Tuesday, May 26, 2009

Web start-ups look beyond ads for revenue - NYTimes.com

May 24, 2009

SAN FRANCISCO — For anyone with a crazy idea for a Web business, the way to make it pay was once obvious: get a lot of visitors and sell ads. Since 2004, venture investors have put $5.1 billion into 828 Web start-up companies, and most of them are supported by ads, according to the National Venture Capital Association.

Now advertisers have cut back their online spending. So Web start-ups are searching for new ways to make money, like selling real, or virtual, goods or asking customers to buy subscriptions...