One of the cofounders of Zynga, the company's executive vice president of sales and business development Andrew Trader, is no longer with the company, we've confirmed. He has been quietly removed from the company's management page. Remaining cofounders Mark Pincus, Michael Luxton, Eric Schiermeyer, Justin Waldron and Steve Schoettler, remain.

As of a month ago Trader's title had been downgraded to VP of Partnerships and Studio Services, although no top sales or business development replacement executive has yet been named.

Why is he gone? No one is saying. CEO Mark Pincus says only AT [Andrew Trader] and zynga have parted ways. He made an awesome contribution. We need to continue scaling the company. Trader hasn't yet returned a phone call asking for his comment.

Zynga's revenue growth has been nothing short of astronomical over the last 18 months, so it would be hard to blame him for not bringing in the dollars. Perhaps he took the fall for the Scamville saga although that has largely blown over now.

Trader was with Zynga nearly three years, so he's vested on a lot of his stock. Given how much money is at stake, the whole story about why the first cofounder of Zynga has left the building may never come out. Zynga raised $180 million in December 2009, at a rumored valuation of above $2 billion.

And no, I have no idea why he's holding a banana in the picture.

Twitter may be working on the imminent launch of its own advertising platform, but that hasn't stopped others from rushing to profit from the social network. A Twitter ad service called 140proof announced today that its ads will now be integrated into the iPhone and Android mobile apps from HootSuite, a Twitter tool that many businesses use to manage their social-media marketing campaigns. Unlike some other advertising options for Twitter, which have seen celebrities paid to endorse products in their posts, 140proof ads are messages posted to a user's stream by the company in service of a specific targeted ad campaign.

140proof, which is based in San Francisco and backed by a $2-million investment raised last summer from Blue Run Ventures and Founders Fund, said that its algorithm aims ads at users based on their profiles and other public data. Other Twitter advertising services include Ad.ly, which has gotten some press attention for paying celebrities such as Kim Kardashian thousands of dollars to endorse products to their followers, as well as Magpie, Assetize and IZEA.

The question all of these services will inevitably confront including Twitter itself, once it launches its own platform is how users will react to a wave of advertising in what was once an ad-free social network (in the case of 140proof, of course, you can simply not use HootSuite's mobile apps and you won't see them). Many of these services are only just ramping up in what will undoubtedly become a much bigger campaign to bring ads to the Twittersphere. So what will you do when ads start appearing in your Twitter stream?

Related content from GigaOm Pro (sub req'd):

How Human Users Are Holding Twitter Back

I don't want to be seen as some kind of apologist for China, given its horrendous human rights record. I think the President meeting with the Dalai Lama despite Chinese warnings sends the right message and is eminently responsible.

But that doesn't mean we can't learn something from how China is reacting to the recession with quick and massive stimulus that is succeeding in creating jobs and growth.

The world's largest human migration the annual crush of Chinese traveling home to celebrate the Lunar New Year, which is this Sunday is going a little faster this time thanks to a new high-speed rail line.

The Chinese bullet train, which has the world's fastest average speed, connects Guangzhou, the southern coastal manufacturing center, to Wuhan, deep in the interior. In a little more than three hours, it travels 664 miles, comparable to the distance from Boston to southern Virginia. That is less time than Amtrak's fastest train, the Acela, takes to go from Boston just to New York.

Even more impressive, the Guangzhou to Wuhan train is just one of 42 high-speed lines recently opened or set to open by 2012 in China. By comparison, the United States hopes to build its first high-speed rail line by 2014, an 84-mile route linking Tampa and Orlando, Fla.

China spent $88 billion dollars on high-speed rail investment in 2009 alone, a substantial increase from previous years. It rivals the construction of the interstate highway system in America in the 1950s for its audaciousness and use of public monies to spur jobs and growth. And it's working:

As China upgrades and expands its rail system, it creates the economies of large-scale production for another big export industry. The sheer volume of equipment that they will require, and the technology that will have to be developed, will simply catapult them into a leadership position, said Stephen Gardner, Amtrak's vice president for policy and development [...]

Officials drafted a plan to move much of the nation's passenger traffic onto high-speed routes by 2020, freeing existing tracks for more freight. Then the global financial crisis hit in late 2008. Faced with mass layoffs at export factories, China ordered that the new rail system be completed by 2012 instead of 2020, throwing more than $100 billion in stimulus at the projects.

Administrators mobilized armies of laborers 110,000 just for the 820-mile route from Beijing to Shanghai, which will cut travel time there to five hours, from 12, when it opens next year.

