Morgan Stanley’s March Internet Trends Report: Social Applications Dominating

Morgan Stanley’s Internet Trends report from last month takes a big turn from previous reports - the focus is nearly 100% on social applications and how they are taking over the Internet (Yahoo apparently read it). Key takeaways:

• YouTube + Facebook page views > Google or Yahoo page views (and may be bigger than both combined)


• 6/10 top internet sites are social (youtube, live.com, facebook, hi5, wikipedia, orkut); none were on the list in 2005


• YouTube has 258 million users, 50% visit weekly or more


• >50% of Facebook users log in daily, 95% of Facebook users have used at least one third party application


• Skype revenue is $1.67/user/year, up 9% Y/Y


• 14 million photos uploaded daily on Facebook


• Google + Yahoo = 61% of U.S. Online Ad Revenue


• Google: $4.4b ad revenue in Q4, paid out $1.4 billion to partners


• Yahoo: $1.6 billion in ad revenue in Q4, paid out $429 million to partners