Nov 30 2007
Sweet Jeebus…, more dough for facebook
Thats right.., $240 million was not enough for facebook.
TechCrunch is reporting that facebook has taken $60 Million more in investment from a wealthy businessman from Hong Kong.
As TechCrunch points out…, its one thing to make up an evaluation and have one person standing at your side saying that you are not completely out of your gord…, but once there are two or more…, things start to be a bit more “real”.
I have to hand it to facebook for riding this wave, more like a tsunami, that they are on right now. The market is absolutely primed to accept all of their hype. I am still not sold on the evaluation, just out of principal alone when you look at their projected revenue this year of around $150 Million.
They have flip-flopped…, thank god…, on their new beacon service, and switched to more of an opt-in style after all of the outcry. Personally I think the service is completely stoopid. In my opinion the service is either worthless…, or embarrassing…, depending on how risque your purchasing habits might be.
“Bob just bought black dress socks from J. Crew”
“Sally just bought edible undies (watermelon) from Amazon”
Facebook will be hard at work over the next 3-5 years trying to really earn that evaluation. It kind of sucks for all new employees…, with the company having such a high evaluation they are going to have to stick around for an eternity in internet time (around the same as dog years), and some how facebook is going to have to find a way to multiply their revenue 50 fold or more. They will be probably approaching a saturation period here by the end of ‘08 a-la MySpace, whoz still numero uno in the social networking ranks, but growth has slowed.
Latest Social Networking Stats Here:
In closing…, WWFD?
What the hell IS Facebook going to do with all that cashish? They have declared war on Google HQ for the best and brightest as they plan to double…, or more…, their headcount.., but $300 Million wont just be for that. I have no doubt they will try to protect their turf from any small up and comers and fork over some dough in a handful of acquisitions. But what else? Maybe some healthy R&D with some strategic new relationships. Maybe building out a crawling/search infrastructure? Most likely not on the search one, but they must have something in mind.
[…] user of Facebook.., probably log in once a week to see if any messages have been left for me. Here is a previous posting of mine when beacon […]