Name calling over Federated fallout | Tech news blog – CNET News.com — I love to watch these sorts of pissing contests unfurl. It’s not as if CNet or anyone else for that matter doesn’t dance with advertisers. Still, this dance seemed a little fishy.

“You’re an idiot.”

That was the response waiting in my in-box this morning sent over the transom from Tech Crunch’s Michael Arrington, a class act all the way…

The kerfuffle began Friday after Valleywag reported the existence of a Web site built by Federated Media promoting Microsoft’s “People-Ready” ad campaign. The site featured quotations from several bloggers–a list that included Arrington, Om Malik, Fred Wilson, Paul Kedrosky, Matt Marshall, Richard MacManus, Mike Davidson and Federated founder John Battelle–about their respective people-ready awakenings.

I spoke with Microsoft to check the story out and left a couple of messages with Federated. I also sent both Arrington and Malik notes asking whether either Microsoft or Federated let them know ahead of time that their comments would be posted on a page below a banner displaying the “People Ready” question as well as the Microsoft advertisement. I also wanted to know whether this was done gratis or did money or inventory get swapped in return. By late afternoon, I posted my blog with the information I had at the time.

Battelle later left a talkback note taking issue with the story. At least he didn’t call me an idiot. Neither did Malik–or at least not yet. And give the guy credit: Malik wrote on his blog that he has asked Federated to suspend the campaign on his network’s sites.

Arrington was having no such second thoughts.

“The main thing I’m pissed off about right now is that they pulled all the ads, which mean we’re taking a revenue hit. We’re running a business here, and have payroll to make. We run ads to make that payroll. Those ads have now been pulled.”

I can sympathize. Business is tough and the guy’s obviously feeling a lot of pressure. But does the evolution of media necessarily mean we make room for these gray areas where marketers join the supposed “conversation?” Late Saturday, Battelle posted his latest thoughts on the blogstorm engulfing Federated Media.

Battelle’s is a measured explanation and defense. But it still leaves me unconvinced that this concept of “conversational marketing” isn’t just another slick way for corporate interests to plug their products–with the seeming endorsement of supposedly independent observers of the scene.


Charles Cooper, Whistle-blower

related links:
Stub of People Ready/Federated site
Lame Microsoft People Ready promotion on Microsoft.com
Interesting remarks by Dave Winer
Michael Arrington’s Peculiar Defensive Response



  1. Jeff says:

    As a member author of FM, I think the entire situation was blown completely out of proportion. The real question people want to ask is whether or not people can tell the difference between advertising and editorial, or if there is “advertorial” involved. People reading FM sites are smart enough to figure it out.

    Furthermore, this is not any different than the practices held by every magazine ever published, especially B2B and vertical market rags. The things is, it’s the FM authors who are taking away the power from old media. That said, I’ve still not seen anything that would cause me to question the integrity of the authors.

    The “pissing contest” started with the “whistle blower.” I don’t pretend to know what his beef is.

  2. undissembled says:

    I like pancakes.

  3. sdf says:

    I smell an extra-cranky edition of Cranky Geeks coming soon

  4. Michael says:

    I think we all love the extra-cranky editions!

  5. RTaylor says:

    They should have just appeared in ads as models; old JCD response. 😉

  6. BubbaRay says:

    Hmm. Interesting quote from Battelle:

    “I think the main criticism of the campaign comes down to this: Never do anything where there is a perception that integrity was purchased. The question is, how to ensure that perception?”
    http://tinyurl.com/yrj22n

    Om Malik’s response was also interesting:

    “So without making any excuses, to my readers, if participation in Microsoft’s advertising campaign has made you doubt my integrity even for a second, then I apologize.”
    http://gigaom.com/2007/06/22/on-the-microsoft-ad-campaign/

    I, too, suspect an interesting extra-cranky episode coming right up. Sounds like this is right up your alley, John. Is this just a tempest in a teapot?

  7. sdf says:

    I would hate to see Om Malik riled up. And by “hate”, I mean “make popcorn”.

  8. BubbaRay says:

    Prostitution is Legal: From Forbes. I guess this tactic has been around in print mags for awhile.

    “I realized the implications of my decision when the press tried to cook up a mini-scandal connecting my withdrawal from ASME to a “back to school” fashion issue where I’d mentioned several of our readers’ favorite retailers by name on the cover (implying this was an advertiser-driven move). …they suggested I was pimping the magazine out.”

    http://tinyurl.com/37paef

  9. Smartalix says:

    As an editor for a trade magazine, I feel the pressure as much as anyone. It is getting increasingly difficult to police the border between church and state and the industry is suffering for it. There are ways to operate a publication, on or offline, in a way that maintains editorial integrity and serves the readers best interest and yet provides an ROI for the advertiser.

  10. ChuckM says:

    Find it interesting that bloggers in business are being painted with the same brush by Cnet… Cnet sold out long ago. So did everyone else in the pub business.

    Bloggers are just getting to the point that they can sell out. And they’re getting flak for it. Funny world.

  11. noname says:

    The simple rule is, the more polished and wordy it is (lots of dream statements), the more likely it advertisement.

    The more dry, factual and balanced, more likely to be someones honest assessment or opinion. Advertisement likes glossy, likes polish and doesn’t like balance.

    You can tell who the sell outs are, they tend to be on the offensive, pointing fingers and angrily claiming everyone is doing it.

    It’s the old “But Mommy everyone is doing it” bit. Some people never grow up.

  12. BdgBill says:

    I just read an article in Wired that stated Michael Arrington is making 200 grand a month from Tech Crunch and also mentioned that he is running it himself out of his apartment.

    I doubt he has any serious payroll problems.

  13. OmarThe Alien says:

    And this is probably intensely interesting to the .00001% of the general population who keep up with such things. At least (yet!) there is no mention of a damned telephone.


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