Facebook vs Google

Facebook and Google would seem like the perfect match. Facebook has the information and Google knows how to organize it. This is especially true with regard to selling targeted ads. The different type of information each has is complementary in that regard. Instead of teaming up, the two have become rivals. Fred Vogelstein explains via some excessive quoting by me. Once you finish reading the excerpted synopsis, head over the the source for the rest.

http://www.wired.com/techbiz/it/magazine/17-07/ff_facebookwall

"Today, the Google-Facebook rivalry isn't just going strong, it has evolved into a full-blown battle over the future of the Internet—its structure, design, and utility. For the last decade or so, the Web has been defined by Google's algorithms—rigorous and efficient equations that parse practically every byte of online activity to build a dispassionate atlas of the online world. Facebook CEO Mark Zuckerberg envisions a more personalized, humanized Web, where our network of friends, colleagues, peers, and family is our primary source of information, just as it is offline. In Zuckerberg's vision, users will query this "social graph" to find a doctor, the best camera, or someone to hire—rather than tapping the cold mathematics of a Google search. It is a complete rethinking of how we navigate the online world, one that places Facebook right at the center. In other words, right where Google is now.
...
To understand Facebook's challenge to Google, consider my friend and neighbor Wayne, a PhD in computer science from UC Berkeley and a veteran of many big-time programming jobs. I know a lot about him because we are friends. I know even more because we are Facebook friends. ... he has posted something about his life almost every day for the past two months—wondering whether his son's Little League game will get rained out, asking his friends what the impeller in his central heating unit does.

But if I type Wayne's name into Google, I learn very little. I am directed to an old personal Web site, with links that have almost all expired, and a collection of computer-science papers he has written over the years. That's about it.

Hardly any of Wayne's Facebook information turns up on a Google search, because all of it, along with similar details about the other 200 million Facebook users, exists on the social network's roughly 40,000 servers. ... anyone wanting to access that stuff must go through Facebook; the social network treats it all as proprietary data, largely shielding it from Google's crawlers. Except for the mostly cursory information that users choose to make public, what happens on Facebook's servers stays on Facebook's servers.
...
Want to see what some anonymous schmuck thought about the Battlestar Galactica finale? Check out Google. Want to see what your friends had to say? Try Facebook Search. And it will not only be for searching within Facebook. Because Facebook friends post links to outside sites, you will be able to use it as a gateway to the Web—making it a direct threat to Google. Why settle for articles about the Chrysler bankruptcy that the Google News algorithm recommends when you can read what your friends suggest?
...
The drumbeat of controversy surrounding Facebook illustrates the catch-22 the social network faces: It has a massive storehouse of user data, but every time it tries to capitalize on that information, its members freak out. This isn't an academic problem; the company's future depends on its ability to master the art of behavioral targeting—selling customized advertising based on user profiles. In theory, this should be an irresistible opportunity for marketers; Facebook's performance advertising program allows them to design and distribute an ad to as narrow an audience as they would like. (It has also developed a program to create ads that are designed to be spread virally.) But as the Beacon debacle showed, there is a fine line between "targeted and useful" and "creepy and stalkerish"—and so far, not enough advertisers have been willing to walk that line.
...
Facebook's naysayers have a point. But before they get too complacent, they might remember another upstart that figured out a new way to organize the Internet. For five years, it worked on building its user base and perfecting its product, resisting pleas from venture capitalists to figure out how to make money. It was only after it had made itself an essential part of everyone's online life that its business path became clear—and it quickly grew to become one of the world's most powerful and wealthy companies. The name of that company, of course, was Google."