Comments on: Perspective: Facebook Is Now 5th Most Valuable U.S. Internet Company http://www.techcrunch.com/2007/10/25/perspective-facebook-is-now-5th-most-valuable-us-internet-company/ Startup and Tech News Fri, 16 May 2008 10:20:16 +0000 http://wordpress.org/?v=2.3.3 By: Some interesting Facebook facts at Charl Norman </ Social Media Entrepreneur > http://www.techcrunch.com/2007/10/25/perspective-facebook-is-now-5th-most-valuable-us-internet-company/#comment-2223356 Some interesting Facebook facts at Charl Norman </ Social Media Entrepreneur > Fri, 25 Apr 2008 13:44:49 +0000 http://www.techcrunch.com/2007/10/25/perspective-facebook-is-now-5th-most-valuable-us-internet-company/#comment-2223356 [...] is the 5th most valuable US Internet company, yet with only $150 million in annual [...] […] is the 5th most valuable US Internet company, yet with only $150 million in annual […]

]]> By: Mi otro blog… » Blog Archive » Microsoft compra una participación en Facebook http://www.techcrunch.com/2007/10/25/perspective-facebook-is-now-5th-most-valuable-us-internet-company/#comment-1840728 Mi otro blog… » Blog Archive » Microsoft compra una participación en Facebook Fri, 14 Dec 2007 17:58:33 +0000 http://www.techcrunch.com/2007/10/25/perspective-facebook-is-now-5th-most-valuable-us-internet-company/#comment-1840728 [...] lo cual implica una valoración de Facebook en $15.000 millones (que convertiría a Facebook en la quinta empresa de Internet que más vale, tras Google, Yahoo!, eBay y Amazon), y la exclusividad para poner publicidad de terceros en [...] […] lo cual implica una valoración de Facebook en $15.000 millones (que convertiría a Facebook en la quinta empresa de Internet que más vale, tras Google, Yahoo!, eBay y Amazon), y la exclusividad para poner publicidad de terceros en […]

]]> By: Mark Zuckerberg: He put your face on a book | wannabeMogul.com http://www.techcrunch.com/2007/10/25/perspective-facebook-is-now-5th-most-valuable-us-internet-company/#comment-1732560 Mark Zuckerberg: He put your face on a book | wannabeMogul.com Tue, 06 Nov 2007 17:16:01 +0000 http://www.techcrunch.com/2007/10/25/perspective-facebook-is-now-5th-most-valuable-us-internet-company/#comment-1732560 [...] often that a young company gets to decide between Google and Microsoft, but Facebook did and became the fifth largest Internet company behind only Google, eBay, Yahoo and Amazon. With this new money, Facebook can launch the ad network [...] […] often that a young company gets to decide between Google and Microsoft, but Facebook did and became the fifth largest Internet company behind only Google, eBay, Yahoo and Amazon. With this new money, Facebook can launch the ad network […]

]]> By: Dave http://www.techcrunch.com/2007/10/25/perspective-facebook-is-now-5th-most-valuable-us-internet-company/#comment-1706507 Dave Sun, 28 Oct 2007 13:02:32 +0000 http://www.techcrunch.com/2007/10/25/perspective-facebook-is-now-5th-most-valuable-us-internet-company/#comment-1706507 First Skype, now this....om my, it must be noce to have Billions to bet on Internet crap shoots---the bubble is definately here, folks, it's just not so pronounced, becasue it involves investment from public companies, rather than IPO's... First Skype, now this….om my, it must be noce to have Billions to bet on Internet crap shoots—the bubble is definately here, folks, it’s just not so pronounced, becasue it involves investment from public companies, rather than IPO’s…

]]> By: Leap Year Photography http://www.techcrunch.com/2007/10/25/perspective-facebook-is-now-5th-most-valuable-us-internet-company/#comment-1704850 Leap Year Photography Sat, 27 Oct 2007 15:07:15 +0000 http://www.techcrunch.com/2007/10/25/perspective-facebook-is-now-5th-most-valuable-us-internet-company/#comment-1704850 Facebook is Great! Facebook is Great!

