It’s another packed week for tech, especially in Silicon Valley, where the kibitzing never ends and the econalypse is almost completely ignored.

First up this week is an event today at which BoomTown will appear called “The Free! Summit: Inside the Digital Economy” in San Mateo.

Given all the recent debate about free versus paid, as traditional media companies take aim at the issue, it should be interesting.

I will be on an afternoon panel called “Business Models That Work,” which is about the the future of news and what’s next for journalism in the digital economy.

The other panelists are: Dan Gillmor, Director, Knight Center for Digital Media Entrepreneurship, Arizona State University; Alan Mutter, Adjunct Faculty Member, Graduate School of Journalism at UC Berkeley and founder, “Reflections of a Newsosaur”; and Marshall Van Alstyne, Associate Professor of Information Economics, Boston University and Visiting Professor, MIT.

Later in the day, the event will morph into the third “Tech Policy Summit,” where I get to do a one-on-one interview with Facebook’s Chief Privacy Officer, Chris Kelly, who is still at the social-networking site but is also now running for the job of California’s Attorney General.

(My All Things Digital partner Walt Mossberg will appear on Tuesday, along with a solid slate of speakers.)

On Thursday, ContentNext Media is holding its third EconSm conference, this time focusing on mobile, in an all-day event in San Francisco.

Speakers include: Zander Lurie, CFO, CBS (CBS) Interactive; angel investor Ron Conway (see my recent video interview with him here); Eric Johnson, president and COO, Wolfgang’s Vault; Joe Kennedy, CEO and president, Pandora; and Kevin Thau, director of mobile business development at Twitter.

Wrote paidContent’s Staci Kramer: “Much has changed as we get ready for our third EconSM–including the name. The acronym is still the same but this year it’s about the intersection of social and mobile. Social media has passed the gimmick stage–although not everyone has figured that out–and is part of the daily fabric for an increasing number of people.”

And, if you have even more time, the Aspen Institute has just published J.D. Lasica’s 110-page e-book, “Identity in the Age of Cloud Computing: The Next-Generation Internet’s Impact on Business, Governance and Social Interaction.”

Lasica told me that he wrote the report after a roundtable of 30 experts in identity and technology (people like John Seely Brown and Esther Dyson) was convened in Aspen to discuss the ramifications of the cloud on a societal level.

He talked the Aspen Institute into releasing the e-book under a Creative Commons license, the first time it has ever done that.

And lest you think this is too focused on just Silicon Valley, I missed attending the Seattle 2.0 Awards last week, but here are the winners:

Best Start-up: Picnik
Best Boot-strapped Start-up: Picnik
Best Start-up CEO: Jonathan Sposato (Picnik)
Best Start-up Technologist: Nat Brown (iLike)
Best Venture Capitalist: Matt McIlwain (Madrona Venture Group)
Best Angel Investor: Geoff Entress
Best Start-up Product Designer: Peter Roman (Picnik)
Best Service Provider to Start-ups: Shannon Swift (Swift HR Solutions)
Best Blog from/about Start-ups: TechFlash/John Cook
Best Social Event for Start-ups: Lunch 2.0 by Josh Maher

Former Facebook exec Owen Van Natta will take the CEO job at a music discovery site called Playlist, a move that had been speculated last week, after he did not end up taking another position as head of MySpace Music.

Van Natta’s arrival at Playlist was not the only news for the Palo Alto, Calif.-based start-up–former AOL exec Bob Pittman’s Pilot Investment Group is also investing an undisclosed amount of money in Playlist. Pittman will also join its board.

Playlist has previously raised several million dollars, said sources, but the new funding is many times that, to total about $18 to $20 million.

The move to Playlist is an interesting one for Van Natta, who has looked at a number of jobs since leaving the high-profile social-networking site earlier this year.

He has talked to a wide range of companies, sources said, including Microsoft (MSFT) and a range of start-ups, as well as with MySpace, which is owned by News Corp. (NWS). (News Corp. also owns this site).

Those talks between Van Natta and MySpace to run its new music initiative did not pan out for a variety of reasons.

