SEC To Recognize Corporate Blogs as Public Disclosure. Can We Now Kill the Press Release?

Coming back to my belief that Social Media Releases should be hosted on blogs and not cross wires, with the new rules for Reg FD, an SMR by default, could now meet disclosure - assuming that the host site is recognized as meeting the disclosure standards.

Social Media Releases offer the ability to not only share relevant financial data, but also feature social content that reinforces that data and the overall company story.

We've discussed how information can reach the market, investors, peers, and customers through search as well through articles and blog posts and also via financial portals. Search engines are manipulated by SEO (search engine optimization). Social Media is powered by SMO (social media optimization) and the results are different in how, when, and where they appear. In most cases, SEO doesn't affect the outcome of content within social networks. But, dedicated tagging, key words, and crowdsourced participation drive the "discoverability" of content in the Social Web.

Social Media Releases not only feature social content to more visually and authentically tell stories and share information, they also provide the tools necessary for people to further socialize and interact with them.

For readers of an SMR, the options for interaction are virtually endless. They can respond through a "moderated" comment system, much in the same way they do today in online financial forums. They can grab pieces of the content, such as embeddable video, audio, documentation and images, to repurpose as blog posts and online stories, which can also send trackbacks to help pool collective coverage. Stakeholders can subscribe to RSS feeds for the entire news stream or just those related to financial/market information. Readers can send the story back out to the social web through bookmarking tools such as diigo or delicious, as well as crowdsourced news communities including Digg and Mixx. As the existing social tools evolve and new services are introduced, the potential for SMRs aka blog posts, are truly a blank canvas for PR, marketing, and the community to define how they're read and shared.

Executives and marketing professionals must now weigh whether the company Web site or blog are indeed a recognized channel of distribution and more importantly, whether these online properties meet public disclosure requirements under the new rules Regulation FD.

I believe this new guidance only expands the ability to share information using a variety of approved channels. It may or may not reduce costs associated with meeting disclosure, but it will in fact, improve the infrastructure for investor and public relations by socializing the process to more effectively communicate with investors and the people who care.

The reality is that businesses can only benefit by not limiting itself to one form of communication. People seek, discover, and share information differently, and combining strategic wire, Web, and blog channels will only amplify reach and visibility.

Thanks to Jennifer Leggio for getting this story started.

Follow the SEC on Twitter.

(Photo by Terence T.S. Tam).

Editor's note:Brian Solis is Principal ofFutureWorks, a PR and New Media agency in Silicon Valley and also blogs atPR 2.0. His last post for TechCrunch wasPR Secrets for Startups