More accurately, like many companies, they can’t figure out how to monetize, and more importantly have it undermine their business model.

The IOC business model does not allow for free expression, and in order to understand this clearly you first have to understand that the IOC needs local Olympic organizing committees to align with local mainstream news media in order to convince a disenfranchised public to sign up to become VOLUNTEERS for an event that for the last four Host cities has been an economic disaster.

Salt Lake City 2002 reported a deficit of $1.2 billion, Athens 2004 $12 billion, Turin 2006 is still counting, Beijing 2008 was a $40 billion farce, Vancouver 2010 is already about $5.5 billion into overruns, and London 2012 is already over budget by about $12 billion and rising.

Not one of the Host cites since 2002 has posted a tangible benefit respective of tourism or foreign capital investment that comes even close to a return on an investment that is “reasonably proportionate” to the money taxpayers in these regions paid out.

NBC however, the official broadcaster, boasts that they place advertising in front of 4 billion people at each Summer Games, and in front of 3 billion people at each Winter Games. Corporate sponsors make off like bandits while taxpayers foot the bill.

Regarding the next Olympics in Vancouver in 2010, the IOC recently negotiated an agreement with Canwest, a Canadian news publisher, currently on life support btw, that effectively pays their local struggling newspapers well to report the Olympic side of the Olympic story. If it were not for the access to local residents Canwest’s newspapers provide, the IOC would have an extremely difficult time conscripting volunteers.

If the IOC embraces social media they will have millions of people in Host regions complaining incessantly on their websites BEFORE THE GAMES HIT TOWN. If the IOC can’t attract volunteers, they can’t host an event.

Newspapers on the VANOC payroll very rarely allow TIMELY COMMENTING on Olympic related articles, and when they do, they censure posts that tie news media to the Olympic business model. It took The Vancouver Sun a year before they placed the Olympic rings logo on their newspaper identifying them as an official Olympic partner, which meant that for this entire period readers were not aware of their bias.

Turin 2006 created an Indie media center that was moderately successful, but social media had not yet hit full stride. Vancouver 2010 is currently creating an Indie Media Centre that will give international unaccredited media access to athletes and local businesses in real time. London is by far much further ahead in this respect, and by the time 2012 rolls around the IOC will have lost substantial control of their manipulative and unethical relationship with local mainstream news media.

If you want details here are a few links to get you up to speed . . .

Social Media & the Olympics
http://www.olyblog.com/f/08/SocialMediaF12012008.shtml#SOCIAL

Can Twitter Save the Olympics?
http://www.olyblog.com/f/09/GregorSaves2010F01102009.shtml

Newspaper Admits to Being an Official Paid Olympic Booster
http://www.olyblog.com/f/07/CrowdSourceF08032007.shtml#SUNBOOSTER