In 2000, a company in Mountain View, California launched a program for keyword-targeted advertising with 350 clients known as AdWords. That company, Google (Google reviews), is now the undisputed powerhouse of online search and advertising. Like many startups today, it was dogged by constant criticism about its ability to monetize its search engine. Google found success with Adwords and later AdSense; that success turned keyword advertising into a business model still popular today.
Now, the same type of criticism Google received is being shoveled upon startups in the social media space. How can any company make money with a social graph? Is advertising really the answer? But perhaps the more pertinent question is this: who will be the innovator that leads the way in monetizing social media? Google was a trendsetter that sparked an advertising revolution. Will there be another trendsetter like Google? Let’s look at some of the top candidates:
