RawSugar, a social bookmark site, has let all of its employees go and has put its core assets up for sale, Haaretz reports. The Israeli startup, which is similar to del.icio.us, digg and other link sharing sites, ran out of resources. The startup was completely self-funded. The RawSugar site remains operational for now. However, according to Haaretz, the founders say it will close in a matter of months.
As history has shown us, the Web is a very transient place. Today's hot site sometimes becomes tomorrow's ghost town. It's hard to maintain leadership. Given today's news and history, it's not that far-fetched for Wired to declare that digg will become the new Friendster. Digg's challenge is to continue to innovate and keep its community in tact. They will have to face the Innovator's Dilemma.
(Special thanks to Rafael Sidi for the link. He's one of my new voices.)
Technorati Tags: digg, Raw Sugar, Transient Web