But he has long expressed a desire to become a CEO of a company, rather than just head to another executive job within a larger company, so the move to run a start-up is not a surprise.

In an interview this afternoon, Van Natta told me he got very intrigued by the possibilities at Project Playlist, which was the first iteration of the start-up and in which he is an investor, due to its viral growth.

And, indeed, Playlist has grown quickly to become one of the larger music communities on the Web, claiming that more than 38 million music fans monthly, sharing playlists via its Web site and also widely distributed embeddable widgets. The site has tens of millions of daily page views, according to surveys.

To get to those big-scale numbers, Playlist essentially has offered users a giant linking service for music, not unlike Google (GOOG) with all information, pointing users to promotional, free and sometimes illegal music and music video tracks all over the Web.

Those links to illegal music have resulted in a lawsuit aimed at Playlist from the music industry, sources said, a sadly typical experience of many online music services.

The usual tactic for the music giants: Sue first and shake down later.

Under Van Natta, I would guess, Playlist is likely to reach out to music companies and strike deals.

The company also needs to settle on its main business plan, which appears to me to have been less important than its explosive growth.

Playlist currently does have some small amount of advertising on the site, and seems to be making most of its scratch from sending leads to ringtone sellers.

Van Natta did not want to reveal specific strategies for Playlist going forward, only noting the opportunity is large.

“Discovery around music is exploding on the Internet,” said Van Natta. “And the company that does the best job of taking advantage of that is really going to be huge.”

That said, there have been a lot of music-aimed efforts like Playlist in the music space, with a lot of different business plans and varying degrees of success, ranging from the Apple (AAPL) behemoth iTunes site, which sells single songs, to the CBS (CBS) music service, Last.fm, which relies more on advertising revenues.

Other contenders in the space include the Rhapsody subscription service from RealNetworks (RNWK), music discovery service iLike and many others. MySpace has also waded deeply into the music space, and Facebook is also reportedly weighing its own service.

Van Natta was one of Facebook’s earliest and most prominent execs, serving in jobs like COO and also Chief Revenue Officer while there.

He came to Facebook in the fall of 2005, after a stint as VP of Worldwide Business and Corporate Development at Amazon, and was part of the founding team of A9, the Amazon search company.

“I am excited to be building a company again,” said Van Natta, who has taken many months off since he left Facebook in February.

On my recent trip to Seattle, I visited the offices of iLike in the Capitol Hill section of that lovely Pacific Northwest city to take a video gander at one of the more interesting start ups to emerge from the social-networking arena.

The music discovery site, unlike a lot of others in its sector, has been plugging away for several years with much less funding–about $16 million from the founding Partovi twin brothers, former AOL (TWX) wunderkind Bob Pittman and a big slug from Ticketmaster (IAC)–but with a lot more impact.

Like its competitors, such as Last.fm, it has forged its popularity by focusing on linking its users with one other and musical artists via what they like to listen to.

Kind of like that old shampoo cliché: She told two friends and she told two friends and so on and so on and so on.

It’s actually quite an infectious app and also Web site, with 30 million registered users, and it’s one of the few that is useful on social-networking sites like Facebook, hi5, Orkut and Bebo.

So useful, in fact, that Facebook has selected the service as one of only two “preferred” partners, a designation Facebook announced today at its second developers conference in San Francisco.

iLike was the brainchild of Ali and Hadi Partovi, longtime Web entrepreneurs who have also worked at big companies like Microsoft (MSFT), and whose interest in music and online delivery was the inspiration for the site.

To make money, iLike has a number of businesses.

First and foremost it is essentially a lead-generator for sites like Amazon (AMZN), iTunes, Ticketmaster, and more recently, the Rhapsody subscription music service, with which it just added a somewhat restricted full-song playback offering.

And iLike has just launched an ad platform for concert promoters.

The brand itself, although focused on music right now, obviously has extension possibilities (iLike movies? iLike TV? iLike tacky theme parks?).

Most observers of iLike assume it will sell to a larger entity eventually, such as Ticketmaster, for whom the site has become a major referrer.

But the Partovis–who have sold start ups before–insist they want to build the iLike brand.

