There was much conversation in the Valley this week stemming from the NYT article on the fall of Friendster. If you're interested in the topic, definitely check out Danah Boyd's excellent paper, Friendster lost Steam, is MySpace just a Fad?
In the paper, Danah, a Berkley PhD and Yahoo researcher, serves to answer the question "What went wrong with Friendster? Why is MySpace any different?" This is a great question and one which most coverage, in my opinion, too often ignored. Danah goes beyond the "slow servers" issue and gets to granular design and functionality differences which caused influential Freindster users to flock to MySpace. Probably my single favorite reading in the Social Networking space.