]]> By: Nicholas Juntilla http://www.techcrunch.com/2007/10/25/perspective-facebook-is-now-5th-most-valuable-us-internet-company/#comment-1702413 Nicholas Juntilla Fri, 26 Oct 2007 17:08:20 +0000 http://www.techcrunch.com/2007/10/25/perspective-facebook-is-now-5th-most-valuable-us-internet-company/#comment-1702413 Facebook is a joke. No one likes to use it because it's interface is tiny and ugly. You can't customize it at all. The customer has to adjust to facebook. With MySpace the service adjusts to the customers or users. Facebook it like this tiny box where you have to fit your identity into it's tiny holes. It will never be big because people are not machines that fit nicely into cookie cutter stamps. I imagine the same type of people who get engrossed in online games like second life like facebook because it is an online world that has nothing to do with reality. MySpace reflects reality and in the end reality will win. Cya peace -Nick Facebook is a joke. No one likes to use it because it’s interface is tiny and ugly. You can’t customize it at all. The customer has to adjust to facebook. With MySpace the service adjusts to the customers or users. Facebook it like this tiny box where you have to fit your identity into it’s tiny holes. It will never be big because people are not machines that fit nicely into cookie cutter stamps. I imagine the same type of people who get engrossed in online games like second life like facebook because it is an online world that has nothing to do with reality. MySpace reflects reality and in the end reality will win. Cya peace

-Nick

]]> By: Ian at College Colosseum http://www.techcrunch.com/2007/10/25/perspective-facebook-is-now-5th-most-valuable-us-internet-company/#comment-1702277 Ian at College Colosseum Fri, 26 Oct 2007 15:35:07 +0000 http://www.techcrunch.com/2007/10/25/perspective-facebook-is-now-5th-most-valuable-us-internet-company/#comment-1702277 MS was in talks with FB back in july. At that time they wanted to buy it out for $6 billion. http://www.collegecolosseum.com/forum/index.php?topic=37.0 I guess they settled for $240 million for 2%. MS was in talks with FB back in july. At that time they wanted to buy it out for $6 billion. http://www.collegecolosseum.co.....topic=37.0

I guess they settled for $240 million for 2%.

]]> By: Kipp http://www.techcrunch.com/2007/10/25/perspective-facebook-is-now-5th-most-valuable-us-internet-company/#comment-1702151 Kipp Fri, 26 Oct 2007 14:09:35 +0000 http://www.techcrunch.com/2007/10/25/perspective-facebook-is-now-5th-most-valuable-us-internet-company/#comment-1702151 Facebook is a one-company internet bubble. Social networking sites are like fashion, or other fad based social movements. Remember the images of that balloon in Canada recently crashing and burning (burning and crashing)? Facebook is a one-company internet bubble. Social networking sites are like fashion, or other fad based social movements. Remember the images of that balloon in Canada recently crashing and burning (burning and crashing)?

]]> By: roaminmmatt http://www.techcrunch.com/2007/10/25/perspective-facebook-is-now-5th-most-valuable-us-internet-company/#comment-1702150 roaminmmatt Fri, 26 Oct 2007 14:06:49 +0000 http://www.techcrunch.com/2007/10/25/perspective-facebook-is-now-5th-most-valuable-us-internet-company/#comment-1702150 i knew this would happen, ever since it came out i knew it would some day be better then myspace and now its on its way. i knew this would happen, ever since it came out i knew it would some day be better then myspace and now its on its way.

]]> By: Misanthropy Today http://www.techcrunch.com/2007/10/25/perspective-facebook-is-now-5th-most-valuable-us-internet-company/#comment-1702041 Misanthropy Today Fri, 26 Oct 2007 13:04:20 +0000 http://www.techcrunch.com/2007/10/25/perspective-facebook-is-now-5th-most-valuable-us-internet-company/#comment-1702041 another thing, the first bubble happened because everyone, even average joes, invested in internet companies' IPOs. I think we'll look back on this bubble as mainly companies wasting money on mostly worthless websites. Nothing as Hyped up as Facebook has ever lasted---- ever. Meteoric. Consider it. another thing, the first bubble happened because everyone, even average joes, invested in internet companies’ IPOs.

I think we’ll look back on this bubble as mainly companies wasting money on mostly worthless websites.

Nothing as Hyped up as Facebook has ever lasted—- ever. Meteoric. Consider it.

]]> By: Misanthropy Today http://www.techcrunch.com/2007/10/25/perspective-facebook-is-now-5th-most-valuable-us-internet-company/#comment-1702032 Misanthropy Today Fri, 26 Oct 2007 13:01:14 +0000 http://www.techcrunch.com/2007/10/25/perspective-facebook-is-now-5th-most-valuable-us-internet-company/#comment-1702032 #83, you said it best. Come write tech business articles for Misanthropy Today. #85, I realize from the .nl that you're from the netherlands, but, goddamn that was a dumb worthless comment. #83, you said it best. Come write tech business articles for Misanthropy Today.

