Dana Blankenhorn writes:
There are actually two blog markets.
* There is the market for hosting generic blogs, a commodity market much like the old market for “personal Web pages” back in the 1990s.
* Then there is the blog software market, where the battle is over features and scalability.
Blogger mainly competes in the first market, hosting, and [Microsoft’s MSN] Spaces is a real threat there. But Movable Type competes in the second market, and Spaces is not yet a threat there.
Let’s look at this second market more closely.
What are the features we want for better blog functionality?
1. Simple support for disparate file types — videos, mobile photos, podcasts, etc.
2. Scaled discussion.
3. Management features, including security.
4. RSS functionality and publicity.
5. Total cost of ownership, which includes hosting, hardware, support, and updating.
6. Insert your own key driver here.
There are many, many players in this market. There are community packages like Slash and Scoop. There are open source projects like WordPress.