Tim Draper, founding partner with the venture firm Draper, Fisher, Jurvetson, told an audience at the OnMedia conference in New York this week that the emergence of new media is "a typhoon" that will tear apart the revenue model of the traditional media industry and force companies to re-think their industry.
At the same time, the trend presents a huge opportunity for entrepreneurs and investors in online media.
During a presentation and a panel discussion, Draper, who previously backed fast-growing tech firms like Hotmail and Skype, suggested that investing in online media companies may require a different approach than the traditional VC model.
After the session, we caught up with Draper and asked him to expand on his thoughts.
Web properties of premium strategic niche distribution channels will dominate. A distribution channel or channel network is required before anyone can consider getting into the future of the internet game. Distribution is the new king on the block. Getting lost in the New media will be everyones greatest concern. Premium Location (domain channel) is the ultimate holygrail to all future internet endeavors. Worst case scenario dfj has another invitation contest at Vator and rewards the winners with another meeting. Hopefully, this never happens but if it does they expand and give coffee mugs and t-shirts to the invitees and entrants. :)