#85, I realize from the .nl that you’re from the netherlands, but, goddamn that was a dumb worthless comment.

]]> By: GSmith http://www.techcrunch.com/2007/10/25/perspective-facebook-is-now-5th-most-valuable-us-internet-company/#comment-1701994 GSmith Fri, 26 Oct 2007 12:35:28 +0000 http://www.techcrunch.com/2007/10/25/perspective-facebook-is-now-5th-most-valuable-us-internet-company/#comment-1701994 The money probably goes back to msft. In its hey day, AOL did deals such as these where the company being invested in was "forced" to buy advertising space in AOL. The more transactions you complete, the more value you create. Keep your friends close and your enemies closer. The money probably goes back to msft. In its hey day, AOL did deals such as these where the company being invested in was “forced” to buy advertising space in AOL. The more transactions you complete, the more value you create. Keep your friends close and your enemies closer.

]]> By: reggie http://www.techcrunch.com/2007/10/25/perspective-facebook-is-now-5th-most-valuable-us-internet-company/#comment-1701813 reggie Fri, 26 Oct 2007 11:02:38 +0000 http://www.techcrunch.com/2007/10/25/perspective-facebook-is-now-5th-most-valuable-us-internet-company/#comment-1701813 All the naysayers get over yourselves. MSFT aint dumb, never was and never will be, and they can see the once in a lifetime potential of facebook. Frankly it could be worth a hell of a lot more based on all the key valuation metrics of dcf and multiples (in time) but more importantly, its strategic value is immense. To be able to reach (eventually) a large proportion of the global online population in a structured manner is worth about as much as ExxonMobil, a shitload, and that's the potential of what we're talking about here. Sure there's risk of the new new thing but all dominant players in an industry face these risks and overall protect their turf. If we roll forward 12mths and facebook has 3x their current number of highly active users, we'll be talking and valuing them in the same way as GOOG All the naysayers get over yourselves. MSFT aint dumb, never was and never will be, and they can see the once in a lifetime potential of facebook. Frankly it could be worth a hell of a lot more based on all the key valuation metrics of dcf and multiples (in time) but more importantly, its strategic value is immense. To be able to reach (eventually) a large proportion of the global online population in a structured manner is worth about as much as ExxonMobil, a shitload, and that’s the potential of what we’re talking about here. Sure there’s risk of the new new thing but all dominant players in an industry face these risks and overall protect their turf. If we roll forward 12mths and facebook has 3x their current number of highly active users, we’ll be talking and valuing them in the same way as GOOG

]]> By: vca examen http://www.techcrunch.com/2007/10/25/perspective-facebook-is-now-5th-most-valuable-us-internet-company/#comment-1701774 vca examen Fri, 26 Oct 2007 10:30:13 +0000 http://www.techcrunch.com/2007/10/25/perspective-facebook-is-now-5th-most-valuable-us-internet-company/#comment-1701774 Where does all that money go to except from employees and servers ? Where does all that money go to except from employees and servers ?

]]> By: webdesign http://www.techcrunch.com/2007/10/25/perspective-facebook-is-now-5th-most-valuable-us-internet-company/#comment-1701771 webdesign Fri, 26 Oct 2007 10:29:27 +0000 http://www.techcrunch.com/2007/10/25/perspective-facebook-is-now-5th-most-valuable-us-internet-company/#comment-1701771 i have to agree that facebook is a big site ! but with new commericals on the pages it will sure be making money in no time ! i have to agree that facebook is a big site ! but with new commericals on the pages it will sure be making money in no time !

]]> By: webdesign http://www.techcrunch.com/2007/10/25/perspective-facebook-is-now-5th-most-valuable-us-internet-company/#comment-1701767 webdesign Fri, 26 Oct 2007 10:28:36 +0000 http://www.techcrunch.com/2007/10/25/perspective-facebook-is-now-5th-most-valuable-us-internet-company/#comment-1701767 Well Facebook deserves it ! its a good site and its purchased by microsoft so no big suprises here Well Facebook deserves it ! its a good site and its purchased by microsoft so no big suprises here