Here’s a video interview with Hadi Partovi in which we talk about all this and more, along with a tour of iLike’s offices:

Tomorrow, when it rolls out its new platform, one of the more interesting pieces of news from Facebook will be its initiative to dub certain of its third-party app developers more special than others.

According to sources, the social-networking site has selected just two, in fact, iLike and Causes, to receive “preferred” status.

Several sources said that this initiative has to do with developing in a way more in line with the goals of Facebook Founder and CEO Mark Zuckerberg.

Some issues Facebook has had since unleashing third-party applications on its platform last year have been related to the widgets producing too much spam, not having adequate privacy protection and simply being too buggy.

Included in the criteria for inclusion as a preferred partner is being “meaningful” and also not having been in violation of a wide range of Facebook policies in the past. Individual apps can be approved, even though others made by the same developer might not be.

Causes and iLike are the inaugural partners in the program, with others to follow.

Perhaps more interesting about this move is why two of Facebook’s major developers, Slide and RockYou, are not part of the preferred program.

The pair that have been are among Facebook’s most popular.

iLike is a hugely popular music discovery and sharing service (I will be posting a video of my visit to its Seattle offices tomorrow) and Causes is an app that allows users to share information about various charities and social initiatives.

Facebook declined to comment on the initiative.

But it surely will tomorrow. Facebook is in the midst of a major redesign of its service and will be mounting its second developers’ conference tomorrow in San Francisco.

Over the last two days, BoomTown has been enjoying the perfect Pacific Northwest summer weather, visiting several Seattle-based Internet companies and also Microsoft HQ in nearby Redmond.

Seattle is still essentially Silicon Valley North, except a lot more laid back and with much less of an egregiously opportunistic, what’s-the-next- hot-start-up tone one feels any day of the week in Palo Alto.

I used to come to Washington state a lot about a decade ago, while covering Microsoft’s MSN, RealNetworks (RNWK) and Amazon (AMZN)–which continue to be the major trio of digital bigwigs here–as the Internet beat reporter at The Wall Street Journal.

I plan on coming back a lot more over the next year, focusing more closely on Microsoft’s (MSFT) still uncertain Web efforts and also on a wide range of other companies here.

So far, it seems to be off to a good start.

While here I had a blabby dinner with RealNetworks’ Rob Glaser, where we talked about online games and music and Sen. Barack Obama (Glaser is a big supporter).

I also went to see Delve Networks (or, as I like to call it–Not-Brightcove), social networking facilitator WetPaint and the music social networking service iLike (which I really like).

Also on the agenda was a day-long visit to Microsoft, to get updated on some thankfully non-Yahoo products and services and what the company’s research and Live Labs units are working on.

Of course, there was Yahoo talk too, but–even up here–it’s hard to avoid.

All this and more will be part of postings and videos next week in this column on what the geeks in this coffee-inundated city are up to.

Why? Apparently because inane is the goal! Well then, I guess: Mission accomplished!

At an appearance at the Web 2.0 Summit yesterday, a group on a panel called “Facebook as a Platform,” led by Dave McClure, talked about a lot of stuff.

But it seemed to get lively when the discussion turned to my comparison of the boom in third party apps on Facebook to the arrival in my home of a box of shiny plastic toys from China.

I was at home with my own actual 2-year-old playing a rousing game of hit-mama-with-the-foam-finger- and-crack-up-hysterically, when the group–which included Seth Goldstein of SocialMedia, Ali Partovi of iLike, Keith Rabois of Slide and Lance Tokuda of RockYou–declared me humorless.

All because I did not realize that these apps were meant to be silly and more fun than a barrel of monkeys.

Actually, I did know that and, by the way, monkeys are much more fun.

Here was my initial argument:

But, so far, as popular as those apps have become, what [Facebook founder Mark] Zuckerberg and the widget-makers have wrought is mostly silly, useless and time-wasting and the kazillion users of these widgets are pretty much just acting like little children.

“I never thought I would call the often frivolous AOL back in the day–very simply, a Neanderthal version of Facebook–a mature offering in comparison.

