SAN FRANCISCO (MarketWatch) -- Microsoft Corp. is in talks to make an investment in Facebook Inc. that would value the popular online social networking company at $10 billion or more, according to a story Monday in The Wall Street Journal's online edition. http://www.marketwatch.com/news/sto...x?guid={F3F28329-1334-4557-BA5B-0DCC5826E7B0}
More hype in social networking land, Face book isnt even worth 1 Billion, talk about a bubble.... MSFT is better off buying yahoo not facebook. Waste of money if they make the deal which I think will not happen.
Facebook is definitely not worth 10 billion. I could be wrong but I think Yahoo bid 1 billion for it but was rejected because Facebook's management valued it more at around 7 billion. This happened recently too.
I think it's pointless to be buying these low-valued "social networking" websites. I really don't see any value in it. As far as I know, Everyone from Myspace moved over to Facebook. Who knows whats next? There is too much hype around these and I wouldn't value them for more than $750 million, based entirely on advertising revenue.
People use facebook because it's just better than myspace. It doesn't have spam and is more modern, elegant, and overall easy to use. It makes it easier to stay in contact with people you wouldn't otherwise - if you meet some chick at a party and have good vibes but for some reason or another you get separated and you don't get to see her again, just friend her on facebook and you'll be in her pussy within 24 hours. For facebook to lose its "edge", someone else would have to make something better - but simple is better, and that's something Facebooks knows, just like Google. I'm not saying Facebook is worth $10,000,000,000 - I have no idea as to the company's true value, but I believe they will spend all their resources into keeping facebook customers because it's too lucrative of an enterprise to let slip away. It's free, and it's not cluttered with ads, and trying to be a recluse and using a different social networking site won't work. People switched because society wasn't familiar with social networking 2 or 3 years ago - lots of sites (Friendster anyone?) died down, but the industry has consolidated. And social networking is a big industry, that trend will continue. So don't dismiss facebobok as another fad without understanding the cultural impacts and their likeliness to last, and the reasons why other social networking sites were indeed a "fad" when facebook wasn't.
No one figured Myspace would be a fad...probably until the larger spammers and predators came about. Although, you are right that no one knew what social networking was back then and now it is all the rage with those 14-21 year olds, right?