]]> By: Ashutosh Kadakia http://www.techcrunch.com/2007/10/25/perspective-facebook-is-now-5th-most-valuable-us-internet-company/#comment-1701651 Ashutosh Kadakia Fri, 26 Oct 2007 09:21:35 +0000 http://www.techcrunch.com/2007/10/25/perspective-facebook-is-now-5th-most-valuable-us-internet-company/#comment-1701651 Everyone is who thinks Facebook is worth $15 billion is nuts. And everyone who thinks that Microsoft paid $250 million for 1.6% of Facebook is more nuts. Yes, WSJ, you are wrong. Sure if you do the math considering current equity positions it might come to $15 billion, but is that really what Microsoft is buying into? The most important part of the press release is that Microsoft is now the exclusive advertising partner for Facebook until the year 2011. The 1.6% equity stake is just extra gravy. Google paid $900m for exclusive advertising rights for MySpace a few years ago. If they had received 1.6% does that make MySpace worth some multiplicative factor of $900 million? If the press release had simply said, Microsoft pays $250 million for exclusive advertising rights, no one would have batted an eye. To those people who are comparing this valuation with Broadcast.com you are comparing apples and oranges. $5.9 billion in cash/stock (outright purchase) is far different from $250 million to purchase exclusive advertising rights. Microsoft has not paid $15 billion for Facebook but rather simply purchasing advertising rights. And I think it’s brilliant on Microsoft’s part taking 1.6% equity. The equity has little monetary value to Microsoft – it’s unlikely that Facebook will ever be worth $15 billion, but look aren’t we all talking about it? This is a win for Microsoft. And naturally a win for Facebook. Its good seeing smart people making correct decisions. Everyone is who thinks Facebook is worth $15 billion is nuts. And everyone who thinks that Microsoft paid $250 million for 1.6% of Facebook is more nuts. Yes, WSJ, you are wrong.

Sure if you do the math considering current equity positions it might come to $15 billion, but is that really what Microsoft is buying into? The most important part of the press release is that Microsoft is now the exclusive advertising partner for Facebook until the year 2011. The 1.6% equity stake is just extra gravy.

Google paid $900m for exclusive advertising rights for MySpace a few years ago. If they had received 1.6% does that make MySpace worth some multiplicative factor of $900 million?

If the press release had simply said, Microsoft pays $250 million for exclusive advertising rights, no one would have batted an eye.

To those people who are comparing this valuation with Broadcast.com you are comparing apples and oranges. $5.9 billion in cash/stock (outright purchase) is far different from $250 million to purchase exclusive advertising rights. Microsoft has not paid $15 billion for Facebook but rather simply purchasing advertising rights.

And I think it’s brilliant on Microsoft’s part taking 1.6% equity. The equity has little monetary value to Microsoft – it’s unlikely that Facebook will ever be worth $15 billion, but look aren’t we all talking about it?

This is a win for Microsoft. And naturally a win for Facebook. Its good seeing smart people making correct decisions.

]]> By: meneame.net http://www.techcrunch.com/2007/10/25/perspective-facebook-is-now-5th-most-valuable-us-internet-company/#comment-1701532 meneame.net Fri, 26 Oct 2007 08:19:16 +0000 http://www.techcrunch.com/2007/10/25/perspective-facebook-is-now-5th-most-valuable-us-internet-company/#comment-1701532 <strong>[ENG] FaceBook se convierte en la quinta mayor empresa de Internet...</strong> Facebook sigue con su imparable ascenso en Bolsa y llega hasta los 15.000 millones de dólares situandose cerca de grandes como yahoo y amazon.... [ENG] FaceBook se convierte en la quinta mayor empresa de Internet…

Facebook sigue con su imparable ascenso en Bolsa y llega hasta los 15.000 millones de dólares situandose cerca de grandes como yahoo y amazon….

]]> By: Dashken http://www.techcrunch.com/2007/10/25/perspective-facebook-is-now-5th-most-valuable-us-internet-company/#comment-1701395 Dashken Fri, 26 Oct 2007 07:14:22 +0000 http://www.techcrunch.com/2007/10/25/perspective-facebook-is-now-5th-most-valuable-us-internet-company/#comment-1701395 I wonder, where does Friendster stands now? Hmm... I wonder, where does Friendster stands now? Hmm…

]]> By: David http://www.techcrunch.com/2007/10/25/perspective-facebook-is-now-5th-most-valuable-us-internet-company/#comment-1700721 David Fri, 26 Oct 2007 01:32:30 +0000 http://www.techcrunch.com/2007/10/25/perspective-facebook-is-now-5th-most-valuable-us-internet-company/#comment-1700721 Where is the internal cashflow to justify all of this? Where is the internal cashflow to justify all of this?

