March 10, 2008|Alana Semuels | Times Staff Writer
SAN
FRANCISCO — The new headquarters of one of the world's most popular
websites is 3,000 square feet of rented space furnished with desks and
chairs bought on the cheap from EBay and Craigslist.
A sheet of
printer paper taped to the door says the office belongs to the Wikimedia
Foundation, the nonprofit that runs Wikipedia, the online almanac of
anything and everything that users want to chronicle, from Thomas
Aquinas to Zorba the Greek.
With about 300 million page views a day, the site by some estimates
could be worth many hundreds of millions of dollars if it sold
advertising space. It doesn't. Wikipedia's business plan is, basically,
to hold out a tin cup whenever it runs low on funds, which is very
often.
When it comes to money, "we are about as unsophisticated as
we could possibly be," Executive Director Sue Gardner said as she swept
up Styrofoam packing nuts in the office, the foundation's home since it
relocated in January from St. Petersburg, Fla. "It's time for us to
grow up a little bit."
Growing up can be hard to do.
Wikipedia,
the "encyclopedia anyone can edit," is stuck in a weird Internet time
warp, part grass-roots labor of love, part runaway success.
A
global democracy beloved by high school term paper writers and run
largely by volunteers, the site is controlled for now by people who seem
to view revenue with suspicion and worry that too much money -- maybe
even just a little money -- would defile and possibly ruin the biggest
encyclopedia in the history of the written word.
"Imagine if the
other top 10 websites in the world, like Yahoo or Google, tried to run
their budgets by asking for donations from 14-year olds," said Chad
Horohoe, a 19-year-old college student in Richmond, Va., who was until
recently a Wikipedia site administrator, one of the 1,500 or so people
authorized to delete pages or block users from making changes to
articles. "It isn't sustainable."
Looking at it one way, it's
cheap to run Wikipedia and the Wikimedia Foundation's other endeavors,
which include an online compendium of quotations and a multilingual
dictionary and thesaurus. The annual budget is $4.6 million, more than
half of it dedicated to 300 computer servers and other equipment. On the
other hand, the foundation has a tough time raising a few million
dollars. The last fundraising campaign featured a video of co-founder
Jimmy Wales literally wringing his hands in desperation.
The
45,000 or so individuals who contribute annually give an average of $33
each, so campaigns, which are conducted online, raise only about
one-third of what's needed.
For the rest, foundation directors have to hit up outside donors, such as Stephen J. Luczo of Seagate Technology and U2's Bono.
Recent
money-making proposals include a Wikipedia television game show, a
Wikipedia board game and Wikipedia T-shirts. Gardner said that a board
game might by OK but that a game show would be problematic, because game
shows are competitive and Wikipedia is collaborative.
How about
selling advertising space like most big-time websites do? Don't go there
unless you want to start a Wikipedian riot. Some members of the
foundation's board of trustees and most of the site's editors and
contributing writers zealously oppose advertising but they agreed to advertise on organisation's "not so-important sites" like its official blog- Helpwiki (helpwikiblog.blogspot.com)
After a staff member in 2002 raised the possibility in the Wikipedia
community, a facet of the Spanish-language branch quit and created the
forever ad-free Enciclopedia Libre Universal en Espanol. Its founders
said that advertising "implied the existence of a commercialization of
the selfless work of volunteers."
Ads would be "threatening to
Wikipedia's neutrality," said Michael Bimmler, a 16-year-old high school
student who has been a contributor for more than four years and is
president of the foundation's Swiss chapter. Readers would be suspicious
about articles if ads were near them, he said, and would wonder why
certain articles were longer than others. Besides, he added, ads are
ugly.
The debate over Wikipedia's future took a tabloid turn last
week when gossip sites started buzzing over allegations by former
Wikipedian Danny Wool, who recently launched Veripedia, which says it
authenticates Wikipedia articles. Wool posted on his blog claims that
co-founder Wales had, among other things, been imprudent with Wikipedia
funds, asking the foundation to pay for visits to massage parlors and
other non-Wikipedia-related activities.
As those allegedly scandalous tidbits zoomed around the Internet, the
website Antisocialmedia.net (which says it is in the business of
"exposing user-generated discontent") got the attention of the
blogosphere when it posted a rant about Wales supposedly having fiddled
with one Wikipedia article on behalf of a girlfriend before he broke up
with her and doctoring another in exchange for a $5,000 donation. Tech
industry gossip site Valleywag got involved by posting what appeared to
be instant message exchanges between Wales and the ex-girlfriend,
political commentator Rachel Mardsen, who put some of his clothes up for
sale on EBay.
