to the accessibility of information that people have from other users. However, reporting it is the only way to stop it. Situational relevance is less serious problem that social networking presents. This 9 problem is faced when users ask, what is next? Users can find nothing to do after they have been part of that social network for certain time. They can get tired, lazy, or simply lose interest in their social network (Wood, M., 2005). As a consequence, users start using the network less and less. This problem relies on people’s constant change of interest. As humans, users keep changing their interests from time to time. To solve this problem, sites should offer primary and secondary social networks, so when someone’s interest change, he or she can change its network. Consequently, it will answer users’ social and informational needs. The Future Potential for Social Networking In theory, the potential for social networking websites is unlimited; however, due to the lack of control over the users, it is hard to project its future. Unfortunately, the tremendous amount of negative publicity has hindered growth for these websites. According to Jerome Monahan (Guardian, 2007) “A year of bad press and security concerns means the educational potential of social networking sites remains largely untapped.” (Monahan, J. (2007). Missed opportunity. Guardian Unlimited). In support of this theory, he quoted Peter Fraser, head of media at Long Road Sixth Form College in Cambridge who stated, “We have to embrace the Social Networking Web Sites possibilities that social networking and sites such as YouTube offer. I think it is a real missed opportunity that some schools, colleges and local authorities ban such sites rather than look for 10 positives." Fraser has been successful at utilizing MySpace and YouTube to assist his students in the progress of their music video projects.” In response to those schools have banned these websites, Dr. Joanna Bryce at the University of Central Lancanashire states, “By banning such sites, there is a danger that schools miss an opportunity of educating young people about the importance of being responsible online." Many institutes, including Tulane University have established social networking websites to assist high school and transfer students. However, social networking websites are not limited to the socially interactive and educational institutes. The use of these websites is becoming popular in many businesses. Companies and individuals are able to share and discuss ideas, obtain new contacts and sources, and seek employees or employment. Companies such as Linkedin and BNI advertise their ability to manage these business communities. Even with this growth in the education and business sectors, it may be some time before we see the true benefit of social networking websites. Conclusion As a tool for communication and gathering information, individuals, companies and all levels of education should utilize social networking websites; however, the parents, employers, and school staff must properly educate their children, employees, and students as to the benefits and concerns pertaining to these sites. In addition, they must monitor the usage in order to protect all parties involved, just as a parent monitors minutes on their children’s cell phone. Social networking sites have become part of the culture and everyday life of our society. Through ad advertisements and added members, these sites stay strong and continue to provide entertainment and resources. Although social networking sites face many known problems, there Social Networking Web Sites 11 are means they have developed to help bring these to a minimum. Foreseeably, these sites are getting stronger by the day, and will be around for many years to come. These sites provide a mean for communication and a way of relating to people without the awkward face to face interaction. There is something for everyone no matter the culture or beliefs of the individual and this factor maintains the livelihood of the sites. Social Networking Web Sites References Copeland, M. (2007,February). The Missing Link. CNNMoney.com. Retrieved April 7, 2007, from: http://money.cnn.com/magazines/business2/business2_archive/ 2006/12/01/8394967/index.htm Cyberbullying concerns on the rise. (2006). American School Board Journal. Retrieved April 01, 2007, from http://www.slais.ubc.ca/courses/librsou/04-05-wt2/www/D_Jackson/ what.htm Facebook. (2007, April 19). In Wikipedia, The Free Encyclopedia. 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