On second thought, it’s nothing like del.icio.us except that it’s a way to organize and display bookmarked web pages. In my example, I’ve been organizing links to articles and resources I run across that have handy tips on a wide range of activities: office, business travel, memory, organization, research and studying (for students and learners of all ages). Kaboodle has several features that allow the user to customize the image and copy that accompany the bookmark. Again, they’ve come at bookmarking from a totally different direction than del.icio.us so it’s hard to directly compare the two.
Observation: An ad-free version would be more likely to generate what I think should be called Network Effect 2.0 — rough translation: a valuation of a Web 2.0 “thing” based on the number of people using it.
Second observation: The only people who think that “number of users” is a bogus metric on which to judge the value of a startup are those who have never been successful at attracting 300,000 recurring users (or 10,000, or 5,000).
Third observation: I think the number of users in the first six months of anything is a questionable metric (a new restaurant, for instance). However, the rate of new users during months 12-18 would be a better indication that something is more than a fad or gimmick.