You can do this far more quickly in a command economy, of course. But it's the priority order that is striking. China needed economic stimulus, and rapidly accelerated public investment. The US (which actually has added more in stimulus than most countries in Europe) took a balanced approach based more on tax cuts. Aside from the question of what approach works better in terms of economic activity, look at the end result practically all of China will be served by high-speed rail within a matter of years.

It's not perfect. Some Chinese have complained about the fare costs. And again, a single decision-maker rather than a phalanx of competing interests makes decision-making that much easier. But there's something that can be learned here. If you want to create jobs, rather than the Rube Goldberg approach of tax breaks and nudges toward private investment, just go ahead and create the jobs. In the long run you'll have higher growth and a better quality of life for the nation.

Interesting piece in USA Today on declining credit card use:

Credit card usage is slowing. Revolving credit largely made up of credit card debt fell by nearly 20% in November, the largest drop on record, according to the Federal Reserve, reflecting less borrowing by consumers and banks' tighter lending standards. Through October, the number of new credit card accounts was down 46% from the same period in 2008, according to Equifax.

But abandoning credit cards is a much more radical step than using them less. Consumers who don't own a credit card often have a hard time renting a car. Some hotels won't book rooms to travelers who want to pay with a debit card or cash. Those that accept debit cards may place a hold on several hundred dollars in the customer's bank account, which could cause checks to bounce. And many consumer experts say that responsible use of credit cards is one of the most effective ways to build a good credit record.

It will be interesting to see what the long term implications of this will be, because I sense a lot of people now run with the baseline perception that banks and credit card companies exist only to screw their customers.

Dallas Lawrence is Chair of the Social and Digital Media Practice at Levick Strategic Communications, the nation's top crisis communications firm. He blogs on emerging digital media trends and best practices for social media engagement on Bulletproof Blog. Connect with him on Twitter @dallaslawrence.

Social networks have truly come of age in the last year. No longer viewed as lonely outposts for youthful college slackers, the reach of these platforms has grown exponentially. Today, more than two-thirds of the world's Internet users visit the social networking sites that reel in billions of eyeballs every 24 hours.

Yet, despite the staggering growth of social networking, determining how to monetize social media platforms remains a tough code to crack for even the savviest of companies. As such, identifying new revenue models will be instrumental in kicking off the next cycle of the social networking phenomenon in 2010.

If Anyone Can Do It, Facebook Can

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Facebook, social networking's acknowledged leader, has surpassed every platform on the market today, corralling more than 350 million unique users globally. If any social network is poised to design a winning formula for successful revenue streams in 2010, it's Facebook. CEO Mark Zuckerberg has set an aggressive agenda for the company, publically stating that he expects social networks to become as essential as web browsers and operating systems, and he has set the lofty yet entirely realistic goal of 1 billion users worldwide.

In the less than five years since it expanded beyond scholastic audiences, Facebook has not only grabbed the lion's share of users, it has engaged them like no other platform on the Internet. The average Facebook user visits the site at least once a day and spends an astounding 55 minutes engaging friends and family - statistics that another Zucker (Jeff) would probably kill for over at NBC.

While translating such popularity into dollars and cents isn't easy - especially in an industry whose users have grown accustomed to getting something for nothing - Facebook could potentially provide a monetization template that would revolutionize social networking as we know it.

The Next Level of Advertising Revenue

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Advertising has traditionally provided the simplest means of generating revenue. PricewaterhouseCoopers reported in October that Internet advertising revenues totaled $10.9 billion for the first half of 2009. It's been estimated that Facebook alone took in $435 million of that total. But for a site with nearly half a billion users, a quarter of which spend more time within the network than watching television, these numbers represent just the beginning potential.

First, Facebook needs to admit to itself that it is in the business of selling ads. By better managing its advertising network, intelligently expanding its marketing options, and developing workable social ads that leverage the branding power of friends and connections, Facebook can begin to capture its rightful share of online ad revenues. The final piece is to increase awareness and understanding of Facebook ads among corporate decision makers.

For example, every executive in America today understands the value of purchasing Google ads - and that didn't happen by accident. Google understood that what caused it to dominate online search wasn't going to ultimately position the company as a global corporate powerhouse valued at nearly $200 billion. Google's aggressive marketing, communications, and lobbying shops have worked to ensure every ad buyer, political campaign, marketing executive, and public relations flack knows the value of the service and has direct and easy access to account executives who explain the much worshiped ROI Google ads provide.

