Your Daily Dose Technology Injection

Geosign was once acclaimed they were so successful business internet model with near $100 million in sales for the record.12 weeks earlier, Geosign had joined the elite list of hottest Web companies in the world. After operating for seven years in near-anonymity, an hour’s drive from the prying eyes of Bay Street, Geosign landed the largest-ever venture-capital investment for a Canadian tech company: $160 million, for which U.S. investor American Capital Strategies Ltd. got a “significant” minority stake. Then the bomb drops when Google stirred.

How did a business making $100 million a year, a company so full of promise, disintegrate so quickly? GeoSigns dirty secret was that their success was tied to click arbitrage and nothing more.

Relying your business solely to one sources of incomes is a nightmare.And this happen to Geosign. I should say they were not working for their company, but they working for Google.And when Google change it’s model, that’s when it can hurt companies like Geosign.

I’m not shocked to hear what their ex-employee rant about their company media system.

“We were writing for strange sites like roundtables.info and sticks.info. And we were just writing a paragraph or two. It didn’t seem to matter what we wrote.”

And the was the arbitrage model that Geosign does. The important asset from this case is never solely rely only to one source of income for your business model. And don’t play dirty works too. Some of Malaysians also does this like F2R by Ringgithit and Diari Adsense and his ’self claimed’ guru, Syed Ikhwan.

“They had a golden goose - it just didn’t lay eggs forever”