“While I will admit when I am not chewing nails that a lot of these apps are somewhat fun, I can’t help but ask myself that lyric from the old Peggy Lee classic: ‘Is that all there is?’

“And if that is all there is, can Facebook really build a viable and long-lasting business on what is essentially a bunch of games that will ultimately become wearying for users? Doesn’t it need more robust apps that actually are useful and relevant and make Facebook the service that Zuckerberg has often told me was a ‘utility’?

“While Facebook–with a cleaner and more strict look and a better navigation–is surely less goofy than rival MySpace for anyone over 12 years old, and its video, photo and email features are nice, the vast majority of its apps are still mostly as dumb as a box of hammers.”

“Kara’s argument is ridiculous,” said Slide’s Rabois, according to a report on Wired.com.

“Why do people watch movies and TV? Because they’re bored or looking for something to do to relieve stress in their lives. Apps are providing entertainment to users.”

Really, Keith? I had no idea, despite the fact that “Gilligan’s Island” was my favorite show for way too many years!

Seriously, I know what he is saying and I agree on the need for some fun on this tragic little spinning globe of ours, except:

1. I would be fine with silly widgets, if there were more serious ones too, well beyond Vampires and SuperPokes and even an app called Pop Ur Zit. All of these have the longevity of a gnat, designed to be faddish and quickly forgotten. And, if you are going to be fun, one might try a little harder to come up with some offerings that are a little less disposable.

In fact, on a recent visit I made to RockYou HQ (post coming Monday), its savvy tech lead noted that there was surely a limit to how much crap people wanted to throw at each other.

2. Entertainment, especially the idiotic kind, will not get you to massive sustained usage that characterizes a true paradigm shift that McClure claimed was happening.

For example, was it all the games that made the personal computer become a ubiquitous device? No, it was serious programs like VisiCalc and Lotus 1-2-3.

So where are those kind of apps for systems like Facebook, I wonder, as I noted in another post about what to do with a group of 2,500 techies I have gathered on the social-networking site. So far, we have a whole lot of nothing to offer them.

3. Another argument made on the panel was that the blogosphere used to be disdained as goofy only a few years ago and now it is a true media power.

Well, it was never disdained by me and, actually, there were a lot of substantive and important blogs even back then to balance out the fluffier ones. In fact, there were more.

4. As RockYou’s Tokuda said, referring to me: “I believe for her the apps are useless because she’s not a teenage girl.”

This is not a news flash, although I probably am one of the older diehard fans of “Hannah Montana.”

But it is not necessarily true that advertisers will flock to these widgets, just because the kids love it.

Because as much as advertisers want to reach a younger demographic, they also do not want to do it in an environment of frivolous engagement and I doubt there is much appeal to them when people are busy slapping each other digitally or cartoonifying their friends. In addition, advertisers want to reach people who will buy things and few are in that mindset when they are anonymously telling someone else the “honest” truth or being a Human Pet.

I could go on, but will stop there, so the Lollipop Guild can respond in crayon.

But here’s one offer I will take RockYou’s Tokuda up on: A promise he made onstage to build something just for me.

Just some guidance, Lance: No poking, slapping, tickling or zit-picking.

Call me old-fashioned, because I know you will anyway.

Right now on Facebook, I have been trying to decide what to do near on two weeks or more, after receiving a “Hot Potato” tossed to me by my old boss, Washington Post Co. CEO and Chairman Don Graham (oh, yes–his family also owns a key hunk of the legendary paper, too).

For those who don’t know what a digital Hot Potato is: It is a widget (also called a third-party app) created by a very nice-looking group of guys at a design outfit called Hungry Machine for the Facebook platform.

“You have to pass it on and watch it travel around the world. 27,012 other people did!”

With all due respect to Don Graham (who is a mentor of Facebook founder Mark Zuckerberg, by the way), Hungry Machine and all world-trotting spuds, I don’t think so.

I get it, I get it. Millions upon millions of people are downloading and using these apps, part of a very clever ecosystem Zuckerberg unleashed in late May.

Under the scheme, widget-makers got to go wild on Facebook and Facebook got to offload a chunk of its feature development onto others. (See my movie below of the f8 launch, including a somewhat awkward Zuckerberg on the stage.)

