Slide to stop making Facebook apps

Slide VP Keith Rabois says the widgetmaker is done making widgets — at least for Facebook. Rabois told SIlicon Alley Insider that Slide wants to focus on improving its existing apps, like SuperPoke and Top Friends. The company also knows it needs to start figuring out how to make enough money to justify its $550 million valuation. Last week, Slide hired AOL's former director of national sales, Jason Bitensky, to head up a new New York office. Money aside, Slide's announcement may be little more than politicking.

Facebook's upcoming redesign eliminates much of the viral growth widgetmakers such as Slide enjoyed during the platform's first year and these developers aren't happy about the changes. Last month an executive at one of the widgetmakers told us this lost enthusiasm for the Facebook platform seriously damaged the company's value.

FB's valuation is driven by the perception it can serve as a platform (or launching pad) for derivative businesses. Without that perception, FB is a $3-5 B company. Period.