Comments on: Why Facebook Won’t Sell

By: Scrivs

Scrivs — Wed, 23 May 2007 16:20:11 +0000

Rick you are correct, but very rarely have I heard of a company that got to the magic number and not go public simply because all your financials are public anyways.

By: Rick

Rick — Wed, 23 May 2007 16:11:47 +0000

A company doesn’t have to do an IPO after 500 shareholders! They do however have to begin making financial disclosures, perhaps that’s what you meant.

By: Devin

Devin — Tue, 22 May 2007 22:40:04 +0000

Keep in mind the ‘advertising’ Facebook does is extremely different. Sure, there are banner ads. But, there are also the ’sponsored’ groups. They can charge a premium for a company to have their own ‘corner’ of the site and even pimp the group/product/etc. on the news feed. That’s probably going to earn them a bit more than MySpace et al’s .10 CPM.

By: Scrivs

Scrivs — Tue, 22 May 2007 21:00:52 +0000

@Josh: I completely agree with you on that one although I wasn’t sure how well the gifts were doing since I have yet to read reports on it.

By: Scrivs

Scrivs — Tue, 22 May 2007 20:59:38 +0000

Email sent my friend. Lesson for everyone else out there, I am not above taking friendly wagers when it comes to writing content.

By: Fred

Fred — Tue, 22 May 2007 20:53:41 +0000

Ha. Ok, shoot me an email and I’ll pay up.

By: Scrivs

Scrivs — Tue, 22 May 2007 19:26:48 +0000

Actually that’s 4 ;-).

By: Josh Williams

Josh Williams — Tue, 22 May 2007 16:45:29 +0000

Facebook will not sell out. They have way too much going for them at this point. As for revenue stream, the Virtual Gifts (icons) are just the tip of the iceberg â€” and they’re already making bank off of those. Facebook indeed is becoming a platform, and the value here and vastly beyond that of any of the other social networks. To even think of Facebook in the same light as MySpace at this point is stupid. They know exactly what they’re doing, and it will take far more than a multi-billion dollar acquisition offer to sway them at this point.

By: Fred

Fred — Tue, 22 May 2007 16:30:12 +0000

Sh*t, do I owe you $20? Is that three posts since our bet?

By: soxiam

soxiam — Tue, 22 May 2007 13:14:34 +0000

I agree, the key question for facebook is the rev stream. Without one, they will be trounced on IPO. Without their lucrative search deal, I don’t think facebook is capable of reporting healthy numbers as they do. So what’s left other than ads and eyeballs? Subscription model? Unlikely. Blings, classified ads, etc. They sure are trying but even if these measures prove to be successful, I fear slapping on these services might lead to facebook diluting their own secret sauce; the tightly knit social component that allowed them to grow.