Ideas

I like the idea, but you're competing with Revver. They already do a great job of paid video sharing, and it would be easy for them to branch out into this field.

You also have to think that most people are happy with myspace and won't want to switch to make a few pennies. So you have to have something else that makes it cooler than myspace.

Most bloggers already get revenue sharing with google adsense. What is going to make them switch to your system?

How many users who aren't popular are going to keep using this when they find out they only get a couple of bucks a year? It's going to make them feel unpopular and they'll quit using the service.

If you can figure out how to address all these issues, you might have a shot.

Good points yacht boy.
First, I'm looking for more casual users, rather than more professional bloggers, so I think there's a chance we can create a niche here.
Likewise, not all MySpace users would switch, but a percentage might switch completely and another percentage might have both accounts.
I'd also like your imput on this: if the pay amounts are negligible and not a true motivation for members, perhaps the model could be modified to be run as a contest... in other words, the more people that hit your site, the more entries you have in the contest for a portion of the money that is generated by the entire site. Plus, the size of the prize would be tied to the traffic... higher traffic, higher prize.
Sort of an iwon meets myspace?

I had the same idea today. Really.
In my thoughts I was thinkning focus on the opposite end of what you suggest - the most technical users who want a full database driven web site. Let them have all the ad revenue options all set up and a system in place to optimize the revenue (which gets split).

You said: "if the pay amounts are negligible and not a true motivation for members, perhaps the model could be modified to be run as a contest... in other words, the more people that hit your site, the more entries you have in the contest for a portion of the money that is generated by the entire site. Plus, the size of the prize would be tied to the traffic... higher traffic, higher prize.
Sort of an iwon meets myspace?"

I say....maybe. I didn't like iWon, and I don't know anyone who did. It was too gimmicky. Does anyone still use it?

Still, I think there's a good kernel of an idea there somewhere, we just have to dig it out and figure out how to make it sparkle.

Agreed. I wasn't referring to iWon on an executional basis. More of a way to describe the hybrid vision of user-generated content mixed with prizes and rewards.
Thanks!