Plaxo hooks up with social networks

This week, Plaxo launched the beta of version 3.0 of its online contact management system. The company has been around for about six years and has integrated across widely used systems such as those from Microsoft Corp. (NASDAQ: MSFT), Google Inc. (NASDAQ: GOOG), and Yahoo! Inc. (NASDAQ: YHOO).

In all, there are about 15 million members. A nice amount. Why not leverage this footprint into a social networking play?

Well, that's the strategy at Plaxo now. That is, the new version allows its users to create their own networks as well as monitor the activities of colleagues. There are also tie-ins with web services from Flickr, Amazon.com Inc. (NASDAQ: AMZN), and others.

I recently interviewed Robb Hecht, who is an expert on social networks. He operates media consulting firm IMC Strategy Lab. According to him:

"With hundreds of online social networks available now, people are finding it difficult to be a member of everything. Instead, they are bound to turn to the new Plaxo 3.0. Formerly a 'has-been,' the new Plaxo looks like the new hot contacts aggregator -- a '"one-stop-shop" for a community of communities. It's looking like if you want to be at the center point of all the online social networks, then you have to be connected into Plaxo."

Tom Taulli is the author of various books, including the Complete M&A Handbook and the EDGAR-Online Guide to Decoding Financial Statements.