I have always believed that there's a huge potential in social networking sites, although this potential is not that obvious looking at the shaky business models that services like Friendster and Orkut have used from their start. The New York Times is running an article that gives an example of the different value added services that can be build on top of social networking services. Although I really don't like the fact that companies like Overstock are creating their own social networking features instead of cooperating with existing ones. A little bit like Friendster is doing with Amazon.
"Friendster, too, has begun making money by having its members generate leads for Amazon.com. Lisa Kopp, a spokeswoman for Friendster, said the site earlier this year enabled users to access a person's list of favorite products and buy the items from Amazon."