At that event, a 750-person jeans-and-T-shirt-clad army of Web developers gathered at the San Francisco Design Center’s Concourse and began to create even more apps in earnest with an all-night hackathon.

“Until now, social networks have been closed platforms,” said Zuckerberg at the event, calling on outside developers to integrate their applications into the service. “Today, we’re going to end that.”

But, so far, as popular as those apps have become, what Zuckerberg and the widget-makers have wrought is mostly silly, useless and time-wasting and the kazillion users of these widgets are pretty much just acting like little children.

I never thought I would call the often frivolous AOL back in the day–very simply, a Neanderthal version of Facebook–a mature offering in comparison.

While I will admit when I am not chewing nails that a lot of these apps are somewhat fun, I can’t help but ask myself that lyric from the old Peggy Lee classic: “Is that all there is?”

And if that is all there is, can Facebook really build a viable and long-lasting business on what is essentially a bunch of games that will ultimately become wearying for users? Doesn’t it need more robust apps that actually are useful and relevant and make Facebook the service that Zuckerberg has often told me was a “utility”?

While Facebook–with a cleaner and more strict look and a better navigation–is surely less goofy than rival MySpace for anyone over 12 years old, and its video, photo and email features are nice, the vast majority of its apps are still mostly as dumb as a box of hammers.

Maybe they will attract scads of ads and maybe not, but first consider the top apps on Facebook right now.

Slide’s No. 1 Top Friends, which has 2.94 million daily active users, lets you “add a box of up to 32 of your BFFs to your profile.”

Wheeeee! Paris Hilton forever!

Not to pick on them particularly, as I think they are great developers (see my post on Slide here), but Slide’s FunWall (2.2 million) lets you add lots of bells and whistles to what is essentially graffiti-writing.

And its SuperPoke (1.16 million) is just plain rude when it notes, “Why just poke when you can pinch, hug, tickle, pwn [sic] or even throw sheep?”

Sheep? SuperPoking? I’d be getting queasy if I were a Procter & Gamble media buyer right about now!

iLike (694,000), with its music recommendations and sharing, is all well and good, but also light.

And X Me from Rock You (673,000)? “Tired of just poking? X Me opens up a whole new world of action-based communication, for example, ‘Hug Her, Slap Him, Tickle Them!’”

Oh no, you didn’t.

What else? Vampires. Werewolves. Naughty Gifts. An Honesty Box where you can say gross things in messages anonymously.

And my rececent favorite, which grew 4,107% the other day, called Pop Ur Zit!

To give you the entire feel for it, I am printing their whole reason for being below (plus this lovely cartoon above):

Another usual day…. With half-closed eyes, you are headed to the bathroom…OH MY GOD!!! It’s the Zits!!!

“Pop your zits at your friends and gross them out!! But you can also rescue (soothe) them with your favorite products. It will cool them down, relieving their stress as well as changing their biorhythm.

“See what happens every 10 hours and see what you can do by popping your friend’s zits. Zitometers will sync with your actions and time. Be aware of alerts on zitometer. Your friend’s soothing is the only way you can get rid of your zits on your face.

“You will get rewarded for being a kind soother. Your rank will go up as you soothe more people and you will get different coupons to use on hundreds of shopping malls.”

Is it just me?

No, thankfully. Wired Editor and “The Long Tail” author (who should know about this stuff) Chris Anderson wrote about the Facebook apps market in a post, which was actually a reaction to another analysis report by Tim O’Reilly.

By way of background, Anderson noted that O’Reilly’s report showed that Facebook apps were “top-heavy, with the top 84 apps of the 5,000 analyzed having 87% of the traffic,” before moving on to the obvious conclusion of why this was so:

1. The social networking on Facebook is too powerful. This is the tyranny of network effects, where viral success is the only kind and popularity snowballs into an avalanche or goes nowhere at all. That sort of herd behavior is usually a sign of an immature market.
2. Most apps are total crap. That, in turn, may say something about the whole idea of Facebook as a platform. But I’ll leave that discussion for another day.”

So, let’s discuss. And no potato-throwing, please.

