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NY-based Kaltura has received a good bit of buzz since I first reported about their presentation at the NY Video Meetup last April. Since then they have gone on to win the people's choice at Techcrunch40 and have launched a useful Facebook application. I had a chance to grab a coffee with co-founder Ron Yekutiel and here are my notes: Ron describes Kaltura as "wiki meets YouTube". He believes there is a movement going on from text publishing to video publishing and that collaboration in the video space is where Kaltura leads the pack. Kaltura is seeking to empower other social networks by their use of the Kaltura application. Ron says that while Kaltura.com is a destination site, the real power is how other sites use the tool within their framework. What I get about Kaltura is that small contributions can equal big productions where everybody has a vested interest in the final product. Ron spoke about four reasons people collaborate on video: For social progression and to see interaction Text is dead (Allen's note: I sure hope not!) The number of contributors help to decrease the barriers to contribution The swarm effect of advertising - he sees this as the new model where instead of a 1-1 advertising or many-many, companies will use collaboration to reach their desired customer The Kaltura team has four co-founders, two are in New York and the other two are in Israel. The team totals 25 people and are in Israel. From what I gather, the leadership of Kaltura might be the most educated group I have come across. Lots of post-graduate degrees from Ivy League schools. We spoke about the Kaltura business model which is largely based on rev share. It's an interesting model because it puts the trust in the sites using the application to report the income back as they use their own advertising not Kaltura's ad platform. For sites that don't have their own advertising platform, Kaltura can provide one with strong advertising players involved. Ron left me with some juicy bits about the future for Kaltura but he asked me not to share them at this time. He said they are coming very soon and as soon as I can share with you, I will.

Microsoft invests $240M in Facebook, as Facebook develops ad product By Doug Sherrets 10.24.07 Updated Microsoft has snagged a deal to invest $240 million into popular social network Facebook, valuing the company at $15 billion — a 1.6 percent stake. Microsoft has also agreed to advertise on Facebook in international markets. We listened in on a well-staged official press conference call that the two companies did this afternoon — you can read most of the same information in the press release. Here are some highlights: Microsoft needs the international ad agreement because Facebook says nearly 60 percent of its 50 million active users are based outside of the US. Facebook also claims to be gaining 200,000 new users per day, worldwide.

Facebook’s emergence into a major Internet player has been compared to Google’s rocketship rise a few years ago.

Autonomy Buys Zantaz By Phineas LambertThe DealJuly 19, 2007 Enterprise infrastructure software maker Autonomy Corp. PLC on Tuesday, July 3, agreed to buy U.S.-based archiving company Zantaz Inc. for $375 million to exploit the growing electronic discovery market. Pleasanton, Calif.-based Zantaz provides content archiving, electronic discovery products and software to enable organizations to retain and retrieve unstructured digital information, while Autonomy sells the platform for accessing such information. Zantaz generated earnings before interest, taxes, depreciation and amortization of $5.2 million on revenue of $100 million for the year ended Dec. 31. In the 11 years since it was founded, its VC backers have included General Atlantic Partners LLC, Athena Technology Ventures, Red Rock Ventures, ComVentures, Pyramid Technology Ventures, Geneva Venture Partners and Novus Ventures. The purchase will be Autonomy's largest since it bought data retrieval software maker Verity Inc. for $507 million in cash at the end of 2005. "We have been greatly impressed by Zantaz's products and will be continuing to develop and support the whole range," said Autonomy CEO Michael Lynch in a statement. "Our combined solution will be unique in offering our existing 17,000 customers end-to-end information rich risk-management solutions." Cambridge, U.K.-based Autonomy said the acquisition will be partly funded through the placing of 12.7 million shares and a term loan. On completion, Autonomy said it expects to have about $75 million in cash on its balance sheet. Shares in Autonomy were up almost 9 percent, or 64.5 pence, to 792.5 pence in London, giving the company a market cap of £1.67 billion ($3.36 billion). The announcement coincided with news that Autonomy expects record second-quarter 2007 results, with pretax profit and revenue ahead of the top end of analysts' forecasts. Derek Brown, an analyst at London-based Seymour Pierce Ltd., noted that the market for electronic discovery has been fast-growing since the revised Federal Rules of Civil Procedure require businesses to make readily accessible all relevant information from unstructured data like e-mails. "The deal provides a unique offering in the market: a hosted service for archiving combined with the applications for customers to choose which route to go by," Brown said. "There's a good cross-selling opportunity here." Autonomy expects the acquisition to be earnings accretive in the first six months and generate costs synergies of about $25 million per annum. Tax loss carry-forwards will be assumed with a net present value of about $45 million, it added. Steve King, the target's CEO, will keep his position as chief executive of the Zantaz division of Autonomy. Deutsche Bank AG acted as financial adviser to Autonomy. The deal, subject to regulatory approvals, is expected to be completed by August. Zantaz has agreed to pay a $10 million breakup fee to Autonomy, should it terminate the agreement.

Three products in the social-software toolbox -- blogs, wikis and RSS -- have begun to gain traction inside companies. Blogs are probably the best known, thanks in part to their popularity on the Web and partly because of the handful of executives who use blogs to address customers and employees and to muse about industry trends. Lately, blogs are showing up inside companies -- including Procter & Gamble Co., Northwestern Mutual Life Insurance Co. and ad agency TBWA Worldwide, among others -- as a way for rank-and-file employees to discuss important industry trends, to bring project team members up to speed, or for employees to vent about changes within the company. Wikis aren't as familiar as blogs, but they may be even better suited for business use. They're versatile tools for doing almost any sort of collaboration, from project management to building vast repositories of knowledge. (That's what the best-known public wiki, Wikipedia, has done.) At Walt Disney Co.'s Pixar studio, for instance, wiki technology is being used to help coordinate new computerized animation tools for the studio's planned 2008 release of a film called "WALL-E." Finally, RSS (for Really Simple Syndication) knits together all the material created on blogs and in wikis and delivers it in easy-to-find fashion. RSS lets employees keep up to date on the latest blog post or change in the project-team wiki. It also can alert users to changes in business-critical information like an entry in a spreadsheet or even the computerized output from production equipment, such as error messages from semiconductor machinery. Other Web 2.0 te