Ok, back to the financial aspect. It seems to me this is the same problem we had in the late '90s. People falling for something that has a temporary rush of people being interested in it. Take 'Flash Mobs' for instance. Oh yes, they're all the rage now. But would you invest in a company that does 'Flash-mob planning services'? They plan and organize Flash Mobs. Wow...Flash Mobs are hot, lets invest in that company when they have their IPO!!
Sure writing blogs can be a creative outlet and even therapuetic, but who's got time to sit there and read some strangers diary? I mean--the fascination with reading someone else's diary might be there if it weren't supposed to be read, like the brother who goes into his sisters room and breaks open her locked diary. But blogs are meant to be read--so that 'sneaking' aspect is gone, and you wonder if what you're reading is the persons real thoughts and experiences, or just more posing and wannabe-ing.
So from a financial aspect, a blog-hosting site needs both writers to pay the monthly fee, and readers to justify ad revenue. And blog software, as stated above, isn't truly needed so I can't see those companies making it either.
--jsteph
--jsteph