This will sound weird especially considering I am a web designer and I work on buzzen's website. This is only my opinion from how I view chat networks. Who cares about the blogs, music, videos etc. You have real time chat that you can share links to everything on the web. You can talk about any subject under the sun again in "real time". Why would you want to stop watching chat to go to all those things when you are on that website for the real time chat. I can understand profiles. People want a glimpse into the person they are talking to. Pics , about me, etc I get. To me all the extras on a chat website are just there when the chat you enjoy is a bit slow and you are passing the time. The more you can include into the actual chatroom experience is where I think more networks should focus. Even Buzzen. The rest is just extras in my opinion that don't really matter. It's good if you have them but if you don't it's not going to stop people from using your chat if that's where the people are they want to talk to. There are tons of social networks out there. What chat offers people is real time interaction with lots of users from all over the world. This brings you different cultures, races, sexes, etc all in one place in real time. It's not about having to include people into your circle. The circle is 100% open to anyone that wants to come in. That's what I love about chat. I am a mIRC user. The website extras are irrelevant to me. I just want the real time interactions.
Please don't take all of that to mean I'm somehow dissing people that are adding all the bells and whistles to their website. As a designer I'm constantly adding things to websites and I enjoy when people use them. I'm just saying people aren't coming to chat networks for "facebook", billboard top 100, blogs, etc. They are coming for the real time chat. Focus on that above all else. You are lucky if 10% will use the other features. Good chat gui and a good profile system is really all you need. Even then it's hard to build a network from nothing into anything of substance anymore. People tend to stay where they are accustomed to. Again this is only my opinion of how I see chat.
Is chat dying? I dunno the answer to that. For me I still see a lot of people in chat. I don't see chat growing like it once did but that tends to happen when such well known companies as microsoft and yahoo close their chats. Everyone knew msn and yahoo. So when you saw free chat on their pages you clicked. Chat networks aren't getting the advertising like that anymore. You can't reach hundred's of thousands of people like msn and yahoo did. The largest networks are the plain jane IRC networks that n00bs will never go to. There are a lot of geeks out there to use those networks but those same geeks can start their own. n00bs need their hands held and walked through every aspect of chat and it has to be made with them in mind. IRC elitists don't like n00bs. But that is the majority of the market. If you can figure out how to get them to your network on the scale of hundreds of thousands chat would be popular like before. Good luck figuring out how though.