Diversification key to success during recession for Internet startups

Many Internet startups are having to switch gears -- quickly -- to succeed in this economy. One example is San Francisco's Slide, a maker of some of the most popular apps found in the social-networking space, which over the past year has gone from selling standard online ads to selling branded-entertainment campaigns and building up its virtual-goods business. The benefits of this metamorphosis are still unclear, as is the competition these new companies will face from companies like Facebook and MySpace.

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