For the second time this week, a push technology operation said it is pulling out of the business.
BullsEye Internet News, a one-year-old push technology venture, will close up shop on July 30, company president Bob Morse said today. Using push software, the company sent technology information to some 2,000 customers, primarily to media staff and analysts. Seven of its ten employees will be laid off; the rest will be transferred to a sister company. Those public relations-related businesses will remain open.
Earlier this week, Infoseek said it closed the Corporate Information Division, a push-type service that sent information from companies and news wires to users. The operation, launched this spring, targeted Internet and corporate intranet users, according to Infoseek founder and chairman Steven Kirsch. About 15 employees were affected.
In both cases, executives said that potential sales fell short of the costs involved. They are reminders of the risky side of push, a much-hyped technology nowadays. Morse also said the initial push software used by BullsEye was inadequate: It was too slow and didn't send what user's wanted. Later, the company shifted to BackWeb, and Morse said that technology worked fine; the venture just required too much more capital to be successful, he added.
Earlier this week, a report published by the Hurwitz Group questioned the real business value of push. It said most people do not require additional interruptions as email and the telephone are sufficient.
Push technology advocates defend the technology. They say it helps make workers more productive by helping them sort through the clutter of information that crosses their desks.