Comments on: Why Bloomberg is interested in LinkedIn http://blogs.reuters.com/felix-salmon/2012/12/10/why-bloomberg-is-interested-in-linkedin/ A slice of lime in the soda Sun, 26 Oct 2014 19:05:02 +0000 hourly 1 http://wordpress.org/?v=4.2.5 By: Auros http://blogs.reuters.com/felix-salmon/2012/12/10/why-bloomberg-is-interested-in-linkedin/comment-page-1/#comment-45129 Tue, 11 Dec 2012 01:37:57 +0000 http://blogs.reuters.com/felix-salmon/?p=19759#comment-45129 I’d add to T.E.D.’s remark that on top of the speed and authority, simply having everything in one, or at most two places, is _incredibly_ important. I’ve done de-novo research where I was assembling data about some novel ESG feature, in order to test whether it might correlate with performance. Even when data sets are available (e.g. from academic researchers, or non-profits like the Carbon Disclosure Project, or the American Customer Satisfaction Index project at UMich/Ross, or the Great Place To Work Institute), and you don’t need to go out and interview companies yourself, it is a HUGE FREAKING PAIN to get all the data together, make sure it’s in common units, and get everything loaded into a single usable database (or Excel sheet, or whatever). Bringing together a useful amount of data in the absence of something like Bloomberg or TR is many hours, even weeks or months, of work. Even at the lowest echelons of financial industry salaries, that time is worth WAY more than the cost of a data terminal.

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By: KenG_CA http://blogs.reuters.com/felix-salmon/2012/12/10/why-bloomberg-is-interested-in-linkedin/comment-page-1/#comment-45119 Mon, 10 Dec 2012 19:40:35 +0000 http://blogs.reuters.com/felix-salmon/?p=19759#comment-45119 It seems Blodgett is still pumping internet stocks. I guess you can take the boy out of the bubble, but you can’t take the bubble out of the boy.

Bloomberg wants to become “the world’s most influential news organization”, and LinkedIn won’t help that happen. LinkedIn has a $12B market cap, and is trading at over 700x earnings, so he wouldn’t own LinkedIn, he would be selling Bloomberg to LinkedIn. That’s not gonna happen, as Bloomberg is far smarter than the guys who ran Time Warner when they bought AOL.

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By: zubin http://blogs.reuters.com/felix-salmon/2012/12/10/why-bloomberg-is-interested-in-linkedin/comment-page-1/#comment-45118 Mon, 10 Dec 2012 19:38:14 +0000 http://blogs.reuters.com/felix-salmon/?p=19759#comment-45118 LinkedIn is in the HR space more so than it’s in the social networking space. If anything, seems like Bloomberg’s news division could be more valuelable to LinkedIn’s Today product than LI’s social graph would be for Bloomberg. (But I reserve the right to be 100% wrong.)

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By: stonewafer http://blogs.reuters.com/felix-salmon/2012/12/10/why-bloomberg-is-interested-in-linkedin/comment-page-1/#comment-45117 Mon, 10 Dec 2012 19:12:44 +0000 http://blogs.reuters.com/felix-salmon/?p=19759#comment-45117 Sorry to pile on, Mr. Salmon, but the above 3 users are wholly correct: messaging is hardly the “killer app” on a BBG terminal. It is the voluminous and high quality data; it offers some of the best proprietary news services; and especially since rivals like Factset began to seriously challenge the service 5-6 years ago, Bloomberg has (belatedly) upped its game, entering a number of new niches with financial software and “apps” designed to lock in financial professionals. Among these I would count “PORT” (performance analysis), HBOX / AIM (order management), EMSX (execution management); I believe they are even rolling out a new PMS system (portfolio management system, i.e. core accounting software).

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By: EpicureanDeal http://blogs.reuters.com/felix-salmon/2012/12/10/why-bloomberg-is-interested-in-linkedin/comment-page-1/#comment-45116 Mon, 10 Dec 2012 19:05:41 +0000 http://blogs.reuters.com/felix-salmon/?p=19759#comment-45116 Felix — As Auros says, the real value of a Bloomberg terminal is the *authority* of the data accessible to it. This can be seen in part by the myriad additional data services, offered by Bloomberg and third parties, which are in excess of the minimum terminal rental fee. The fact that the data accessible there is vetted, reliable, and available at a moment’s notice is extremely valuable to its target audience. The messaging function is a nice-to-have, at best.

Besides, all available evidence points to the fact that the marginal price of messaging capability to anyone already possessing an internet-enabled device is exactly $0. Think Twitter, Facebook, etc., etc. I find it hard to believe that Bloomberg would find any strategic or economic value trying to take its messaging function mainstream.

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By: Auros http://blogs.reuters.com/felix-salmon/2012/12/10/why-bloomberg-is-interested-in-linkedin/comment-page-1/#comment-45114 Mon, 10 Dec 2012 18:12:48 +0000 http://blogs.reuters.com/felix-salmon/?p=19759#comment-45114 “there’s a limit to how many people are willing and able to spend $20,000 a year on an information terminal, especially given how much richness of information can be found on the internet for free.”

Speaking as somebody who gets paid to do stuff like building a universe of securities in a particular sector and running risk and ESG analyses to score them for inclusion and weighting in portfolios, the idea that a major data service like Bloomberg, or Thomson Reuters DataStream (which I would assume subsidizes the paychecks of folks in TR’s news division, just like Bloomberg’s terminals subsidize their news division), could be replaced with any of the junky, poorly-organized data that’s out there for free, seems kind of laughable. Yes, there are a limited number of people in the financial industry; but if you need real financial data, with tools capable of giving you mass downloads of statistics and time series on short notice, then free data is not anywhere remotely close to being an acceptable replacement for TR / Bloomberg type services.

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By: KidDynamite http://blogs.reuters.com/felix-salmon/2012/12/10/why-bloomberg-is-interested-in-linkedin/comment-page-1/#comment-45113 Mon, 10 Dec 2012 18:06:14 +0000 http://blogs.reuters.com/felix-salmon/?p=19759#comment-45113 “But for many years now the terminal’s killer app has been its messaging product, which alone is worth $20,000 a year to many if not most of Bloomberg’s subscribers.”

really? says who?

by the time I left The Street, we were all using AIM to send orders and communicate…

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