Today, Facebook stands on the precipice Google inhabited just before it became a top money-maker. By taking a page from the Google playbook, and aggressively marketing and explaining its power to influence buying decisions, Facebook ads could become as essential to 21st Century marketing as the yellow pages were in the 20th Century.

E-Commerce Stop Sending Customers Away

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The launch of Facebook as a true e-commerce site holds immense potential as a business solution and could forever change the way we shop. Online purchases through the first three quarters of 2009 totaled $98.3 billion according to the Department of Commerce. For the majority of companies selling products online who are also engaged on Facebook, opening Facebook fully to direct e-commerce transactions will dramatically change how businesses advertise and how consumers buy goods online.

Consumers and companies would flock to a Facebook storefront for one simple reason: We do everything else there. Imagine an integrated, one-click solution whereby your friends see your recent purchases (because you were incentivized by the brand to share your information) in their feed and are able to simply point, click, and purchase the same item.

With a few adjustments, companies can make timely offers of birthday gifts for friends, travel arrangements for event items, or the latest music from favorite artists - and make the sale without forcing the user to leave Facebook or put in new login information.

Rather than driving their 350 million users away from the platform to close the deal with retailers and purchase the item on an external platform, Facebook could benefit financially by charging companies a percentage of sales, a fixed rate to have a storefront, or from increased advertising opportunities.

Premium Subscription Options

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Finally, whether users like it or not, Facebook will do itself a long term disservice if it does not consider premium subscription options. Users (whether they are corporations or teenagers) are amenable to paying for even the simplest features and functionality, as evidenced by the success of Facebook gifts.

Nothing good in life is free. It's a stark, mature reality that Facebook (and its users) need to face in 2010. By leveraging economies of scale, Facebook can churn a sizable profit without alienating users. Would you pay one dollar a month to share higher-resolution photos or upload higher-quality or longer videos? Last month, 2.5 billion photos were uploaded to Facebook. Even if only a quarter of the site's active users opted for premium options, this one change would generate more than $1 billion in annual revenues.

Improving advertising, developing an e-commerce platform, and adding subscription services will not only generate the revenue necessary to make the transition from highly adopted to highly profitable, it will open revenue streams as Google did before for the next generation of digital developments.

More business resources from Mashable:

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- Social Media Marketing: How Pepsi Got It Right
- 5 Ways Small Businesses Can Avoid Social Media Panic
- HOW TO: Take Advantage of Social Media in Your E-mail Marketing
- HOW TO: Implement a Social Media Business Strategy
- 18 Online Productivity Tools for Your Business

Image courtesy of iStockphoto, peterspiro

Tags: advertising, business, e-commerce, facebook, MARKETING, monetization, monetizing, money, social media, social networks

Don't worry, friends! The hundreds of dollars you've spent on fart apps will not have gone to waste with the iPad: it can fart, too. Just smaller, and in the middle of the screen.

The iPad can run "virtually every one of these apps, unmodified, right out of the box." They can either run it very small, 1:1 pixel, in the center of the screen. Or they can "pixel double" it and run it full screen, in a low resolution mode.

For new apps, however, Apple is releasing a new SDK for apps with special interfaces for the iPad.

Don't worry, friends! The hundreds of dollars you've spent on fart apps will not have gone to waste with the iPad: it can fart, too. Just smaller, and in the middle of the screen.

The iPad can run "virtually every one of these apps, unmodified, right out of the box." They can either run it very small, 1:1 pixel, in the center of the screen. Or they can "pixel double" it and run it full screen, in a low resolution mode.

For new apps, however, Apple is releasing a new SDK for apps with special interfaces for the iPad.

Tomorrow we'll finally see Apple's tablet computer, whatever it is finally called. I'll write another column then attempting to explain where I think this thing is likely to succeed or fail for Apple. But right now I don't see much point in speculating about something we'll know for sure within 24 hours. It's much more useful, I think, to look instead at the Big Media companies Apple is targeting with this device, why they might be attracted and whether the iPad/iSlate/iWhatever is likely to deliver what they think they need.

It won't.

I was talking not long ago with editorial folks at an unnamed media company that rhymes with The New York Times. There was some possibility of my blogging over there. They were intrigued, but couldn't fit it into their grand plan, at least not right away. The problem was resources were already allocated and such an endeavor takes months to mount and costs tens of thousands of dollars.

No it doesn't, and that's the problem with Big Media.

When I was at PBS we did occasional redesigns and I never knew what they cost because for most of my 11 years there I was just a paid contributor. But toward the end of my tenure I became a producer which means I was finally exposed to budgets and was, to some extent, even responsible for paying some of them. And I was shocked to learn that my final design for a Moveable Type blog over there did, indeed, cost tens of thousands of dollars many tens of thousands of dollars.