Wales and Wikimedia said he had never misused
foundation funds, and Wales posted a statement online saying that he
cared deeply about Wikipedia's integrity and would never abuse it.
Gardner said in a statement that Wales "has consistently put the
foundation's interests ahead of his own."
In San Francisco, Gardner said that she wasn't planning wholesale
changes as executive director, and that her first task was to "fix the
basics and get the house in order."
Gardner, a petite woman with
black hair and a tattoo of a black widow spider on her wrist, joined
Wikipedia nine months ago after leaving Canadian Broadcasting Co., where
she oversaw the introduction of advertising on its website. She said
she didn't foresee a time when Wikipedia would go that route, though she
added that she should never say never.
So far, Gardner has hired a
staff lawyer, an accountant and a head of business development. She has
created a travel policy, reimbursement policy and code of conduct for
employees and instituted criminal background checks for potential hires
(Wikimedia got unwanted publicity after a technology site revealed in
December that the foundation's chief operating officer until July had
been convicted of theft, drunk driving and fleeing a car accident before
being hired.)
Now comes the hard part: money.
The
foundation makes some -- less than 2% of its budget -- from ways other
than flat out asking for it, Gardner said. For instance, it licenses the
Wikipedia logo to companies such as Nokia, which used it to advertise a
new phone, and it charges websites such as Answers.com for real-time
feeds with page updates.
"The most difficult issue for a nonprofit
is always how to raise money in ways which are consistent with the
mission," Gardner said, "and don't distract too much from the
mission-related work."
In the early days, funding wasn't a
problem. Wales helped launched Wikipedia in 2001 with money he made
through Bomis Inc., a Web portal known for directing users to pictures
of women and celebrities, clothed and unclothed. By February 2004, the
English-language Wikipedia had nearly 250,000 alphabetized articles.
Today the English version has more than 2 million articles.
Global
interest in the volume of information -- and the fact that it's free --
helped the site grow from the 100th most visited in 2005 to the ninth
most visited now, according to Web-traffic tracker Alexa.
Decisions,
financial and otherwise, are made by the Wikimedia Foundation board,
whose seven directors include Wales, a French plant geneticist, a
classical bassoonist studying law in Virginia and an Italian computer
programmer. Most board members are nominated and elected, via e-mail
debate and balloting, by Wikipedia editors and contributors.
As
Wikimedia adds features to its pages, such as videos, costs will rise.
"Without financial stability and strong planning, the foundation runs
the risk of needing to take drastic steps at some point in the next
couple years," said Nathan Awrich, a 26-year-old Wikipedia editor from
Vermont who supports advertising.
Outsiders find it hard to see how the site can avoid selling ad space.
"They
either have to charge people or run ads, or both," said Greg Sterling,
an analyst at Sterling Market Intelligence, which specializes in
consumer behavior online.
E-mail traffic among Wikipedia
contributors shed light on the depth of financing anxiety and the
details that cause angst. One worried about the tax implications of the
site accepting more than $200 from any individual. Another complained
about a proposal to give T-shirts to donors. Wrote one person: "All of
this fundraising talk is very nice and dandy, but it sounds like plans
for the local glee club, not an international foundation."
Foundation
Director Erik Moeller said the foundation had to be "very, very careful
with the kinds of deals we want to make" to sustain itself.
"We
don't want to endanger the mission by entering into deals that would
conflict with it," said Moeller, a German technology writer who was
elected to the foundation board in 2006 and named director last year.
Some
people have abandoned Wikipedia for Wikipedia-like companies and
organizations, including Citizendium and Veripedia, and speak of joining
Google's yet-to-be-launched "knol" project. Co-founder Wales started a
for-profit that operates a Google-like search engine and allows users to
write Wikipedia-like articles. Wales' site, called Wikia, runs ads.
Wales
said that the free culture movement, as it's called, has to think
creatively if it wants to keep spreading information to computers around
the world.
"There are some real problems with a nonprofit
structure," he said. "One of the basic problems is funding: We can get
enough money to survive but don't really have the funding to push
forward or innovate."