Digsby launched a new desktop client of their service today at DEMO that is designed for mainstream social media users. Digsby is a desktop application that allows for simultanious management of your IM, e-mail, and social network accounts (Facebook and Twitter). Their new client is cool and can be recommended to mainstream Twitter users and average social networking addicts.

The interesting thing about this New York based startup is that they have low costs (7 FTE), virtually no scaling issues (it is a desktop app, that connects with the services directly), are not venture backed (only angel round), have an interesting business model (selling CPU cycles of idle computers of Digsby users, see video) and have 1.5 million downloads, managing over 4 million acounts and counting.

CEO Steve Shapiro tells me about Digsby, their business model and also did not commented on 3 of my questions… He took the pain, some classic content.