Gareth Knight discusses Web 2.0 on his blog and describes the “lack of the application of the newer technologies to real world business problems.” Most of the companies playing in the Web 2.0 space are trying to come out with the next social application, rather than innovate ways to apply the technology to real world business challenges. He speculates the reason being is that most of this technology is being thought up by techies as oppose to business managers and CEOs. Techies are motivated by coming up with something that isn’t already out there, while CEOs are motivated by ROI. He cites Basecamp by 37Signals as an example of where social application technology has been successfully applied to business needs. As I read Gareth’s post, I found myself agreeing with him. Don’t get me wrong, I think Web 2.0 is an absolute phenomenon and we’re just at the cusp of the impact and what it will ultimately mean to “use the Internet”. Having users own the net, rather than the site provider is a fundamental change that is equally scary and exciting. What I do agree with is that to make Web 2.0 ultimately meaningful and stickier to a wider audience, it needs to move beyond just simply satisfying our social thirst, but also our business needs. The innovations in web interfaces, networking, and user experience we find in social applications can have a dramatic and positive impact on how we go about doing business. You can read Gareth’s full post here.