PBS isn't a company that rhymes with The New York Times but it still qualifies as Big Media, so the pricing was more or less confirmed.

Now look at the screen you are reading right now, my Wordpress blog at cringely.com. It cost me NOTHING to design. I did it myself in a single night with the help of an experienced and generous friend, Benjamin Higginbotham of Spacevidcast.com. This blog is hosted by Media Temple in Los Angeles and costs me $50 per month, which is a lot compared to most blogs, but then I'm getting more than a million page-views per month. One more Christmas card or IBM column and I might bump up to $100 per month just to get some more resources, but I think I've made my point: a good Internet media product doesn't have to cost a lot of money. This is my living, remember, that's putting three kids through school. What are my gross margins 10,000 percent?

While those are my gross margins they aren't the gross margins at PBS or at a company that rhymes with The New York Times. Those outfits have overhead I don't. They have legacy relationships and obligations I can't even imagine. They can't just go from there to here in an instant even if they wanted to.

Which brings us back to the iSomething to be introduced tomorrow. No matter how great it is, it can't support the legacy infrastructure of Big Media, which includes mid-town office buildings and business lunches (hence my picture of New York's 21 Club, if you hadn't already figured that out).

Big Media wants revenue approaching what they could charge if a web site was a printed magazine. Remember the original lure of the Internet for publishers was the idea that there would be more profit without the expenses of printing and distribution. But it didn't work out that way because Internet users won't generally pay for content.

But Apple has the mojo. Steve Jobs has been firm from the start that content should be paid for and his generally is, except of course for my podcast on iTunes. Big Media likes the way Steve thinks. And so they can with one breath condemn him for killing the music album, yet in a second breath they can see him as the savior of magazines, newspapers, and good-but-thinly-watched TV series.

And Apple CAN be that savior, but only after a rationalization and severe downsizing of Big Media overhead, which I am not at all sure Big Media is really ready to do.

Based on the rumors I've heard so far I'm guessing the new Apple product will be like the Apple TV a hobby, a critical success but a business failure, though one with enough potential that Apple will give it a few years to succeed. It's in giving those few years where Apple really can save Big Media, which will undoubtedly by then be not so big.

By Senior Editor Kris Smith (@croncast)

The gadgets are flowing and they've got both publishers and subscribers in a tizzy over their options. Are they 3g? Can I put my content on it? Just wifi? What services do they deliver? Do I need to build an app? Am I locked in?

All great questions but not the one that is at the front of my mind. That question being where is the personal media hub for all of this content? Each type of media that we consume has a disparative quality of some sort that requires another gadget or format transcoder to allow usage which means, users need a hub.

I just want to know where that hub will be. I'm not sure if it belongs in the cloud or can even exist there due to limitations placed on that content by rights holders. Which is a legitimate reason not to use the cloud since publishers need to eat.

A couple reasons to use the cloud would be transfer speeds, remote accessibility and backups. With increased gadget connectivity it would make sense to do this. An example of a gadget that needs to be fed from an outside source like the cloud is the PSPgo. It relies on connectivity to fetch games, video and browse the web.

The games on PSPgo arrive from a Sony controlled hub behind a firewall. If the cloud is too limiting due to rights management the other other solution would be to offer a private hub. Another gadget, but one that resides in the dwelling of an individual. Using the Sony model for control and privacy a device like this could be the next evolution of an inclusive hub. It seems to me to be the missing link.

Media management across multiples platforms and for varying devices would require some version of a standard protocol. The protocol probably already exists and could be as simple as HTTP with SSL. The device itself a web server that connects to cars, phones, tablets, computers, televisions, etc.

A device like this could also create new opportunities for rights holders to create new models for selling content. I'm thinking in the range of micropayments for ongoing usage or payments for amount of time used. An example would be a movie that instead of a 24 hour limit would allow the consumer to view it 2 times on any device before being crippled or offered for purchase for an additional few dollars.

My personal interest would be to have a media hub that I had control over and could add content to from any device like the PSPgo, Kindle, iPhone or computer. The ability for these devices to speak a common language for file storage and retrieval would increase consumption and sales as all of a users purchases become portable, even if lockedin to a device.

There are plenty of media hubs that exist today for personal use that can be net connected, but this device would find its niche in storing and delivering content without limitation.

DISCLOSURE OF MATERIAL CONNECTION: http://cmp.ly/0

Where is the personal media hub for ebooks, music and videos? is a post from: TechStartups.com