]]> By: Dheeraj Sultanian http://www.techcrunch.com/2007/10/25/perspective-facebook-is-now-5th-most-valuable-us-internet-company/#comment-1700624 Dheeraj Sultanian Fri, 26 Oct 2007 00:44:05 +0000 http://www.techcrunch.com/2007/10/25/perspective-facebook-is-now-5th-most-valuable-us-internet-company/#comment-1700624 WOW - Microsoft just went up in value by over 2 "Facebooks" in after hours trading. From now on I will refer to every deal in terms of "facebooks", just as I refer to dollars as "frosties" - you know, from that Wendy's Commercial - rediculous ! WOW - Microsoft just went up in value by over 2 “Facebooks” in after hours trading. From now on I will refer to every deal in terms of “facebooks”, just as I refer to dollars as “frosties” - you know, from that Wendy’s Commercial - rediculous !

]]> By: Support this story on Stirrdup http://www.techcrunch.com/2007/10/25/perspective-facebook-is-now-5th-most-valuable-us-internet-company/#comment-1700481 Support this story on Stirrdup Thu, 25 Oct 2007 23:38:28 +0000 http://www.techcrunch.com/2007/10/25/perspective-facebook-is-now-5th-most-valuable-us-internet-company/#comment-1700481 <strong>Perspective: Facebook Is Now 5th Most Valuable U.S. Internet Company...</strong> This story has been submitted to Stirrdup. Your support can help it become hot.... Perspective: Facebook Is Now 5th Most Valuable U.S. Internet Company…

This story has been submitted to Stirrdup. Your support can help it become hot….

]]> By: Wil Schroter http://www.techcrunch.com/2007/10/25/perspective-facebook-is-now-5th-most-valuable-us-internet-company/#comment-1700391 Wil Schroter Thu, 25 Oct 2007 22:48:41 +0000 http://www.techcrunch.com/2007/10/25/perspective-facebook-is-now-5th-most-valuable-us-internet-company/#comment-1700391 If Facebook is worth so much and Myspace is MANY TIMES the size of Facebook, wouldn't MySpace be a leading indicator of how big Facebook could possibly be in the near future? If Facebook is worth so much and Myspace is MANY TIMES the size of Facebook, wouldn’t MySpace be a leading indicator of how big Facebook could possibly be in the near future?

]]> By: Varun Mathur http://www.techcrunch.com/2007/10/25/perspective-facebook-is-now-5th-most-valuable-us-internet-company/#comment-1700359 Varun Mathur Thu, 25 Oct 2007 22:32:18 +0000 http://www.techcrunch.com/2007/10/25/perspective-facebook-is-now-5th-most-valuable-us-internet-company/#comment-1700359 Microsoft got 1.6% of Facebook for $240 million. This DOES mean that Facebook got valued at $15 billion ! Why ? Because if not, then Microsoft would have got a higher % of Facebook for their $240 million. Also, the discussion about revenue per user, etc is totally irrelevant. This number of $15 billion is simply a result of a lot of excitement about Facebook's future prospects as an Internet platform. Facebook is the next Google in the making, and boy oh boy...why won't Microsoft try to get a tiny little chunk of it for any price possible :) Microsoft got 1.6% of Facebook for $240 million. This DOES mean that Facebook got valued at $15 billion ! Why ? Because if not, then Microsoft would have got a higher % of Facebook for their $240 million.

Also, the discussion about revenue per user, etc is totally irrelevant. This number of $15 billion is simply a result of a lot of excitement about Facebook’s future prospects as an Internet platform. Facebook is the next Google in the making, and boy oh boy…why won’t Microsoft try to get a tiny little chunk of it for any price possible :)

]]> By: Mark Mayhew http://www.techcrunch.com/2007/10/25/perspective-facebook-is-now-5th-most-valuable-us-internet-company/#comment-1700277 Mark Mayhew Thu, 25 Oct 2007 21:50:55 +0000 http://www.techcrunch.com/2007/10/25/perspective-facebook-is-now-5th-most-valuable-us-internet-company/#comment-1700277 This deal inspired me to sell 1.6% of FacebookEconomy.com, for $200, to a friend. But when I read the fine print, the $200 is not to be paid in cash, he wants to pay me with beer (30 6-packs). We are definately in a "bubble"! This deal inspired me to sell 1.6% of FacebookEconomy.com, for $200, to a friend. But when I read the fine print, the $200 is not to be paid in cash, he wants to pay me with beer (30 6-packs).
We are definately in a “bubble”!

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