Next chapter: Why I don’t really want to SuperPoke, say, Digg’s Jay Adelson, on our 2,500-person strong D: All Things Digital group on Facebook? But what else is there to do?

In a you-hurt-my-feelings post on his blog earlier this week, entrepreneur Marc Canter (pictured here) turned my one little quip to his bellowing question at the recent iLike party into a huge deal about why he was not invited to the D: All Things Digital conference that I co-produce with Walt Mossberg.

At the party, Canter got up and asked a question (and it was a good one about developing iLike apps for platforms other than Facebook). It came in the middle of a very short speech iLike co-founder Ali Partovi was giving, essentially thanking everyone for coming, most especially Facebook, where the social music site has seen great growth.

Canter had every right to ask a question in his usual unique style (let’s just say he is not a shrinking violet).

To be fair, neither am I, so I think it fine that I said: Someone get out the Canter Taser! It was a joke, however funny you might find it or not.

But I did not say it because I thought he was being rude or because I thought he should not DARE (his caps in his post) to ask a question. He can dare and I don’t care.

Nonethless, Canter took the ball and barreled down the field at full bore, first by incorrectly saying I did not want him to ask the question:

“But I don’t play by those rules. So no wonder I don’t get invited to AllThngsD [sic]. And why Kara never videotapes me. Clearly I have nothing to say!,” he wrote. “Kara knows she can’t control me and that I don’t play by the ‘be nice to the VCs and high level execs and maybe they’ve invest in you’ rules.”

Here’s the problem: D is not an invitation-only event and never has been. Anyone can sign up for it, much like any other tech conference, as long as they buy a ticket.

But, since its inception, D quickly sells out, and we have a long, long wait list. And we can’t offer more seats because of restricted space in the hotel we throw the annual event in.

This a good problem to have, but it means not everyone can get a seat. The same is true for the huge amount of press and bloggers we let in for free–another long wait list.

That’s why we have posted the entire D5 conference–every interview and every demo–in its entirety on this site, located here. At the conference, we also immediately posted short highlight videos immediately after sessions were over. We also have much of the other four conferences there, too.

As to videotaping Canter–I would be happy to, so I would prefer he not make it up that I will not. I simply have not gotten to him. I think of Canter as an interesting figure in Silicon Valley and an important inventor.

So I urge him to contact me when he thinks I should be covering something. I won’t always cover it, but I will always listen to what he has to say.

Also, Canter might take a gander at the videos from all the D conferences I referenced above. While we might not pass Canter’s tough test, I think they are pretty good.

In addition, any reader of this blog will know that I have not been a wet noodle to either Facebook or Yahoo of late.

At end of his post, Canter noted: “I’m not interested in pre-canned, shilled company pitches.” Well, you can Taser me if I am lying, but neither am I.

On a lighter note, if you did not see it, here is the post and below is the video I did from the iLike party. By the way, Canter might notice I headlined the post, “iLike Kisses Up to [Facebook Founder and CEO Mark] Zuckerberg,” which is exactly the point he was making:

So, last night, they threw a party to celebrate their start-up called iLike and also send some appreciation in Facebook’s direction.

After all, their social music discovery service is one of the most popular third-party applications on the hot social network, with seven million Facebook users (out of 11 million total), hypercharging the Seattle-based iLike.

Funded by Ticketmaster (IAC), Khosla Ventures, Bob Pittman and with a cast of top tech players as advisers, it is one of the widget wonders of the moment.

Facebook founder Zuckerberg was at the party, as well as many others in the Facebook widget universe, which is ruling Silicon Valley at this moment, with their zombie bites and silly polls and cartoonifying software.

They partied in the backyard of a tricked-out house in the fancy Silicon Valley neighborhood of Atherton–the home of Elevation Partners’ Marc Bodnick, an iLike board member.

There, a much hipper and younger demographic than the earlier August Capital party had a late dinner of salmon and all manner of other treats under the stars.

That was capped by a concert from San Francisco’s popular band, Third Eye Blind, which has had many big hits including “Semi-Charmed Life.”

By the looks of things at the iLike party, it is a completely charmed one for the Partovis.