Re: Microsoft To Close Free Chat for Paid Service

From: Pete Carr <editor_at_chatmag.com>
Date: Fri 26 Sep 2003 06:57:22 -0500

            I'm Pete Carr, owner of Chatmag.com, the leading chat
directory and safety site (google "chat safety", we're the second
result). For the most part, the comments made on other discussion boards
that MSN is closing their chat rooms due to financial concerns rather
than safety issues are right on target. It has been long known that chat
is not generally a medium to "make a sale". I believe that the decision
to close is the result of falling ad revenues in their chat section and
potential liability suits.

Operating a good safe kids chat network is a full time job, not
something to just put up and forget. MSN and several other major chat
networks have been lax in assisting users with help and safety issues.
Operating a help desk for chat means hiring trained personnel, taking a
proactive stance to addressing help requests, and educating users to the
potential hazards of chat.

Advertising can be done within the chat environment, provided it does
not interfere with the chat room itself, and targets the discussion
topics. Within our Directory, we target topics by choosing only
advertisers matching that particular topic, with good success in click
thru rates. Both our own chat network and several others display
complimentary advertising on Web based chat pages. MSN and Yahoo! chat
missed the opportunity to target users by topics.

There are numerous good, safe chat networks that cater to children and
teens. Talk City went to a subscription only chat service, which goes
against the principle of free chat, but helps eliminate trollers and
spammers. Talk City lost a lot of users going to a pay model, with
groups migrating to other chat services, including MSN and Yahoo!
Groups. In addition, several law enforcement agencies, such as Operation
Blue Ridge Thunder, regularly cruise chat rooms to search out
pedophiles, and child porn filesharers.

This decision by MSN will certainly not be the "death knell" for chat.
MSN mentions only their chat service, not MSN Groups, a more popular
type of chat service targeting users by discussion topics. There are
several dozen major IRC networks, hundreds of lesser IRC networks, and
the estimated chat rooms now available via IRC and The Web are over
1.3M, including discussion boards and interactive sites. Internet chat
goes to the heart of what the Internet was designed for, communications.
There will be new chat networks starting up, and the networks with a bad
business plan such as MSN closing.
--
Peter J. Carr
Editor
Chatmag.com
The Interactive Guide to Chat




Received on Fri Sep 26 2003 - 06:57:22 CDT