AT&T Launching Location-Based Yelp Competitor Buzz.com
The site is currently in private alpha testing, drawing on the wealth of data the company has available thanks to its Yellow Pages location-based service, and pulling up search results in a way similar to Yelp. But Buzz.com doesn't just offer simple business listings; it will also connect with social networks to compile recommendations from friends as well as other user ratings. AT&T may be limiting Buzz's appeal and usefulness, however, by avoiding full-fledged reviews in favor of simply allowing people to tag favorites and add brief comments. There won't be room for negative reviews or complaints.
AT&T is hoping advertisers will also find value in the site, and hoping that they will offer discounts and other benefits as a way to attract business.
The company's Yellow Pages database, vast wireless network, and relationships with advertisers give it a good head start, but it remains to be seen whether or not it can pose a real challenge to existing, crowd-sourced services like Yelp. We'll know for sure in the next few months when it hits the public. [From: Forbes]