Earlier in March I pulled together an event with the local chapter of the American Marketing Association on the impact of "social media" in the government space. The general feeling of the panelists was that the government market was going to be particularly slow in adapting blogs, wikis, twitter and whatnot.
Now there is a McKinsey report profiled on BusinessWeek that shows that corporations in the private sector remain reluctant to embrace "social media." My feeling is that companies and government will do a little experimental toe dipping here and there, but most will stay behind the curve for a while more.
If even a master PR guy like Steve Rubel can get in trouble and have to apologize, imagine how much fear some traditional minded corporate executives are going to have.