Facebook and MySpace War
MySpace and Facebook were both in the early stage of a movement called social media. MySpace was earlier to market and has large following, good financial backing, and very good valuation. However, people backing Facebook saw an opportunity and important differentiation.
Facebook and other social media sites help connect you to friends of friends. Facebook was first created in 2005, by Mark Zuckerberg. Initially, Zuckerberg and his friends possessed “Face Book” which contained pictures of everyone who lived in their dorm. Expanding on this concept, Zuckerberg created a website to serve as a virtual “FaceBook”. In Facebook, friends are easily made by simply requesting someone’s friendship; the receiver must accept the friendship invitation. This concept was so new because the only other site that helped with this kind of communication was MySpace. According to Forbes contributor, Adam Hartung, “MySpace was targeted at the same audience, had robust capability, and was to market long before Facebook. It generated enormous interest, received a lot of early press, created huge valuation when investors jumped in, and was undoubtedly not only an early internet success – but a seminal web site for the movement we now call social media.”
The reason why Facebook still managed to beat MySpace was because it allowed the people involved in this site control its progress, and realised that people would likely want to reveal their true identity on the site and be able to connect with family, and friends around the world, thus striving to maintain a global relationship and work within the principles of Triadic Closures. MySpace however, was unable to let the people involved to reveal their true identity because of which Triadic closures was not possible as we would never know the people who might have shared the interest but had no direct relation towards us and were perhaps separated by six degrees of separation.
Facebook works on the concept that when you introduce yourself and interact with a ‘mutual’ friend, you would already be able to ‘screen’ the person after locating all the person’s interest and ideals on the person’s profile. If the information presented on one’s profile shows incompatibility with the person reading it, the reader will not and should not reach out to the person.
Facebook is a good example of startup. It says "You don't need your own idea to startup", and "You can clearly attack a number one to be the number one".