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Failed Pinoy Internet Businesses: What have we learned?

Pao|oPao|o PEx Influencer ⭐⭐⭐
For the past few months one US Internet startup to another have been dying off like fish in the Pasig River.

I'd like to know if there's been any Filipino run/owned Internet startup that had to be shutdown as welll. If you worked for/owned one what happened and what have been the lessons you've learned?

I really hope there would be someone here who can answer this... baka puro consumers lang dito at walang entrepreneur. :(

Comments

  • Moving this to the Business forum. :)
  • Well one foreign-backed internet access company is in trouble: PSINET. It might have trouble staying open too.

    http://news.cnet.com/news/0-1004-200-5176149.html?tag=st.cn.1.lthd
  • zimdudezimdude PEx Veteran ⭐⭐
    PSINet is no longer present in the Philippines. PSINet Philippines has been transferred to inter.net whose corporate entity here is Interdotnet Philippines, Inc.

    As for home-grown businesses, you could look at ITNetCentral's "gossip" section for some cases.
  • Linux Philippines
  • zimdudezimdude PEx Veteran ⭐⭐
    Linux Philippines... is an interesting story in itself...

    ... we do have a "dot com deathwatch" here in the Philippines... don't we?
  • aticusaticus PEx Influencer ⭐⭐⭐
    Many of these businesses fail because their original business model was flawed to begin with. That's why many "portals" geared towards capturing a significant share of the Philippine online market have closed shop, or are about to. There just isn't enough commerce among Filipinos online to justify spending between P10 to 15 million in only 18 months, as one of them has, only to generate revenues at not even 1% of that. Yup. That wasn't a typo.

    If your model is online advertising, your model will fail, most, if not all, of the time. If your model is predicated on things like business to consumer purchasing (B2C), it will fail at the same rate. At least here in the Philippines... :)

    I guess it's like the early days of car manufacturing. Eventually only a few dominant, quality players will remain, and perhaps then we'll see an upsurge in the market. By then, it would have become a bit more mature too.

    There are many other skills to making an IT business work, apart from the core IT itself. Business development, Finance, Market research and analysis, Strategic corporate planning, heck even basic things like filing your Income Tax returns, these things matter... :) I know of one company, for instance, that wasn't able to accomplish a deal they could easily have attained, had it not been for the fact that they hadn't filed their ITR for the last couple of years, and couldn't properly justify why to their potential business partners.

    You will find, then, that the reason many online businesses fail is not so much because of the first word but rather the second: "business." Not many of them take care of it properly.
  • yoloyolo PExer
    How about in 2016? Any success stories

    Has the 2001 observations stayed true or did the landscape changed more than a decade later?
  • Balak ko magnegosyo online meron ako nakita opportunity hingi lang ako 2nd opinion nyo here my link>>bit.ly/Coachalberto
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